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NCL is making prices 50% higher due to Corona


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Just now, DCGuy64 said:

Not true, but you're convinced you're right, and I can't change that. I'll just show your comments to my friend who owns a restaurant that closed due to COVID and tell him the guy down the road whose place is still open is in worse shape than he is. I'm sure he'll take your side. I'm done with this convo. Have a good one. ☺️

 

 

 

A restaurant is completely different than a mode of transportation with thousands of employees. And as I said, airlines have cut fares. Did the restaurant next door also cut prices? I don't think so. You're the one too stubborn to understand the nuances of operating a business in the travel industry...since you apparently want to compare it to a restaurant.

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2 minutes ago, DaCruiseBug said:

 

If the cruise lines didn't outsource a vast majority of their jobs on their ships to third world countries and incorporate their corporations in other countries to avoid paying taxes then they probably would have gotten some help from OUR tax dollars. Why should a corporation that skirts hiring US employees and paying US taxes receive US tax dollars?

Yes and if they had to hire US employees and pay US taxes, I'd pay $10,000 pp for a tiny inside cabin and could never afford to sail. I don't think you understand basic economics, buddy. If cruise lines could turn a profit and be US-based, they would. Over and out.

 

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Just now, Formula280SS said:

 

Of course they did.

 

And, a lot more than what most know.  For example, regarding the Spring 2019 $25 billion was really quite a bit more ~

 

"The industry got $25 billion in payroll support, largely in the form of grants, and another $25 billion in loans, not to mention a subsequent $10 billion in both grants and loans for cargo airlines and industry contractors."

 

I'm fully aware of what the airlines received. The loans are to be paid back, with interest. The grants as that says were payroll support grants that can only be used to cover the salaries of employees and prohibited airlines from furloughing any employees. Passenger numbers were down by as much as 95% at one point. That would have translated a few hundred thousand US employees being furloughed.

 

Surely you do understand the difference right? Small businesses in the US also received billions of dollars as did other industries.

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Just a guess/opinion from me....but if the cruise lines can ever reach a point where they can start up again and approach normalcy... not only will they not be able to increase prices to make up for the Covid shut down...they will actually need to lower them significantly from where they are today. All of us fanatics on cruisecritic make it sound like there is such an overwhelming pent up demand to cruise that the ships will automatically fill up at high prices just as soon as it is allowed. There is a much larger population out there that has enjoyed cruising but may very well be scared off for good. When/If cruising comes back...I believe the prices will end up being much lower than they are today.

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6 minutes ago, DCGuy64 said:

Yes and if they had to hire US employees and pay US taxes, I'd pay $10,000 pp for a tiny inside cabin and could never afford to sail. I don't think you understand basic economics, buddy. If cruise lines could turn a profit and be US-based, they would. Over and out.

 

 

The Pride of America has only US Citizens and Permanent Residents and must adhere to all US labor law standards. Inside cabins start at $1,400 per person.

 

If anyone doesn't understand basic economics it's you. You're more interested in confirming your flawed theory than learning a thing or two.

 

But hey...your $10,000 pp claim is only off by $8,500.

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5 minutes ago, DaCruiseBug said:

 

I'm fully aware of what the airlines received. The loans are to be paid back, with interest. The grants as that says were payroll support grants that can only be used to cover the salaries of employees and prohibited airlines from furloughing any employees. Passenger numbers were down by as much as 95% at one point. That would have translated a few hundred thousand US employees being furloughed.

 

Surely you do understand the difference right? Small businesses in the US also received billions of dollars as did other industries.

 

The $25 billion in loans by the U.S. are extremely low interest, unsecured loans over 10-years.  The airlines also borrowed tens of billions in the Spring market for 11-12%.  So, the low interest subsidy is a factor.  

 

I'm not objecting to the airlines getting preferential treatment, just stating that they are only able to do so with the continued massive U.S. (mostly future taxpayers) support.

 

Oh, and yes.  I do understand the difference.

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4 minutes ago, Formula280SS said:

 

The $25 billion in loans by the U.S. are extremely low interest, unsecured loans over 10-years.  The airlines also borrowed tens of billions in the Spring market for 11-12%.  So, the low interest subsidy is a factor.  

 

I'm not objecting to the airlines getting preferential treatment, just stating that they are only able to do so with the continued massive U.S. (mostly future taxpayers) support.

 

Oh, and yes.  I do understand the difference.

Out of interest do the US government offer recovery bonds, its something that’s being talked about in the U.K. We did it after WW2.

