Marketing MICE Cruises In China

Cruises have gradually gained acceptance from Chinese tourists as a new vacation product, and after several years of marketing promotion and cultivation by some famous international cruise companies, the Chinese cruise tourism market is showing great potential and companies from Amway, through Lenovo, to Unilever are using cruises as a venue for MICE events.

According to tourism reports from the Pacific Asia Travel Association, the development of Chinese cruise industry will go through three stages. In the first period from 2006 to 2010, some large international events including the 2008 Beijing Olympic Games and 2010 Shanghai World Expo would attract more international cruises to China, speeding up the construction of port facilities; and the cruises would become attractive for business and MICE events.

In the second period from 2011 to 2015, both outbound and inbound business in cruise tourism sector will be grow rapidly as more and more Chinese mainland tourists choose to go on the cruises, especially to destinations in the Asia Pacific region.

In the third period from 2016, the Chinese cruise industry would enter a mature stage in its development, with its facilities and services in accordance with international standards. Cruises would become mainstream products in the domestic and outbound tourism sectors, and local cruise companies will show off their capabilities.

In the current global financial crisis, many of the world cruise giants are eyeing China, of these in 2009, Royal Caribbean International and Costa Cruises are operating new routes by taking Shanghai as their home port, and thus offering more voyage options for Chinese guests.

Undoubtedly, in the first phase of cruise tourism development, the MICE sector is the main source market for travel agencies and cruise companies. Already there have been some MICE events held on the cruises, varying from several hundred to thousands of guests, which means that the cruises have gradually been recognized by corporate bookers as a new travel option and have been taken as an important form of employee incentive travel, an embodiment of corporate culture, and a way of thanking clients. Cruise companies and travel agencies have also made a lot of effort to develop MICE business on cruises. For example a 4,000-person MICE group hosted by Star Cruises in 2008 and Amway's global MICE group on a cruise scheduled for March 2009 both indicate that in 2009 will be the beginning of a new era for MICE events on cruises.

Optimized Combination Of Cruises and MICE
Zhou Li, manager of the International Cruise Department of Byecity.com & Hua Yuan International Travel, says that the current sources tourists for cruises tours are mainly newly-wed couples, families, groups of friends, and MICE groups. Cruises s offer meeting facilities for MICE groups. The exotic environment on a cruise is a new experience for guests: it's like being in another city.

Bai Jie, director of the MICE Center of Byecity.com & Hua Yuan International Travel, says that for MICE guests, thoughtful service is of great importance. Travel agencies take into consideration the objectives, the number of participants, and budgets of MICE events, whether they are business incentives or events to thank clients. Bai says that a cruise is the ideal option for mature MICE clients and cites five advantages of cruises over land-based MICE events. Compared to the tours to other countries, it is more convenient and the overall cost of MICE events on the cruise may be lower, it can save the cost of land transport at least.. The cruise is a mobile five-star hotel, so there is no problems with occupancy and rate differences. Prices normally include all food and beverage costs (with the exception of alcoholic drinks). Crew member on the cruise will offer free help and guidance for guests. And last but not least, cruises offer MICE facilities. For example, guests can hold a series of activities including seminars in the ship's meeting room and theater. It is easy to maintain a schedule, and is favorable setting for group and team building activities.

Royal Caribbean International: Growing Business in China
Lu Shu Wen, country manager fo China Royal Caribbean Cruises Shanghai Office said that Royal Caribbean International operates five large cruise brands: Royal Caribbean International, Celebrity Cruises, Azamara Cruises, Croisieres de France, Pullmantur, and TUI Cruises. Currently, its fleet has 48 cruise ships in service, and another seven very large cruise ships are under construction and are scheduled to be launched by the end of 2012.

The company offers many options for cruises with more than 400 destinations. It also offers land-tour vacations in Alaska, Australia, Canada, Europe, and Latin America.

From March 14 2009 to the end of April 2009, the company's 70,000 ton ship Legend of the Seas will be docked in the Shanghai International Cruise Terminal, and will host seven cruises departing from Shanghai. Meanwhile, its high-end luxury brand Azamara Cruises will dock in Shanghai, Tianjin, and Dalian from January 2009 through to March 2009.

