The Royal Caribbean cruise experience is evolving, and it's moving well past simply sailing on a cruise ship.
Wall Street analysts, Cleveland Research Company, published comments on the trajectory of Royal Caribbean Group after a meeting with the cruise giant's investor relations. They see Royal Caribbean Group in the middle of a transition from cruise ships to total vacation.
"Over the past few years, Royal has essentially transformed the cruise industry into something more than just a cruise," the report starts out by saying. And that's primarily because of its focus on land-based destinations it's cultivating.
Cruise lines have had private islands for decades, but the difference is how Royal Caribbean is going beyond offering a secluded beach. There is a major shift in the scale, scope, and type of experience being offered that rivals even going on the ship.
"Evolving into a total travel company"
The analysis by CRC says Royal Caribbean is "evolving into a total travel company" instead of just being a cruise line.
It's a very rosy picture for the cruise giant, as they're seen as a market leader in what they're doing and how it's translated into sales.
"Royal’s lean into these islands is now something that all peers are attempting to emulate," the report says.
Here's how the numbers break down:
- About 9 million passengers will sail with Royal Caribbean
- 4 million will stop at a private island
- In 2019, only 1.6 million people visited a private island with Royal Caribbean
- 0.9 million people visited CocoCay in 2019 vs 3.5 million people in 2025
That's a major shift because of the growth in popularity of Perfect Day at CocoCay. As of now, Eastern Caribbean sailings account for 65-70% of the Caribbean sailings overall because so many ships call on CocoCay (as well as the island being so close to Florida).
Royal Caribbean indicated that number "should look much more balanced" when Perfect Day Mexico opens in 2027.
Bigger than the Magic Kingdom
Perfect Day Mexico is more than a counterbalance to CocoCay, it's set to be the new golden standard for what a vacation day will look like.
Opening in late 2027, the second Perfect Day is going to be massive. The footprint is over 200 acres, which is bigger than the Magic Kingdom in Walt Disney World and double the size of CocoCay.
The CRC report claims once it's fully operational, over 5 million passengers will visit it per year.
It also means more ships can visit the "underserved" Western Caribbean market, benefiting ships that homeport in Galveston, Tampa or New Orleans.
Beach clubs solve a cruise ship passenger problem
According to Royal Caribbean, today passengers typically don’t get off the ship in places like Cozumel or Nassau, but they think their beach club product will solve for that.
In addition to the Perfect Day spots, two new beach clubs will open too.
Royal Beach Club Paradise Island in Nassau will open in December 2025 and Royal Beach Club Cozumel in late 2026.
Unlike CocoCay, these are extra-cost admission areas owned and operated by Royal Caribbean that seek to offer the ultimate beach day.
CRC thinks over 1 million people could buy passes to each annually, and they believe the price will average upwards of $200 per person.
Building out private beaches means there could be certain itineraries where a ship visits three different ports that feature a Royal Caribbean private enclave.
By 2028, 90% of passengers sailing in the Caribbean will visit a private destination run by the cruise line. That number is 60% today.
River cruises are a smash hit
Earlier this week, Celebrity Cruises opened pre-bookings for its first river cruises, and deposits sold out within minutes.
CRC notes the river boat design draws clear inspiration from the Edge Class ships.
Stateroom categories include River View, Infinite Veranda, Veranda, and two suite classes: the Skylight Suite and Vista Suite.
Included in the ticket fare is one shore excursion per day, dining, select wine and beer (option to upgrade), and internet access.
Suite guests receive butler service, exclusive dining access, daily cocktail hours, and laundry service once per sailing.
The first sailings will be 7-night sailings along the Danube and Rhine rivers, which CRC says account for the majority of European river cruise capacity.
