TMR Outlook on The Caribbean - A Survey of Travel Advisors - Travel Market Report
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TMR Outlook on The Caribbean A Survey of Travel Advisors 2018-2019
HARVEST CAYE
WHERE SEEING IS BELIZE-ING.
Harvest Caye is The Caribbean’s premier resort-style destination in Belize offering your clients a day
filled with high-flying exhilaration and a variety of tropical experiences. Only Norwegian offers this
exciting port of call from Miami, New Orleans, New York, Port Canaveral and Tampa.
HARVEST CAYE HIGHLIGHTS:
• Expansive 15,000-square-foot pool featuring a swim-up bar
• The Flighthouse – A 136-foot tall world of fun featuring 3,000 feet of zip lines,
suspension bridges, free fall jumps and a ropes course
• A seven-acre pristine beach with 11 private villas equipped with air condition,
private restroom, indoor/outdoor shower, hammocks and more
• Four à la carte dining and bar venues including LandShark Bar & Grill
by Margaritaville®
• Wildlife conservation exhibits including a Butterfly Garden, Aviary and
Educational Center
©2018 NCL Corporation Ships’ Registry: BAHAMAS and USA 38101 9/18
Flighthouse Zipline Luxury Beach Villa Paddle Boarding
letter from the publisher
Dear Reader,
With over 30 million annual visitors and over 30 countries and territories,
the Caribbean including Mexico’s Caribbean, the Bahamas and Bermuda
remains a key market for U.S. and Canadian travel agents, who are selling
TMR Outlook on THE CARIBBEAN
a wide variety of products, segments and niches.
While its principal draw is primarily sun and fun, in this report Travel Market
Report uncovers what destinations and types of travel are most popular
with your clients and which segments, products, and places hold the
most potential both by land and sea. And of course, we wanted to see
what’s standing in the way of growth – and as we expected, the insights
directly from the agents on the front line are worth their weight in gold. It’s
something agent readers will find particularly helpful as you develop your
marketing plans for the Caribbean, while suppliers will find this report a
literal treasure trove of opportunities to boost visitors and revenues.
As you might have guessed, we also wanted to find out what impact the
3
hurricanes of 2017 had on your business and how the aftermath will impact
the coming winter season. This report includes both total responses and
responses relevant specifically to agents who have a mainly Canadian
customer basis. However, instead of two separate surveys, we’ve chosen
to spotlight and highlight the Canadian results where they diverge in a
meaningful way from the overall responses.
One major finding that hotels and tourist boards will want to keep in mind
is 73% of travel agents told us they mainly book land vacations to the
Caribbean through tour operators. These numbers tell us the role of the
travel agent in selling the Caribbean is critical, and hotels and destination
promotion boards might want to consider paying more attention to them.
It’s clear agency business is coming through the tour operator chain and
there is presently no easy way to identify top-producing agents except
anecdotally or via consortia reports.
Lastly, we wanted to see what both suppliers and tourist boards can do to
help agents sell more.
Sincerely,
Anne Marie Moebes
EVP and Publisher
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table of contents
TMR Outlook on THE CARIBBEAN
Chart 1 Who answered our survey? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7
5
Chart 2 Where are you clients located? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8
Chart 3 Is there a Caribbean Specialist in your agency? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9
Chart 4 What types of products are agents selling the most? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10
Chart 5 Which niches and segments are agents selling? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11
Chart 6 Which products have the most growth potential? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12
Advertorial: Regent Seven Seas Cruises . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13
Advertorial: Norwegian Cruise Line . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14-15
Advertorial: Oceania Cruises . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16
Chart 7 Which segments and niches have the most growth potential? . . . . . . . . . . . . . . . . . . . . . . . . . 17
Chart 8 Which destinations do you sell most frequently? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18-19
Chart 9 How do you book land-based vacations to the Caribbean region? . . . . . . . . . . . . . . . . . . . . . . . 20
Chart 10 How were your clients’ Caribbean vacations impacted by last year’s hurricanes? . . . . . . . . . . . 21
Chart 11 What’s stopping agents from selling the Caribbean effectively? . . . . . . . . . . . . . . . . . . . . . . . . 22
Chart 12 What are you biggest concerns about selling the Caribbean for the 2018-2019 peak season? . . . 24
Chart 13 How can suppliers and tourist boards help agents sell more of the Caribbean? . . . . . . . . . . . . 25
Executive Summary . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 27
INTRODUCTION
Over 850 full-time and highly-productive travel agent) is located, recognition that today an agent’s
agents responded when Travel Market Report location is not as relevant because clients are no
TMR outlook on the caribbean
asked its readers to talk Caribbean, from how longer just in a small regional footprint. Today’s
the hurricanes impacted travel last year to clients are coming through referrals and social
how they view the upcoming winter season, media marketing, meaning they stem from across
what’s hot, what’s not, and where there are big the country or even outside the United States.
growth opportunities. Travel Market Report’s
Outlook on the Caribbean provides suppliers, While cruise line executives and those from
destination promoters, and retail agents with a land-based suppliers may debate how the two
road map on where to focus. segments work together, TMR’s Caribbean
Outlook underscores from the travel agent’s
We think the first and perhaps biggest takeaway seat that both are critical in selling the region.
