The Japanese cruise market was long thought promising but underdeveloped. Among the international lines operating there, MSC Cruises is an unusual case: a latecomer that rose rapidly to become a central player. Rather than imposing its European model, MSC adapted to Japan’s unique distribution structure and cultural sensibilities, nurturing the market from within.
By Nobuko Fujiwara
From small ripples to a wave
1998 was Japan’s “first year of cruising”. Three cruise companies were established, three small cruise ships were built, and travel agencies officially began selling cruise products. The total number of passengers that year was a modest 50,000.
Not long after that, the Japanese government and state tourist body invited ports to start participating in Seatrade and other industry events, with the aim of promoting the country and attracting foreign cruise ships.
In 2008, MSC Cruises Japan was established. At first, the company focused exclusively on fly-and-cruise products, sending around 5,000 Japanese travellers annually to “discover MSC” on sailings in the Mediterranean, the Caribbean, South Africa, and South America.
The turning point came in 2014, when Oliviero Morelli moved from London to Tokyo to lead the local office and develop a regional strategy. “Our goal was clear from day one: bring a ship to Japan and become a real game changer,” he told CruiseTimes.
Morelli’s transfer was partly for corporate reasons, but it was also because he had a longstanding personal affection for Japan. It was the first country he ever visited, aged 18, and he had returned often to explore different areas with a pre-internet Lonely Planet guidebook in hand. This background helped him integrate into the Japanese business environment, and that integration moved to another level this year when he married a Japanese woman (they honeymooned on an Explora Journeys cruise).
Drawing on MSC Group’s global cargo expertise, the company recognised the region’s strategic importance on the global maritime map. But did the demand for cruise exist? Morelli felt that it did – “if properly stimulated”.
Encouraged by a successful trial season with MSC Splendida in 2017, MSC made the bold move of deploying the brand-new 170,000-gt MSC Bellissima to Japan in 2019. “Japanese travellers love what’s new,” said Morelli. “So we decided to compete with our best hardware.”
As a measure of how far Japan has come, its total number of cruise passengers hit 357,000 in 2019 (one third domestic, two thirds international). The number is still recovering after Covid-19, and stood at 224,100 in 2024. But it is expected to be in the 250,000–300,000 range by the end of 2025, and an official target has been set of 1 million by 2030. MSC, meanwhile, has become the market leader in both fly-and-cruise and Japan roundtrips, carrying over 100,000 Japanese guests a year.
Structural adaptation
Coming from the UK, one of the world’s most mature cruise markets, Morelli faced an entirely different business structure in Japan. While online booking and direct sales dominate in Europe, most Japanese guests still visit brick-and-mortar travel agencies and book through personal consultation.
“Even today, after 11 years, there is almost no direct business and very few online agencies,” Morelli said. “Most customers still prefer to visit a retail travel agency, sit down, ask a lot of questions, and then decide. That is part of the Japanese guest’s nature, and it’s not something we should try to change.”
Japan also has relatively few travel companies, each one very large. “One agency can cover the whole country,” said Morelli. “That is positive, but it’s also a risk, because one partner has huge weight in your yearly result. So it’s vital to understand the needs of every major agency and support them. In Japan, travel agencies are our best friends. Understanding their needs and building long-term trust is the key to success.”
MSC worked at this, co-developing itineraries and promotional campaigns with its leading partners. This collaborative approach proved essential in adapting to Japan’s relational business culture and laid the foundation for sustainable growth.
Internally, MSC also came to see that the Japanese source market could not simply be treated as an extension of Europe. “Japan alone can only do so much,” Morelli said. “But if you look at Asia as a whole, it becomes extremely important for MSC and for the cruise industry. Japan is the number-one destination for almost every cruise in Asia – from China, from Korea, from world cruises – so it’s a key destination and also a strategic source market.”
Onboard changes
If the commercial strategy has been about respecting distribution realities, onboard it has entailed carefully harmonising Japanese people’s expectations with MSC’s Mediterranean style. “Japanese hospitality standards are amazing – probably the highest in the world – so our job is to meet that expectation but still let guests feel our warmth, our Mediterranean hospitality,” Morelli revealed.
