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Posted: Tuesday 29 October, 2024 at 8:38 AM

Federation’s cruise tourism shows positive signs for the economy

By: Staff Reporter, SKNVibes.com

    BASSETERRE, St. Kitts -- THE Federation continues to ranked among the leading cruise tourism destinations in the Caribbean, with data from the Florida Caribbean Cruise Association (FCCA) highlighting its substantial contributions to the local economy.

     

    At the FCCA's 30th Annual Conference and Trade Show held in St. Maarten, the Bahamas was confirmed as the top destination in terms of spending, generating US$655 million. Cozumel, Mexico, followed with US$483 million, while the U.S. Virgin Islands (US$258 million), the Dominican Republic (US$251 million), and St. Maarten (US$238 million) rounded out the top five.

     

    The FCCA reported that these five destinations together accounted for US$1.9 billion in direct expenditures, representing 44% of total cruise tourism spending across 33 destinations. St. Kitts and Nevis generated approximately US$113 million during the same period.

     

    Additionally, the Federation was one of nine destinations to surpass US$100 million in spending. This group contributed a further US$1.4 billion to the regional total, or 33% of overall cruise-related expenditures. Notable destinations in this category included Puerto Rico, Jamaica, Costa Maya, Honduras, the Cayman Islands, and Aruba.

     

    According to the FCCA’s report, cruise tourism during the 2023/2024 season generated US$4.2 billion in direct expenditures, 94,000 jobs, US$1.28 billion in employee wages across 33 destinations.

     

    Despite this success, St. Kitts and Nevis faces challenges, particularly with ship scheduling, which affects the number of passengers who disembark.

     

    The CEO of the St. Kitts Tourism Authority, Kelly Fontenelle, recently highlighted the need to enhance the visitor experience to encourage more cruise passengers to leave their ships.

     

    Speaking with SKNVibes, Fontenelle noted:“When you arrive in St. Kitts, there must be something unique that cannot be found elsewhere in the Caribbean. Often, we are the final stop on a seven-day cruise, and by that point, passengers may feel reluctant to disembark.”

     

    To address this challenge, she emphasized the importance of incentives and promoting local attractions. Tourism officials, along with taxi and tour operators, need to showcase what makes St. Kitts distinct.

     

    “It comes back to sustainable tourism—leveraging our local artisans and experiences that are exclusive to St. Kitts.”

     

    The CEO stressed that marketing efforts should focus on creating brand awareness by emphasizing the destination’s unique offerings, such as the scenic railway and farm-to-table tours. She added:

     

    “We must differentiate ourselves from destinations like Jamaica or Dominica. Visitors who have already seen similar experiences will not be motivated to disembark for the same attractions. But with unique offerings, such as tours on Mount Liamuiga with farm-to-table elements, we can stand out.”

     

    The FCCA study revealed a slight decline in transit passenger disembarkation rates, dropping from 85% in 2018 to 83% in the current season. Crew disembarkation rates also fell significantly from 39% in 2018 to 30%.

     

    However, average passenger spending showed modest growth with an 8.9% increase in total expenditures per passenger, from $133.25 in 2017/2018 to $145.10 in 2023/2024. There was a 2.8% rise in spending during both transit and home port calls, from $101.52 to $104.36.

     

    Notably, the jewelry and watches category experienced a decline, with a 26% decrease in average spend per passenger, representing a reduction of $8.52 compared to the 2018 study. Spending on local crafts and souvenirs also decreased by 25%.

     

    While St. Kitts and Nevis maintains its position among the top cruise tourism destinations, the Federation faces challenges in increasing passenger engagement and spending. The Tourism Authority recognizes that sustainable tourism, combined with targeted marketing efforts, will be essential in building brand awareness and attracting more passengers off the ships.

     

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