Cruise firms face 'off-the-scale' challenge in wake of coronavirus
Like many thousands of nurses, Julie Timson has spent the past few weeks suited up in an armour of personal protective equipment fighting the coronavirus and trying to save lives.
In
the moments when it’s too overwhelming on the ward, Timson takes a minute to
daydream about sipping cocktails on a cruise ship floating in some ocean
paradise destination.
“I am a cruise fan,” said Timson, who has
worked as a nurse for decades. “I have done several cruises a year and have one
booked this year in August and I’m forever hoping it will still go.”
Timson,
a widow who enjoys the sociability of cruising, said she cannot wait to get
back out on deck, even though cruise ships have been branded the “floating
Petri dishes” of Covid-19.
Dozens
of fatalities have been linked to cruise ships, with passengers and crew dying
while at sea and after disembarking. More than 6,300 passengers are still
onboard eight ships unable to dock as governments block disembarkation, fearing
it will spread the disease.
Some
travel industry experts fear the cruise holiday business may never recover from
coronavirus and shares in cruise companies have collapsed. Governments across
the world have banned new cruises setting sail for months and some sailings
have been suspended until at least November 2020.
But
the analysts may be underestimating the desire of people like Timson to get
back on board regardless. On dozens of Facebook groups dedicated to cruise
ships, the number of people bemoaning the fact that they cannot continue
cruising greatly outnumbers those worrying about the pandemic.
Ruth
Bowe, 29, a primary school teacher from Leicester who has been on 13 cruises,
cannot wait to go again.
“Cruising is a fantastic
way to see the world for a reasonable price. The ships are clean and they
always ask you to sanitise around the ship,” Bowe said, when asked why she was
still so keen to go.
“I started cruising with
my disabled mum who has multiple sclerosis. She is in a wheelchair, so, for
her, cruising is the way she can see the world. She can’t really fly, so
cruises from Southampton were our family holiday each year.
“Now my fiance and I
cruise regularly. You meet lovely people of all ages from all over the world.
It’s a great social experience. We have made friends with fellow passengers
that we still meet up with today. There is so much to do on board the ships and
it would be a real shame if the industry came to end. Millions of people would
lose their jobs around the world and for some people, working on the ships is a
much better life.”
While
Timson and Bowe are keen to get back on the water, some cruise fans have vowed
to give the all-you-can-eat buffets a wide berth for good.
Mike
Checkley-James, 61, a retired pension manager from Gloucestershire, said he has
eight cruises booked between now and September 2021 but he hopes they are all
cancelled. “After 36 cruises over 23 years my cruising days are over,” he said.
“The magic for me has sadly died with this pandemic.”
All
cruise companies are struggling financially. Royal Caribbean has secured a
$2.2bn (£1.7bn) loan against its ships. Norwegian Cruise Line has drawn down a
$1.55bn credit line. Shares in the London-listed Carnival Corporation, the
world’s largest cruise ship operator and the owner of the Diamond Princess,
collapsed by 80% between February and the peak of stock market panic in
mid-March.
However,
Carnival shares have gained 60% this week after the company secured $6.25bn of
rescue financing, mostly secured against $28bn worth of its ships, and Saudi
Arabia’s sovereign wealth fund revealed it had built an 8.2% stake in the
company.
“People got really buoyed up by the
Saudis buying in,” Ross Klein, a professor at the maritime studies research
unit at Memorial University of Newfoundland, said. “People say he got a great
deal and he’s going to make a fortune. That may be the case but I don’t see
cruising bouncing back quickly.”
Klein
said cruise companies will have to work hard to win back consumers’ trust.
“There will be some great deals for consumers to convince them to come on
cruises,” he said. “But it is going to be a hard task convincing people that
cruise ships are safe. It will be a very long time until cruise ships are
trusted by the Australian government and consumers.”
Australian
authorities this week launched a criminal investigation into how passengers on
the Ruby Princess were allowed to disembark in Sydney despite some exhibiting
flu-like symptoms. More than 600 people on the ship later tested positive for
coronavirus and 11 have since died – more than a fifth of Australia’s deaths so
far. The New South Wales police commissioner accused Carnival of potentially
breaching biosecurity laws and allowing the virus to arrive in Australia.
In
2012 the Costa Concordia ran aground and capsized off the coast of Tuscany,
resulting in 33 deaths.
A
Carnival spokesperson said: “In addition to willingly participating in the
investigation, Carnival Australia will vigorously respond to any allegations of
which there must now be full disclosure and the basis for them.”
The
industry has managed to bounce back from a series of other disasters, including
the capsizing of the Costa Concordia off the coast of Tuscany in 2012, which
resulted in 33 deaths, and numerous outbreaks of norovirus, rotavirus and
legionnaires’ disease.
But
Klein described the coronavirus pandemic as an “off-the-scale challenge”.
He
said: “By offering huge discounts they will be able to convince people who have
already been on multiple cruises to return. But the industry is set up for
growth, with more and more bigger ships coming through, and to fill them they
will need new customers. It will be extremely difficult to convince people who
have never been on a cruise before to take one now, no matter how much money
off you offer them.”
Robert
Cole, a senior analyst for the leisure travel at the research firm
Phocuswright, said the biggest challenge for the industry will be being able to
maintain physical distancing onboard.
“Cruise ships by definition are a mass of
people cramped together in a small space and there’s not much you can do
structurally to change that,” Cole said. “Even when the immediate crisis is
over, it is likely to be 18 months until a coronavirus vaccine is developed and
until then travel will be highly restricted and some form of social-distancing
measures will stay in place.
“On cruise ships there
are crushes of people everywhere. There are lineups [queues] for buffet, for
shows and to get on and off at every port.”
The
demographics are not helpful either. A third of cruise passengers are 60 or
older, the age group most at risk of serious illness and death from the virus.
“No
company wants its customers to be looking at it and saying: ‘Hmm, that looks a
bit risky’,” Cole said. “Maybe if you’re a zip-lining company, but not
cruises.”