That philosophy shows up in seemingly small but culturally significant details. As an Italian, Morelli jokes that his ideal plate of pasta is “as big as possible”. But Japanese guests often feel uncomfortable if they cannot finish the plate: “It feels like waste,” he said. So MSC reduced portion sizes while allowing guests to freely request seconds. This improved customer satisfaction and supported MSC’s commitment to sustainability.
In entertainment, the brand took inspiration from Japan’s social customs. “Many Japanese are shy about dancing in public,” said Morelli. “But the spirit of summer festivals, where people wear yukata and dance together, offered a cultural key.” International deck parties and theme nights (including a popular silent disco) allowed a way in. “By the second or third night, everybody joins in,” said Morelli.
These changes, made in close consultation with travel agents, have helped transform the perception of cruising among Japanese newcomers from a passive, “coach tour at sea” type image to a more interactive and experiential holiday.
Loyalty and market mix
MSC Bellissima has become one of the most recognised foreign cruise brands in Japan. But a lot of the work occurs behind the scenes. “Hardware is important,” said Morelli, “but relationships and perseverance matter even more.”
Through close collaboration with Japanese travel partners, MSC localised everything from cuisine and entertainment to itineraries. The result: two consecutive “Asia’s Best Cruise” awards at the Jeju Cruise Forum, and in 2023, Bellissima became the first foreign ship to win the Cruise of the Year Grand Prize presented by the Japan Oceangoing Passenger Ship Association (JOPA).
Repeaters now account for roughly 20% of Japanese guests, a high ratio for this market, with many loyal fans sailing three or more times a year. Japan also ranks among the world’s highest in top-tier loyalty programme participation, indicating a real emotional connection to the brand. “When I see a gentleman with long hair and a cowboy hat in Yacht Club, I know he’s here for the third time,” Morelli laughed.
“When a Japanese guest finds a product they like, they rarely change,” he said. “They develop a strong affection not just for the ship’s name, but for the captain, the guest relations team, the entertainment team. That’s why we try to keep key crew members while bringing in new faces – so that guests feel they are coming home when they return.”
Amid a weak yen and higher costs of overseas travel, many Japanese travellers now view cruising as “a way to feel abroad without leaving home”. They rediscover Japan’s coastal beauty while enjoying multicultural service and Mediterranean hospitality: an experience that feels at once global and familiar.
On Bellissima, guests can visit several cities in one trip, maybe add Korea or Taiwan, and still embark and disembark in Japan. Morelli characterised it as “a completely different frontier of holiday” – one that is starting to shift Japanese travel habits in favour of cruises.
Until recently, Bellissima was focused on attracting the domestic segment. But from 2025 onwards, MSC has started to actively grow the international mix. At the moment, about 70% of guests are Japanese and 30% are international.
“Anywhere between 50–50 and 80–20 is a good, healthy mix,” said Morelli. But it depends on the itinerary: “For 9-, 10-, 11-night cruises, a 50–50 mix is ideal. If I’m a foreign guest, I want enough time to really understand the country and enjoy a proper round trip. For many Japanese guests, though, it’s harder to take 11 days off. Seniors or retired guests may find nine nights perfect.”
Creating winter demand
To achieve year-round deployment in Asia, MSC sought regions that were suitable for winter cruising. They found the answer in Okinawa. In 2023, after several years of discussion with the Okinawa Prefectural Government, MSC launched a four-night itinerary on Bellissima linking Naha, Miyakojima, Ishigaki, and Taiwan.
By sailing during the island’s traditional off-season, MSC successfully stimulated both local tourism and port economies. It launched a “domestic fly-and-cruise” programme connecting 24 airports nationwide, attracting more than 60,000 guests in the 2024 winter season.