is nearly 80% of travel agents responding said Core product segments such as cruises, family
they or somebody in their office specializes in vacations and family and friends groups, adults-
6
some aspect of selling the Caribbean, and even only resorts, all-inclusive resorts, romantic
agents who didn’t formally specialize told us vacations, and destination weddings are not
they still sell the Caribbean region as a popular only key revenue producers, agents also see
destination. As a note, for this survey we refer to those areas as providing the most future growth
the Caribbean to include Mexico’s Eastern shore opportunities.
resorts, the Northern South American region and
The Bahamas and Bermuda. Although it’s not unusual to see marketers trying
to promote segments such as festivals and
The investment agents have made in learning carnivals, yacht vacations, and off-the-beaten
about the ins and outs of the region provide track destinations, agents see the biggest
Caribbean marketers the opportunity to leverage opportunity in the areas they are currently having
that knowledge, which is multiplied by the success with. A number of agents told us there
advisors’ reach to current clients and new clients are only so many places you can focus, so they
they gain via referrals. want to focus on what works and what they
know their clients want to buy.
In this report, we are providing the overall results
and a segment representing those agents who Perhaps the best news is that agents are
told us their clients are predominantly in Canada. reasonably bullish on the upcoming high season
You might note that we asked agents where with worries of hurricanes mainly in the rear
their clients are based instead of where they (the view mirror.
Who answered our survey?
Over 850 full-time travel agents responded to the
survey. The only incentive was a lottery for two $250
gift cards and the survey remained open for seven
days. Agents who said they did not sell vacation
travel to the Caribbean region in the previous year
(only 4%) were exited from the survey, meaning
the answers you are seeing reflect agents who are
Caribbean sellers — 96% of those who responded.
The survey was sent to travel agent readers
of Travel Market Report’s daily e-newsletter. The
respondent profile was full-time travel agents who
average over $1.5 million in leisure sales annually,
“high producers,” meaning their answers will hold
TMR Outlook on THE CARIBBEAN
weight with both suppliers and tourist boards.
We asked respondents to tell us what their
job functions are, and we allowed managers and
owners to specify if they also considered themselves
advisors, so while 65% of respondents described
their position as either owner or manager, 70% also
chose agent/advisor/counselor, meaning answers
exceeded 100%.
The survey represents the largest sampling
of travel agent opinions regarding travel to the
Caribbean we are aware of.
7
Which best describes your position? If you hold multiple positions, please check all that apply.
Owner 41%
Manager 24%
Agent/Advisor/Counselor 70%
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
CHART 1 | 7
Where are your clients located?
Thanks to Steve Jobs, Bill Gates, Mark Zuckerberg, Moreover, we wanted to see if there were any
the folks who invented Instagram and whoever gets significant differences in how agents with Western-based
credit for inventing email, today’s travel agents find their clients answered our questions as well as variances
customer books aren’t from just their local footprints between those agents who mainly serve Canadian
but often halfway across the country or even across the consumers versus Americans. You can probably guess
border. Retail agents’ principal source of new customers that the popularity of Cuba was one of the variances.
is referrals, so while one customer may be down the Agents who said their clients were located in the
block, his aunt who he referred to you is 1,000 miles away. Eastern U.S. represented 51% of respondents. Agents
Agents today are often on the road scouting new hotels who told us their clients were predominantly Canadians
and experiences to recommend to their clients, so the represented 25% of answers. Still, the U.S. Midwest, West,
image of an agent sitting in a poster-filled office tapping and Western Canada were well represented with 60% of
on a keyboard and staring into a green blinking screen is respondents, meaning the sample provides a very broad
so last century. snapshot of how the Caribbean is viewed by consumers
For these reasons, instead of asking respondents where across North America.
they are based, we asked agents where their clients are Overall, 67% of agents said they had clients located
“predominantly” located, again allowing agents to select in the Eastern U.S. or Eastern Canada while 32% said
from multiple areas: they sell travel for clients who live in the Western U.S. or
• Eastern United States • Eastern Canada Western Canada.
• Midwestern United States • Western Canada
• Western United States
Where are your clients located predominantly? If you are the owner/manager, please answer on
behalf of the entire agency. (Please check all that apply)
Eastern United States 51%
Midwestern United States 29%
Western United States 23%
Eastern Canada 16%
Western Canada 9%
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
8 | CHART 2
Is there a Caribbean Specialist in your agency?
Overall 96% of agents who responded to our
survey said they had sold travel to the Caribbean in
the previous 12 months.
One thing our survey revealed is if Caribbean
suppliers and promoters have any disappointment
with sales, it is not for lack of focus by travel agents.
Nearly 80% of respondents said somebody in their
office or themselves specializes in selling all or parts
of the Caribbean. The separation between the overall
sample and Canadian-focused agents was narrow at
79%-76%.
What this means is that agents from both Canada
TMR Outlook on THE CARIBBEAN
and the United States have made a commitment
to the Caribbean region through various training
programs to become experts in selling the region.
Even agents who said they don’t specialize in the
region per se told us they still sell the Caribbean
regularly. Later on we discuss what agents think
suppliers can do that will help them sell even more
travel, but suppliers should take note that through
retail travel advisors they have a large sales force of
sellers who have already made a commitment to the
region and who have reach across North America.
9
Does anyone in your office, including yourself, specialize in selling any or all of the following: the
Caribbean, the Bahamas, the Mexican Caribbean and/or Bermuda?
Yes 79%
No 14%
Not Sure 7%
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
CHART 3 | 9
What types of products are agents selling the most?
