Bank of America credit and debit card transaction data show that cruise-related spending climbed 8.4% in May compared with the same month a year earlier, according to a Friday report.
The pace of year-over-year growth for cruises eased from April’s 15.8% increase but remained above March’s 6.7% rise. Despite those annual gains, cruise outlays declined on a month-on-month basis - falling 4.7% from April to May. That sequential drop was notably larger than the 0.5% average monthly decline recorded between 2023 and 2025.
The report also sets out an alternative two-year comparison: when measured against May 2024, cruise spending in the most recent month rose 13.7%. That two-year figure was 2 percentage points lower than April’s 15.9% two-year growth rate and matched March’s 13.6% increase.
Looking beyond cruise lines, total travel spending showed year-over-year growth of 6.0% in May. The report notes that this rate was in line with April’s 6.5% growth rate for total travel. Within the travel category, airline spending increased by 8.9% year-on-year in May while hotel spending rose 2.8% over the same period.
Bank of America adds a methodological note on the relationship between spending and industry pricing: monthly spending levels have exhibited a 75% correlation with industry net yields on a one-quarter lag going back to 2008, with the pandemic period excluded from that calculation.
These data points provide a snapshot of consumer payment behavior tied to travel and, specifically, cruise activity for the most recent month covered in the report. The findings mix annual gains with a material month-to-month decline in cruise spending, and they outline differing performances across travel subsectors such as airlines and hotels.
Summary
Bank of America card data show cruise spending rose 8.4% year-over-year in May, slowing from April’s pace but outpacing March. Sequentially, cruise spending fell 4.7% from April - a steeper monthly decline than the recent average. Total travel spending grew 6.0% year-on-year, with airline spending up 8.9% and hotel spending up 2.8%. The bank reports a 75% correlation between monthly spending and industry net yields on a one-quarter lag, excluding the pandemic period.
Key points
- Cruise spending increased 8.4% year-over-year in May, slower than April’s 15.8% but ahead of March’s 6.7%.
- On a month-to-month basis, cruise spending fell 4.7% from April - larger than the 0.5% average sequential decrease recorded from 2023 to 2025.
- Total travel spending rose 6.0% year-over-year in May; airlines gained 8.9% and hotels gained 2.8%.
Risks and uncertainties
- The sharp month-to-month fall in cruise spending - a 4.7% decline - represents a risk for cruise operators and related travel services that rely on steady sequential demand.
- Slower year-over-year acceleration from April to May suggests potential volatility in consumer demand timing for cruises, which could affect revenue cadence for cruise lines and the broader travel sector.
- The noted 75% correlation between monthly spending and industry net yields on a one-quarter lag excludes the pandemic period, which limits the scope of that historical relationship and introduces uncertainty in applying that correlation universally.
Context for markets and sectors
The data primarily affect cruise operators and the travel sector more broadly - including airlines and hotels - as card-level spending is a direct indicator of consumer outlays. The mixed signals of annual growth alongside a pronounced sequential decline could influence near-term revenue expectations and pricing dynamics within those industries.