In this article, we discuss the 12 most luxurious cruise lines. To skip the detailed analysis of the travel and cruise line industry, go directly to the 5 Most Luxurious Cruise Lines.
The travel and tourism industry has played a significant role in the global economy since World War II. Before the Covid-19 pandemic hit the globe, the industry accounted for 10.4% of the global GDP. In 2019, 1.5 billion people took trips outside their countries. As per our previous report, in 2019, international travelers injected $640 million into the US economy each day which accounted for 2.9% of the country’s GDP.
Covid-19 was the biggest hiccup faced by the travel industry in decades. The industry lost $4.5 trillion in GDP and 62 million people lost their jobs due to the pandemic. However, the industry has started to recover faster than expected, and in 2022, the travel and tourism industry accounted for 7.6% of the global GDP, which is still 23% below the pre-pandemic levels, yet showed a 22% increase from 2021. United Nations World Tourism Organization believes that international travel could reach around 80% to 95% of the pre-pandemic levels in 2023. Ernst & Young’s Americas Hospitality Sector Leader, Umar Riaz, believes that the future of the travel industry seems secure and will perform well in 2023. He said:
“…it’s my opinion that given the current dynamics of the travel industry, even if there is a mild recession in the next six months or so, the travel industry will still perform strongly.”
Some travel stocks have also proven the strong recovery of the industry. Airbnb, Inc. (NASDAQ:ABNB) has gained over 48% in the last twelve months and nearly 71% year-to-date at the time of writing on July 18. Booking Holdings Inc. (NASDAQ:BKNG) saw immediate effects of the pandemic in 2020 and between January and March of the year, the company stock experienced an almost 40% decline. Nevertheless, Booking Holdings Inc. (NASDAQ:BKNG) stock price increased by 69% in the last 12 months and 44.62% year-to-date.
The Cruise Line Industry
Just like the rest of the travel industry, the cruise industry also received a massive blow after the pandemic lockdowns as a lot of the cruise destinations experienced second and third locked down periods after the initial one in 2020. However, the industry still showed signs of recovery in 2021 and the number of cruise line passengers increased 96% year-over-year to 13.9 million which was still approximately 114% lower than 2019 levels of 29.7 million passengers globally. Nonetheless, 2023 has been an amazing year for the cruise line industry, and companies like Carnival Corporation & plc (NYSE:CCL) and Royal Caribbean Cruises Ltd. (NYSE:RCL) have shown it with their stock price gains and were mentioned among our best multibagger stocks for 2024. Carnival Corporation & plc (NYSE:CCL) also cast its Q2 2023 earnings call on June 26 where the President and Chief Executive Officer and Chief Climate Officer, Josh Weinstein said that the company experienced a “phenomenal wave season” in the first half of 2023 and is still going strong. The CEO further added:
“Net yields in constant currency turned positive in the second quarter, compared to 2019 as we drove cruise ticket prices above 2019, while maintaining record onboard revenue growth and continuing to close the gap on occupancy. In fact, net per diems in constant currency were up 7.5% over 2019 in the second quarter. This was 4.5 points better than the midpoint of guidance, which we were able to achieve while meeting our forecasted occupancy.”
In the wake of the recovery of the industry, cruise lines are also using capital to expand their portfolio to keep up with the increasing cruise travel demand. The privately held Scenic Luxury Cruises and Tours is planning on adding three of its ships to start sailing in the Caribbean for the first time. On the other hand, Royal Caribbean Cruises Ltd. (NYSE:RCL) is preparing to row out the largest cruise ship ever built into the ocean which will be in service by early 2024. It is named the Royal Caribbean’s Icon of the Seas, a 250,000-plus-ton ship that will have a max passenger capacity of 7,600 people.
During the rising travel demand and investors rallying toward the cruise industry, some major cruise stocks that you can add to your portfolio include The Walt Disney Company (NYSE:DIS), Royal Caribbean Cruises Ltd. (NYSE:RCL), and Norwegian Cruise Line Holdings Ltd. (NYSE:NCLH). To check out the extended list, you can go to 10 Best Cruise Stocks To Buy Now. The Walt Disney Company (NYSE:DIS) is a mass media and entertainment company, but the company has diversified itself through its subsidiaries, one of which is the Disney Cruise Line. The cruise line operates five ships and three more will join The Walt Disney Company (NYSE:DIS) fleet in 2024 and 2025. The company also operates Disney’s Castaway Cay, a private island and an exclusive port for the Disney Cruise Line ships.
mandritoiu/Shutterstock.com
Our Methodology
For this list, we used seven sources including Travel & Leisure, US News, and Luxury Columnist. We noted the number of times each cruise line is listed in our sources and calculated the aggregate position of each of these companies according to their position in each of the sources.
12 Most Luxurious Cruise Lines
12. Celebrity Cruises
Celebrity Cruises is a premium cruise line that is made affordable for the clientele. The cruise line has 16 cruise ships in its fleet and has won numerous awards, with the most recent one being the 2023 Forbes Travel Guide Star Award. The company designs cruise packages around destinations and famous events in a year, with planned itineraries for 300 destinations. With Celebrity Cruises, the guests onboard have the choice of visiting 8 places on one journey.
