11/11/23, 7:45 AM All about Cruise Industry

All about Cruise Industry

According to Cruise Lines International Association (CLIA), the world's largest

cruise industry trade organization, in its State of the Cruise Industry Outlook 2020
report, cruising sustained 1,177,000 jobs equaling $50.24 billion in wages and salaries
and $150 billion total output worldwide in 2018.

A cruise is a vacation trip by ship. A cruise is primarily a leisure vacation

experience, with the ship's staff doing all the work. Some cruise ships also transport
cargo, and all of them carry people from place to place. But at the core of cruising--
from the perspective of the traveler--is the desire to relax, to get away from it all, to
experience, to learn, to be pampered, and to have fun.
The essence of modern cruising is to provide a holiday experience rather than
point-to-point transportation.

UNWTO defined cruise tourism as "Sea voyages made by national and foreign
travelers on large, recreated vessels called cruise ships, with defined and regular
routes, calling at different ports in the countries visited and consuming services within
the vessels as well as products, services and tourist attractions offered by each
destination.

The cruise may consist of several ports of call, yet it is often characterized as a mobile
resort rather than a mode of transportation.

It is important to remember that the cruise product is a complex package consisting of

transportation, accommodation, and leisure facilities onboard, as well as the itinerary
of destinations to be visited.

Who Cruises?

1. Families

• A cruise can reduce stress and saves time compared to the most popular form of
travel: the family car.

• Cruise ships provide facilities and activities tailored to different children’s age
groups.

• Kids on cruise can have fun and learn at the same time.

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2. Culture seekers

• Culture seekers favor cruises that spend considerable time in ports and visit
unusual and historic places.

• They favor cruises offering educational seminars or programs.

3. Adventurers

• They want a cruise with plenty of choices and energetic and/or participatory
activities.

• They favor exotic itineraries and smaller ships.

• They expect that what they do will require at least some level of fitness.

4. Romantics (honeymooners, anniversary couples, etc.)

• They favor tropical cruises (Bahamas, Caribbean) or cultural ones (Italy, Greece)

• Pampering and spas are very appealing to them.

5. The Upscale

• Quality cruising is vital to them.

• They like itineraries that feature ports that are still relatively unknown to
tourists.

• Fine cuisine is an important part of their travel experience.

6. Millennials

• Millennials love to travel in luxury (24% have travelled on a luxury line in the
last 3 years.)

• Millennials represent a higher share of the premium market.

• Millennials focus on river and small ships with a focus on itineraries and
destination experiences that reach far beyond walking and coach tours.

• Endless options for the perfect “Instagram moment”.

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Cruise Line Companies

1. Carnival Corporation

• Headquarters is in Miami, Florida, USA.

• Carnival Corporation is the world’s largest cruise line based on passengers

carried annually and total number of ships in fleet.

• It handles cruise line brands such as Carnival Cruise Line, Princess Cruises,
Holland America Line, Costa Cruises, AIDA Cruises, and Cunard.

2. Royal Caribbean Cruises Ltd.

• Founded by three Norwegian shipping companies in 1969, the second-largest

cruise operator in the world.

• As of October 2018, the world’s largest passenger ship is the Royal Caribbean
International “Symphony of the Seas”. Royal Caribbean International
headquarters is located in Miami, Florida, USA.

• All ships under this cruise line company have names ending with the phrase “of
the Seas”.

• Royal Caribbean Group comprises Royal Caribbean International, Celebrity

Cruises, Silversea Cruises, Azamara, and Hapag-Llyod Cruises

3. Norwegian Cruise Line Holdings Ltd.

• The 3rd largest cruise line operator in the world.

• Norwegian Cruise Line Holdings operates three (3) cruise line brands which are
Norwegian Cruise Line, Oceania Cruises, and Regent Seven Seas Cruises.

4. Genting Hong Kong

• This company owns cruise line brands Crystal Cruises, Dream Cruises, and Star
Cruises.

• Dream Cruises and Star Cruises operate cruises in the Asia Pacific region.

5. Disney Cruise Line

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• A subsidiary of the Walt Disney Company.

• Disney Cruise Line also owns Castaway Cay, a private island in the Bahamas
designed as an exclusive port of call for Disney ships.

• Disney Cruise Line headquarters is located at Celebration, Florida, USA

Cruise Line Industry Regulations

International Maritime Organization (IMO)

• A specialized agency of the United Nations which is responsible for measures to

improve the safety and security of international shipping and to prevent
pollution from ships.

• It is also involved in legal matters, including liability and compensation issues

and the facilitation of international maritime traffic.

