A new study released by the Florida-Caribbean Cruise Association (FCCA) found that cruise tourism contributed more than $258 million to the economy of the Virgin Islands in the 2023/2024 season, $73 million more than in ​​2017/2018.

The increase in economic contribution from cruises was true across all Caribbean destinations, with the USVI reporting the third largest economic benefit from cruise tourism, after Cozumel and the Bahamas.

The number of Virgin Islanders directly employed in the cruise tourism industry also increased to just over 5,000 in 2024, compared to under 3,450 in 2018.

Despite the rosy numbers, the study by Business Research & Economic Advisors (BREA) noted a worrying trend. Land visits by passengers and crew are down, the latter significantly – from 39% in 2018 to 30% in this year’s study. Passenger landing rates fell to 83% this year from 85% in 2018.

Despite lower visitation rates, total direct spending per passenger increased, aggregated across all destinations. Average spend per passenger (both by transit passengers and port of origin passengers) increased slightly. The USVI had the second highest average spend at $166.22, behind Panama ($190.61). In the 2018 study, the territory was first, with an average passenger spend of $165.42.

Across all destinations, passengers spent most of their money (about $2.4 billion) in four major categories; shore excursions, watches and jewellery, food and drink and clothing. In the USVI, total passenger spending across all categories reached just over $221 million, up from $156 million in 2018. Visits and crew spending, however, declined slightly between 2018 and 2024. Trips on dry were the most popular purchase, with 56% of all cruise visitors to the territory purchasing a tour – up 10 percentage points from 2018. Of those passengers, 76% bought directly from the cruise line, while only 5% of those who went on excursions booked with a local supplier. In 2018, onshore companies received 16% of shore excursion bookings.

The cruise lines themselves also spend more with the territory, on port fees and local provisions. In the 2024 study, this totaled $26.55 million for the USVI, compared to $18.04 million in 2018.

The data paint a complex picture for cruise travel in the USVI. While visitor numbers have increased, the territory has been largely unable to convince cruise passengers to spend more while they are here. Given the recently passed legislation that allows visitors to St. Croix to stay on their ship to patronize the on-board casinos, local cruise-focused companies will have to refine their strategies to attract spending customers.