On the infrastructure side, MSC did not wait for others to act. “There was nothing there,” Morelli recalled. So the company built a 4,000-square-metre temporary terminal in Naha with its own investment – a project later adopted by other cruise lines. A permanent terminal, co-developed with Royal Caribbean, is now under construction and is scheduled for completion in 2028.
Partnerships and growth
Japan is one of the world’s most port-dense nations. Many are sheltered in bays and connected by impressive bridges, which is good for local communities but challenging for the latest generation of large ships.
MSC’s approach to this problem has been two-pronged: secure at least one highly accessible main embarkation port, such as Tokyo’s Odaiba terminal, and build a network of transit ports along the coast that can accommodate Bellissima safely and efficiently.
Japanese port authorities, for their part, have been increasingly proactive: joining international conferences, conducting overseas site visits, and studying global best practices in large-ship cruising.
“We really appreciate the effort local governments are making,” Morelli said. “Japan understands that cruise can be the next big thing for local economies. Everyone benefits, as long as the ports grow at the same level as the ships. Our philosophy is not to visit a port once, but to grow together with it.”
MSC has supported local efforts by sharing expertise and co-investing in port infrastructure. “The collaboration among ships, ports, and local communities is now stronger than ever,” noted Morelli. “Japanese ports are gaining a global perspective, and the momentum for regional cooperation through cruising is accelerating.”
Domestic operators such as NYK Cruises and Mitsui Ocean Cruises are adding new tonnage, while global brands, including Disney Cruise Line, are expanding in Japan. For Morelli, competition is a positive force. “Being number one means nothing if there’s no one else in the race,” he said. “A healthy market thrives on diversity, and that’s what will grow cruising in Japan.” He said he is on good personal terms with the presidents of the Japanese cruise companies, seeing them as partners in building the overall Japanese cruise market.
That market remains relatively small, but its potential for expansion is significant. Morelli identifies digitalisation as a key driver of future growth – especially to engage younger people, who prefer to book online rather than visiting agencies.
He is encouraging major travel agencies to establish online booking systems for cruises, enabling guests to search, select, and reserve directly from their smartphones. “Gen Z and Gen Alpha expect everything to be one click or one QR code away,” he said.
While MSC does not plan to shift immediately to direct online sales, it supports partners in digitising their operations, recognising that the next wave of growth will inevitably be driven by technology.
Bellissima and the contemporary MSC product are only one part of the MSC Group’s long-term strategy in Asia. In 2027, sister brand Explora Journeys – managed from the same Tokyo office – will bring Explora III to the region, with itineraries around Japan, South-East Asia, and China.
“With Explora, we want to be number one in luxury, just as MSC Cruises is number one in the contemporary segment,” Morelli said. “It’s not just a step up from Yacht Club – it’s a totally different style, more like a high-end hotel at sea. We want people who never considered a cruise before to see Explora as something else: an experience, not just a cruise.”
Booking patterns are already very different. Explora guests tend to plan far in advance, and current demand is largely from North America, UK, Europe, and Australia – a typical profile for a new luxury brand. The challenge, and the opportunity, is to develop a Japanese luxury cruise clientele over time.
A corridor across the seas
Today, Morelli’s role extends beyond Japan to Korea, Singapore, and the ASEAN (Association of Southeast Asian Nations) region. In 2024, MSC opened a new office in Singapore to spearhead market development in Indonesia, Thailand, Vietnam, and Cambodia – all countries with a strong maritime culture but only nascent demand for cruise.
While Japan and Korea are decades ahead in cruise awareness, Southeast Asia remains a vast blue ocean of opportunity. “These nations live by the sea; the economy is linked to the sea,” said Morelli. “They understand the joy of spending holidays on the water.”
From the perspective of Japan’s still-emerging cruise market, MSC’s trajectory suggests that careful localisation, long-term partnership with ports and agents, and a clear regional vision can turn mere potential into a sustainable, year-round business.
Now the company is extending its influence, building a maritime corridor that links the entire Asian region. MSC’s growing network, rooted in the Mediterranean spirit, is quietly but decisively redrawing the cruise map of Asia.
