Cruise Tourism Generates 361 Million NOK on Svalbard
Posted: 27 January. 2025
A recent report shows that cruise tourism generated 361.5 million NOK in local revenue on Svalbard in 2024, which corresponds to 9% of Svalbard’s total economic activity. Expedition cruises contributed the largest share, but conventional cruises also made a significant contribution to the revenue.
The report is compiled by Epinion on behalf of Visit Svalbard and the Svalbard Cruise Forum, and provides valuable insights into how cruise tourism impacts the economy of Svalbard and Longyearbyen.
Key Findings from the Report:
- Expedition and conventional cruises contribute to Longyearbyen’s economy, with 235 million NOK and 112.5 million NOK, respectively, in 2024.
- Expedition cruises generate higher local value per passenger, linked to factors such as passenger turnover in Longyearbyen, leading to purchases of various local goods and services, including supplies.
- Total economic value per passenger: Expedition cruises contributed 8,090 NOK, while conventional cruises contributed 2,960 NOK to the local economy, including both passenger and operator spending.
- Average spending per passenger: Expedition cruise passengers spent an average of 2,227 NOK, while passengers on conventional cruises spent 1,886 NOK.
- Out of a total of 68,000 passengers, 21,000 visited Ny-Ålesund. This resulted in 14 million NOK for Ny-Ålesund alone.
- Svalbard’s Environmental Protection Fund received 10 million NOK in visitor fees from cruise passengers. The report indicates s a positive attitude toward paying an additional local visitor fee.
The analysis also shows that over 60% of passengers wanted longer stays in Longyearbyen, indicating future potential for further local value creation.
A Driving Force for Longyearbyen’s Economy
Cruise tourism to Longyearbyen contributes to local value creation across various sectors. Expedition cruise ships contribute by purchasing services such as provisioning, technical support, and use of the port and airport, while conventional cruises generate significant income related to port services, activities, and experiences for passengers.
Compared to a previous study from 2018, data from 2024 shows a threefold increase in the economic contribution from cruise tourism. This increase is due to both real changes like inflation and a higher number of calls, as well as methodological improvements in data collection. This provides a more accurate picture of the development of cruise tourism and its importance for Longyearbyen.
“Factual knowledge and statistics are crucial to ensuring that both industry and authorities can make well-informed decisions. The updated figures provide a better understanding of how tourism can be managed sustainably,” says Frigg Jørgensen, Director of AECO.
