Will Costa put cruising on the rocks?

Those TV pictures of Costa Concordia lying precariously on its side off the rocky coast of Giglio and the scenes of chaos now emerging in video footage from rescued passengers are enough to send a chill through the heart of anyone who has ever taken a holiday on a cruise ship.
The fact that it was the reckless act of a macho captain which led to the disaster goes some way to restoring faith in the on-board systems and equipment which are designed to prevent tragedies such as this.
But what about customer faith in cruising itself? What effect will this event have for Costa Crociere, parent company Carnival Corporation, and the cruise industry as a whole?
From both practical and emotional points of view it seems inconceivable that Costa Concordia could be salvaged and returned to service. The financial loss will be huge, even before taking into account compensation for passengers on the affected voyage, and those whose future holiday plans have been shattered by the sinking.
Carnival have already made a statutory announcement to the stock exchange anticipating the impact on its finances will be at least $95 million – immediately prompting a huge fall in the share price.
Competitor companies will join them in monitoring bookings for cruises in the months ahead. This is the so-called “wave season” as families book their holidays for this year and next. The events of this weekend may well cause many people to reconsider, or at least hold off making a decision for a while longer – possibly in anticipation of picking up a bargain.
The Titanic effect has always exercised a macabre influence on the modern cruise industry. Many modern cruise ships owe their design and décor to the liner which sank 100 years ago this April. The di Caprio-Winslet film has sold more cruises than any cruise line’s advertising campaign and until this week, commemorations of the centenary were being anticipated as another marketing opportunity.
There will be a film based on the Costa Concordia disaster one day, I am absolutely certain. An updated Poseidon Adventure at least.
And there may well be a dip in bookings during the coming weeks.
But as time passes, customers will realise that – however dramatic was the first sinking of a major cruise liner in living memory – the vast majority of passengers were brought to shore safely. They lived to tell the tale. And I wouldn’t be surprised if many of them are back at sea one day.
Cruising is still the safest form of travel there is. The journey from your home to the port where you join your ship is, statistically, much more dangerous than the days at sea.