Fear of flying could be a boon for cruise lines

Associated Press

SEATTLE — Hoping to ease travel fears and appeal to vacationers on tighter budgets, Holland America Line said Friday it will increase the number of shorter cruises leaving from Seattle and other U.S. ports.

A $100 million marketing campaign will tout shipboard travel as safe, easy, and a way to see the world without getting on an airplane.

"We recognize that some people may be hesitant to travel overseas or take long flights now," said David Giersdorf, senior vice president for the Seattle-based cruise line.

In a conference call to journalists, he said 90 percent of the company’s cruises — or about 360 sailings — will leave next year from U.S. and Canadian ports ranging from New York City to San Diego, Seattle to Florida.

The company will promote trips for those seeking vacations closer to home, Giersdorf said, adding that most cruises will leave from within a half-day’s drive of 40 percent of American households.

The hijacking terrorist attacks Sept. 11 have jolted the travel industry. Fear of flying combined with a reluctance to spend in a weakening economy are keeping people off airplanes and, in turn, out of hotels, restaurants, amusement parks and cruise ships.

The three major U.S. cruise companies, Royal Caribbean Cruises Ltd., P&O Princess Cruises PLC and Holland America’s parent company, Carnival Corp., have lost millions of dollars since the attacks.

Giersdorf said Holland America had about 40 percent fewer bookings this week than in the same week last year.

Holland America previously announced it will begin cruising to Alaska from Seattle next summer. Nearly all Alaska cruises begin or end in Vancouver, British Columbia, but the company says its flagship Amsterdam has the speed to originate farther south. Holland America will offer 19 new weekly round trips from here, and 115 Alaska cruises total next year.

Holland America also will have a new weekly round-trip cruise from San Diego to Mexico, increase the options for shorter trips, and have more cruises leaving from Florida, a key customer base.

The company is converting some one-way cruises into round trips, hoping to save vacationers money on air fare and avoid airplane travel.

A cruise to the Panama Canal that used to require a one-way flight, for example, will be changed to a round-trip cruise leaving from and returning to Fort Lauderdale, Fla.

Trips originally scheduled to stop in parts of the Middle East that are now considered risky will be rerouted. The company’s 100-day Grand World Voyage will substitute planned stops in Israel and the Middle East for stops in South Africa and South America, for example.

Mike Driscoll, editor of the industry newsletter Cruise Week, said other cruise lines will likely follow suit.

While that’s likely to boost competition, Driscoll said Holland America is probably making the right decision.

"I think it’s the best move given the circumstances," he said. "While it’s not an ideal solution, it’s probably the best."