Cruises, adults-only resorts and luxury all-inclusive resorts are the “go-to” products for agents when it
comes to the Caribbean. While 72% of advisors say they regularly sell cruises, that jumps to 93% when we
combine regularly and sometimes. While 66% of agents say they regularly sell adults-only resorts, combining
that with sometimes brings that total to 95%, with luxury all-inclusives not far behind at 58%/ 86%.
Non-luxury all-inclusives (78%), non-all-inclusive luxury resorts (75%) and non all-inclusive, non-luxury
resorts (73%) are also frequently on the shelves of the travel agents who we surveyed.
Two products agents don’t book as frequently are villa and yacht rentals, although as you will see later on
agents believe the villa segment has growth opportunities.
How frequently do you sell the following vacation travel products to the Caribbean, the
Bahamas, the Mexican Caribbean and/or Bermuda? Please choose an answer for each variation
type based on the frequency of sales. If you are an owner/manager, please answer for your
entire agency.
All Responses Regularly Sometimes Rarely Never
Cruise Ship 72% 21% 5% 2%
Adults-Only Resorts 66% 29% 4% 1%
Luxury All-Inclusive Resorts 58% 28% 9% 4%
Non-Luxury All-Inclusive Resorts 44% 34% 15% 6%
Luxury Hotels and Resorts (not all-inclusive) 37% 38% 20% 5%
Hotels and Resorts
33% 40% 22% 5%
(not all-inclusive, 4 stars or less)
Villa Rentals 10% 30% 41% 19%
Sailboat or Motor Yacht 3% 10% 41% 46%
10 | CHART 4Which niches and segments are travel agents
selling the most?
Family vacations — with the immediate family (93%
regularly/sometimes), romantic vacations (90%),
friend/extended family groups (86%) and honeymoon
(82%) are the top segments that agents match to
various Caribbean travel products, saying they book
them regularly or sometimes. Sixty-five percent of
agents say they are booking soft adventure travel to
the Caribbean while 53% are arranging destination
weddings regularly or sometimes. On that basis, 41%
of agents book clients for Caribbean wellness or spa
travel with 39% pointing to Cuba.
While there is often a lot of marketing focus on festivals
and LGBT, most agents say they rarely or never book
TMR Outlook on THE CARIBBEAN
those types of trips to the Caribbean.
How frequently do you sell the following segments of vacation travel to the Caribbean, the
Bahamas, the Mexican Caribbean and/or Bermuda? Please choose an answer for each variation
type based on the frequency of sales. If you are an owner/manager, please answer for your
entire agency.
11
All Responses Regularly Sometimes Rarely Never
Family Vacations with immediate/nuclear family only 67% 26% 6% 1%
Romantic Vacations 56% 34% 9% 1%
Honeymoons 49% 33% 14% 5%
Multi-generational family and Friends/groups 44% 42% 12% 1%
Other 29% 26% 20% 26%
Soft Adventure (snorkel, scuba, hiking) 23% 42% 28% 7%
Destination Weddings 23% 30% 29% 18%
Cuba 17% 22% 27% 34%
Wellness/Spa Vacations 11% 30% 38% 21%
Gaming/Casino 9% 28% 33% 30%
LGBT 5% 21% 38% 35%
Festivals and Carnivals 4% 14% 46% 36%
CHART 5 | 11Which products have the most
growth potential?
With the exception of selling yacht charters, agents are bullish on a wide variety of products where they believe
there is lots of growth potential. For example, while 72% of agents regularly sell cruises to the Caribbean, 57%
say cruises have lots of growth potential. Adults-only resorts (54%) and luxury all-inclusives (53%) also have the
potential for more growth as do luxury hotels and resorts (38%), non-luxury all-inclusives (37%) and even villa
rentals (32%), a segment many agents aren’t particularly active in.
Which product types to the Caribbean do you see the biggest opportunities for growth?
Please provide an answer for each category.
None or Limited
Lots of Growth Potential Some Growth Potential
Growth Potential
Cruise Ship 57% 32% 10%
Adults-Only Resorts 54% 39% 7%
Luxury All-Inclusive Resorts 53% 39% 9%
Luxury Hotels and Resorts 38% 49% 13%
Non-Luxury All-Inclusive Resorts 37% 47% 15%
Villa Rentals 32% 48% 20%
Non All-Inclusive Hotels and Resorts 29% 50% 21%
Sailboat or Motor Yacht 16% 42% 42%
12 | CHART 6Beyond
Expectation
TMR Outlook on THE CARIBBEAN
total refurbishment, Seven Seas Voyager ® Stirrup Cay, feeling the warm Bahamian
This Is Not boasts a refreshed elegant style in her
restaurants and lounges, as well as
sun on their skin, or snorkeling in crystal-
clear waters teaming with tropical fish,
Your Ordinary luxurious new décor across her 350 suites
— each with spacious balconies. Among
your clients will be free to enjoy the
best life has to offer. Encourage them to
Caribbean Cruise her four exquisite dining options is the new
modern French restaurant Chartreuse.
explore at their own pace, appreciating
and enjoying every idyllic shore — with
the ease of only having to unpack once.