• In 1959, IMO adopted a new version of the International Convention for the
Safety of Life at Sea (SOLAS), considered as the most important of all treaties
dealing with maritime safety.

• The main objective of the SOLAS Convention is to specify minimum standards

for the construction, equipment, and operation of ships, compatible with their
safety.

Safety at Sea

Heavy Scrutiny

• Flag and port state authorities should ensure that their ships meet the security
standards.

• Certificates are prescribed in the Convention as proof that they were able to
comply.

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• Contracting Governments are allowed to inspect ships of other Contracting

states to ensure that they complied with the requirements.

Life-saving equipment

• Every ship must be equipped with enough lifeboats, life rafts, and life jackets
according to the type of ship.

Crew member training

• Crew members receive rigorous training in safety, security, and first-aid to

prevent and respond to potential emergency situations.

• In the Philippines, a person intending to work in a vessel should undergo the

Basic Safety Training Course which includes firefighting, survival at water, crowd
management, and first-aid application.

Muster Drill

• A Muster Drill is sometimes referred to as a "lifeboat drill" or a "boat drill".

• It is an exercise conducted by the crew of a ship prior to embarking on a voyage.

• By international law, a passenger muster drill must be conducted by the ship

within 24 hours of departure, but many cruise lines choose to conduct the drill
approximately 30 minutes prior to the ship's scheduled departure time.

• The purpose of a muster drill is to prepare passengers for safe evacuation in the
event of an emergency while onboard the ship and to familiarize crew and
passengers with escape routes.

• During the drill, the ship's general emergency signal (seven short blasts,
followed by one long blast) is sounded to notify passengers.

• Muster drills are typically not conducted and are not usually required on short
trips on the water.

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Anatomy of a Cruise Ship

Cruise ships can be categorized according to:

• Number of rooms (staterooms)

• Number of passengers (guests) that can be accommodated

• Gross Registered Tonnage (GRT): volume of public spaces on a ship. It measures

only enclosed space available to passengers.

Basic Parts of a Ship

Bow - front of the ship

Stern - rear end of a ship

Starboard - right-hand side of the ship

Port - left side of the ship

Bridge - navigational, command, and control center of the ship where the captain
works.

Ship Facilities

Space on a ship can be divided into three (3) types:

1. Private (crew) space

2. Public space

3. Stateroom space

Private Space

• Usually on decks below those of the passengers.

• Include crew cabins, dining areas, recreational facilities, the bridge, galley or
kitchen, and mechanical areas (engine room).

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Public Space - the areas where passengers

mingle 1. Reception Area
• A lobby area where the purser’s office (front desk or reception desk) is located.

• The shore desk or tour desk where passengers can inquire about and/or book
port tours is also in this area.

• The Atrium is the heart of a cruise ship. A hub for everyday activities, events,
parties and central to a ship’s shopping, dining, and entertainment venues.

2. Dining Rooms

• These are typically large sit-down restaurants with waiter service and multi-
course meals.

• Most cruise ships have one or more main dining rooms.

• In some ships, the main dining rooms are divided into smaller restaurants, each
with a different name.

3. Alternate Dining Areas

• Informal, buffet-like dining usually takes place on the pool deck for some or all
meals.

• These are also alternate restaurants such as pizzerias or specialty dining

facilities (open part or whole day).

• The Lido Deck is a public outdoor swimming pool and surrounding facilities
such as bars and dining options located on the upper deck of a cruise ship.

4. Casino

• Most cruise ships have an onboard casino except Disney Cruise.

• The casino in cruise ships is usually closed when the ship is in port so as not to
compete with the shoreside activities.

• Also, some countries do not allow gambling.

• In some cruise ships, the casino is closed during the day as the passengers are
usually engaged in other activities during daytime.

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5. Medical Facility

• Maritime law requires any vessel that carries more than 100 passengers to have
a physician on board often assisted with 1 or more nurses.

• These health care professionals work in a small, hospital-like facility.

6. Showroom

• Entertainment events usually take place in the showroom each night.

• The showroom may host orientation meeting, port lectures, games, videos, or
other special events.

7. Health Club

• An area for guests to exercise.

• Frequently adjoins a spa.

• Ships may also offer jogging tracks, basketball courts, and other exercise-
related facilities.
8. Children's Area
• Facilities for children are supervised by specially trained staff.

• Features and activities are often tailored to multiple age groups (young children,
older children, teens).

9. Gift Shop

• A place that sells souvenirs, duty-free goods – often themed to the ship.

• Some vessels feature many places to buy things, arranged in mini-mall fashion.

