How low will they go?

[QDIP]

Who is forcing carnival to cut costs ?????

 

ISN'T IT PRETTY HARD TO FORCE THE BIGGEST CRUISE COMPANY IN THE WORLD TO DO ANYTHING THEY DON'T WANT TO DO ????

 

WALL STREET and the stock owners!!!

 

Also the executive teams bonuses and such are directly tied to the stock price!!!

[cruisinthemed]

The cost to sail out of CA has gotten ridiculous! We would be happy to have the Splendor back in Long Beach & be able to cruise for $300 for 7 days!!! The few sailings on the Miracle are so expensive, we've opted to fly to San Juan & sail from there.

 

It's $949 pp for an OV for Nov. 3rd on Miracle. We are doin San Juan B2B for 14 days for $854 pp...Yes, We have airfare but cruise rates are ridiculous. We fortunately have OBC & stock credit which means less out of pocket while cruising which offsets airfare.

 

We also have 5 different ports X2...vs 2 days PV & Cabo!

 

We loved the 8 & 9 days on the Spirit and the ports that were available...San Diego needs another ship!!!

 

Enough from me already...I should be dancing!!!

[QDIP]

I will try one more time then give up on you. Does it occur to you that everyone else is seeing things different than you? Your view that Carival WANTS to price cabins low.. when its simple supply and demand. In order to fill the ships they lower the prices.

 

Then when they lower the prices, they make cuts and seem to be in a downward spiral that the other lines are not in.

 

There is no "they" .. no one but Carnival is forcing these cuts on itself. You are misreading the post you quoted. I swear I need to just put you on ignore and quit reading your view of business which does not make sense to anyone but you.

 

No one WANTS to price themselves at rock bottom. They do it to fill the ships. Anyone would want to raise prices and still fill the ships with people who were willing to pay more to cruise on Carnival.

 

Its about basic supply and demand. The demand for Carnival does not allow them to raise their prices right now enough to make more revenue than they did just one year ago. This bad pr is no good.

 

If you still want to take on the world with your own private vision.. I will let you and not try to reason with you any more. Believe me.. Carnival needs to raise prices at least somewhat.. everything goes up, the price of food, labor you name it.. they need some room to be able to raise prices. It makes no sense to believe they want bad revenues and low cruise prices right now.

 

Carnival is the "they" .. no one is forcing them to do anything but themselves. Its up to them to find a way out of this downward spiral they are now in. You cant cut prices forever and cut services and then cut this and that forever. First it was Glory that had such low prices I read.. now its also Splendor this next winter.. crazy low this far out.

 

A very well written and balanced point of view!

[Blk_Amish]

Of course people on here defend Carnival and love the low prices. I would too, but imo $300 pp is too low, and if prices continue so low the ship is in danger of being moved. Yea, I think Carnival is smart.. so they wouldn't put up with these kinds of prices long term.

 

By golly, IMOP, saying price is too low is like saying $^% is too good, really, really,ok:D. If you can get it, enjoy it, and pray and hope it last. To each their own, too low, too good!

My only regret is that I am tapped out and can't fit another vacation in anytime soon. In the end does it really matter what a poster of a cruise board thinks about the pricing set by a corporate entity? CCL is going under lets jump on deck, no maybe not. Lets jump on the rate to keep them afloat, yes better. If they were to go under Congress will bail out the largest cruise corporation with our tax dollars. SAVE Carnival by sailing NOW, before Congress does with our tax dollars.

 

It was cheaper for me to fly to Houston and sail out of Galveston than to drive to LA and sail the 7 days. Some of us are still paying dearly for the privilege to cruise. Some of RCCL ships are destination experience so I was expecting them to be more. I am not one to say price is too low, NEVER!

 

Live, Love, Cruise!

[swedish weave]

I will try one more time then give up on you. Does it occur to you that everyone else is seeing things different than you? Your view that Carival WANTS to price cabins low.. when its simple supply and demand. In order to fill the ships they lower the prices.

 

Then when they lower the prices, they make cuts and seem to be in a downward spiral that the other lines are not in.

 

There is no "they" .. no one but Carnival is forcing these cuts on itself. You are misreading the post you quoted. I swear I need to just put you on ignore and quit reading your view of business which does not make sense to anyone but you.

 

No one WANTS to price themselves at rock bottom. They do it to fill the ships. Anyone would want to raise prices and still fill the ships with people who were willing to pay more to cruise on Carnival.

 

Its about basic supply and demand. The demand for Carnival does not allow them to raise their prices right now enough to make more revenue than they did just one year ago. This bad pr is no good.