While other cruise ships arrive to the Exquisite Cuisine This is cruising as it was meant to
most frequented Caribbean ports with Every specialty restaurant on board be — a sumptuous and very personal
thousands of travelers, the all-suite ships Seven Seas Voyager ® requires nothing experience where every wish, every
of Regent Seven Seas Cruises® offer a more than a reservation. This enhances whim and every want are met with
13
refreshing alternative: a perfectly intimate your client’s unique onboard ambiance, gratifying luxuries, satisfying comfort
sailing to off-the-beaten-path locations as each guest can choose to join new and the romance of traveling to the
with only a few hundred guests, never a friends for dinner and without concern world’s most exotic destinations.
line or a wait, and a crew that is dedicated about dividing the check at the end
to delivering highly-personalized service. of a meal. Your client may also take Beyond the Caribbean
advantage of 24-hour Room Service Regent Seven Seas Cruises® offers an
This is the world’s most inclusive and not be penalized with a service intimate and luxurious all-suite fleet
luxury experience, where your client’s fee. Everything from fine wines and hosting between 490 and 750 pampered
cruise fare covers virtually everything, expertly-made cocktails to desserts and guests, which allows each vessel access
from all-suite accommodations, round- exquisite dishes is included. to more unique and fascinating ports that
trip air, unlimited shore excursions, larger vessels simply cannot visit. Delight
complimentary WiFi, highly personalized Explore the Shores your clients with voyage itineraries that
service, acclaimed cuisine, fine wines The best way to experience the beauty visit the world’s most extraordinary
and spirits, gratuities, and much more. of the region is to embark on as many destinations — Asia, Australia, Alaska,
On your client’s voyage, every detail is shoreside experiences as time and your Europe and South America — that spoil
taken care of so that your client gets the client’s penchant for adventure allow. them with a wealth of alluring vistas and
most out of their vacation with greater From Tortola, your clients can cruise over memorable experiences across more
connection, enjoyment and enrichment. to White Bay on nearby Jost Van Dyke, than 450 destinations worldwide.
where their adventure in paradise begins
All-Suite, All-Balcony in earnest, as its remote location requires They really can have it all
The ultimate way to experience the very them to plunge into the crystal-clear Wherever your client chooses to sail
best of the Caribbean is aboard the all- waters to walk the sugar-white shores. aboard Regent Seven Seas Cruises®, they
suite, all-balcony Seven Seas Voyager ®. And even if they prefer to spend their will be sure to enjoy the world’s most
She is exceedingly luxurious, spaciously days with a more relaxed approach, they inclusive luxury experience. Each voyage
intimate and the perfect way to explore will find complimentary shore excursions promises an unforgettable journey to
this stunning region, as she is just the exist to match everyone’s taste. Whether the world’s greatest destinations, where
right size to reach those lesser-traveled walking along the powdery, white sand everything is included, without exception
shores. Fresh from her complete and beaches of the private island of Great and without compromise.When the
TMR outlook on the caribbean
Caribbean Calls
Travel Agents Respond With Cruise Bookings
As winter approaches, the warm waters, sandy beaches, and breathtaking landscapes of the Caribbean
can’t help but beckon. If you close your eyes, you can almost hear the waves as they gently lap against
the shore and see the sun glisten off the water in the distance.
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There is no place quite like the • Norwegian currently has 143 surrounded it, Norwegian Bliss has
Caribbean, which is why it was no itineraries that include calling to ports certainly sailed into the hearts of
surprise that when travel agents were in the Caribbean, 119 of which are consumers and agents alike. As the
surveyed for this Outlook and asked solely focused on Caribbean sailings newest addition to its fleet, and we might
what destinations and experiences now through its 2020 season. add, the most successfully launched ship
they sell most frequently to the region, in the company’s history, Norwegian
“ever-so-easy” cruises topped the list. • The line offers cruises to 32 Bliss will be sailing seven-day Caribbean
An impressive 72% of respondents destinations in the region from itineraries from Miami beginning
said they “regularly” sell cruises to Miami, Orlando (Port Canaveral), November 2018 for her winter season
the Caribbean, a strong testament Tampa, New Orleans, New York, with calls to the Bahamas as well as both
that cruising is a “go-to” product for Boston, and San Juan, Puerto Rico. the U.S. and British Virgin Islands.
travel advisors. Highlights of Norwegian Bliss include
And while options abound for your Norwegian’s allegiance to the Caribbean a two-story Horizon Lounge, exclusive
clients in terms of land-based vacations is steadfast and growing. As one of the to guests in The Haven, a private
here, when it comes to sailing the cruise line’s most popular destinations, ship-within-a-ship concept featuring a
Caribbean, it’s clear one cruise line the company has committed 13 of its dedicated restaurant, pool, sun deck,
continues to surpass its competitors award-winning ships of its soon-to-be concierge and other dedicated perks. The
with ships, ports, and destinations in 17-ship fleet to the region from now 180-degree indoor Observation Lounge
the region. through 2020. offers 20,000-square-feet of intimate
For that reason and many others, lounge space, offering expansive ocean
the World Travel Awards has named Norwegian’s Latest & Greatest and Caribbean views.
Norwegian Cruise Line as the Among the Caribbean fleet is Complete with the longest go-kart
“Caribbean’s Leading Cruise Line” for Norwegian’s two largest and newest track at sea and the only open-air laser
the past five consecutive years for its ships in the region – Norwegian Bliss and tag arena in North America, Norwegian
excellence in cruising. Consider some Norwegian Encore, the latter of which Bliss is a virtual magnet for families
of the highlights that support this will be launched in November of 2019. seeking fun-filled memories and
prestigious recognition: With all the media buzz that has adventure. And with new restaurantCanaveral to Key West and Havana (the first and only ship that
sails from this port to Cuba). Both ships are scheduled to return
to cruising to Cuba in spring of 2019 and your clients will be
happy to learn that all itineraries that include an overnight in
Havana are all-inclusive (that means free open bar!).
