Lured by skyscraper-sized vessels and resort-style pools, luxury spas, ice skating rinks and other flashy amenities, a younger generation of travelers is helping propel the cruise industry to record passenger numbers, both locally and nationwide.
In New Orleans, 1.21 million passengers boarded or got off a cruise ship in 2024, according to the Port of New Orleans, the highest passenger tally in the port’s history. The record number bested the 1.19 million passengers who passed through the port in 2019, the previous high-water mark. Baton Rouge, which has been trying for nearly a decade to position its downtown as a destination for river cruises, also saw an increase in the number of cruise ship passengers last year.
The uptick signals a rebound for an industry that was decimated by the coronavirus pandemic. Vessels were shut down for nearly a year and some analysts predicted at the time that the industry would never recover. On the contrary, it has made a roaring comeback thanks to shifting demographics and a healthy economy.
Beth Branch, president and CEO of Port NOLA, credited cruise companies and hospitality partners for the record figures and said things were on track for another strong year in 2025.
“These valued partnerships continue to drive strong demand and promising growth projections for both oceangoing and river cruising from Port NOLA,” Branch said in a prepared statement.
Future growth?
The presence of cruise ship passengers helps boost the local hospitality industry. About 90% of cruise ship passengers in New Orleans are visitors from out of state, with 70% spending a night or two in the city before or after their voyage.
New Orleans port officials said cruise passengers account for more than 300,000 room nights and more than $125 million in spending annually. Baton Rouge has only provided partial numbers for the number of riverboat cruise passengers who visited the city in 2024; however, the figures that were available showed an increase.
American Cruise Lines said 20,200 passengers stopped by as a result of the company’s 119 cruise dockings. That’s up from 12,122 passengers on the company’s 121 Baton Rouge dockings. Laura Cating, a spokesperson for Visit Baton Rouge, said the figures are approximate because some passenger numbers aren’t recorded.
Viking River Cruises did not provide passenger numbers for Baton Rouge.
Demand for U.S. river cruises is high and the industry is projected to post double-digit growth over the next five years, according to a report by Grand View Research, a consulting firm that tracks the industry. But droughts and floods frequently affect Mississippi River cruises, causing delays and changes in itineraries.
Cating said the number of American Cruise Lines dockings in the city is expected to drop further in 2025, due to more competition from riverboat cruise companies. Officials from the company visited Baton Rouge last week to explore ways to enhance the riverboat experience, she said.
Not your mama’s cruise ship
A number of factors are helping boost the cruise industry, such as a favorable economy with continued wage growth and low unemployment, experts say.
Also, while the core cruise traveler had been a baby boomer, younger passengers are trying the experience. Royal Caribbean recently said nearly half of its customers are millennials or younger who like the fact they can visit multiple destinations on one trip. Carnival Cruise Line said the number of first-time customers has increased 30% from a year earlier.
Cruise amenities were once limited to buffets, free drinks, casino gambling and duty-free shopping. But the modern vessels are nearly just as much of an attraction to some passengers as the tropical beaches and resort cities they visit. Icon of the Seas, the largest cruise ship in the world, offers features such as an ice-skating rink, a rock-climbing wall, six waterslides and a production of “The Wizard of Oz.”
Private resorts are another amenity cruise companies are offering. Royal Caribbean opened Perfect Day at CocoCay in 2019, a resort that takes up a Bahamian island and has a water park, zip line and what it claims is the largest freshwater pool in the Caribbean. Not to be outdone, Carnival will open Celebration Key this summer, with dual racing waterslides, more than 30 eateries and an 11,000-square-foot infinity pool.
These attractions give cruise companies the ability to give passengers a better experience and one that can compete with trips to theme parks, said Matt Boss, a JPMorgan analyst who follows the leisure and retail industries. All of these things are increasing the number of first-time cruise passengers. And once people take a cruise, they’re inclined to take another one: Cruise Lines International Association said 81% of millennials who took a cruise are planning another one.
“The inclusivity of a cruise holiday provides more value than travelers would find if they tried to recreate the same experience elsewhere — an appeal that spans generations,” said Kenny Robinson, a spokesperson for the Cruise Lines International Association.
Cruise Lines International Association projects some 34.7 million people took a cruise in 2024, up from 31.7 million in 2023. That number is expected to grow to 37.1 million this year.
AAA said 18.2 million Americans took ocean cruises in 2024, a 7.7% increase from 2023. The forecast for 2025 shows a slight decline in the growth rate.
AAA noted that cruise demand growth has outstripped hotel growth over the past two years.
“What we’re witnessing in the cruise industry is nothing short of amazing, but it’s no surprise,” Stacey Barber, vice president of AAA Travel. Barber noted that cruise vacations offer something for a wide range of passengers, and since most of the trip is already paid for, travelers don’t have to worry about expenses.