Summer and the fast approaching school holidays can mean only one thing: vacations. Any tourism-based business thrives in the summer season, and the passenger ferry market is no different. However, what is good for the passenger market has disadvantages for the freight ferry industry.
Passengers and freight generally form two very different divisions of the same ferry company; both with objectives to be met and space to sell. Each ferry has a capacity restriction and they cannot sell the same space twice. From the perspective of a ferry company, passengers are a much more lucrative proposition. Per meter, several cars fit in the same space as a 16.5 m truck, which generates different levels of increase in income depending on the route and the crossing time. As an example, an average fare for a Dover – Calais junction would be £ 180 for a 16.5m unit of load. 4 cars would fit in this space (assuming they are not loaded on the mezzanine decks) at an estimate of £ 90 per unit, £ 360 total revenue, £ 180 more than freight. Passengers do not receive free meals or staterooms, they buy drinks, buy souvenirs at the onboard shops and use many other facilities on board to pass the time. And above all, passenger prices can be determined by supply and demand. Peak season prices can often be double the price, or even more, freight prices remain constant throughout the year.
When the holiday season rolls around, the lucrative passenger market means only one thing to the cargo department that operates the Ropax ships … less space. And less space can mean disappointing loyal transportation customers who support service 365 days a year. For example, at the height of the Christmas season, the most popular tourist trips on the Western Canal may have only 2 or 3 cargo spaces to sell. Someone is going to lose out.
The last few years had seen a decline in passenger numbers, brought on by the rise in budget vacations and cheap package deals. Passenger traffic through the Scottish ports of Cairnryan and Stranraer declined 32% in the 10 years to 2008. However, the recession and the volcanic ash crisis have seen a setback in favor of the ferry operator. All operators have launched offers and advertising campaigns to attract tourist traffic. In May this year, Brittany Ferries reported that their number of passengers was 5 times higher than in 2009. Another example, the new Irish Sea operator Fastnet Line operating Swansea to Cork claimed that due to the work they were doing with Visit Wales and Tourism Ireland, passenger numbers on their route were twice as high as they anticipated.
So what does this mean for the freight ferry market? Even with the traditional shutdown of the manufacturing industry in the summer, the demand for cargo space remains high. Freight ferry customers should be prepared for frustration, waiting list reservations, and open-minded for other route options. In the most touristy areas, such as the Western Channel and the short sea lanes of the Irish Sea, passengers will unfortunately be king in a rising market. Using the options offered by freight ferry operators, such as Seatruck in the Irish Sea or Cobelfret in the North Sea, can be one way to avoid cars.
Solutions
Think about what time of day you want to travel, crossings that depart at night may seem less attractive, but there will be more cargo space available. Avoid fast ferries, these have the highest passenger bias.
But most of all, book early and be open to alternative options.
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