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4 minutes ago, Trimone said:

Out of interest do the US government offer recovery bonds, its something that’s being talked about in the U.K. We did it after WW2.

 

Not that I know of currently. 

 

The plan in the U.S. appears to be to just keep printing money.  😲

 

It doesn't really matter what the deficit (approaching 30 trillion) is as even that doesn't count the massive unfunded future obligations (estimated at almost 131 trillion) in the Financial Report of the US Government.

 

Hope we get to cruise and travel before the proverbial economic reality (SHTF) sets in.    

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I found the same issue for our RCL cruises that have been canceled. I watched future prices when we could cruise next and before they canceled, I was able to rebook at great rates. But every time they canceled, the future cruises rates jumped up at least 25%. The last one that we booked for March (before Thanksgiving got canceled) was $2100. The day they announced the November cancelation, that same cruise went from $2100 the night before to $4600. It was similar for our June 2020 cruise when we moved it to November. The prices skyrocketed. Once March canceled, we took the refund. We are finding better deals for the times we can cruise. 

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I can't see higher prices for vacations we have an eye on. Maybe the cruise is a little bit more expensive than last year planned, but hotel and airfare seems to be cheaper now. The sum for our transatlantic in 2022 is still stable since the first day we're thinking about. I see more "all in" offers.

 

We pay €, so price and exchange fluctuations sometime balance each other, sometimes they add.

Thats a thing i would keep an eye on if you're not pay using USD.

 

 

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@kransfontein

 

The email from the CEO yesterday stated:-

 

If you have questions or would like to redeem your discount, please contact your Travel Advisor, call us at (866) 234-7350 or visit us at www.ncl.com

 

I have no idea whet the bolded portion actually means  but I would get in touch with that number and work from there.

 

The whole email is on https://boards.cruisecritic.com.au/topic/2771641-cruise-next-future-cruise-cruise-credits-etc-extended/?tab=comments#comment-60772743

 

 

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1 hour ago, BoozinCroozin said:

I found the same issue for our RCL cruises that have been canceled. I watched future prices when we could cruise next and before they canceled, I was able to rebook at great rates. But every time they canceled, the future cruises rates jumped up at least 25%. The last one that we booked for March (before Thanksgiving got canceled) was $2100. The day they announced the November cancelation, that same cruise went from $2100 the night before to $4600. It was similar for our June 2020 cruise when we moved it to November. The prices skyrocketed. Once March canceled, we took the refund. We are finding better deals for the times we can cruise. 

 

The difference is that RCL allows you to lift & shift your cruise to a similar itinerary and ship the following year with a price lock. NCL doesn't do that.

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Shocking everyone, companies that are in the business of making money (hint, that is ALL companies), will charge precisely what the market will bear! Pent up demand is HIGH! No one has been able to cruise for a year. Cruise lines lost billions while cruising was shut down and need to try to recoup revenue. Lots and lots of people have unspent FCC from canceled cruises. All of this adds up to higher prices when cruises sail again. It's simple economics.

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14 minutes ago, sfaaa said:

But but but...according to NCL,  you do get 5 extra perks for free (for a limited time only of course).

 

It's like those infomercials that pop up at 2am.

"But there's more. Pay just $39.95 S&H and get a 2nd one for free!"

NCL:

"Simply pay a higher cruise fare and a few hundred bucks in service fees and the beverage package is free"

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On 2/10/2021 at 3:26 PM, kransfontein said:

We wanted to book a cruise again form our FCC but we found out that, eventhough we had a 25% extra, we still have to pay about 600 euro's extra for the same cruise as we had in 2020.  

The cruiseadvisor said that it is true that they have lifted the prices because they still want to earn money from you.

 

So, we are beïng scammed! We really wanted to take our first cruise, and find it reasonable if we had to pay a little bit more, but this is really too mucht. Escpecially because the give a discount of 25% an when you book again an discount, but when you first uplift the prices with 50% is not a worthy to a good company.

Now we will try to receive our money. That probally will be another long road to take....

Conny Dijkstra

The Netherland.

 

 

 

 

Hi Conny,

 

Welkom op CruiseCritic!

 

Book the cruise you had in mind for 2020 with another line, perhaps Royal, MSC, HAL or Celebrity might suit you. Use the FCC for a another, new, NCL cruise or even better try keep it unused after your first cruise so you know what you like and dislike?

 

Did you book with an agency or direct with NCL? Booking through US based travel agents can be a better option regarding deposits/aanbetaling and promotions. Often better than we have here in The Netherlands and lower pricing in general!

