Carnival Foresees an End to the Era of Cheap Caribbean Cruises

[Out to sea!]

Theoretically, higher prices should lead to a better product and experience, but I'm not convinced that that would happen. After a while, all the cutbacks become the new normal.

 

While that may be theoretically correct (with emphasis on theoretically), if one is happy with the current product and experience, higher prices would bring that customer nothing but a thinner wallet. Only those seeking a better product and experience would see any benefit and they might see RCCL or Princess as a better bang for the buck (with better shows or more things to do) if prices on Carnival increase. I can only see Carnival losing more customers if they increase prices.

Edited June 28, 2014 by Out to sea!

[EZ4]

While that may be theoretically correct (with emphasis on theoretically), if one is happy with the current product and experience, higher prices would bring that customer nothing but a thinner wallet. Only those seeking a better product and experience would see any benefit and they might see RCCL or Princess as a better bang for the buck (with better shows or more things to do) if prices on Carnival increase. I can only see Carnival losing more customers if they increase prices.

They takes their changes don't they? :)

[CdrescherRBL152]

Maybe I missed somthing but I did see where Carnival said they were hoing to rise bbc.co prices. What was said was they are maintaining their prices and not going to be dragged into a gimmick ruled price war.

 

Sent from my LG-D959 using Forums mobile app

[EZ4]

From a financial aspect this makes absolutely no sense whatsoever.:confused:

 

Explain.

[hbrote]

Carnival is raising prices on there higher class cabins. If you watch the prices close you will see. The bottom of the ship is still selling cheap but so are other cruise lines. I have found prices cheaper on most lines including Celebrity. The Celebrity cruise we took turned out to be cheaper in a Concierge Class than a inside on Carnival. On my next cruise I have a Grand Suite, booked "Early Saver" and the prices have only gone up. The five other balcony's we booked have received a $210 price reduction. It's apples to oranges when comparing cabin's.

[TPFKAH]

Explain.

 

Made sense to me.

[jimbo5544]

I would love to hear how increased fares benefits the consumer. Please, do tell. :confused:

 

 

TD actually pretty way. Non severe discounting across all lines adds to the stability of the market. A stable market makes for less volatile price jumps. Gets everyone out of searching easy saver obc calls and emails all the frustration they bring

 

More importantly it stops cutbacks. While I understand the desire for the cheapest price to cruise, a known market with out fluctuations wins for everyone.

 

 

Sent using the Cruise Critic forums app from my IPhone

[buddylover]

I still feel that the recent waves of FREE cruises is an indication of "flat sales" and CCL is trying to fill their ships.

 

From a business perspective, raising their prices will offset their losses from their FREEBIES and unsold cabins?? The only advantage to CCL for handing out these random FREEBIES, is that those pax would hopefully spend some $$$ on board, netting a gain over an empty cabin.

 

However, it really does not make sense to me as the consumer for CCL to entertain raising prices in this environment and here is why. If you couldn't sell your product at a lower price...more than likely you will sell even LESS at a higher price.....gaining NOTHING!!

[Wheels87]

Not everyone cruises Carnival because of lower fares. My family chooses Carnival because we enjoy their activities and the way the cruise director staff gets involved. Also, we find their employees to be happier, which only adds to our vacation experience. In fact, we would rather pay more and have them add more live music and such than to have prices slashed to keep things "Affordable."

 

For anyone criticizing Carnival or their loyalty program or whatever...just cruise with another line and get over it. After all, that is what freedom is about.

 

Take care!

[EZ4]

If you couldn't sell your product at a lower price...more than likely you will sell even LESS at a higher price.....gaining NOTHING!!

 

And that is exactly why it's necessary for them to reduce their over capacity. Fewer cabins to sell will raise the prices of the remaining cabins. It's exactly what the airline industry did a few years ago and why the desert is full of old retired aircraft, many of them probably having years of service left in them.

[AdGuyMG]

Carnival needs to sell off or lay up at least half the Fantasy class. Soon. Cutting their over capacity will push people onto their newer ships, that command higher prices.

 

The shorter 3/4/5 day itineraries that the Fantasy class ships sail produce the highest per passenger on-board spending revenue and are the most profitable ships in the Carnival fleet.

[EZ4]

The shorter 3/4/5 day itineraries that the Fantasy class ships sail produce the highest per passenger on-board spending revenue and are the most profitable ships in the Carnival fleet.

 

Carnival has quite the conundrum then, with no easy answers, huh?

[cruising_diva]

The shorter 3/4/5 day itineraries that the Fantasy class ships sail produce the highest per passenger on-board spending revenue and are the most profitable ships in the Carnival fleet.

