The cruise category is set to grow by 12% year-on-year in passenger numbers.

Harding+ has revealed its three data backed strategies for driving brand success in 2025, based on sales proof points, 30,000 onboard guest surveys and the experience in running 300 shops across 85 ships.

The strategies to help existing cruise retail players and new aspirants win include:meeting customer expectations with fully rounded brand experiences; investing in exclusives and hyper personalisation approaches; and working with the rise of the cruise ‘family dynamic’ as a powerful shift for planning.

Harding+ said cruise retail offers key differentials for brands in their marketing and sales mix, such as: unparallelled access to customers with 7-14 day dwell time; the ability to integrate into the holiday ‘sense of place’; and precision targeting of audiences for each cruise line and destination.

Brand experience priorities

The brand experience strategy comes from analysis of Harding+ brand partnerships that show increases of over 35% in terms of sales impact where experiential has played a role.

Katie Floyd, Marketing Director for Harding+, said: “When guests are actively seeking out retail as part of their trip, surprise and delight strategies of course will help turn their heads.

But what is key is to bring elements of education and entertainment into play in each activation, and to recognise that if guests return to the store in question on the same trip (which they do on an average of 3 times), having something to showcase as different each time matters.”

The cruise retailer said commercial returns that match customer insights, where a summer 2024 onboard study revealed 87% of guests said their shipboard purchases were influenced by brand theatre.

Floyd continued: “Fusing multiple worlds and interests all build relevant storytelling and long term recall into play –  as we have recently done for Cunard’s Queen Anne ship launch and our ‘Cabinet of Curiosities’ showcase for multiple iconic British brands with technology, art and history working together.”

“If we go back to the summer 2024 guest survey data and see that 92% of travellers re likely or very likely to look forward to shopping when away, building an advantage to be seen, heard and sought out makes commercial, emotional and priority planning sense”

The hyper-personalisation strategy

The second strategy Harding+ recommends adopting is about personalisation, exclusives and linking to sense of place.

Guest research from M1ndset and CLIA reveals that 47% of cruise guests are shopping on impulse and looking for exclusives that they can’t find elsewhere, meaning their cruise trip can deliver retail led and well as travel memories.

In 2024, on board ‘exclusives’ proved to be commercial winners once again across the 85 ships that Harding+ serves.

Initiatives ranged from limited edition small batch whiskies to unique jewellery items tailored to locations visited, and personalised and engraved premium bottles of spirits.

Initiatives ranged from limited edition small batch whiskies to unique jewellery items tailored to locations visited, and personalised and engraved premium bottles of spirits.

Harding+ added the latter saw one brand’s sales increase by over 200% compared to a previous sailing, with an additional 120% uplift for their wider portfolio.

Linzi Walker, Commercial Director for Harding+, said: “A unique environment needs unique elements to match, and the brands that have invested in that approach have seen the rewards, as one size fits all retail strategies don’t necessarily work in cruise retail”

“What does work is effective collaborations based on listening, sharing and truly understanding the goals of each party in the brand/ship/guest dynamic. There is no room for retail to be boring or to lack freshness or relevance, but all the room to launch, treat, specialise or think bespoke for those with the time and desire to invest in brands and efforts.”

The rising family dynamic

The third key strategy is to dive deeper into cruise guest ‘family’ demographics, and capitalise on the shifting sands in cruise profiles, especially given the average age of a cruise guest is now 46, and 73% of trips involve families of at least two generations, with more than a quarter being multi-generational, and data shows 75% of families plan for ‘shopping’ to form an important part of their trip.

Floyd explained: “What works is integrated thinking –  what can keep the kids happy and the parents busy or browsing at the same time rather than dividing the family’s attention. Brands need to think through the line of the family dynamic to earn full on engagement.

Walker added: “As with everything in cruise retail, effort brings significant reward. Experiences, personalisation and exclusives, and rounded targeting of activities all fit the wider vibe of a cruise and why people sign up to enjoy one.

It makes total sense for retail to think differently here to match mindsets, and why the brand stable we work with is continuously growing.

Walker continued: “With 2025 set to be another growth year in the boom cruise sector, not being involved could feel like an omission to strategically regret in these broader tough times.

The sector spending habits are bucking wider shopping trends and shopping anticipation remains extremely high on the agenda of the 37 million+ annual cruise guests.”

AI-driven retail innovation

Alongside its overarching retail strategy for 2025, Harding+ and next-generation planning platform Dataviva have implemented an AI-driven demand forecasting and inventory management.

As reported by TRBusiness, Harding+ has embarked on a partnership with Dataviva to enhance forecasting and replenishment capabilities through advanced AI-driven solutions.

This collaboration aimed to significantly improve product availability, optimise sales, and redefine the cruise industry’s approach to supply chain management.

Each cruise ship operates with bespoke product assortments, traversing diverse global destinations with varying passenger demographics and logistical challenges.

Harding+ said it has addressed these challenges through  Dataviva’s innovative system, which leverages machine-learning and automated replenishment, codifying the intricacies of forecasting and inventory management for dynamic retail conditions.

To date, approximately 70% of Harding+’s portfolio is managed through Dataviva’s platform, with key metrics already demonstrating success: out-of-stock rates on key lines have dropped by 60%, while inventory value has reduced or remains steady, resulting in improved customer satisfaction and operational efficiency.

Driving Efficiency and Sustainability

Dataviva AI noted its forecasting capabilities have enabled Harding+ to make data-driven decisions for the optimisation of stock-keeping units (SKUs) to balance customer satisfaction with streamlined operations.

The automation provided by the Dataviva system has  empowered the Harding+ merchandising team to analyse  live sales data and focus on strategic initiatives, including long-term planning, vendor relationship development, and range management strategies.

Sustainability is said to be a critical consideration in the project too.

By integrating Dataviva distribution and control systems, Harding+ is hoping to minimise their environmental impact, as the platform recommends the most efficient shipping routes, reducing reliance on sea freight and minimising the need for emergency airfreight.

Harding + CEO Chris Matthews, CEO of Harding+, commented:’This has been a pioneering partnership. Great theory supported by strong results. Long term strategy of improvement matched with everyday tangibility for our teams. Sustainable wins from smarter planning, consistently stocked shelves, and an ability to confidently make the best decisions knowing they are backed up by live and actionable data.

Data is the long-term key to all we do – we already lead the way in delivering the highest levels of guest understanding – and to have this extra dimension for our business planning is a win for everyone in the Harding+ partnership space.”

Dataviva CEO Costas Malamas, CEO of Dataviva, added: “Our mission is to deliver ROI to our customers. We help businesses tick more smoothly and make smarter predictions across their Supply Chain.

The Harding+ project has been uniquely challenging but satisfying, working with an end-to-end Supply Chain that is one of the most complex I’ve seen – delivering across the globe to stores that are always on the move.”

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