brochure cruise pricing

[notalandlover]

Why do cruise lines display brochure cruise prices since it seems no one is charged those rates?? Is it a marketing ploy so they can say CRUISES 50 TO 75 PERCENT OFF.

[Cruisin' Chick]

To give potential customers an idea of the top price for categories. It's assumed that people interested in a cruise will contact a TA or check the cruiseline's website and see what the actual prices are for the desire date and category.

[Sea Hag]

I suppose they have to put some kind of prices or another for their printed collateral. If they didn't, people would complain of that. If they put the prices low and then the prices went up, people would complain of that as well. So, they put the prices high and then charge whatever. People won't complain of that so much.

[Underwatr]

On popular itineraries they do get brochure prices, possibly less any reductions a travel agent might be offering.

 

I booked this Christmas's cruise during last year's; I booked at the brochure price but obtained significant onboard credit and then my TA reduced the fare about 10% when the line referred the booking to him. I managed a very small reduction in April but since then the rate didn't change from the brochure rate until after the final payment date

[SadieN]

Same as the rack rate for a hotel. Rarely are you charged the rack rate.

[Flatbush Flyer]

Same as the rack rate for a hotel. Rarely are you charged the rack rate.

 

 

Or the MSRP for a car.

[Keith1010]

It is a good question. It's been like this as long as we have been cruising but it really is silly.

 

Keith

[john watson]

Brochures come out well ahead of travel dates; if you get your brochure out before the competition you might scoop some business. In order that people can book you must quote a price to enable people to book. As a company you would not want to sell early at below cost, in fact early bookers have a free range to choose anything on a cruise and get the best choice of cabins, dining etc. If you advertised too cheap a price you might sell out at a fraction of the revenue you could have achieved, even at a loss if outside cost factors shifted a lot. You might end up withdrawing the brochures and reprinting them with the new higher prices in! So early brochure prices are high and then these are followed by "sales" including every combination of OBC, low deposit, flight deals and other scheme that can be devised to make you think you are absolutely getting the deal of the century.

 

Regards John

Edited October 28, 2015 by john watson

[Lil2Angelic]

John - I've always wondered about this...That's a great explanation!

[notalandlover]

Brochures come out well ahead of travel dates; if you get your brochure out before the competition you might scoop some business. In order that people can book you must quote a price to enable people to book. As a company you would not want to sell early at below cost, in fact early bookers have a free range to choose anything on a cruise and get the best choice of cabins, dining etc. If you advertised too cheap a price you might sell out at a fraction of the revenue you could have achieved, even at a loss if outside cost factors shifted a lot. You might end up withdrawing the brochures and reprinting them with the new higher prices in! So early brochure prices are high and then these are followed by "sales" including every combination of OBC, low deposit, flight deals and other scheme that can be devised to make you think you are absolutely getting the deal of the century.

 

Regards John

 

 

Thanks John that makes sense. So people book cruises at brochure pricing to ensure the best room selection then they have the costs adjusted after travel dates are released? If this is true where does someone find out when brouchure dates are released? I've seen large groups of cabins gone right away the first day an intinerary opens up. I now wonder if someone grabbed them when the brochure was released. I see this as a presale similar to what ticketmaster does. John is this accurate?

[john watson]

Thanks John that makes sense. So people book cruises at brochure pricing to ensure the best room selection then they have the costs adjusted after travel dates are released? If this is true where does someone find out when brouchure dates are released? I've seen large groups of cabins gone right away the first day an intinerary opens up. I now wonder if someone grabbed them when the brochure was released. I see this as a presale similar to what ticketmaster does. John is this accurate?

 

Some of the bigger cruise lines produce regional brochures and in this way can push certain markets where it has predetermined where a ship is to be transferred. Japan and China are emerging markets for example and lately Australia has had sell out cruises so Princess seems to be making cruises available there in a much bigger way than previously. The lines can also retain a bit of flexibility by not declaring where other ships are going for a few months while they assess sales in other areas.

 

Most if not all cruise lines have a customer loyalty scheme whereby if you repeatedly sail with them you get some sort of reward points. Typically with people eventually achieving the top tier. When the next release of cruises occurs often a line will spread the release out by a week or more releasing regions on a staggered basis to spread the load for call handlers to deal with the public without excessive phone waits. On each regional release the top loyalty tier people will be permitted to book a few days ahead of general sales opening up date as an additional incentive to be loyal. Best cabins and suites are going to be high sellers; particularly on rarely offered itineraries and this system generates a bit of hysteria to get in quick. Many lines produce a pre-release brochure early on with not a great deal of information just the itineraries and prices for longer standing cruisers who the line knows you do not need a plan of the ship etc.

 

If you try to book on line and get a specific cabin you should realise that not all cabins will necessarily released from day one. The cruise line will offer people the ability to click on a choice of a range they wish to disclose are available. They do not want the world; particularly their competitors and bargain hunters, to transparently see which cruises are selling well and more importantly which ones have been almost impossible to sell.

 

If you are seeking a specific cabin it may be one that is generally only sold on a "guaranteed" basis but if you phone they might let you have it. All things vary line by line. Travel Agents also buy wholesale blocks of cabins which could be allocated to them as a specific range of cabin numbers or just a sales total number of cabins they have agreed to pay for and then need to sell them retail.

 

This is more or less a rough idea of how things work but it will vary line to line and any of them may suddenly have a change in policy to increase their market share.

 

In general if you are thinking about a specific line then post on that forum area about when the cruises are released for the region you are interested in.

 

Regards John

Edited October 28, 2015 by john watson

[LHT28]

Thanks John that makes sense. So people book cruises at brochure pricing to ensure the best room selection then they have the costs adjusted after travel dates are released? If this is true where does someone find out when brouchure dates are released? I've seen large groups of cabins gone right away the first day an intinerary opens up. I now wonder if someone grabbed them when the brochure was released. I see this as a presale similar to what ticketmaster does. John is this accurate?

Not sure cruise line have a presale

Sign up for their email notices it will usually give you the date the new itineraries are released

If you have a TA they usually get the new listings in advance & can get you on the list for when booking open up 18 to 24 mths in advance if that is what you want

Some people like specific cabins so will book early & watch for price drops

some people will wait until closer to the sailing then book

It is personal choice & what works best for you

 

Most have early booking prices along with full brochure price (which most people do not pay) it is marketing

 

What cruise line are you looking at ?

 

So TA sites advertise 75% brochure rate but the cruise line never or rarely charges brochure rates but sure looks good on that TA site ;)

Edited October 28, 2015 by LHT28

[nfcu]

This "brochure price" also comes into play for those lucky (?) folks who win a "free" cruise from on board bingo games, TV game shows, charity auctions, etc.

 

The "winners" of such prizes will receive a 1099 listing the full brochure price, making an unpleasant surprise at income tax time. Depending on your tax bracket, you may end up paying more in taxes for the "free" cruise than you would have paid if you bought the cruise at a usual discounted price.

 

Plus there are tax advantages to cruise lines when they give away these cruises as prizes. They can write off the full brochure prices instead of the discounted prices when they do their corporate taxes.

[notalandlover]

Thank you everyone for these lessons.