Space - also called "cabin". These are rooms on a cruise ship.

1. Outside Staterooms

• Also called Ocean-view staterooms.

• These are rooms with windows.

• Some have a full wall sliding glass door that leads to a veranda.

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2. Inside staterooms

• No windows but often use mirrors, pastel colors, bright lighting to make the
room feel more open.

• Usually, the least expensive.

3. Suites

• The most expensive accommodations on a ship.

• Some vessels have only a few, others boast entire upper decks.

• It features a sitting area (living room) and a sleeping area (bedroom) often
divided by a curtain or a divider

Types of Cruises

1. River/Canal Cruises

A voyage along inland waterways. River and canal cruises are closely linked to the
culture and heritage of the country being toured.

2. Adventure/Expedition Cruises

A cruise with energetic, participatory activities and exotic itinerary. With this type of
cruise, the destinations are more important than the ship and emphasis is on education
rather than recreation.
3. Day Cruises
Day cruises are typically a cruise experience of 15 hours or less. This type of cruise
focuses more on recreation.

4. Contemporary Cruises

This type of cruise focuses more on the ship. The cruise ship typically has resort-style
facilities with a heavy emphasis on shipboard activities.

5. Luxury Cruises

This type of cruise offers high-style cruising with an emphasis on destinations and
shipboard amenities.

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6. Specialty/Niche Cruises
Offer guests a cruise vacation with distinct expertise and focus.

Pre, Post, and Off-Ship Cruise Experience

• These are experiencing that cruise passengers’ book before or after a cruise that
typically include at least one night stay in a port and some activities.

• A cruise passenger arrives in the departure port city and can immediately board
the cruise ship. However, there are some passengers who decide to extend their
vacation either before or after, in or around the city when their cruise begins
and/or ends.

• Pre-cruise tour is pre-booked and taken at the point of embarkation prior to

boarding the cruise ship

• Post-cruise tour can be pre-booked or arranged during the cruise and is taken
after the cruise ends in the disembarkation port.

• Pre-cruise package is preferable because it helps guard against a delayed or

canceled flight leading to a missed cruise departure.

There are three (3) ways to purchase a cruise:

1. Cruise Package can be purchased through a travel agent. The passenger can
purchase air, airport-to-dock transfer, and lodging.

2. It can also be obtained from the cruise line itself

3. It can be arranged independently, component by component (e.g., the travel

agent or passenger will book the flight, transfers, and hotel separately). Shore
Excursion
• A port-based tour or activity

• Covers all levels of activity and interest and vary greatly depending on what’s
available in each destination.

There are three (3) types of shore excursion:

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1. Active vs Sightseeing Tours

Active tours - could be anything from water sports to ziplining, hiking, biking

Sightseeing excursions - typically bus tours that take the passengers to the highlights
and shopping areas of the port city or nearby destinations.

2. Full vs Half-day tours

• Shore excursions vary in length

3. Guided vs Free Time

• Some tours simply bring you to a destination where you're free to explore while
others feature guided components followed by 1 or 2 hours of free time.

Shore Excursions vs Independent Exploration

• Shore excursions are worth it if you want to venture to attractions that are
located far from the pier, learn more about an area through a guide, or
participate in physical activities.

• If all you want is to walk around town, shop, or visit the beach, it could be much
cheaper and less time-consuming if you do it on your own.

DOT Accreditation for Tourist Transport Vehicles

Standard Requirements for Tourist Land Transport Vehicles:

a. Registered capacity. A tourist land transport operator shall only be allowed to

apply for accreditation for the number of units covered by its franchise from the
LTFRB.

b. Roadworthiness. To be registrable, every tourist transport must be found

roadworthy upon inspection by a team from the Department, in the case of bus
or coaster, it shall not be more than ten (10) years, nor more than five (5) years
for a tourist car reckoned from the year of manufacture.

c. Left-hand drive. Every tourist transport shall be provided with a left-hand

drive.

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d. Ventilation. Every tourist transport shall be properly equipped with adequate

air- conditioning units.

e. Fire-fighting facilities. A tourist transport shall be provided or installed with at

least one portable fire extinguisher for the protection of its passengers.

f. Imprint of company's name and logo. The company's name and logo shall be
imprinted at the rear and sides, respectively, of the tourist transport unit.

g. Public address system. For tourist buses or coasters, a public address system
shall be installed.

h. First-aid kit. Every tourist transport unit shall be provided with a first-aid kit
and an adequate supply of emergency medicines.

i. Seats. Every tourist transport shall have clean and comfortable seats.

j. Storage Space. A tourist transport shall have enough leg room and sufficient
storage space; and

k. Garage. Every tourist transport operator shall provide an adequate garage and
repair shop for the maintenance of its equipment, as well as a parking space
sufficient to accommodate all its registered units.

