You are on page 1of 5

Melbourne Cruise Ship Passenger Survey 2012-2013 cruise ship season

Tourism Victoria

This factsheet summarises the key findings from the 2012-13 survey, including a demographic profile, travel behaviour, and visitor expenditure. Also explored is visitor satisfaction with Melbourne and services provided.
Given the increasing popularity of cruising, Tourism Victoria and the Port of Melbourne Corporation funded a Melbourne cruise ship passenger survey for the 2012-13 season. This was the fourth passenger survey conducted, with the first survey conducted in 2006-07. The 2012-13 Victorian cruise ship season (November 2012 to April 2013) had 55 cruise ship visit days Melbourne1, ranging from a few hundred passengers to over 3,000 passengers.

AUSTRALIAS CRUISE SHIPPING INDUSTRY


Within Australia, cruising continues to be the fastest growing sector of the tourism industry. The International Cruise Council Australasia reported that in 2012 Australian cruise passenger numbers increased 11 per cent to reach a record 694,062 2 . This growth rate in 2012 was the equal highest (with Germany) in the developed cruise source markets. Australias share of the global cruise industry is now 3.4 per cent and is the only source market, along with North America, above 3 per cent. In September 2013 the AEC Group released the Economic

THE GLOBAL CRUISE SHIPPING INDUSTRY


The global cruise industry continues to grow strongly, and remains the fastest growing sector of the travel industry. The Caribbean remains the top-ranked cruise region with 34.4 per cent capacity. Over the past five years, capacity has increased in Asia (302%) and Australasia (155%). The Cruise Down Under Annual Report 2012-13 highlights: continued year-on-year passenger growth, to 20.3 million passengers on ships during 2012, with expected growth to 20.9 million people in 2013, with 17.9 million originating from North America; the Caribbean remains the top cruise destination, while growth areas include the Mediterranean, Alaska, South America, Asia and Australasia; in the past decade 167 new ships have come into commission and there are 20 newbuilds in the plans for the next four years, delivering over 60,000 new berths; and there is likely to be more refurbishments than rebuilds in the coming years.

Impact Assessment of the Cruise Shipping Industry in Australia, 2012-13. It states that the estimated total output of
the Australian cruise shipping industry in 2012-13 was $2.06 billion by international passengers and crew, including direct expenditure of $1.22 billion. When domestic passengers and crew are included the estimated total output is $2.88 billion, with direct expenditure of $1.71 billion. The report highlights the growing number of passengers and increase in expenditure by cruise ship passengers. The only decline that occurred during 2012-13 was the number of cruise ship visits to Australian ports, down 6 per cent to 692, due to a reduced number of visits to Western Australia, South Australia and regional Queensland. There was strong growth in the number of base ship visits, however this was exceeded by a decline in domestic and international transit visits. Specific increases over the previous year include the: number of visiting cruise ship visits: 42 to 43 (up 2%) passenger days at port: 1,463,013 to 1,814,478 (up 24%) crew days at port: 324,656 to 373,104 (up 15%)

Economic Impact Assessment of the Cruise Shipping Industry in Australia 2012-13, Excutive Summary, Cruise Down Under,
September 2013
2

Cruise Down Under Annual Report: 2012-13

Melbourne Cruise Ship Passenger Survey: 2012-2013 cruise ship season


MELBOURNES CRUISE SHIPPING INDUSTRY
The direct expenditure associated with the Cruise Shipping Industry for Melbourne in 2012-13 was $134.17 million3. During the 2012-13 cruise ship season the number of cruise ship visit days to Melbourne declined from the previous year, from 56 visits to 55 visits, by 22 ships. However the number of turnarounds 4 almost doubled from 8 in 2011-12 to 15 in 2012-13. The cruise ship capacity for passengers and crew to Melbourne notably increased from the 2011-12 season to the 2012-13 season; increasing from 94,229 to 119,765 for total passenger days at port (27%), and from 23,531 to 27,837 for total crew days at port (18%). Respondent Profile Unless specified, respondents refers to both passengers and crew. The profile of respondents is highlighted below.
100% 6 Crew 4 6 80+ 75 - 79
1 3 Other 5 4 Asia 5 Other Europe 7 6 New Zealand 7

WA SA VIC/TAS QLD

NT

2 1

No answer Not working

80%

44

Male

33

65 - 74

8 8

UK Canada

17

On 38 holidays

60%

94
40%

Passenger

20

60 - 64

28 USA

56 20%

Female

20 9

50 - 59

64

NSW/ ACT

58

Retired

35 - 49
15 - 34

38 Australia

0% Respondent Type (n=888) Gender (n=870)

