| SIC Codes: | 4482 4481 |
| NAICS Codes: | 483112 483212 483114 |
The US cruise ship industry, which is divided into deep sea cruising and inland/coastal cruising segments, includes about 450 companies with combined annual revenue of more than $13 billion. Major companies in the deep sea cruise segment, which accounts for about 90 percent of industry revenue, include Royal Caribbean, Disney, and the US operations of Carnival and Genting Hong Kong. The deep sea cruise segment is highly concentrated: the four largest companies generate more than 90 percent of segment revenue.
Demand for cruises is driven by consumer leisure and spending. Small operators have the competitive advantage of lower labor and equipment costs and more personalized service; large operators benefit from stronger bargaining power in vendor contracting, the ability to spread costs over a larger number of passengers, and greater financial resources for marketing, expansion, and investment. The deep sea cruise segment is capital-intensive.
Passenger ticket sales account for about 75 percent of industry revenue. Other revenue sources include casino gaming, retail concessions, and equipment rental.