Heard new CEO on a radio show

[Orator]

Not sure why this something new. All CEO's would love to be able to raise cruise fares. Not like it's a surprise. Guess it just gives people something to complain about.

 

Don't think it was the news about price increases as much as a comment saying that raising the prices would improve the cruising experience by removing the rift raft. Celebrity has a high debt service and needs to generate revenue to meet its obligations. The good news might be that the Corporation believes that there is or will be will be an economic turnaround that will support higher levels. I'll just stand back and wait to see what happens and how it impacts other lines.

[C 2 C]

Not sure why this something new. All CEO's would love to be able to raise cruise fares. Not like it's a surprise. Guess it just gives people something to complain about.

 

The surprise to me is the email sent to all Captain's Club members asking for input and then telling travel agents that he only wants people with big checkbooks.

Thank you for your email and for being a member of the Captain's Club. I appreciate your comments which provide valuable feedback to my team and me on how we can improve your experience with Celebrity Cruises. Thank you for your loyalty and I look forward to welcoming you back on board

Celebrity Cruises soon.

Kind regards,

Michael

Does he want our loyalty or our money?...

 

Never mind I know the answer to that one...

 

I guess that the valuable feedback was lost in the memo

[k9x8]

For interesting reading go to the Princess board an review the thread by mmemichelle: "If you have time".

 

It appears that thread has already been sent into oblivion.

[Cruising89143]

Our first cruise with Celebrity is in March on the Reflection. Our RS is less expensive than an OS on one of the Freedom class ships that we have sailed on with RCI. It will be interesting to compare the two lines and see which one actually has an "overall" better product for about the same price. Celebrity is considered Premium but I have found the prices in line with RCI.

[Cruising89143]

Some past posts would indicate that there is a core of people who would like to see Celebrity appeal more to the upscale cruiser. They want fewer children and less "noise". This crowd says that they are willing to pay more for what they desire. Perhaps the bean counters feel the same way. Perhaps they believe that they can drop their "lower end" cruiser and make more revenue by attracting the "upscale cruiser" who might spend more on Spa, Specialty Resturants, drinks and in the shops. They are constantly collecting data and perhaps that's what the numbers are telling them. They may also figure that it's easier to start with a higher price and lower it if market conditions require. Unless we've been to the meetings it's impossible to know the details. In the end each potential cruiser will decide what they want to do. Some will stay, some will move up to a premium line, some will move down to a lower price point. My money, my choice!

 

You make a good point. We LOVE RCI's Oasis class for two reasons. Outstanding suites and the number of specialty restaurants to choose from but the amount of kids on board are a turn off. One reason that we are trying Celebrity.

 

We are not MDR people and prefer the smaller intimate specialty dining spots so we are happy to see more and more choices being added and will gladly pay for it but in the end if Celebrity cannot fill the ships then prices will be adjusted to do so. Of course with this will come with a further decline in the overall product. I have seen it happen a number of times in my 26 years of cruising. Sometimes people need to be careful on what they wish for. ;)

[Orator]

You make a good point. We LOVE RCI's Oasis class for two reasons. Outstanding suites and the number of specialty restaurants to choose from but the amount of kids on board are a turn off. One reason that we are trying Celebrity.

 

We are not MDR people and prefer the smaller intimate specialty dining spots so we are happy to see more and more choices being added and will gladly pay for it but in the end if Celebrity cannot fill the ships then prices will be adjusted to do so. Of course with this will come with a further decline in the overall product. I have seen it happen a number of times in my 26 years of cruising. Sometimes people need to be careful on what they wish for. ;)

 

As I see it the biggest downside risk for Celebrity is what I said in post 10. As many who are trying to sell homes have experienced, sometimes waiting costs real dollars, euros or pounds. I trust that those employeed by Celebrity know much more than I. I'm just a poor, retired Professor of Speech Communication.

[Welland]

As I see it the biggest downside risk for Celebrity is what I said in post 10. As many who are trying to sell homes have experienced, sometimes waiting costs real dollars, euros or pounds. I trust that those employeed by Celebrity know much more than I. I'm just a poor, retired Professor of Speech Communication.

 

Only thing to be said here is, "Well Said!!!"

[A Sixth?]

He has made his comments known not just to TA's but the public at large. IF you search for them, you can find them.

 

What also happened when Celebrity lowered prices is those sailing cheaper brands were suddenly able to afford Celebrity yet they continued to treat Celebrity like they had the other brands. It is not at all snobbery or classism, it is a fact.