 

If you still want to take on the world with your own private vision.. I will let you and not try to reason with you any more. Believe me.. Carnival needs to raise prices at least somewhat.. everything goes up, the price of food, labor you name it.. they need some room to be able to raise prices. It makes no sense to believe they want bad revenues and low cruise prices right now.

 

Carnival is the "they" .. no one is forcing them to do anything but themselves. Its up to them to find a way out of this downward spiral they are now in. You cant cut prices forever and cut services and then cut this and that forever. First it was Glory that had such low prices I read.. now its also Splendor this next winter.. crazy low this far out.

 

REALLY ???????:eek::rolleyes: CARNIVAL BUILT THEIR BUSINESS ON LOW PRICES AND GOOD VALUE FOR THE PRICE.

 

I don't believe they will let themselves be pushed around... OK Now you can put me on ignore .

[swedish weave]

WALL STREET and the stock owners!!!

 

Also the executive teams bonuses and such are directly tied to the stock price!!!

 

Wall street is driving the stock price up, and I am a shareholder who likes the low prices that attract cruisers to fill the ships.

 

Is this not a successful business strategy ?? If not, how did Carnival become the biggest in the world ??????

[cathyz]

The cost to sail out of CA has gotten ridiculous! We would be happy to have the Splendor back in Long Beach & be able to cruise for $300 for 7 days!!! The few sailings on the Miracle are so expensive, we've opted to fly to San Juan & sail from there.

 

It's $949 pp for an OV for Nov. 3rd on Miracle. We are doin San Juan B2B for 14 days for $854 pp...Yes, We have airfare but cruise rates are ridiculous. We fortunately have OBC & stock credit which means less out of pocket while cruising which offsets airfare.

 

We also have 5 different ports X2...vs 2 days PV & Cabo!

 

We loved the 8 & 9 days on the Spirit and the ports that were available...San Diego needs another ship!!!

 

Enough from me already...I should be dancing!!!

Yes, the prices are ridiculous now! We are on the Nov 3 Miracle cruise, but booked last year. The cabin right next door to us is available and is $750 more (for 2) than we paid last year, crazy!!!!! Hopefully things will change if they ever give us more availability.

[QDIP]

Wall street is driving the stock price up, and I am a shareholder who likes the low prices that attract cruisers to fill the ships.

 

Is this not a successful business strategy ?? If not, how did Carnival become the biggest in the world ??????

 

In JAN 2011 stock was $48 at a high

 

In JAN 2013 stock was $39

 

In MAY 2013 stock was $35

 

Today $33.85

 

And CCL has announced they are going to miss earnings targets.

[swedish weave]

Yes, the prices are ridiculous now! We are on the Nov 3 Miracle cruise, but booked last year. The cabin right next door to us is available and is $750 more (for 2) than we paid last year, crazy!!!!! Hopefully things will change if they ever give us more availability.

 

Is it possible that Carnival kept the West Coast rates low to drive out the competition, then replaced the Splendor with a smaller ship to reduce the capacity and then raise the rates ???

 

Look at Carnival pulling out of Europe to avoid competing with CCL European brands.

 

You can call the CCL management stupid if you want, but some of their moves indicate a sharp business savvy.

[The4Cruisers]

Somebody hit the nail on the head earlier.

 

I myself would have very little desire to sail from NYC in December only to go to Pt Canaveral, Nassau, and Freeport as ports. Plus, you probably wouldn't want to stand on an outside deck until Day 3 and not after after Day 5. That's just not cruising to me.

[Blurgh]

Actually, its not that much bigger than Freedom class and some were dissapointed it will not be a minature Oasis.

 

Cabins are heated, and as far as I know Carnival does not heat cabins? The aft pool will be covered. It is being built to cruise year round from a colder climate.

 

If you have any loyalty level with RCL and apply a balcony discount the balconies are cheaper than insides. All regular insides will have a 80 inch tv virtual balcony so they are actually more expensive than having a regular outside balcony. Outside E balconys start at $1049 last time I checked, and I would get a $225 discount I believe. Others got a $350 discount who are higher loyalty levels. The balcony discount is only good on balconys and higher, and since balconys are only priced $100 pp higher than a inside, many people are saying its cheaper to book the balcony.

 

I do think Carnival is having trouble competing in this market, judging from prices.

 

But like I said, look at those prices, that's basically right after the debut. It's just a crappy time to cruise out of there. And the new ship will offer more indoor activities, so it's more desirable. I think everyone having a ship(s) up there in the winter is stupid. From a price perspective, if you're doing to do nothing other than hang out and eat "free" food, I can kind of understand it, otherwise...

 

I was on Pride in early November a couple of years ago, and the first and last days out were basically indoor days. On the way back, more because of epic swells than weather/temperature, but it wasn't exactly 70 degrees and comfortable out either.