9 Age (n=888)

Country of Residence (n=888)

State or Territory (n=337)

Work Status (n=838)

Overall, the majority of survey respondents were female (56%). Passengers were more likely to be aged 60 or older (66%), whilst crew members were more likely to be younger than 35 (90%). The majority of passengers were travelling as part of an adult couple (65%). Over one third of passengers were from Australia (40%), followed by 29 per cent from the USA, 8 per cent from both Canada and the UK. Crew members were predominantly from Asia (44%) followed by 18 per cent from Eurpean countries (excluding the UK). Forty-seven per cent of fully independent passengers were Australian and 22 per cent were from the USA. In comparison, 50 per cent of group passengers were born in the USA and 19 per cent in Australia. The proportion of domestic vs. international passengers in 2012-13 has changed since 2011-12, with more domestic passengers (40%, up from 32%). This shift in nationality in 2012-13 may be associated with the sampling as more ships surveyed during the season were based domestically (52%), compared to 2011-12 (33%). Amongst the passengers, 58 per cent were retired, 38 per cent were on holidays from work and 2 per cent were not currently working. In 2012-13, 46 per cent of passengers had undertaken between 1-5 cruises previously, on average passengers had taken 7.3 cruises, declining from the 2011-12 average of 8.6 cruises. While crew members had been on more cruises than passengers (average of 14 previous cruises), their average number has declined compared to 2011-12 (an average of 16).

MELBOURNE CRUISE SHIP PASSENGER SURVEY 20122013


Interviews were conducted with randomly selected passengers and crew from 21 ships from December 2012 to April 2013 at the cruise terminal, Station Pier, Port Melbourne. A total of 888 interviews were completed: 838 with passengers (627 surverys with passengers who experienced Melbourne/Victoria as fully independent travellers and 211 with those who undertook an organised tour 5 ) and 50 with crew.

Economic Impact Assessment of the Cruise Shipping Industry in Australia, 2012-13


4

Turnarounds are defined as vessels that complete and begin a new voyage in Melbourne.
5

Fully independent travellers have been defined as those who did not take part in an organised tour whilst organised tour passengers are those who participated in either an all-day or a part-day organised tour. Of note, if a respondent took part in an organised tour in addition to undertaking activities independently, the respondent has been classified as an organised tour passenger for the purposes of this survey.

Melbourne Cruise Ship Passenger Survey: 2012-2013 cruise ship season


Factors prompting passengers to take a cruise The most common reason for passengers taking a cruise was because it included Australia as a destination, which included always wanting to visit Australia (26%) and never visited Australia before (17%). Other reasons included that they enjoy Australia/wanted to explore it more (13%) or believed Australia to be an interesting destination (12%). Compared with all passengers, a greater proportion of organised tour passengers mentioned wanting to visit Australia (35%) and never visiting before (26%). There were more respondents in 2012-13 who indicated the itinerary of the cruise ship (total mentions) (39%), as an influencing factor for undertaking a cruise, compared to 201112 (13%). Respondent profile of cruise passengers compared to the overnight leisure visitors to Melbourne The respondent profile of international and domestic cruise ship passengers was compared to the profile of total overnight leisure visitors6. In terms of visitor travel parties, international cruise passengers were more likely to be travelling as part of an adult couple (69%) whereas total international overnight leisure visitors7 to Melbourne were more likely to be travelling alone (49%). When compared to the total domestic overnight leisure visitors to Melbourne 8 , domestic cruise passengers were more likely to travel in an adult couple (59% compared to 34%) and less likely to travel on their own (3% compared to 24%). International cruise passengers were mainly from the USA (45%), Canada (13%) and the UK (12%), while for international overnight leisure visitors to Melbourne9 the core international leisure markets as China (16%), NZ (14%) and the UK (12%). The cruise ship survey had much lower representation of visitors from other countries (12%) compared to the IVS (44%).
Response Total Cruise Pax 2012/13 45.0% 12.5% 12.2% 10.3% 1.6% 1.1% 17.2% 100.0% International Overnight Leisure Visitors 2012 6.6% 2.2% 11.0% 13.6% 3.6% 16.5% 46.5% 100.0%