 

For those who sailed on Celebrity always, they have been enjoying discounted pricing, but frankly that is unsustainable. You never win by discounting unless you can deal in volume like Wal-mart.

 

Like it or not, the 5% or less of cruisers who are on CC are going to be seeing higher pricing on Celebrity. Good for Mr. Bayley!

 

CoachT, you have made a few statistical claims in this thread....

 

The one I want is:

 

Originally Posted by CoachT

Quite frankly when the economy tanked, the suite and higher end passengers of Celebrity and Princess and HAL found they could sail on Regent, Crystal and Oceania. The passengers who had been sailing on those lines were not happy to be sailing with some of those who could now afford it and they moved to higher end experiences.

 

I have NEVER heard this even on chat board rumour....

 

(Picture of suspicious dog) :-)

 

Back it up for us please, links to stats, news items, your choice .... maybe you can educate us on what we clearly all love... cruise vacations. :)

[wwcruisers]

CoachT, you have made a few statistical claims in this thread....

 

The one I want is:

 

Originally Posted by CoachT

Quite frankly when the economy tanked, the suite and higher end passengers of Celebrity and Princess and HAL found they could sail on Regent, Crystal and Oceania. The passengers who had been sailing on those lines were not happy to be sailing with some of those who could now afford it and they moved to higher end experiences.

 

I have NEVER heard this even on chat board rumour....

 

(Picture of suspicious dog) :-)

 

Back it up for us please, links to stats, news items, your choice .... maybe you can educate us on what we clearly all love... cruise vacations. :)

 

Asixth -- I think that this discussion truly warrants a picture of your (adorable) pug .... grrrrrr...:p

[Jade13]

I think the new CEO thought he could speak with a group of TA's and not have one of them run to Cruise Critic to post what he said......oh the power of social media........

 

I think you are right :)

[Lyn Mc]

As a Brit who cruises Celebrity, I did take exception to Mr Bayley stating that he had been engaging with loyalty members - he did not qualify that this was with US loyalty members only. The UK may not be a big market for Celebrity but it is big enough to have as a home port for a couple of their ships for part of the year!

 

Another statement made, not by Mr Bayley, was that the cabanas (on the ships with them)sold out very quickly. In my experience and from what I read on the boards this is a distortion of the facts, maybe these new big checkbook customers will want them on a daily basis!!

 

I do however have to say that pricing has not altered for us, we book at the average of £100 per night ($150) for a balcony plus our tips and spends on top of this. This has not changed over the last few years. The biggest bargain we have seen lately is the 20th October Reflection price for £1099 in a CC cabin with flights included from Gatwick to Venice. I wish I had holiday left......... I agree with others that this pricing sadly reflects the economy in Europe.

 

I have seen Celebrity cruises for next year advertised in the UK for far more than I have ever seen them, with early booking you get $500 OBC, free parking or £99 flights but the prices are around £300 more than in previous years.

 

Perhaps in the UK we are the last to be contacted but the first with the price hikes!!

 

I will be waiting to see how this all pans out.

 

Lyn

[Jade13]

The fact of the matter and what no ones wants to talk about, is the fact that a higher price will in fact bring about a higher quality of passenger. The experience has gone down.

 

Pricing it out of reach of some people is absolutely going to improve the entire overall experience right away.

 

And I think the problem is that you are confusing wealth with quality and intelligence. Your ideal of the benefit of raising prices would likely exclude a lot of intellectuals from cruising, including artists, musicians, writers, chefs, and teachers (as well as retired professors).

 

But I guess these are all the people that you do not want to be associated with.

[kitty9]

I honestly hope they price it higher. It will improve the quality of the experience on board as well as improve the performance for the shareholders.

 

And what will insure that the price increase is reflected in the quality of the product? I highly doubt it will, as any price increase will probably be pocketed directly into the wallets of the CEO and other big wigs. Sorry, but unless they put that price increase money into better maintaining their M class ships, they better not even start increasing prices.

 

I have no idea where you equate price with quality of passenger, but that most certainly isn't so. I've been on many Crystal cruises and believe me, I've met my share of bozos, snooties, pain in the butt passengers on Crystal. Having the ability to spend more money does not mean they're somehow better people. To be honest, many times the wealthy can be bigger pains in the butt than those who have to save for a year to take a cruise. A lot of times the wealthy are so spoiled and obnoxious that you don't want to go near them.

