New Pricing and Advertising Policy

Oceania now has a new pricing and advertising policy:

"Effective immediately, all advertised prices will include airline imposed fuel surcharges, ticketing fees and government taxes. This new advertising structure is not only simpler and more transparent; it is also more inclusive in its nature. With this change, the air-inclusive cruise price displayed in our marketing materials and on our website will now be priced inclusive of all airline imposed fuel surcharges, ticketing fees and government taxes for guests taking advantage of our free air program."

RickeyCruz5 (presumably member of Jancruz Group):

Would you kindly elaborate on what is "ticketing fee". Does it include "deviation charges"? And presumably "government taxes" includes "port charges". It looks like Oceania is taking the potential of fuel cost fluctuations into the quoted price.

I may be wrong but the way I read the policy is that it applies only to airline imposed fuel surcharges, airline ticketing fees and airline government taxes.

The deviation fee only applies to those who want to change any aspect of their Oceania arranged air travel.

Don

I can't speak for the cruise line as to how these taxes and fees are calculated. However, deviation fees are not included in the new cruise fare pricing. Air deviation requests are still an additional charge as they always have been.

OH NO - is this the end of "FREE" air! what will we talk about on his board with new posters!

Not at all -- in fact, the free air program has just been increased by the amount of the air taxes and fees!

For those who are not familiar, in the past, air fares were broken down into two components -- the actual air fare, and the fees and taxes that are added on to the air fare to complete the cost of a flight (note -- many flight booking websites also break down the air fare in the same manner, then add it back together for the total cost).

What has been included in the free air in the past has been the actual air fare; the taxes and fees (which would include fuel surcharges and ticketing fees) were added to your invoice below the cost of the cruise, increasing that cost by the amount of the taxes and fees.

To illustrate, on a recent cruise, our air fare portion was $600 per person and was included in the cruise fare; the air taxes and fees were $424 per person and were added as a line item on our invoice, increasing the total cost of the cruise.

Under this new policy, the air taxes and fees will be included in the price of the cruise. Presumably, the cost of the cruise will be increased in a like manner to cover the cost, or perhaps in this economy, the cruise line will absorb the extra cost as a discount. Regardless, the free air will now include more than it did in the past.

You are, of course, aware that the "free" air was never free, but was simply inclusive in the cruise fare. In the past, if you booked the air yourself, the air fare amount ($600 in my above example) was credited to (subtracted from) the cruise fare, while the air taxes and fees were simply removed from the invoice. I would have to assume that under this new policy, the air credit will be higher, otherwise you will be paying twice for the air taxes and fees if you book your own air.

As Rickey said, this will increase the transparency and make it much easier to determine the actual cost of the cruise. The business of splitting the fare and the fees was always confusing.

RickeyCruz5 (presumably member of Jancruz Group):

Would you kindly elaborate on what is "ticketing fee". Does it include "deviation charges"? And presumably "government taxes" includes "port charges". It looks like Oceania is taking the potential of fuel cost fluctuations into the quoted price.

Yes, Rickey is associated with Jan.

Government taxes will not include "port charges" (which haven't been charged under that name for years). The government fees, taxes, handling and security that used to be lumped under the name "port fees" are separate from the air taxes and fees associated with the air fare.

Also, Oceania has previously announced that starting with the 2010 European season, all such "port" fees will be included in the cruise fare and no longer broken out as a separate item.

If fuel surcharges for the ship are ever assessed again, they will most likely be a separate item, as they are, indeed, a surcharge.

Does it include "deviation charges"?

I believe that Air Deviation Charges will remain as a seperate charge, as it would only apply to those who want the Oceania Air Dept to get involved in extra work, amending their flights.

"The laborer is worthy of his wages"

This is great news to me, for I want the "whole ball of wax" for pricing as that is what I will ultimately pay. Silver Seas started out like this and it was great. Hats off to Oceania. Price it as it is--what we will pay--bottom line. I like that!!!!!!!!!!!!! Thanks.

I agree that this will be less confusing for those of us who are trying to calculate whether we will be able to book airfare cheaper on our own then using the Oceania Free program. If you wanted to know exactly how much money you would save by booking on your own first you had to find out how much of an allowance they would give you for the air fare credit and then add the taxes to that amount to get the total amount that you had to work with to see if you could book cheaper on your own. Now when they tell you how much of a discount you would receive if you decided not to use their airfare you will get the total amount including the taxes in one lump sum because your quoted price that they give you on their web site is including the air fare and taxes so it is easier to make the deduction.

I got an email either today or yesterday from Oceania that prices will be increasing on Sept 1 for the 2010 sailings. Is this due to this new policy? Also I was wondering if you book by Aug 31 do you get the air without the additional taxes etc?

Here is the fine print in the mail.

I got an email either today or yesterday from Oceania that prices will be increasing on Sept 1 for the 2010 sailings. Is this due to this new policy?

This is due to the Promotion ending.

It has been that way since the Spring on those sailings.

Lyn