 

REALLY? That's very interesting. I'd like to see the source of your information. (Please don't misread my tone. I'm genuinely intrigued by this information). I could speculate that this is due to people being more willing or even simply more ABLE to spend more money on board when the accommodations are cheaper.

[Shipbound]

Carnival is in a losing battle. MSC cruiseline just joined the ranks of the cruiselines offering Caribbean cruises (ridiculously reduced prices) and unless one of the major lines significantly reduce their offering (and I mean significantly) for the foreseeable future, there will be a glut of available berths going to the Caribbean.

 

At the point that so called "cheap" Caribbean cruises become no longer cheap, all but the most diehard cruisers will just revert to land vacations. Right now, as a solo cruiser, the only way a cruise makes $$ sense to me over a land vacation is where the cruiseline either eliminates the solo supp or the cruise is discounted at least 50% or more.

 

Maybe if they stop trying to "outbuild" each other with the ridiculously large ships with amenities that are ignored by all but a few, they can return to a degree of profitability that will leave everyone with a smile on their face. :) jmpo.

 

I also cruise solo most of the time. I like the eight day cruises but now they are way too expensive and when a CCL ship goes though the 2.0 up grade the cruise fare goes up. Even during the hurricane season the cruise prices are high for solo cruisers.

 

Gary

[AdGuyMG]

REALLY? That's very interesting. I'd like to see the source of your information. (Please don't misread my tone. I'm genuinely intrigued by this information). I could speculate that this is due to people being more willing or even simply more ABLE to spend more money on board when the accommodations are cheaper.

 

I'm in the biz (not a CCL employee) and all of the lines that run 3/4 day quickie sailings call their ships "The Moneymakers". The reason is not the disposable income from lower fares, it's because of guests generally squeezing in as much as possible to maximze their few days onboard. More bingo played. More drinks bought. More casino time. More likelihood to get off the ship on a shore excursion.

 

On the ship side, the shorter sailings generally spend waaay more time than longer cruises sitting tied up at a dock or idling at a private island thus burning waaay less fuel, which is the #1 biggest expense to all of the cruise lines.

[momof3cruisers]

If Carnival raises there prices you will see all those loyal carnival groupies jump to cruise line. ASAP. There low prices keep coming back. And even with that they are not fulling there ships

 

Nope. Recently sailed on Royal and Princess. As was the case in the past, Princess onboard activities were BORING. This from women in their 40s and 50s. There was an origami class one day that 50 people showed up for because there was nothing else to do. As for Royal, dismal service which was downright rude when it came to a very small, very polite request for an alternate muster location for our special needs son. The rest of the week had us repeatedly surprised.

[Out to sea!]

TD actually pretty way. Non severe discounting across all lines adds to the stability of the market. A stable market makes for less volatile price jumps. Gets everyone out of searching easy saver obc calls and emails all the frustration they bring

 

More importantly it stops cutbacks. While I understand the desire for the cheapest price to cruise, a known market with out fluctuations wins for everyone.

 

 

Sent using the Cruise Critic forums app from my IPhone

 

Actually, there is no need to search for Easy Saver OBC. Just pay the going rate when you book and don't think about it again. And truthfully, I think that about what 90% of cruisers do. I know I never looked at the price of my first 5 cruises either before or after final payment date (granted, mainly it was because I didn't know). But even knowing, if you're happy with the price you paid from the beginning, no need to ever look again (for that cruise). So, no win for the consumer with higher prices.

 

Second there is never a guarantee that services won't be cut even with higher prices. One may assume that but we all know what assuming gets you! Again, not a win for the consumer.

 

The only guarantee with higher prices is that your wallet will be thinner. That will be the only thing you can guarantee. The rest will be a crap shoot. So with no other guarantees, I'd rather keep prices low than hope a business looks out for my best interest when in reality, everyone know they are looking out for their best interest.

[Out to sea!]

I'm in the biz (not a CCL employee) and all of the lines that run 3/4 day quickie sailings call their ships "The Moneymakers". The reason is not the disposable income from lower fares, it's because of guests generally squeezing in as much as possible to maximze their few days onboard. More bingo played. More drinks bought. More casino time. More likelihood to get off the ship on a shore excursion.

 

On the ship side, the shorter sailings generally spend waaay more time than longer cruises sitting tied up at a dock or idling at a private island thus burning waaay less fuel, which is the #1 biggest expense to all of the cruise lines.