[cruiseacecat]

Kitty9,

 

Very well stated. I could not agree more. :)

 

Anne

[Orator]

It's about character not cash!

[dodger1964]

I think many on this board are missing the point...the new CEO is saying the price is too low for the quality they are already delivering!!

 

He is saying we are already getting the service and quality that the higher prices would demand.

 

I hope this is just a trial balloon that will get popped.

 

In my mind there are 4 levels of cruise lines, and I consider Celebrity to be in the 3rd group, and I would consider the current pricing appropriate for what we get.

 

I have only cruised on 3 cruise lines and I think Celebrity is the best...but raise prices and not sure about continued loyalty.

 

Maybe this is like the Airlines trying to raise prices...one company tries to increase prices, and if others go along with it the new price sticks, if the others fail to raise prices, the price increase effort goes away.

 

I think if Celebrity raised prices and didn't discount at all, they would sail with MANY empty cabins.

[Blazerboy]

Sadly what's missing from the lovely, kind, and considerate conversation:rolleyes: here is a dose of perspective.

 

Celebrity wants to raise its prices? By what amount? If they raise their prices by $50.00 or $100.00 per cruise, it will not have the drastic effect of eliminating many cruisers. But multiply that $100.00 by the number of cabins on all their ships, and factor in the number of cruises they have each year, and, as they say, "you're now talking real money." With no information on the amount that they want to raise prices, the dire predictions and threats of many abandoning the line are overblown. Those here who have said that they will wait and see and reevaluate based on what any increases are have the right attitude. And, yes, people of all social and ecomonic classes make decisions based on price increases. Some of the very wealthy are that way from scrimping. Some of the less wealthy view vacations as a chance to splurge, and are less likely to comparison shop. And there are all kinds of permutations in between.

 

The other statistics that are oft repeated on travel sites that I've read (but, no, I can't take the time to dig up citations) is about the average cruise passenger. We who cruise a lot like to think cruise lines value our repeated patronage, and that we are the core of their business. In fact, despite many of us experiencing Elite Cocktail hours that are crowded, the % of repeat passengers is not (aways) that large, and that many cruise lines, including Celebrity, focus their efforts on getting first-time cruisers. First time cruisers make up a majority of passengers on cruise ships, so a higher price to them isn't compared to a past fare or cruise value, but to what they can afford at that moment.

 

As far as snobbery, some of the worst snobbery comes from those who worry about others looking down on them, as evidenced by some statements on this thread. It's called 'reverse snobbery,' and is defined by only feeling comfortable with those who are percieved to have equal or less status that you do. Importantly, neither kind of snobbery is limited to any particular ecommic social class. There are REALLY poor people who are snobs, wanting only to be around those of percieved higher status, and REALLY wealthy people who are reverse snobs, who feel threatened by anyone with 'more.' For me, and, I believe, many of you, the goal is not to fall in either camp!:D

 

For Celebrity's bottom line, fare increases might be the right thing. It might help stockholders and TA's. It might rule out those who can't afford the extra $50 or $100, but it's not going to change the ship experience significantly. It's market-driven, will go up in good economic times, down in bad, adjusted for many reasons. I believe all the CEO was saying is that economic indicators show an improved economy, a pent-up demand from everyone being so cautious over the past few years, and the ability to decrease discounting, as the current experience is worth more, in his opinion. If any of us are priced out, we would have a hard time with this, but it might still be true. I'm priced out of many vacations and cruises now, but that's not because they are higher than they were, but that I've determined that my priorities are different.

 

If your personal situation hasn't improved, it's hard to hear that, but the market is nearly where it was before the crash, and jobs have been added, albeit at a low rate, and, in some areas, housing is getting MORE expensive, and we are back to multiple offers on houses at over asking price.

 

Oh, and Rift Raft is a floating device with a crack in it. :p Riff Raff is...well...sometimes me, depending on who's doing the defining.;) But I'm o.k. with that.

 

Happy Cruising,

 

Andrew

[RMSeadog]

The strange thing is that two frequent cruising couples that I know have more money then manners and are the most obnoxious people that I have ever met. If higher prices meant that I would have to cruise more with "their kind" than with the people with whom we love to cruise, who value their money because they honestly earned it, I would gladly be among the people who don't make the cut. (Sorry but there might be a few out there who think the same about me).

 

Remember this quote:

 

 

One couple is no longer cruising with Celebrity and the other will be sure to no longer to bother you! ~ Ric