CRUISE: SUPPLIER ROUNDUP


Supply chain focus can unlock cruise potential, say suppliers


An estimated 27.2m passengers are forecast to take to the seas in 2018, according to Cruise Lines International Association. A selection of cruise suppliers tell Jessica Mason about the channel’s healthy returns, but warn that more can be done to alleviate logistical bottlenecks in getting their brands exposure on the high seas.


T


ravel retail’s cruise ship segment offers a unique set of circumstances for suppliers


seeking to increase their brand presence across markets, including in the Americas. Lindt & Sprüngli, for example,


is evolving its offering within the channel and is forecasting strong gains for this year. “With new listings on more ships,


we anticipate a growth of +10% to 15% throughout 2018,” Peter Zehnder, Head of Global Duty Free, Lindt & Sprüngli tells TRBusiness. Lindt & Sprüngli already boasts a


presence on the US cruise liner scene with Princess Cruises and Harding Retail. As Zehnder explains, the Swiss confectioner has also started “developing this business with Starboard and Carnival through its US partners”. Richard Bush, Regional Marketing


Manager – Americas, William Grant & Sons, reveals US cruises as an area for the drink company’s growth within the next one to two years. William Grant & Sons also works


“with most of the major cruise lines and many of the smaller ones via ship


MARCH 2018


chandler partners”, Bush confirms. Other suppliers with a mixed


product portfolio, such as Blue Storks, has just launched with MSC Cruises Mein Schiff, Tui Cruises and Harding Retail, according to Managing Partner and Head of Retail Frederik Westelinck. He explains that the opportunity


to be present in such a broad range of markets coupled with the chance to raise consumer brand awareness are factors that make a presence in cruises truly appealing. There is also another attractive


lure for suppliers within the sector – passengers are not time poor travellers, but people who are relaxing as they travel. With this in mind, there is every incentive to appeal to people looking at unwinding and treating themselves by shopping for desirable goods. Comparing the consumer to


those shopping in airports, Zehnder reminds that “the pax profile is exclusively leisure-based and is different in terms of dwell time”. Westelinck agrees, noting that


more often than not, the target passengers onboard are families


who are on holiday or – dependent on the cruise liner itself – are business travellers. He highlights that a good proportion of the demographic will include “people earning more than US$100,000 each year”. As such, the products need to


appeal accordingly to people with that range of disposable income in mind.


Display versatility Picking up on Zehnder’s point regarding dwell time, this increases when cruising compared to the time that a traveller may squeeze in at airport retail precincts before their flight departs.


“There is a huge opportunity for things that are eye- catching and for niche brands that are not available in many local markets.”


Frederik Westelinck,


Managing Partner & Head of Retail, Blue Storks


Above: Cruise Lines International Association forecasts that 27.2m passengers will cruise this year.


TRBUSINESS 77


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