 

Usually, the shorter trips come with younger people (who don't have the time off or money to take a 7 night cruise) who will drink more. Also, as far as fuel savings, much cheaper to travel 60 miles to Freeport or a couple hundred to Nassau than 1,500 to St Thomas.

[AdGuyMG]

Usually, the shorter trips come with younger people (who don't have the time off or money to take a 7 night cruise) who will drink more. Also, as far as fuel savings, much cheaper to travel 60 miles to Freeport or a couple hundred to Nassau than 1,500 to St Thomas.

 

Exactly my point on why the short trips are generally more profitable for the cruise lines that offer them.

Edited June 29, 2014 by AdGuyMG

[Doug910]

Not everyone cruises Carnival because of lower fares. My family chooses Carnival because we enjoy their activities and the way the cruise director staff gets involved. Also, we find their employees to be happier, which only adds to our vacation experience. In fact, we would rather pay more and have them add more live music and such than to have prices slashed to keep things "Affordable."

 

For anyone criticizing Carnival or their loyalty program or whatever...just cruise with another line and get over it. After all, that is what freedom is about.

 

...See above! FINALLY, a voice of reason! Just had friends of ours return from a cruise on RCI's Allure. Returned and told us "Never again." Between the rock wall, ice skating, water show and the merry-go-round, he felt he spent a week in an amusement park. Said the whole cruise experience was gone. Had a couple that are also good friends of ours just sail on Celebrity. Said ship was beautiful and the food was good. But, he had a hard time with the staff. Called them "zombies and soldiers." Zero personality.

 

...IMHO, most sail Carnival because they enjoy the experience. Does cost have something to do with it? Probably, but certainly not everybody. Can I afford to sail other lines? Yes. I don't because I enjoy Carnival. If you don't like their product, like quoted above, "just cruise with another line and get over it."

 

...And, I fully expect the Carnival 'haters" to chime in. The same 4 or 5 characters every time. Armchair CEO's and Business MBA holders need not apply.

[EZ4]

...See above! FINALLY, a voice of reason! Just had friends of ours return from a cruise on RCI's Allure. Returned and told us "Never again." Between the rock wall, ice skating, water show and the merry-go-round, he felt he spent a week in an amusement park. Said the whole cruise experience was gone. Had a couple that are also good friends of ours just sail on Celebrity. Said ship was beautiful and the food was good. But, he had a hard time with the staff. Called them "zombies and soldiers." Zero personality.

 

...IMHO, most sail Carnival because they enjoy the experience. Does cost have something to do with it? Probably, but certainly not everybody. Can I afford to sail other lines? Yes. I don't because I enjoy Carnival. If you don't like their product, like quoted above, "just cruise with another line and get over it."

 

...And, I fully expect the Carnival 'haters" to chime in. The same 4 or 5 characters every time. Armchair CEO's and Business MBA holders need not apply.

This thread is not about bashing Carnival. There's no armchair CEOing. It's about an article where the Carnival CEO himself states what he envisions for the future. Did you even read the article? Your defensiveness astounds me because clearly YOU don't get it.

[63galaxie]

I consider my husband and I to be in the minority, but the prime reason we sail is for peace and quiet while enjoying watching the ocean. We've sailed many cruise lines, and

, since we can only sail during school breaks, we will continue to look for the cheapest sailings, irregardless of the cruise line.

Yes, we each have our "favorite" cruise lines, but we've learned to find what suits us on each cruise we've sailed.

I'm looking forward to our upcoming Breeze sailing, as it has many features we've never experienced. Top of my list will be a Cove balcony, the Serenity deck, and the various food venues, including the specialty restaurants.

Thanks to Carnival for offering something new and affordable!!:)

[elliair]

Has anyone read the comments at the bottom of the article at the link. Very interesting on some of the perceptions people have about Carnival.

 

We're waiting for the smoking policy on balconies to change, then we'll think about booking a Carnival cruise. We'll stick with Princess for the time being.

[Out to sea!]

Exactly my point on why the short trips are generally more profitable for the cruise lines that offer them.

 

Yes, I know. I was agreeing with you while providing an example. ;)

[Out to sea!]

Has anyone read the comments at the bottom of the article at the link. Very interesting on some of the perceptions people have about Carnival.

 

We're waiting for the smoking policy on balconies to change, then we'll think about booking a Carnival cruise. We'll stick with Princess for the time being.

 

You might be waiting for quite some time. As other lines ban smoking on their balconies (RCCL being the latest at the beginning of 2014), I think more smokers are moving to the few lines left that allow it (HAL, CCL, & NCL). I don't CCL has any reason to change their rules if they are benefiting from other companies changing their rules.