 

:classic_smile:

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On 2/10/2021 at 11:06 AM, Formula280SS said:

Well, the airlines got $25 billion in the Spring of 2019 and $15 billion allocated recently under U.S. programs.

Yeah, the bailout to the airlines should have included a demand that they give refunds and not credits. The airlines ****

 

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6 minutes ago, panamatiger said:

Yeah, the bailout to the airlines should have included a demand that they give refunds and not credits. The airlines ****

 

 

😀

 

Yep.  We've got tons of "travel funds available."

 

Also, we still have no idea what we're going to do with these either (or the companion pass).

 

😲

 

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4 hours ago, panamatiger said:

Yeah, the bailout to the airlines should have included a demand that they give refunds and not credits. The airlines ****

 

 

Refunds were offered by all airlines for any flights that were cancelled. If you booked a nonrefunable fare and the flight wasn't cancelled then why should the airline have to refund you that amount? It's quite considerate that most waved change fees and gave passengers credits to begin with.

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On 2/10/2021 at 3:27 PM, All-ready2cruise said:

@tallnthensome this situation may be different since OP is from Europe.  I'm not really sure but @Trimone probably has more experience in this area. 

UK this is covered by the Travel regulations 2018. If prices have gone up then I am glad I took my cash and not a FCC

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On 2/10/2021 at 8:53 AM, DaCruiseBug said:

 

Airlines haven't raised fares and they're losing a ton of money. As a matter of fact, most airlines even flew at reduced capacity for months (some still do now). Yet airline fares are dirt cheap. They're not doubling their fares to make up for the pandemic.

 

While all cruise lines have raised prices, none have raised them as much as NCL.

No Idea where you are flying. We have experienced plenty of increased fares. In addition flight cancellations of one booked leg and refunds in credits rather than cash refunds. We have hundreds of dollars of credits we very well might be able to use on a certainly airline.

Every business is scrambling and trying to figure out business in this completely unpredictable environment.

Blanket, generalized statements don't contribute to informed discussions.

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Ref air prices vs cruise prices. When the pandemic first hit and no one was traveling I read an article about why flight prices weren’t dropping. It boiled down to the fact that when people weren’t traveling if they didn’t have to, there was no benefit to them dropping prices. Price dropping is due to multiple companies competing for the same customers. When there aren’t customers to compete for, dropping prices won’t help.

 

I think the same thing is happening with cruises. I seriously doubt that many people without fcc’s are booking cruises right now. No one is competing for fcc customers, they are stuck w the cruise line who holds their money. So the name of the game is to keep get as much income out of those fcc rebookers as possible. Allowing them to rebook at the same or less price doesn’t create income. When cruising restarts and the fcc booking window expires, I believe prices will drop significantly. Because then they will be competing for customers again.

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2 hours ago, sanger727 said:

Ref air prices vs cruise prices. When the pandemic first hit and no one was traveling I read an article about why flight prices weren’t dropping. It boiled down to the fact that when people weren’t traveling if they didn’t have to, there was no benefit to them dropping prices. Price dropping is due to multiple companies competing for the same customers. When there aren’t customers to compete for, dropping prices won’t help.

 

I think the same thing is happening with cruises. I seriously doubt that many people without fcc’s are booking cruises right now. No one is competing for fcc customers, they are stuck w the cruise line who holds their money. So the name of the game is to keep get as much income out of those fcc rebookers as possible. Allowing them to rebook at the same or less price doesn’t create income. When cruising restarts and the fcc booking window expires, I believe prices will drop significantly. Because then they will be competing for customers again.

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100% agree with this...I don't have any fcc's to worry about and will not book anything no matter how far out  until cruising starts up again. the laws of supply and demand at that point will dictate prices and I predict they will need to drop significantly from what they show today.

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1 hour ago, Red-Sol said:

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100% agree with this...I don't have any fcc's to worry about and will not book anything no matter how far out  until cruising starts up again. the laws of supply and demand at that point will dictate prices and I predict they will need to drop significantly from what they show today.

Certainly agree the laws of supply and demand will dictate prices. Totally understand not booking now or until cruises begin but with the pent up desire from Cruisers to cruise again, what makes you predict prices to drop significantly? Also, if prices do drop don't most cruise lines allow re-booking at the lower price? Now, of course that wouldn't matter if they go out of business, so I still understand the not booking now. And for the record I'm not trying to challenge your position, just trying to understand your reasoning for a significant price drop.

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