Application for Accreditation

• Any person, partnership or corporation desiring to operate and/or engage in the

business as tourist transport operator shall accomplish in duplicate and file with
the Department, the application for accreditation prescribed for such purpose.

Documents Required to Support Application for Accreditation to Operate as Tourist

Transport Operator

a. Mayor's Permit and/or Municipal License

b. Business name certificate and all amendments thereto, if any, in the case of
single proprietorship. In the case of a corporation or partnership, a certified true
copy of the Articles of Incorporation, its By-Laws or Articles of Partnership and
amendments thereto, if any, duly registered with the Securities and Exchange
Commission.

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c. Proof of ownership or contract of lease over an area adequate to serve as

maintenance depot and garage for all its units (not applicable to water
transport);

d. A list of names of all officials and employees, and their respective designations,
nationalities, home addresses, certified correct under oath by the General
Manager/President; and

e. e. Such other papers or documents as may be required from time to time by

the Department.

f. Land Transport

a. A copy of the LTFRB certificate of franchise or authorization for tourist

car/bus service.

b. A copy of the transportation rates as approved by the LTFRB

c. Pictures of the vehicle showing the side, back and front views thereof
with the company's name and logo imprinted at its rear and sides,
respectively; and

d. Such other papers or documents as may be required from time to time by

the Department.

g. Water Transport

a. A copy of the Certificate of Public Convenience and Necessity issued by

Maritime Industry Authority.

b. A copy of the transportation rates as approved by the Maritime Industry

Authority.

c. Pictures of the vessel showing the side, back and front view thereof with
the company's name and/or logo imprinted at its sides;

d. A copy of routes to be served and schedules.

e. Such other papers or documents as may be required from time to time by

the Department.

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Accreditation Fee

Upon approval of the application, an annual accreditation fee shall be collected from
the applicant in the following schedule of fees per unit:

Validity of Accreditation

The accreditation duly issued to any tourist transport operator shall be valid for a
period of one (1) year from its date of issue unless sooner revoked for cause by the
Department.

Supervision of Operation of Travel and Tour Services

Request for the Department identification cards. The Department Identification

Cards shall be issued to employees of tourist transport operators upon request subject
to payment of a nominal fee. Provided, that said employees are included in the list of
personnel of the operator concerned.

Surrender of ID Card. Officers and the employees who have ceased to be such shall
immediately surrender their ID cards to the Department.

Service. Operators shall provide service that is a safe, regular, comfortable, and
convenient as possible.

Display of Certificate of Accreditation. -The certificate of accreditation shall be

displayed in a conspicuous place of the establishment.

Non-transferability of Certificate of Accreditation. -The rights over the accreditation

shall be non-transferable.

Periodic Inspection. - When necessary or when public good dictates, the Department
may send an inspection team to the establishment for the purpose of finding out
whether they are being kept and/or managed in a manner conformable to the
standards set by the Department. The inspection shall be conducted at a reasonable
time of the day with due regard and respect accorded to the right to privacy of parties
concerned.

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Checklist to be Accomplished During Ocular Inspection of the Establishment. -The

DOT's inspection team shall provide itself with a set of checklist of the requirements
for the establishment. All deficiencies found as well as the requirements complied with
shall be noted in the checklist.

Defects and Deficiencies Found During the Inspection. - Where certain defects and
deficiencies have been found in the courses or the inspection, the Department shall
give direction to the manager or operator to rectify the defects and deficiencies within a
reasonable period of time.

Penalty for Failure to Remedy the Defects, Etc. – If the management fails to remedy
the defects or deficiencies, the Department may revoke the certificate of accreditation
of the establishment.

Grounds for Cancellation of Accreditation

a. Making any false declaration or statement or making use of any such declaration
or statement or any document containing the same or committing fraud or any
act of misrepresentation for the purpose of obtaining the grant of accreditation.

b. Failure to maintain the standards and requirements for accreditation as

prescribed under these Rules.

c. Promoting, facilitating, or conducting activities constituting prostitution

particularly those involving children, as part of a tour for both foreign and
domestic tourists;

d. Violation of or non-compliance with any of the provisions of these Rules,

promulgated orders, decisions and circulars issued by the Department and other
concerned government agencies; and

e. Any other act or omission that works against the interest of the tourism industry.

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