 

Give the choice I'd just rather go out of Florida unless it's an extended itinerary.

[S.S.Oceanlover]

Is it possible that Carnival kept the West Coast rates low to drive out the competition, then replaced the Splendor with a smaller ship to reduce the capacity and then raise the rates ???

 

Look at Carnival pulling out of Europe to avoid competing with CCL European brands.

 

You can call the CCL management stupid if you want, but some of their moves indicate a sharp business savvy.

 

It seems like you are on both sides of the fence here. A few post ago you were arguing that Carnival wants the prices low.

 

Wall street is driving the stock price up, and I am a shareholder who likes the low prices that attract cruisers to fill the ships.

 

Is this not a successful business strategy ??

 

And now you saying they want them high is sharp business savvy.:confused:

 

Bill

[firefly333]

Give the choice I'd just rather go out of Florida unless it's an extended itinerary.

 

I know, I know. Some people though dont want to drive to the port. My TA offered either the 8 day in December with terrible ports or 12 days in January with really good ports (St. Kitts, Barbados, Martinique, St. Maarten, San Juan and Labadee). All my friends took the 12 day, I took the 8 day and beat myself up trying to choose.

 

I am one who is going for the ship. I want to see all these new things including the solo cabins for the future. The inside virtual balconys in a heated cabin sound fine to me. On the CC RCL forum, I notice all the regulars are signing up for the April 12 date (same 12 day as above). Quantum is doing 3 of these 12 day cruises, one 11 day, 10 days, 9 days, 8 and 7 days and a couple of samplers thru next April.

 

Why can't Carnival mix things up like this?

 

I think Carnival needs to mix it up and offer more to stay competitive. I know not everyone agrees .. but they cant keep offering cruises at $283 for 7 days in Dec. Either they need to move the ship or mix up the ports it visits or something to enable them to be able to charge more. Do some longer cruises so they can charge more? something. As a CCL stockholder, Im concerned that Carnival isnt as competitive as they could be.

[Blurgh]

I know, I know. Some people though dont want to drive to the port. My TA offered either the 8 day in December with terrible ports or 12 days in January with really good ports (St. Kitts, Barbados, Martinique, St. Maarten, San Juan and Labadee). All my friends took the 12 day, I took the 8 day and beat myself up trying to choose.

 

I am one who is going for the ship. I want to see all these new things including the solo cabins for the future. The inside virtual balconys in a heated cabin sound fine to me. On the CC RCL forum, I notice all the regulars are signing up for the April 12 date (same 12 day as above). Quantum is doing 3 of these 12 day cruises, one 11 day, 10 days, 9 days, 8 and 7 days and a couple of samplers thru next April.

 

Why can't Carnival mix things up like this?

 

I think Carnival needs to mix it up and offer more to stay competitive. I know not everyone agrees .. but they cant keep offering cruises at $283 for 7 days in Dec. Either they need to move the ship or mix up the ports it visits or something to enable them to be able to charge more. Do some longer cruises so they can charge more? something. As a CCL stockholder, Im concerned that Carnival isnt as competitive as they could be.

 

IMO, they should leave the northeast in the winter. Maybe stay in Baltimore if they do well enough out of there, I dunno. But there's really no reason to be in NY. The Northeast itineraries suck for all the lines, unless you're going to Bermuda or if you're going to be out long enough to hit the Caribbean for a few days (and no, Carnival, Grand Turk... even if it's better than the usual suspects... is not in the Caribbean.) If you're going to spend half or more of your cruise indoors, the other lines and newer ships have more to offer in that department.

 

The weird thing... if they did do sailings outside the norm 7 days, Cocoa Beach/Nassau/Freeport box (leaving extra days between cruises)... I wonder if they'd actually make more money doing 2 day CTN junkets than the weeklong sails, at least on a per day basis. Not that I would take a CTN in December/January out of NY. I can go to AC or Foxwoods and not have to worry about my boat getting bounced around by a winter storm. :)

[swedish weave]

It seems like you are on both sides of the fence here. A few post ago you were arguing that Carnival wants the prices low.

 

 

 

And now you saying they want them high is sharp business savvy.:confused:

 

Bill

 

What ideas do you have to offer --- if any ???? Or is disparaging my posts all you can offer.

 

 

The strategy of driving the competition out of business or out of the area is age old and it works.

 

Carnival can do that with their low prices. If the others could compete, they would not leave. After they leave, Carnival can do as they choose with prices as long as they fill the ships.

[undertheradar]

With lower fixed costs and greater economies of scale Carnival can sell cabins inexpensively, still make a profit, and pay a superior dividend.

