The proposed research analyzes a segment of the leisure and hospitality sector in Croatia and Slovenia. Specifically, we examine the perceptions of travel agents regarding vacation alternatives in general and cruising in particular. The paper presents a literature review of the cruise industry, then describes three issues: travel agents as a channel of distribution, the cruise buying process, and outbound tourism in Slovenia and Croatia. The two markets we examine represent two levels of economic development and tourism market maturity in Central Europe. Data have been collected using MBA student teams from the United States and Italy posing as mystery shoppers, looking for travel destinations and cruises as an option. A total of 57 Croatian agencies and 29 Slovenian agencies were examined. Final results are tied to the literature review and conclusions are drawn about the potential opportunities and threats in the market.