Visitor Expenditure International passengers spent more per person ($109) than Australian passengers ($75) during their visit to Melbourne. Compared to the 2012 IVS, international overnight visitors 10 spent an average of $115 per night in Melbourne, which we note would also have included their accommodation, if applicable, while domestic cruise ship passengers spent less than total domestic overnight visitors (an average of $76 per night).
Response International Visitors Total Cruise International Pax 2012/13 Overnight Leisure Visitors 2012 $1,699 20,051 $115 $85 $76 Domestic Visitors Total Cruise National Pax 2012/13 Overnight Leisure Visitors 2012 $2,472 14,258 $173

Overnight visitor expenditure 2012 (Leisure visitors) $ million Total visitor nights in Melbourne 2012 (Leisure Visitors) (000s) Average expenditure per person per night

The methodology for the expenditure was calculated by combining the expenditure in Victoria by holiday and VFR (referenced as Leisure visitors) and then dividing by total expenditure in Victoria to obtain a proportion of expenditure by leisure visitors. The percentage was then used to calculate the expenditure in Melbourne assuming the same proportion as the Victorian average. The same principle was used to estimate domestic and international expenditure.

Compared to 2011-12 cruise passenger expenditure, average expenditure for international visitors has declined marginally by $1 per night, while average expenditure for domestic visitors has declined by $63 per night. Average expenditure per person Overall, the average expenditure per person across all items was $472 per night. The average expenditure per passenger was $496 and $76 for crew. This was a noticeable increase from 2011-12 due to a change in the calculation11. If expenditure on accommodation, airfare to/from Melbourne and packaged deal categories were removed, the average expenditure in 2012-13 declined to $98 from $121 in 201112. Compared with 2011-2012, fully independent travellers spent less on food and drinks ($19.73 vs. $32.16 in 2011-12) and on entertainment and gambling ($3.86 vs. $6.32 in 2011-12). Organised tour passengers spent notably less on organised tours ($95.11 vs. $166.30 in 2011-12), on shopping ($11.70 vs. $30.20 in 2011-12) and on food and drinks ($9.53 vs. $13.41 in 2011-12). The overall decline in expenditure may be attributable to a higher proportion of domestically-residing respondents surveyed in 2012-13. Whilst domestic respondents spent an average of $74.55 per person, international respondents reported an average expenditure of $109.15 per person.
10 11

USA Canada United Kingdom New Zealand Germany China Other Countries Total
6 7

Leisure definition is the main purpose at stopover is Holiday or VFR Source: International Visitor Survey, Tourism Research Australia, year ending December 2012 8 Source: National Visitor Survey, Tourism Research Australia, year ending December 2012 9 Source: International Visitor Survey, Tourism Research Australia, year ending December 2012

Holiday and VFR, as well as business, education and other Accommodation, airfare to/from Melbourne and packaged deals were added into the calculation of average expenditure per person in this survey.

Melbourne Cruise Ship Passenger Survey: 2012-2013 cruise ship season


The following charts show the proportion of average expenditure that was spent on each category. The greatest proportion of expenditure was made up of shopping, organised tours and takeaway and restaurant meals. Please note these charts exclude packaged deal, airfare to and from Melbourne and accommodation in Melbourne as these are only applicable to passengers. Consistent with 2011-12, the most popular source of finding information about Melbourne was from the cruise company on board the ship (42%). The internet (34%) was also used, followed by a previous visit (16%), family friends and/or business collegues (14%) or the visitor information desk at Station Pier (11%).

Total Respondents

Shopping

Organised tours
$8.40 $4.66 $1.57 $6.70 $3.14 $1.14 $13.46 $24.44 $34.69 Takeaway and restaurant meals

Groceries for self catering


Alcohol and drinks Taxis Other local transport costs Entertainment and Gambling Other

