Specialty Restaurant Pricing Out Of Control

[Mapleleafforever]

Just wait until the cruise fares start climbing.......

[leisuretraveler223]

7 hours ago, rudeney said:

 

So what is the cost of a full dinner in the MDR?  By my calculations, it's about $6.  How did I arrive at that?  Well, the least expensive cruise fare I could find is $30 per night per person.  Let's say that half of that is the room, the other half is food.  So $15 among 3 meals: , $4 for breakfast, $5 for lunch, $6 for dinner.  

 

This is a complete logic fail. IF you find a cruise fare for $30/night, simply put, they are not breaking even on that. They are selling it in hoped of filling the ship and selling goods after the fact.  But regardless, thinking you can itemize this fare and then say that's the standard across thousands of staterooms in nonsensical.

[Ourusualbeach]

2 minutes ago, leisuretraveler223 said:

 

This is a complete logic fail. IF you find a cruise fare for $30/night, simply put, they are not breaking even on that. They are selling it in hoped of filling the ship and selling goods after the fact.  But regardless, thinking you can itemize this fare and then say that's the standard across thousands of staterooms in nonsensical.

While their logic may be flawed their numbers aren't.  On average cruise lines spend between $10 and $15 per passenger per day for food.  That information comes from publicly available financial statements.

[leisuretraveler223]

2 minutes ago, Ourusualbeach said:

While their logic may be flawed their numbers aren't.  On average cruise lines spend between $10 and $15 per passenger per day for food.  That information comes from publicly available financial statements.

 

I understand that. But the fail is in equating the spend on food to the break-even or profit line for a cruise operation.  Their marketing strategy undoubtedly runs complimentary food offerings at a slight loss.  it's the premiums that drive the profit margin (why do you think they are constantly selling drink packages, specialty dining, and spa services?).

 

So, to use that $10-15 rate to calculate reasonable cost of a premium dining option doesn't take their business model into account at all.

[vegascruiser1]

1 hour ago, Georgeny said:

Was never a fan admittedly of extra charge dining. We have cruised since 1984 and originally cruises were all about primary things, service and food. When they started added charge dining MDR food was extremely good and it seemed obvious to me that the only way to get people to pay for extra dining would be to dumb down the quality in the MDR. That has certainly occurred compared to pre-speciality restaurants.

 

That said cost and quality differ by consumer. we live in NY metro area. Drink and food prices in shipboard restaurants are similar in pricing but far less quality and service. I would consider CHOPS a nice restaurant locally not a steakhouse. But if your area doesn't have a lot these type steakhouses etc then speciality restaurant can be worth it for the experience.

 

A $15 cocktail is sadly what we would pay at home, but my relatives in Ohio would be driven nuts by that. OMG they charged me $2.25 for a POP !!!!!

 

Ship service as well far less than 1980's, not to say that then was necessarily better cruising. Today cabin amenities and ship amenities far better. There were NO balconies and limited window cabins. Our first cabin the bed was not large enough for me at 6"2" to stretch. One of us had to leave the cabin so other could dress. I will find and include a picture should you consider me exaggerating.

 

Picture taken from cabin door You don't even want to see the bathroom and shower. You could also here a whisper in the next cabin. LOL You cabin see the size of the double bed.

 

George in NY

My first cruise in 1980 with two girlfriends in an inside cabin. I slept on the pull down berth. We also had conversations with our neighbors through the wall. 

[blueslily]

8 hours ago, rudeney said:

 

So what is the cost of a full dinner in the MDR?  By my calculations, it's about $6.  How did I arrive at that?  Well, the least expensive cruise fare I could find is $30 per night per person.  Let's say that half of that is the room, the other half is food.  So $15 among 3 meals: , $4 for breakfast, $5 for lunch, $6 for dinner.  

 

Wow, when is this cruise? Which ship and what type of cabin? Oh, also how many days? I need that price!  Is that the total daily cost with everything included? 

[time4u2go]

8 hours ago, rudeney said:

 

So what is the cost of a full dinner in the MDR?  By my calculations, it's about $6.  How did I arrive at that?  Well, the least expensive cruise fare I could find is $30 per night per person.  Let's say that half of that is the room, the other half is food.  So $15 among 3 meals: , $4 for breakfast, $5 for lunch, $6 for dinner.  

I'm not sure I understand your logic.  If what you say is true, that's the cost of a MDR dinner for someone paying the least expensive cruise fare you could find.  What about those paying more (which would be pretty much everyone)?  I found a cruise with a room costing about $885 per night per person.  Using your logic, that would equate to $177 for each MDR dinner.

[leisuretraveler223]

3 minutes ago, time4u2go said:

Using your logic, that would equate to $177 for each MDR dinner.

 

They weren't using logic! LOL!  He is intimating that any cost over $10-15 is somehow pure profit.  It's basically a terrible foundation on which to build an absurd argument.

[S.A.M.J.R.]

5 minutes ago, time4u2go said:

I'm not sure I understand your logic.  If what you say is true, that's the cost of a MDR dinner for someone paying the least expensive cruise fare you could find.  What about those paying more (which would be pretty much everyone)?  I found a cruise with a room costing about $885 per night per person.  Using your logic, that would equate to $177 for each MDR dinner.

I understand their logic.  What's served in the MDR is the same whether you are in the cheapest interior cabin or the highest suite.  Therefore the cost is the same.  Someone paying $885/night for a room is paying for what comes EXTRA with that room (space, view, service) compared to someone paying $30/night.  But both guests are paying the same amount (in theory) for everything included in the rate (free meals, drinks, activities). 

