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Raising gratuities again!


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Just to clarify;

 

You have until July 31, 2015 to have your reservation marked as pre paying gratuities. This amount will then come due at final payment. You need to contact NCL, your PCC or TA prior to July 31st and let them know your intentions, you cannot wait until any time before final payment. Hope this helps.

 

Rochelle

FYI, the prior increase didn't work that way. We didn't do anything to notify anyone or "mark" our reservation, and we can still prepay at $12 on our booked cruise. I just checked my account to verify.

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I'm not an expert, but I wonder if tax policy and tax consequences are driving this somehow. The DSC may be seen as a pass through and so therefore doesn't count as revenue, so it may not be taxable. If it's added to the cost of the cruise, then maybe it's taxable as gross revenue. Either way, customers are going to pay for the wage increase to the crew, either through increased fares or increased fees, or both. Maybe this way they get the benefit of different tax treatment, and hiding it somewhat from customers because for some, the shock of this cost comes later.

 

I don't know about the tax handling of this, but DSC is like NCF's--increased revenue that they do not have to pay commissions on to TA's.

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I have never seen anything like this in the travel industry before.

After I booked my 2016 trip, the price of my trip has gone up several times with the two DSC’s and the 18% gratuity on the food & beverage packages.

I wonder how much more my cruise will cost me between now and the time of my cruise in 2016!

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FYI, the prior increase didn't work that way. We didn't do anything to notify anyone or "mark" our reservation, and we can still prepay at $12 on our booked cruise. I just checked my account to verify.

 

How/where do you check this in your account? Thanks!

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How/where do you check this in your account? Thanks!

 

Access your NCL account to view your booking. View your reservation, under which is "prepay service charge". Mine shows $12.95 per day or $129.50 for the 10-day sailing.

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That doesn't punish executives who make these decisions but it does cheat hard working crew, IMO

 

 

You don't really believe NCL staff got two raises within 6 months, do you? What they get paid is in their contract.

 

For us "standard" cabin dwellers this is a 12.5% increase within just a few months and they have not committed to providing anything additional to the guest in services or amenities.

 

I say let them charge any amount they want. I'll pay any amount I want.

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FYI, the prior increase didn't work that way. We didn't do anything to notify anyone or "mark" our reservation, and we can still prepay at $12 on our booked cruise. I just checked my account to verify.

That is kind of the way it worked with us, as well. After the cut-off date had passed for the last increase, I called NCL for a different reason. While on the phone with them, I decided to prepay the gratuities. I was only charged the $12 per person rate, even though the first increase was in effect by then. I was surprised but didn't argue the point.

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All of these recent changes I think can only mean one thing. NCL is really cash-poor right now and possibly going under. Maybe they over-extended themselves on all these new builds and now have insurmountable hidden debt, who knows. But every single one of the recent changes has the effect of quickly raising cash at the expense of losing customers down the line. Raising gratuities a very small amount (twice) but giving passengers the option to lock in the old rate by prepaying right now raises a lot of cash very quickly, because it will cause a lot of passengers to prepay. Expanding the future cruise credit program raises a lot of cash because it causes customers to put more deposits down. All the new charges on the ship (room service, gratuities, a la carte pricing) raises a lot of cash. Even all the great recent promotions go towards this. NCL has been giving away the farm as far as UBP, UDP, onboard credit, etc. just to get people to book now, to increase deposits and increase cash flow right now, at the expense of losing money (in the form of lost revenue from lost onboard spending) down the line.

 

Maybe this is why O'Sheehan left. Maybe he saw the writing on the wall and the company is going under, who knows. But these quick changes like this make no other real sense. There's no reason to raise gratuities twice like this at all by such incrementally small amounts, but for the desire to get people to prepay and raise cash quickly. Anyone who thinks all these gratuities are going to the staff as opposed to NCL's bottom line at this point are deluding themselves. At best, and this is at best, NCL is cutting staff compensation on the back end but making up for it with the increased gratuities on the front end.

 

If I was a stockholder in NCL right now I'd sell sell sell.

Edited by Fido Chuckwagon
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I logged into MyNCL account; however, if you booked through a travel agent, I've been told you can't see your account.

 

I booked through a travel agent and can still pre-pay my DSC online in my reservation. Just go to your vacation summary, scroll down and find PREPAY SERVICE CHARGES.

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This is my first and probably last cruise with NCL. Too many changes for my liking (room service charge,DSC increase, no food leaving the dining room back to it's ok, and getting rid of SpongeBob). We figured we would try this line because it was cheaper. Now I am kind of wishing we would have gone on Royal again. I am going in with a positive attitude,but just not liking all the changes "after " I booked and they have my money.

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FYI, the prior increase didn't work that way. We didn't do anything to notify anyone or "mark" our reservation, and we can still prepay at $12 on our booked cruise. I just checked my account to verify.

 

That's interesting, for my pre-any-raise reservation the $12 has changed to $12.95 in MyNCL. If I'm not able to prepay with $12pppd like promised before last raise, I will adjust DSC onboard to $12pppd.

 

I logged into MyNCL account; however, if you booked through a travel agent, I've been told you can't see your account.

 

You can see your account (and usually also prepay service charges - not always), just not the pricing of your reservation (fare breakdown, final payment amount, payment status, etc).