Before other cruise lines followed suit, Norwegian was the
first to purchase its own private island in 1977. The 250-acre
island of Great Stirrup Cay is a destination in its own right and
for years has been one of the leading itineraries for Caribbean
cruisers, inspiring the entire cruise industry to invest in private
resort-style experiences in locations all over the world. Today,
Norwegian has invested $25 million to preserve and enhance
the island and is currently renovating and developing new areas,
buildings and excursions to further enrich the guest experience.
concepts like Texas-style barbecue and the Tony-Award®- Some of the key attractions that are entertaining guests on
winning show, Jersey Boys, Norwegian Bliss is sure to the island include: snorkeling in the “Underwater Sculpture
redefine the idea of Caribbean cruising. Garden,” parasailing, kayaking, paddle boarding, guided jet
Norwegian Encore, which will be entering the fleet later ski tours, and last but certainly not least, Stingray City, a one-
TMR Outlook on THE CARIBBEAN
in 2019, will homeport in Miami and sail weekly seven-day of-a-kind experience where guests can feed, pet, and play
cruises to the U.S. and British Virgin Islands, as well as San with stingrays.
Juan, Puerto Rico for its inaugural season. The ship is the last Building on the success of Great Stirrup Cay, Norwegian
of the Breakaway Plus-class ships and is a sister ship to both opened its second resort-style experience, Harvest Caye, in
Norwegian Bliss and Norwegian Joy. Southern Belize in November 2016. Just 60 miles south of
Belize City, the destination is another premier Caribbean island
Raising the bar destination and was even voted “Best New Cruise Port” in
The past year-and-a-half has been busy for Norwegian, as 2017 by Porthole Magazine.
the company put five of its ships through extensive dry-dock Harvest Caye features an expansive 15,000 square-foot
renovations as part of its Norwegian Edge® program, which pool with a swim-up bar, salt water lagoon for water sports,
is dedicated to raising the brand’s standard of excellence exclusive seven-acre beach and exciting shore excursions
through product upgrades and enhancements for the overall ranging from zip lining across the island from the 136-foot
guest experience. Norwegian Sun, Star, Breakaway, Jade and “Flighthouse,” to snorkeling the world’s second largest barrier
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Pearl, which will be routinely calling to the Caribbean, have reef. The island is also home to a wildlife sanctuary, under the
each been modernized, allowing Norwegian to have one of the care of a certified onsite Naturalist.
youngest and most modern fleets in the region.
Commitment to the Caribbean
Destinations on the radar: Havana, Great Stirrup Norwegian’s history and future are tied to the Caribbean.
Cay & Harvest Caye It gave birth to the idea of modern day cruising as a way to
As the curiosity continues to grow for travel to Cuba, Norwegian vacation and not just a means of transportation when they
is delivering your clients more options than any other cruise launched the first weekly cruises to the Caribbean from Miami
line. As the only all-inclusive contemporary line cruising to in December 1966. Fifty-one years later they continue to
Cuba, Norwegian has fully integrated calls to Havana in 18 of support the region by expanding cruising to new and existing
the itineraries that involve the Caribbean. locations and bringing the majority of their fleet, including
But what’s even more exciting is the opportunity for your some of their newest and most innovative ships to the island
clients to experience what happens in this destination when nations. In November 2019, they’ll introduce their newest ship,
the sun goes down. Norwegian currently has two ships that Norwegian Encore, in Miami with cruises to the Caribbean,
overnight in Havana, allowing guests time to truly connect with and in December 2019, they will make history again when
the culture of the city, island, and the people. Ships sailing here Norwegian Epic sails from San Juan, Puerto Rico as the largest
include Norwegian Sky, which sails out of Miami to Havana cruise ship to homeport there. It is clear that Norwegian Cruise
and Great Stirrup Cay, Norwegian’s private, resort-style island Line recognizes the attractiveness of the region for cruising
in the Bahamas; and Norwegian Sun, which sails from Port and its potential for continued growth in the future.
Norwegian ships that offer cruises to the Caribbean
• Norwegian Encore (debuting November 2019) • Norwegian Bliss • Norwegian Escape • Norwegian Getaway
• Norwegian Breakaway • Norwegian Epic • Norwegian Gem • Norwegian Jade • Norwegian Pearl
• Norwegian Dawn • Norwegian Star • Norwegian Sun • Norwegian SkyLuxury & Cuisine in the Tropics: Aboard Oceania Cruises
TMR outlook on the caribbean
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wash away the day-to-day routine? Drenched in the sun’s radiant rays, the tropics promise exotic adventures
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ashore and carefree days at sea. Aboard Oceania Cruises, your days will easily settle into island time as you
enjoy the luxurious ambiance, enriching onboard activities and The Finest Cuisine at Sea.
