Cruise holiday for $50 a day? Why not!

SAVVY holidaymakers are snapping up cruise holidays for less than it costs to stay at home. And we have the rising dollar to thank.

Pacific Sun cruise ship deck

AN influx of cruise ships has seen prices fall to such low levels some holidaymakers are snapping up trips which cost less than it does to stay at home.

Travel experts said strong competition with more and bigger ships heading to Australia, the strong dollar and tough economic conditions in other parts of the world have led to falling prices.

Some cruises now cost as little as $50 a day, including all meals.

Recent last minute deals have included a seven night cruise of the Queensland coast on P&O's Pacific Sun for $299 and a three-day comedy cruise from $199.

Alan Dodson, who is managing director of travel company Holiday Planet, has been selling cruise holidays for
more than a decade and said he had never seen cruising holidays so cheap.

"We're seeing prices as low as $50 or $60 a night - and that includes food and entertainment,'' he said.

"It's less than staying in a hotel... you can't even live at home for that.

"The volume of the capacity, particularly down here in Australia, is probably 25 to 30 per cent higher than a year ago.''

Mr Dodson said cruise companies wanted to get people on board so they can sell them other products.

"If you look at a cruise ship that has room for 2,500 people the last thing they want is for there only to be 1,500 people on it,'' he said.

"Apart from the atmosphere there's the fact that the other 1,000 people are going to be spending money at the bar, in the shops on board and on shore excursions.''

While the cheap deals were often in quad share cabins with no windows, Mr Dodson said the rest of the ship was the same.

He said the best way to get last minute deals was to sign up to travel agency data bases, and react quickly when an offer came up.

"Generally they will restrict the number that they sell at that price,'' he said.

Cruise Express director Hardy Schneider said there were also good early booking deals because there was such strong competition.

He said the price of some cruises had fallen every year for the past four years.

"You can go on a really good five star ship for $100 a day if you book now for 2013,'' he said.

"With last minute deals you have to be aware that you may end up in the worst cabin on the ship.

"If you're not fussed about the cabin or going on that particular cruise you may take your chance and wait for the last minute deal.

Mr Schneider said European river cruises were becoming increasingly popular.

"The Nile River in Egypt has about 180 ships and it's starting to go the same way on the Rhine and Danube in Europe,'' he said.

"Some of the ships are ageing so they have no choice but to reduce the costs.

"The Australian dollar helps because you have much stronger buying power when you convert to Euros and US dollars.

"It's a saving of 10 to 20 per cent straight up.''