Edited by Demonyte
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All of these recent changes I think can only mean one thing. NCL is really cash-poor right now and possibly going under. Maybe they over-extended themselves on all these new builds and now have insurmountable hidden debt, who knows. But every single one of the recent changes has the effect of quickly raising cash at the expense of losing customers down the line. Raising gratuities a very small amount (twice) but giving passengers the option to lock in the old rate by prepaying right now raises a lot of cash very quickly, because it will cause a lot of passengers to prepay. Expanding the future cruise credit program raises a lot of cash because it causes customers to put more deposits down. All the new charges on the ship (room service, gratuities, a la carte pricing) raises a lot of cash. Even all the great recent promotions go towards this. NCL has been giving away the farm as far as UBP, UDP, onboard credit, etc. just to get people to book now, to increase deposits and increase cash flow right now, at the expense of losing money (in the form of lost revenue from lost onboard spending) down the line.

 

Maybe this is why O'Sheehan left. Maybe he saw the writing on the wall and the company is going under, who knows. But these quick changes like this make no other real sense. There's no reason to raise gratuities twice like this at all by such incrementally small amounts, but for the desire to get people to prepay and raise cash quickly. Anyone who thinks all these gratuities are going to the staff as opposed to NCL's bottom line at this point are deluding themselves. At best, and this is at best, NCL is cutting staff compensation on the back end but making up for it with the increased gratuities on the front end.

 

If I was a stockholder in NCL right now I'd sell sell sell.

 

This was 100% my thinking as well. These seem like the moves a company that has a cash problem. These changes are nothing more then a way to get a free "loan" from future cruise guests by allowing them to hold your DSC cash for months/years. I will not be prepaying and I will not be paying more then the $12 on board the ship. From recent reviews service levels are falling and if that is the case then even the $12 will be to much. I refuse to be used as a piggy bank for a company that seems to think very little of its customer base (based on the quoted from Del Feeo)

 

6&8

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I logged into MyNCL account; however, if you booked through a travel agent, I've been told you can't see your account.

 

I was just on my account and under the pre-pay Service Charge tab it says We are unable to display this option at this time. We booked through NCL but over the phone. So I will call after work today. Thanks!

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Mine was booked with Total Rewards casino (Caesars), I think that's CAS and I just got mine.

 

I also booked with my Total Rewards (Caesars). We get free drinks in the casino only. We just tip the bartender in the casino or drink runner with cash (a few dollars). Wonder if they will charge us the 18% grat. The cruise before with Total Rewards we were not charged a grat. but we did tip the bartender or drink runner in the casino.

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I was just on my account and under the pre-pay Service Charge tab it says We are unable to display this option at this time. We booked through NCL but over the phone.

 

Yep, that can happen sometimes regardless of the booking method (direct/CAS/TA) - nobody here has figured out why.

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What is NCL trying to do? All these changes make them look desperate and w/o a clear vision. In the few months I've been following the cruise since I made my reservation they keep making changes, then retracting them, then making other changes, then tweaking those changes, etc. This does not look good, at all. It's not prices or nickel and diming anymore. It's about a line lacking stability and an executive suite that's set their heart on:

 

1. confusing current and future passengers with changes in pricing and dining

2. alienating loyal fan base

3. shooting themselves in the foot

 

This is the clearest evaluation of NCL's current problems that I've seen. You'd think the line had been taken over by some new high school graduate, considering how things are being done.

 

NCL, your cruise line appears to be rudderless and unless you start acting like a real business that has a true captain of industry at the helm you'll be losing a LOT of people.

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I was just on my account and under the pre-pay Service Charge tab it says We are unable to display this option at this time. We booked through NCL but over the phone. So I will call after work today. Thanks!

 

hmmm, maybe try again?

I was just in my 2 upcoming reservations and could prepay if I wanted.

Edited by mizlorinj
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As I've previously stated, NCL can do this if allowed to get away with it. I will remove the auto tips and use cash at each meal and cash for the cabin steward. I don't care to supplement NCL"S pockets at the expense of the crew that actually serve me.

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That's interesting, for my pre-any-raise reservation the $12 has changed to $12.95 in MyNCL. If I'm not able to prepay with $12pppd like promised before last raise, I will adjust DSC onboard to $12pppd.

 

I might be totally wrong, but I thought you had to pre-pay the $12 charge prior to March 1st, otherwise it went to $12.95.

 

Here is what the Cruise Critic article said: The new charges are effective beginning with sailings departing on or after March 1, 2015. Passengers who have previously booked a cruise and are sailing after March 1, or who are planning to book a cruise now through the end of February can prepay their service charges at the current rate. Anyone with existing cruise reservations who has already prepaid the service charges at the current rate will not be affected. Gratuities are shared by crewmembers including room stewards, servers and support staff.

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I might be totally wrong, but I thought you had to pre-pay the $12 charge prior to March 1st, otherwise it went to $12.95.

 

Here is what the Cruise Critic article said: The new charges are effective beginning with sailings departing on or after March 1, 2015. Passengers who have previously booked a cruise and are sailing after March 1, or who are planning to book a cruise now through the end of February can prepay their service charges at the current rate. Anyone with existing cruise reservations who has already prepaid the service charges at the current rate will not be affected. Gratuities are shared by crewmembers including room stewards, servers and support staff.

 

The bold text says you can prepay it does not set a time limit to do so, just before sailing.

 

6&8

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