Indulge in a signature treatment at the coast in a catamaran, or perhaps travel dishes at Red Ginger on board Marina,
Canyon Ranch SpaClub, partake in a off the beaten path while in Tortola to Riviera and Sirena, the options are
wine tasting with an expert sommelier a stunning biodynamic farm on one nearly endless. Oceania Cruises’ culinary
or simply soak up the sun as you gaze of Oceania Cruises’ popular Culinary offerings are always infused with fresh,
out on the ever-changing panoramas Discovery Tours. In the Caribbean, it’s local ingredients from the garden and
from the decks. However you choose to all possible. The best part? The perfect sea wherever you are sailing. Enjoy
spend your days, the dedicated staff will poolside lounge chair and refreshing perfectly grilled mahi mahi with coconut
ensure you are pampered and perfectly tropical drink are always waiting for you as you sail the aquamarine Caribbean,
at home during your voyage. Oceania back on board. or perhaps savor fresh citrus-infused
Cruises offers an array of tropical ceviche as you chart the Pacific Riviera.
getaways that chase the sun throughout The Finest Cuisine at Sea Regardless of the voyage, an array of
the seasons. Sailing in the Caribbean offers the perfect culinary delights awaits you.
opportunity to sample flavorful island- No matter which Oceania Cruises
Carefree Caribbean style cuisine in an array of enchanting tropical getaway you choose, you’re
An intimate, luxurious ship is the perfect locales. Sailing to tropical destinations certain to be surrounded by sunshine
match for boutique ports, and ships aboard Oceania Cruises means guests and luxury as you savor the world with
of Oceania Cruises deliver with grace will enjoy equally fresh and exquisite The Finest Cuisine at Sea.
and elegance in the Caribbean as well. cuisine on board the ship. Inspired by
In chic Gustavia, soak up the French the legendary Master Chef Jacques
influence in the cafés, bistros and wine Pépin, who is Executive Culinary Director
shops lining the harbor. Behold St. for Oceania Cruises, the talented chefs
Lucia’s impressive Pitons, two towering create culinary masterpieces from
volcanic spires recognized as a UNESCO premium artisanal ingredients. From
World Heritage site. In the yachting Continental classics in the Grand Dining
paradise of Antigua, sail along the Room to bold, contemporary AsianWhich segments and niches have the most
growth potential?
For suppliers who want to build their business, Some 55% of agents think multi-generational family
agents responding to our survey are enthusiastic about and friends groups have lots of growth potential
expanding the segments and niches they are already followed by family vacations (54%), honeymoons
selling or believe they can develop. Perhaps the most (48%), romantic vacations (47%) and destination
interesting point is that while agents see lots of growth weddings (43%).
potential in wellness (29%), LGBT (30%), soft adventure Non-starters, however, were gaming vacations
(34%), and Cuba (35%) — segments that aren’t on the (perhaps because casinos typically have direct
top of their sales list — it’s the core segments that they programs for high rollers) and festivals and carnivals.
feel have the most potential for even more sales.
TMR Outlook on THE CARIBBEAN
Which segments and niches to the Caribbean do you see the most opportunities for growth?
Please provide an answer for each category.
17
Lots of Some None or Limited
All Responses
Growth Potential Growth Potential Growth Potential
Multi-gen family and Friends/groups 55% 37% 7%
Family Vacations 54% 39% 7%
Honeymoons 48% 42% 10%
Romantic Vacations 47% 45% 8%
Destination Weddings 43% 40% 16%
Cuba 35% 46% 20%
Soft Adventure (snorkel, scuba, hiking) 34% 52% 14%
LGBT 30% 48% 23%
Wellness/Spa Vacations 29% 52% 19%
Off the beaten track islands
26% 43% 31%
(require a commuter/turboprop flight for access)
Gaming/Casino 14% 46% 41%
Festivals and Carnivals 13% 47% 40%
CHART 7 | 17Which destinations do you sell most frequently?
Mexico’s Caribbean destinations rule the roost The Bahamas each were cited by 20-26% of agents as
in terms of which destinations agents say they sell destinations they sell on a regular basis. Only 16% of
regularly, taking three of the top four spots in the total all agents said they sell Cuba regularly whereas that
sample and three of the top five spots with Canadian- number is 55% for agents who have Canadian clients,
focused agents. Overall, Riviera Maya (71%) led the good for fourth place.
way, followed by Cancun (67%) and Cozumel (44%). A number of agents with West Coast-based clients
Jamaica took the third spot at 54% followed by 43% told us similar products in Hawaii and Mexico’s Pacific
of agents who say they regularly sell Nassau in The resorts provide competition that blunts some of the
Bahamas. Turks and Caicos, USVI, St. Lucia, St. Martin/ Caribbean’s growth potential.
St. Maarten, Aruba, Cayman Islands and Freeport in
Either as a frontline agent speaking about your individual business or as an agency owner/
manager on behalf of all of your employees, please choose an answer for each destination in
terms of how frequently you are selling it:
All Responses Regularly Sometimes Rarely Never
Mexico-Riviera Maya 71% 20% 6% 3%
Mexico-Cancun 67% 23% 8% 2%
Jamaica 54% 34% 8% 4%
Mexico-Cozumel 44% 34% 16% 6%
Bahamas-Nassau 43% 37% 14% 6%
Turks and Caicos 26% 40% 22% 12%
USVI 24% 39% 21% 16%
St. Lucia 23% 46% 21% 11%
Other 23% 21% 21% 35%
St. Martin/St. Maarten 22% 43% 23% 12%
Aruba 22% 47% 22% 9%
Cayman Islands 21% 43% 24% 12%
Bahamas-Freeport 20% 33% 28% 18%
Puerto Rico 18% 39% 31% 12%
British Virgin Islands 16% 41% 29% 14%
Cuba 16% 23% 29% 33%
Bermuda 15% 39% 31% 15%
Barbados 14% 48% 26% 12%
Chart 8 continued on next page
18 | CHART 8Which destinations do you sell most frequently?