Royal Caribbean International says that it has a long-term plan to extend its cruise operation time in China, focusing on Shanghai and to offer MICE services for Chinese corporate buyers.

Costa Cruises: One-stop Services
Leo Liu, general manager of the of Costa Crociere's Shanghai Representative Office says that MICE activities on cruises have long been popular and well-received in the European and American marketplaces and adds that cruises have gradually become a new option for business and MICE events in China.

For MICE guests, Lui says that Costa has professional teams offering services for every MICE event and they can respond immediately to the requirements of MICE clients. Costa has established partnership relations with about 100 travel agencies in China, throughout major cities around the country and cooperation with these travel agents gives greater effectiveness when dealing with a variety of travel-related procedures and services.

Lui adds that as only international cruise company that currently operates cruises 12 months of a year, Costa has developed three major port cities in China as its mother ports, operating different cruise routes..

MSC Cruises: Butler Service
Eddie Lau, sales manager of MSC Cruises says that cruises are suitable for family or friends' get-togethers, lovers, honeymooners, corporate MICE events, and business activities. MSC has cruise ports all over the world, and will arrange its voyages every year with regard to the weather and other factors according to different ships and locations, offering a variety of experiences.

Comparing Chinese cruise guests with those from the European and American cruise markets, Lau said that although they had totally different cultural backgrounds and habits, with the continuous development of Chinese economy in past few years, the public has become more aware of the options cruises offer. A number of well-off people in China are looking for new experiences, and the cruises offer a new option for high-level consumption for them. Increasingly Asian tourists love to travel on China based cruises or to go to Europe to join cruises.

Attracting MICE Customers
According to MSC's Lau cruise companies can supply complimentary meeting rooms and facilities. MSC cruises can offer a meeting room with a capacity of up to 3,000 people equipped with advanced meeting facilities. The cruise ship can provide spacious areas to cater for the requirements of large scale meetings or events. Guests can select a suitable cruise itinerary which can combine multiple destinations, and most cruise ships have satellite communication systems enabling MICE participants to stay I touch with colleagues and customers.

Asked about the economic forecast Lau says the economic recession is part of a cycle, and the downturn will be a good opportunity to develop. MSC will take into account all income groups, offering both discounted prices and high level service products. MSC is adding two new ships MSC Fantasia and MSC Splendida to its fleet, at the end of 2008 and in the spring of 2009 respectively. It will also offer a brand new butler service and an exclusive VIP area with professional equipment to meet the requirements of VIP guests.

Princess Cruises: Satisfying MICE Customers
Wang Ping, general agent in China, for Princess Cruises says that in recent years, the Chinese cruise market has gradually entered a rapid period of growth. The concept of deluxe cruises has gradually obtained acceptance among Chinese people who are no longer influenced by memories of traditional passenger ships.

Princess Cruises can offer complimentary meeting venues of different sizes and electronic equipment as well as buffets. The amenities on the cruise ships also include swimming pools, a table tennis rooms, a basketball court, a mini golf course, and digital golf venues, offering MICE guests a wide range of leisure and team building options.

Although Beijing is not a port city, Tianjin's new port which is just 160 kilometers from Beijing, is very good deep-water port, with many cruises anchoring there. Most tourists can accept an hour's drive. Wang said that almost all the Chinese staff of Princess Cruises are from the north of China. Taking advantage of Tianjin's new port, people and companies in North China will have easier access to the cruise culture than those from other areas around the country.

Star Cruises: Lifelong Memories
Liu Xing, senior manager of the North and Northeast China business department of Star Cruises (HK) says, that with the continuous development of Chinese economy, the cruise market has great development potential in China. Looking forward from the present situation, Chinese consumers have changed a lot with regard purchasing cruise products, from the original purchase of a single cabin to upgrading to a balcony room, from families to incentive tours. As an example of a MICE cruise, in October 2008 the cruise ship SuperStar Virgo hosted a 4,000-person group from a foreign owned company.