Average Total Expenditure = $98.21

Passengers
$3.76
$6.92 $1.64 $3.05 $1.09 $13.02 $25.90 $0.49 $0.82

Crew
Their Melbourne experience In 2012-13, 47 per cent of respondents passengers had made no firm plans prior to arrival in Melbourne, higher for independent travellers (59%) compared to tour passengers (14%). Crew members were more likely to have made plans for places to eat and drink (16%) compared with passengers (3%). The most popular activities that respondents did in Melbourne were organised tours (61%), shopping and markets (59%), dining out (30%), visiting city attractions (22%), going for walks (20%), or visiting historical landmarks (14%). Compared to 2011-12, respondents were more likely to have taken a city tour (24%, up from 16%), dine out (30% compared to 16%), walk around parks or gardens (19% compared to 13%), visit the markets (13% compared to 9%) or visit art galleries or museums (9% compared to 6%). In terms of specific places visited around Melbourne, just over half of respondents had visited the CBD area (51%), followed by 27 per cent who visited Federation Square, 18 per cent visited parks and gardens, 17 per cent visited Bourke Street Mall, 16 per cent visited Queen Victoria Market and 13 per cent visited the St Kilda precinct. Compared to 2011-12, respondents were more likely to have visited: a shopping precinct/market/outlet (58%, up from 49%), Cooks Cottage (7%, up from 2%) and Shrine of Remembrance/War Memorial (6%, up from 3%).

$8.85
$19.70 $24.10

$35.32

$3.01 $4.64
$20.92

$1.98

Average Passenger Expenditure = $99.56

Average Crew Expenditure = $75.66

Other passenger expenditure information collected included packaged deals (averaging $365.33 per person). Previous visits to Melbourne Respondents in 2012-13 (particularly passengers) were less likely to have visited Melbourne before (50%) compared to 2011-12 (59%). Three-quarters (75%) of organised tour passengers in 201213 were first-time visitors to Melbourne compared with 41 per cent of fully independent travellers. Fifty-eight per cent of crew members had previously visited Melbourne. Information needs prior to or upon arrival in Melbourne Before arriving in Melbourne, the most common types of information that respondents sought were for attractions/things to see and do (43%), public transport (26%), places to go shopping (25%) and tours/day trips (22%).

Melbourne Cruise Ship Passenger Survey: 2012-2013 cruise ship season


Passengers were less likely to have visited: The immediate area around the terminal (10%, down from 49%) and Southbank/Southgate precincts (7%, down from 16%). The most popular places visited outside of Melbourne on a daytrip were the Dandenongs/Puffing Billy (31%), Serendip Sanctuary/You Yangs (to see wildlife) 17 per cent and the Yarra Valley/Healesville (13%). Satisfaction with the Melbourne/Victorian experience Satisfaction with the overall Melbourne experience by respondents was high (96%). Detailed satisfaction results were as follows: 96 per cent with the variety of things to see and do 95 per cent with information services in Melbourne 93 per cent with food and beverages in Melbourne 92 per cent with Melbournes attractions 92 per cent with the tours they had experienced in Melbourne 91 per cent with shopping in Melbourne 91 per cent with the public transport, and 61 per cent were likely to return to Melbourne, with 39 per cent very likely and 23 per cent somewhat likely to return. Of those who were likely to return to Melbourne, 39 per cent said they would return within the next year, while 24 per cent said within one to two years and 36 per cent after two years. Compared to 2011-12, more respondents in 2012-13 indicated they would return to Melbourne within one years time (39% compared to 32% in 2011-12). This may be due to a higher proportion of domestic passengers surveyed in 201213. Visitor information desk at Station Pier and cruise terminals Passengers were shown a photo and asked if they had used the visitor information desk located at the cruise terminal. More passengers had visited the visitor information desk (41% compared to 31% in 2011-12). Over half (52%) of the independent travellers had visited the visitor information desk, while only 9 per cent of organised tour passengers had visited the desk. Of those who used the service (41% in 2012-13), 95 per cent of passengers were satisfied with the customer service and 93 per cent were satisfied with the information they received. 31 per cent of passengers who visited the visitor information desk indicated that the information desk encouraged them to do more in Melbourne. In 2012-13, 89 per cent of respondents said that they were either very or somewhat satisfied with the presentation of the
Sources:

Cruise Terminal (in line with 2011-12). Only 2 per cent of passengers were dissatisfied with the presentation of the Cruise Terminal. Passengers were equally satisfied with the customer service provided at the Cruise Terminal in 2012-13 (94%) compared to 2011-12 (94%).

Melbourne Cruise Ship Passenger Survey 2012-13; conducted by


AEC Group Limited September 2013

Economic Impact Assessment of the Cruise Shipping Industry in Australia 2012-13, Excutive Summary, Cruise Down Under, Cruise Down Under Annual Report: 2012-13 International Visitor Survey, Tourism Research Australia, year

ending December 2012 National Visitor Survey, Tourism Research Australia, year ending December 2012 Note: Percentgaes may not add to 100% due to rounding.

Factsheet prepared by the Research team at Tourism Victoria, September 2013