Calling their ships “Resorts at Sea”, its luxurious cruise ships feature top-quality dining spaces, comfortable lounging areas, an award-winning live theatre, and an entertainment space that holds live music, activities, camp, etc. It is one of the few luxurious cruise lines that offers its guests the Best Price Guarantee.
It is owned by Royal Caribbean Cruises Ltd. (NYSE:RCL) which operates three other award-winning lines: Royal Caribbean International, Celebrity Cruises, and Silversea Cruises and possesses 50% ownership in a joint venture that runs TUI Cruises and Hapag-Lloyd Cruises. The global group has a fleet of 63 ships that travel to around 1,000 spots.
11. Compagnie du Ponant
Compagnie du Ponant, generally known as Ponant, is a French luxurious cruise line with 13 cruise ships that navigate to 16 regions all over the world. On July 10, the cruise line announced that it became a member of the Relais & Châteaux which will make its yacht the first in sailing history to be included in the catalog of Finest Travel Addresses in the World.
Ponant’s journeys revolve around destinations and themes like wellness, the Smithsonian journey, tropical and polar expeditions, golf, music, gastronomy & wine, and more. Ponant offers its clients luxury on land as well through its bespoke Pavilions that are designed by the artist who designed its fleet. The Pavilions are currently located in Paris, Marseille, Brussels, and Sydney.
On May 5, Ponant posted its quarterly results for the first three months of 2023 which showed an 80% increase YoY and a 30% increase compared to the previous record in the number of bookings.
10. Windstar Cruises
Windstar Cruises is owned by Xanterra Travel Collection, a subsidiary of the private holding company, The Anschutz Corporation. The cruise line’s fleet is made up of 6 yachts that are preferred by guests who wish to experience cruise life in a more personalized manner which the smaller yachts are known for. Each of the cruise ships accommodates nearly 342 guests and visits the regions of Europe, the Caribbean, Costa Rica and the Panama Canal, Asia, Alaska and British Columbia, Canada and New England, the Middle East, Tahiti, and the South Pacific,
Mexico and U.S. Coastal and Australia.
Windstar Cruises has won multiple awards from Travel + Leisure, Cruiser’s Choice, Conde Nast Traveler, etc. One of the main attractions of the cruise line is that it partners with the James Beard Foundation and brings aboard celebrated chefs who not only create Michelin-star-restaraunt-worthy menus for the guests but also lead culinary cruise journeys.
9. Scenic Luxury Cruises and Tours
Scenic is one of the few luxury cruise lines on our list of the most luxurious cruise lines that not only operates ocean cruise ships but also advertises river ship journeys to its clients. The cruise line labels its fleet of 15 cruise ships into 3 separate categories called Europe Space ships, South East Asia ships, and Scenic Eclipse ships.
12 cruise ships come under the Europe Space ships category and they offer 5-star luxury, according to the company. The cruise line’s Scenic Eclipse series claims to provide 6-star luxury to its guests with helicopters, the Scenic Neptune submarine, constant butler service, KLAFS custom salt therapy lounge, and more. The Scenic Eclipse II was rowed out to the water in the spring of 2023 and promises to navigate to the most remote regions of the planet owing to its state-of-the-art technology and build.
8. Paul Gauguin Cruises
The cruise line was bought by Compagnie du Ponant in 2019 and operates only one ship known as Paul Gauguin. As the flagship ship is a smaller cruise ship, it allows guests to experience isolated islands located in the South Pacific. The cruise line proudly takes its guests to select destinations of Tahiti, Fiji, Tonga, and the Cook Islands.
Called the Best Small-ship Ocean Cruise Line by Travel + Leisure for its 2022 World’s Best Awards, the luxurious cruise ships offer its own marina for complimentary watersports, access to the exclusive island on the coast of Bora Bora, a day to the retreat of Motu Mahana, local Tahitians entertainers, and more.
7. Azamara Cruises
Originally founded by Royal Caribbean Cruises Ltd. (NYSE:RCL), Azamara Cruises was bought by a private equity firm, Sycamore Partners, in 2021. The company’s fleet includes four cruise ships that take passengers to destinations in and around Europe, Asia, Africa and the Middle East, Australia and New Zealand, Transoceanic, and the Americas and Caribbean.
The Azamara Cruises are known to provide a personal cruise experience not only because of their size but also Azamara’s iconic destination immersion program. The program focuses on taking guests on detailed immersive off-shore journeys to help them enjoy the local culture to the fullest. Previously known as AzAmazing Evenings, the program was revamped into AzAmazing Celebrations to celebrate the 10 years of the program. The program is all-inclusive and the cruise line has added 35 new activities to the celebrations.
6. Cunard Line
Cunard Line is hailed as one of the most luxurious cruise lines of big cruise ships in the industry. The three cruise ships in its fleet can house 2,061 to 2,691 passengers. The cruise line will launch its fourth cruise ship, Queen Anne, in 2024 which will be able to carry 2,996 guests and will boast a venue called Bright Lights Society that will be focused solely on providing the passengers with renewed and luxurious entertainment.
Queen Mary 2 is the cruise line’s flagship and is said to be a symbol of elegance, luxury, and indulgence with its fine dining restaurants, planetarium, casino, royal court theatre, and gala evenings. The cruise line is a subsidiary of Carnival Corporation & plc (NYSE:CCL) and was founded in 1840.
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Disclosure. None. 12 Most Luxurious Cruise Lines is originally published on Insider Monkey.