Chart 8 continued
TMR Outlook on THE CARIBBEAN
All Responses Regularly Sometimes Rarely Never
Bahamas-Out Islands 10% 30% 34% 26%
St. Kitts 9% 33% 30% 28%
Antigua and Barbuda 8% 37% 36% 20%
19
St. Barts 7% 26% 31% 36%
Curacao 7% 30% 39% 24%
Martinique 7% 25% 37% 32%
St. Vincent and the Grenadines 5% 19% 36% 41%
Honduras 4% 17% 37% 42%
Grenada 3% 21% 39% 37%
Anguilla 3% 19% 40% 38%
Colombia (Caribbean only) 3% 19% 36% 42%
Nevis 3% 15% 31% 51%
Haiti 3% 13% 30% 54%
Trinidad 2% 14% 36% 48%
Guadeloupe 2% 12% 37% 49%
Tobaga 2% 9% 35% 55%
Nicaragua 1% 10% 30% 59%
Montserrat 1% 7% 30% 63%
CHART 8 | 19How do you book land-based vacations
to the Caribbean?
Agents sell hundreds of millions of dollars in business to In Travel Market Report’s Luxury Outlook (Page 22,
the Caribbean each year, however tracking productivity Chart 8), while 79% said they book via wholesalers, 50%
continues to be a challenge. Nearly three-quarters of all said they also use hotel websites and 44% use the GDS.
agents (73%) said they book Caribbean vacations via tour Comparatively, a number of agents told us via their
operators, which means hotels and tourist boards aren’t comments that they use multiple channels to make
able to see the productivity of individual travel agencies Caribbean bookings, and in this survey we only allowed
or agents, instead crediting the arrivals to the operators one answer to the question compared to multiple
that agents are booking through. Only 7% of agents said answers in the TMR Luxury Outlook. Their responses
they book directly with the hotel by calling, emailing or made it clear that when it comes to the Caribbean, tour
faxing, and even less said they book directly on GDS (5%) operators play a dominant role connecting agents to
or with hotel consolidators, also 5%. Only 2% of agents hotels and ground experiences.
use hotel websites when it comes to the Caribbean. In
this case, Canadian responses were not statistically or
significantly different from the overall sample.
How do you book land-based vacations to the Caribbean?
Through a tour operator 73%
Direct with hotel by calling, emailing or faxing 7%
Direct with hotel by GDS 5%
Through a hotel aggregator/consolidator
(i.e. Bedsonline or TravelBound) 5%
Through an OTA (i.e. Expedia, etc.) 4%
Other (please specify) 4%
Hotel Website 2%
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
20 | CHART 9How were your clients’ Caribbean vacations
impacted by last year’s hurricanes?
Over one-third of agents (36%) said last year’s In comments to us, agents also reaffirmed why
hurricanes didn’t impact clients simply because they consumers see great value in working with travel
didn’t have clients booked to impacted destinations. A agents, telling us that by being proactive and constantly
similar 36% said clients decided not to travel or delayed monitoring clients’ travel plans they were able to
travel, however, tourist boards and hotels can thank the make sure most trips came off without a hitch. One
34% of agents who used their knowledge of the region, agent told us that she was able to move a family who
knowing what islands weren’t impacted, and rebooked was at a resort due to be impacted to another hotel so
clients to alternative Caribbean destinations. Nearly they could continue on with their vacation. Another
one in five (18%) of agents rebooked their clients to counselor said, “I’m very proactive about orientating
non-Caribbean destinations while 12% said hurricane- my clients about seasonal weather to avoid certain
impacted vacationers were resold onto cruises. Forty- islands. That said, this year was tough, but I was very
three percent of agents with predominantly Canadian proactive to rebook ahead of the storms.”
clients said they rebooked them to other Caribbean
destinations, the only variation with a statistically
TMR Outlook on THE CARIBBEAN
significant difference.
Thinking back to last year’s hurricanes, how were your clients’ vacations to the Caribbean impacted?
(Please check all that apply.)
21
Not impacted-I didn’t have clients
booked to impacted destinations 36%
My clients decided not to travel or delayed travel 36%
I rebooked clients to other Caribbean destinations 34%
I rebooked clients to non-Caribbean destinations 18%
My clients decided to take a cruise 12%
Other 2%
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
CHART 10 | 21What’s stopping agents from selling
the Caribbean effectively?
Expensive flights, air service that’s not comparable to both service standards and perceptions of food quality
other destinations, safety, and hurricanes are the biggest provided “some challenges.”
obstacles agents say to more Caribbean sales. Nearly 4 Agents commented hotels need to do a better job
in 10 (39%) of agents told us “cost of airline flights is keeping their websites up to date. “Up to date information
too high compared to other destinations,” the number and pictures to represent their websites is huge! I have
one obstacle. Some 30% of agents said inconvenient not recommended resorts based on the website and then
air connections and safety is a barrier while 29% cited attended fams all to find out the resort looks nothing
hurricanes. With our Canadian segment, the top four like the out of date pictures,” said one agent. Another
answers were the same in this case. agent said that hotels need to do a better job providing
Yet over half of all agents (59%) said hotel standards accessibility information.
and conditions of hotels are a barrier while 56% noted
What are the biggest obstacles you experience to selling more of the Caribbean effectively?
Please provide an answer for each category.