 

Carnival cruise line doesn't pay dividends. Carnival Corp. does. The other brands under CCL's umbrella don't count in this thread, as it concerns prices of just Carnival cruise line. Try to remember this. All the talk of stock prices has no bearing on most of the threads on this board. This is the Carnival cruise line board, not the Carnival Corp. board.

[undertheradar]

Who is forcing carnival to cut costs ?????

 

ISN'T IT PRETTY HARD TO FORCE THE BIGGEST CRUISE COMPANY IN THE WORLD TO DO ANYTHING THEY DON'T WANT TO DO ????

 

I think you are mistaking Carnival Corp. With Carnival cruise line. Carnival cruise line is not the biggest cruise line anymore. They may have the most ships, but another cruise line has more berths. And they sail full or nearly full also. And at generally higher cabin prices.

[swedish weave]

I think you are mistaking Carnival Corp. With Carnival cruise line. Carnival cruise line is not the biggest cruise line anymore. They may have the most ships, but another cruise line has more berths. And they sail full or nearly full also. And at generally higher cabin prices.

 

Is your information supposed to be important to this thread ?

[BeachChik]

Is your information supposed to be important to this thread ?

 

Is it unimportant just because you don't like the information? You have major chip when anyone dares to disagree with what you say. Then you post all kinds of random "facts" yet when someone asks for a source you repeatedly tell them to look it up themselves.

 

It's all very childish.

[mafig]

Is your information supposed to be important to this thread ?

 

 

Actually I found the info that another cruiseline has more berths than Carnival pretty interesting. (The fact that they almost always sail full at top $$$ I already knew;)).

:)

[cruzfitter]

Never mind

[cathyz]

Is it possible that Carnival kept the West Coast rates low to drive out the competition, then replaced the Splendor with a smaller ship to reduce the capacity and then raise the rates ???

 

Look at Carnival pulling out of Europe to avoid competing with CCL European brands.

 

You can call the CCL management stupid if you want, but some of their moves indicate a sharp business savvy.

Actually, the smaller Inspiration (and soon) Imagination, aren't all that bad, just got a $20 ES price decrease for the Imagination in February. It's the Miracle prices that are just ridiculous right now and I guess that is due to lack of availability so they can charge more. We used to have the Spirit part time (it did Alaska too) and the Splendor almost full time and now we have only the Miracle which also does Alaska and Hawaii, so not that many longer Mexico cruises. Of course, Carnival seems to be making changes more quickly lately, so who knows what is to come. And as soon as the Imagination arrives, I think the 'shorter' cruise prices might be a bit lower, time will tell.

[S.S.Oceanlover]

What ideas do you have to offer --- if any ???? Or is disparaging my posts all you can offer.

 

 

The strategy of driving the competition out of business or out of the area is age old and it works.

 

Carnival can do that with their low prices. If the others could compete, they would not leave. After they leave, Carnival can do as they choose with prices as long as they fill the ships.

 

If that is what Carnival was doing it wasn't to drive them out of business. They just drove them to another port where they could get higher per diems.

 

As for California no matter what line was there none of them were doing well since the recession hit pretty hard out in CA.

 

So if there weren't people booking the cruises at a rate where the cruise lines were making money they decided to leave.

 

That's one good thing about having a ship as opposed to a hotel.

 

The hotel would be stuck there but the ships can move to places that will pay higher per diems.

 

Bill

[cathyz]

As for California no matter what line was there none of them were doing well since the recession hit pretty hard out in CA.

 

Every cruise we've been on for the last several years has been full (some very full) so they haven't had that much trouble. And now the availability is so low the prices are very high. There's plenty of $$$ in CA, believe me. Many pulled out because of supposed security issues in the Mexican ports.

[firefly333]

If that is what Carnival was doing it wasn't to drive them out of business. They just drove them to another port where they could get higher per diems.

 

As for California no matter what line was there none of them were doing well since the recession hit pretty hard out in CA.

 

So if there weren't people booking the cruises at a rate where the cruise lines were making money they decided to leave.

 

That's one good thing about having a ship as opposed to a hotel.

 

The hotel would be stuck there but the ships can move to places that will pay higher per diems.

 

Bill

 

Some cruiselines said they left the west coast because of the danger of the Mexican ports. There was a hold up of a Carnival excursion at gun point and people here were railing that Carnival should be held responsible and pull out too at the time.

 

My 15 day thru hawaii on Miracle was $1079 a few weeks ago, but its starting now to go up in price..now the cheapest price today was $1349 I think.. Maybe me telling people what a great deal it was on CC people ran and booked it and thats why the price went up?? CC demand? who knows.. just kidding of course.

 

But I do think there were some other factors like dangerous mexican ports cited as reasons RCL and maybe it was princess pulled out of Calif that did the runs to mexico.