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Mediterranean cruise operators face uncertain summer

ITB 2003 – Cruise lines that rely heavily on US customers and Mediterranean itineraries are very concerned about the possible impact on…

ITB 2003 – Cruise lines that rely heavily on US customers and Mediterranean itineraries are very concerned about the possible impact on bookings of potential conflict in the Middle East. US citizens have already been much more reluctant to fly out to meet their ships since 11 September 2001, and this is likely to increase in the event of war in Iraq.



Genoa-based Costa Cruises, with a US customer base of 15-20 per cent, is now marketing itself as a Europe-dependent operator and concentrating on areas less favoured by North American travellers, such as the Canary Islands. Immediately following the 11 September attacks, Costa switched one ship from the Caribbean to the Canaries.



However, Costa says 2003`s cruise season is off to a slower start than expected. Initial bookings are higher than last year, but they are slow given that the operator has a 20 per cent increase in capacity this year.



Festival Cruises Chairman, George Poulides, meanwhile, maintains southern European cruisers are used to war and may not be so easily dissuaded from sailing, even if military action is taken against Iraq. Up to today this has absolutely not affected bookings whatsoever, he says, adding that Festival will have two ships cruising the eastern Mediterranean this season.



Royal Olympia Cruises, despite its heavy focus on the eastern Mediterranean and 50 per cent US sales, also remains upbeat. According to Marketing Vice President, Gabriel Diakakis, the outlook is not all gloomy, with bookings up 15 per cent year on year. But he admitted: Everyone is hedging their bets that many customers are choosing flexible packages so that they can switch destinations in the event of a crisis.

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Theodore is the Co-Founder and Managing Editor of TravelDailyNews Media Network; his responsibilities include business development and planning for TravelDailyNews long-term opportunities.

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