All Responses A big obstacle Not an obstacle Some Challenges
Cost of airline flights too high compared to other destinations 39% 16% 45%
Caribbean air service connections not as good as other places 30% 21% 48%
Perception of safety 30% 16% 54%
Stigma from hurricanes 29% 14% 58%
Hotel standards/condition of hotels 18% 23% 59%
Too expensive-not enough value 17% 30% 54%
Other destinations more interesting to my clients 13% 34% 53%
Other better, closer destinations 12% 41% 47%
Not enough that is new or exciting for my clients 12% 38% 50%
Other destinations are more profitable 11% 42% 47%
Other 11% 53% 36%
Perceptions of food quality 11% 34% 56%
Service standards at hotels 9% 34% 56%
Updated hotel information 8% 39% 53%
Support from tourist boards 7% 53% 40%
Support from tour operators and land-based suppliers 7% 56% 37%
Updated destination information (including things to do, activities, etc.) 4% 48% 47%
Support from cruise lines 4% 67% 30%
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SEP1801193-1What are you biggest concerns about selling the
Caribbean for the 2018-2019 peak season?
Agents with Canadian clients are
the most bullish with 40% agreeing “I
don’t have any concerns, Caribbean
sales will be fine.” Across the total
sample this was the number one
feeling, although significantly lower
at 26%. Meanwhile, 18% of all agents
said they are concerned about clients
worrying about hurricanes, followed
by 16% pointing to safety, and
cost of airfares compared to other
destinations, are playing on their
minds. A number of agents who said
they would have liked the option to
check more than one answer said that
clients still have Zika concerns.
When considering the 2018-19 season, what are your greatest concerns when it comes
to selling the Caribbean?
I don’t have any concerns,
26%
Caribbean sales will be fine
Client worries about hurricanes 18%
Client worries about safety 16%
Cost of airline flights too high
compared to other destinations 16%
Not enough air service 6%
Other (please specify): 6%
Closed properties won’t reopen in time 5%
Clients worried about Zika 5%
Other options clients prefer over
traveling to the Caribbean 2%
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
24 | CHART 12How can suppliers and tourist boards help
agents sell more of the Caribbean?
TMR Outlook on THE CARIBBEAN
Fam trips, fam trips, fam trips!!! If you want more sales from the agency community, agents replying to our survey
tell us by a more than two to one margin (34%) that fams are the best way, followed by localized opportunities
(14%), and extra commissions (12%). While suppliers spend lots of money for online training programs, only 8% of
respondents said they were interested in those programs.
Several agents complained about the proliferation of webinars, many of which lacked quality, instead asking for
seminars where they can meet representatives face-to-face. Agents also resented their clients being subjected to
timeshare sales. Our Canadian client segmentation was in line with overall results.
25
How can suppliers (tour operators, hotels/resorts) and tourist boards better assist your agency in
selling more travel to the Caribbean? (Please check all that apply.)
More fam trips 34%
More localized learning opportunities
(i.e. Lunch ‘n Learn type of events) 14%
Extra sales incentives (i.e. extra commissions) 12%
Current support meets my needs 10%
Other (please specify) 9%
Online training programs 8%
More business development managers
(BDMs) in the field 6%
In-person training programs with experts onsite 6%
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
CHART 13 | 25Travel Market Report Insights (TMRI)
TMR outlook on the caribbean
Travel Market Report Insights brings to you more than 40
years of experience in the North American travel agency
market. Our databases of travel agents and suppliers are
ideal for customized research on your behalf.
26
Contact sales@Travelmarketreport.com and we will be
happy to discuss how we can help you.
Research Authors:
Doug Gollan
Louis Intreglia
Graphic Design:
Sean Ayling
Alissa Schelp
10828_10/04/1896% of agents surveyed
E x ec u ti v e s u mmary sold vacation travel to the
Caribbean in the past year.
79% of agents have at least one
person who specializes in the
The biggest obstacles to selling the
Caribbean in their office.
Caribbean are airfares that are higher than other
destinations (39%), inconvenient airline flights and
34% of agents were able to
routings (30%), and the perception of safety (30%),
rebook clients to alternate Caribbean
ahead of stigma from last year’s hurricanes (29%).
destinations after last year’s hurricanes,
using their knowledge of the region to
find replacement resorts.
73% of travel agents mainly book land
vacations to the Caribbean through tour
Family vacations – with the immediate
operators. These numbers tell us the role of the family, romantic vacations, friend/
travel agent in selling the Caribbean is critical but extended family groups, and
largely unrecognized by tourist boards and hotels honeymoon are the top segments
due to the indirect nature of their bookings. that agents match to various
Caribbean travel products.
Cruises, adults-only resorts and luxury Agents with mainly Canadian
all-inclusive resorts are the “go-to” clients are more optimistic
products for agents when it comes to the that the upcoming season will
Caribbean, and agents say all three also have big be fine – 40% compared to 26% across
the entire sample.
growth potential as do luxury hotels and resorts,
non-luxury all-inclusives, and even villa rentals, a
Only 8% of agents said they want
segment many agents aren’t particularly active in.
more online training courses,
with fam trips (34%) the number one
selection by a more than a 2-to-1 margin.
Agents are bullish on growth
opportunities for a wide variety of
Mexico’s Caribbean destinations
segments, from current top performers such as
rule the roost in terms of which
family vacations, honeymoons, romantic vacations destinations agents say they sell regularly,
and destination weddings onto wellness, LGBT, soft taking three of the top four spots in the
adventure, and Cuba – segments that aren’t on the total sample and three of the top five
top of their sales list. It’s the core segments that they spots with Canadian-focused agents.
feel have the most potential for even more sales.SET THE GPS
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