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Q&A with Francis Riley, VP & General Manager International ~ Norwegian Cruise Line


Francis Riley
Vice President & General Manager International

Special Event: Francis Riley will be here on January 25th to answer your questions about Norwegian Cruise Line's European and International itineraries as well as the outlook for 2013/14.

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  #1  
Old January 11th, 2013, 05:38 AM
teecee46 teecee46 is offline
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Default "Gratuities"

Welcome Mr Riley
Could NCL lead the way in the "gratuities" frustration for passengers please. If a gratuity is mandatory which it is on NCL by way of $12 per person per day, it ceases to be a gratuity and becomes a service charge. We like to tip, but not to be forced by mandatory rates.
I accept that you tell us that this is used for staff programmes to enhance passengers cruising experience but why not be honest and just include it in the cost per person for the cruise in the first place!
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Last edited by teecee46; January 11th, 2013 at 05:53 AM.

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Old January 12th, 2013, 05:59 PM
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I second that....if it's mandatory, include it in the upfront cruise price!
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  #3  
Old January 26th, 2013, 09:00 AM
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That one is easy to answer. If the service charges were added to the upfront price of the cruise, the published prices would be quite a bit higher than the competition, causing people to look elsewhere.
It's all about the perception of what you are getting for how much $$.
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  #4  
Old January 26th, 2013, 03:18 PM
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You can also prepay them so that it is part of the cruise fare :)
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Old January 26th, 2013, 05:22 PM
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Actually, if they included the gratuities in the fare, it could be a win win for them. (1) They could advertise that gratuities are included in the fare, thus no additional charges will be incurred and (2) I would bet, that many customers would still give tips to the crew on top of the charge that is included in the fare.

  #6  
Old January 27th, 2013, 02:20 AM
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If they included it as part of the fare, it would be taxed as revenue. (Service fees distributed to the staff are not taxed this way.) So then they would have to charge more, putting them at an even greater disadvantage over competitors that don't include it in the fare. It's a lose-lose proposition to be the leader in this because it would increase the advertised fare more than the competition, and the additional taxes charged would make that amount even greater.
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  #7  
Old January 27th, 2013, 09:19 AM
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[QUOTE=teecee46;36627258]Welcome Mr Riley
Could NCL lead the way in the "gratuities" frustration for passengers please. If a gratuity is mandatory which it is on NCL by way of $12 per person per day, it ceases to be a gratuity and becomes a service charge. We like to tip, but not to be forced by mandatory rates.
I accept that you tell us that this is used for staff programmes to enhance passengers cruising experience but why not be honest and just include it in the cost per person for the cruise in the first place![/QUOTE]

NCL does call them a service charge.
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  #8  
Old January 27th, 2013, 07:24 PM
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Hi All,

I noticed that Mr. Riley didn't answer this. In my personal opinion I would prefer that gratuities not be included in the ticket price because if you have bad service you always have the option to get them adjusted. If it were included in the price of the ticket then there would be no way to make adjustments. We are a family that is very generous when it comes to good service but on our last NCL cruise our service was so bad, and I mean BAD, that we actually had the gratuities adjusted down.
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  #9  
Old January 27th, 2013, 11:53 PM
rkmw rkmw is offline
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[QUOTE=jul1221;36866553]Hi All,

I noticed that Mr. Riley didn't answer this. In my personal opinion I would prefer that gratuities not be included in the ticket price because if you have bad service you always have the option to get them adjusted. If it were included in the price of the ticket then there would be no way to make adjustments. We are a family that is very generous when it comes to good service but on our last NCL cruise our service was so bad, and I mean BAD, that we actually had the gratuities adjusted down.[/QUOTE]

in Australia on our princess and p&o ships they have included the tips in with the fare for nearly 2 years and it works well, if someone does a good job and you can give them extra if you like and they can keep it, no one can reduce it or take it off....if any overseas passenger books on the aussie ships they still have to pay the tips but than can remove or adjust them if they like

  #10  
Old January 28th, 2013, 10:10 AM
luddite luddite is offline
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[QUOTE=rkmw;36870045]in Australia on our princess and p&o ships they have included the tips in with the fare for nearly 2 years and it works well, if someone does a good job and you can give them extra if you like and they can keep it, no one can reduce it or take it off....if any overseas passenger books on the aussie ships they still have to pay the tips but than can remove or adjust them if they like[/QUOTE]

And you pay a commiserately higher rate than the 12$/day with the Aussie system.

Last edited by luddite; January 28th, 2013 at 10:11 AM.

  #11  
Old January 28th, 2013, 02:21 PM
flcruiser1969 flcruiser1969 is offline
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I have to wonder why some people need to be tricked in to the $12. To me if I am paying $12 /day/person then I pay that. I dont care what they call it. I do like that they can be prepaid. I do that, OBC and casino prepay so that my cruise is covered except for any extra tips.

  #12  
Old January 28th, 2013, 02:39 PM
luddite luddite is offline
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[QUOTE=flcruiser1969;36877203]I have to wonder why some people need to be tricked in to the $12. To me if I am paying $12 /day/person then I pay that. I dont care what they call it. I do like that they can be prepaid. I do that, OBC and casino prepay so that my cruise is covered except for any extra tips.[/QUOTE]

I never heard about anyone being tricked into it.
There are some folks who need to be beat over the head to do it.

  #13  
Old February 1st, 2013, 11:53 AM
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nona0541 nona0541 is offline
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It is not a 'gratuity'. It is listed as a service charge. Big difference. Go to Europe and when you sit down in a restaurant you are automatically charged a 'table charge'. Do you call this a gratuity? Same thing.
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  #14  
Old February 1st, 2013, 04:21 PM
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[QUOTE=NLH Arizona;36850863]Actually, if they included the gratuities in the fare, it could be a win win for them. (1) They could advertise that gratuities are included in the fare, thus no additional charges will be incurred and (2) I would bet, that many customers would still give tips to the crew on top of the charge that is included in the fare.[/QUOTE]

Exactly!

  #15  
Old February 11th, 2013, 11:21 AM
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This is a sore spot for a lot of us! A gratuity should be just that, some that is offered for good service, not a forced fee.

In the old days I often tipped more than the suggested amount. Now I have a strong feelings about NCL double dipping into my pocket. It just doesn't feel right not leaving a real tip, when the service is good, so I end up tipping twice.

  #16  
Old February 11th, 2013, 05:45 PM
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Here's my issue.....just pay your employees properly versus having part of their salary come from the "service charge"....
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  #17  
Old February 19th, 2013, 08:01 PM
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[QUOTE=robinpow;37074017]This is a sore spot for a lot of us! A gratuity should be just that, some that is offered for good service, not a forced fee.

In the old days I often tipped more than the suggested amount. Now I have a strong feelings about NCL double dipping into my pocket. It just doesn't feel right not leaving a real tip, when the service is good, so I end up tipping twice.[/QUOTE]

Gratuities are what you GIVE them after PAYING the DSC.

  #18  
Old February 20th, 2013, 04:19 PM
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FYI the "gratuities" can be taken off of your bill if. i believe they are directly tied to employee pay and refuse to do so as i have never had bad overall service with NCL but i have seen MANY other people do it on the last night when they settle their bill with the desk. i've even had a lady screaming across the lobby how the fee was just the cruise line stealing money from its passengers and had nothing to do with the employees getting paid. someone asked how she knew and she said she just did. either way, its on par with other lines and we all know its there, so it doesnt bother me what they call it or when i have to pay it.
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