I think a smoking "anywhere" cruise would be successful with all the smokers we have in the world. I doubt many non-smokers would book it, but they could probably make some good profits offering this.
As for smoking outside - the smell is really strong, though I have found that most smokers don't smell it. I strongly dislike the smell of cig smoke and don't like to smell it on my balcony. But oh well - it's not the worst thing in the world!
Royal Caribbean Vision - Mexican Riviera 2008
Norwegian Pride of America - Hawaiian Islands 2009
Until the "Kellie in the Morning" Cruise on the Norwegian Star