[time4u2go]

4 minutes ago, S.A.M.J.R. said:

I understand their logic.  What's served in the MDR is the same whether you are in the cheapest interior cabin or the highest suite.  Therefore the cost is the same.  Someone paying $885/night for a room is paying for what comes EXTRA with that room (space, view, service) compared to someone paying $30/night.  But both guests are paying the same amount (in theory) for everything included in the rate (free meals, drinks, activities). 

I really doubt that it's that simple.  I would think that the costs are averaged out over all of the fare prices.  If what you say were true, then what would the extra $800+ being paid in the higher-priced cabin be used for?  Space and view are not recurring costs.  Is that person really receiving $800 more per night in service?

[leisuretraveler223]

9 minutes ago, S.A.M.J.R. said:

I understand their logic.  What's served in the MDR is the same whether you are in the cheapest interior cabin or the highest suite.  Therefore the cost is the same.  Someone paying $885/night for a room is paying for what comes EXTRA with that room (space, view, service) compared to someone paying $30/night.  But both guests are paying the same amount (in theory) for everything included in the rate (free meals, drinks, activities). 

 

This is correct.  But cruise lines don't exist to cover cost, they exist to make money. So assuming that the $10-15 covers cost is one thing. To conclude that anything they do beyond that is automatically fully profit is a mistake.  It's also critical to realize that every single sailing has a goal- specific metrics based on a myriad of factors, basically creating a road map to profitability.  How much specialty restaurants cost is part of that road map. Equating it to the theoretical cost of the MDR is nonsense.

[Ourusualbeach]

1 hour ago, leisuretraveler223 said:

 

I understand that. But the fail is in equating the spend on food to the break-even or profit line for a cruise operation.  Their marketing strategy undoubtedly runs complimentary food offerings at a slight loss.  it's the premiums that drive the profit margin (why do you think they are constantly selling drink packages, specialty dining, and spa services?).

 

So, to use that $10-15 rate to calculate reasonable cost of a premium dining option doesn't take their business model into account at all.

They weren't using it to calculate the cost of a specialty restaurant.  They stated it was the cost of dinner in the MDR

[leisuretraveler223]

4 minutes ago, Ourusualbeach said:

They weren't using it to calculate the cost of a specialty restaurant.  They stated it was the cost of dinner in the MDR

 

His preamble was "So what is the cost of a full dinner in the MDR?"  "COST" is very different than "amount of cruise charge attributed to food".  He really meant the latter.  But he and others use it to indicate the prior.  Anyone that thinks the cruise line is breaking even or making money at $6 per cruiser per dinner really doesn't understand the economics of a cruise.

 

The reality is "amount charged" doesn't correlate with anything other than what they can get people to pay for something (be it the cruise fare, a beer, an excursion or a souvenir).  The key to profitability is knowing where and how you can generate more revenue.  Specialty dining is part of that. To try and correlate it to the MDR is nonsense.

 

The reality it that the simple answer to the OPs lament as to why they charge so much is very simple: Because they can.

[cruiselvr04]

The nice thing about the specialty restaurants is they are optional. Just like everything else once we board the ship is.  I agree its too high so we either get a package for the week or we don't go.  Its our choice if we want to spend the extra. I will be more concerned when they start to increase the overall cruise price.

[Goodtimes57]

I purchased the Unlimited Dining Package back in early July for a 7 day cruise on Harmony for $519, for 2 people, gratuities included. It was Royal math but it was 45% off at the time.

 

But I agree, $70/pp for Chops is ridiculous. 

 

 

[Mapleleafforever]

40 minutes ago, cruiselvr04 said:

The nice thing about the specialty restaurants is they are optional. Just like everything else once we board the ship is.  I agree its too high so we either get a package for the week or we don't go.  Its our choice if we want to spend the extra. I will be more concerned when they start to increase the overall cruise price.

The entire cruise is optional really. 

[desibee]

Lmao where are people seeing these cheap prices for Chops?  My Spectrum cruise in December it’s over $100 pp for a dinner in Chops.  The beverage package is $88 pp on sale.  Royal seems to think anyone departing from Singapore has Crazy Rich Asian money or something.

[cruisegirl1]

I believe the inflated prices help make the dining packages attractive.  

M

 

 

 

 

 

 

 

[time4u2go]

4 minutes ago, cruisegirl1 said:

I believe the inflated prices help make the dining packages attractive.  

M

 

 

 

 

 

 

 

Yep.  And the lesser quality (IMO) in the MDR help make specialty dining attractive.

[neverbeenhere]

20 minutes ago, Mapleleafforever said:

The entire cruise is optional really. 

In your world maybe, but not in mine. 

[Mapleleafforever]

6 minutes ago, neverbeenhere said:

In your world maybe, but not in mine. 

Oh wow, that's the first I've heard of anyone being forced to take a cruise on Royal Caribbean against their will. Would you like someone to call the authorities for you?

[not-enough-cruising]

The sweet spot for me is 3 night specialty dining for $100. 
I like the change of scenery throughout the week. 

[vjmatty]

12 hours ago, rudeney said:

You might want to check prices at your local Ruth's Chris.  Everything has gone crazy expensive.  We ate at Outback a few weeks ago - no drinks, and it was well over $100 for three of us before the tip.

Maybe my math isn’t what it used to be but it sounds like you’re quoting about half the cost of the OP’s Chops price. 

[Mikew0805]

4 hours ago, twangster said:

As long as other cruisers are paying that rate that is what they will charge.  

 

It's interesting to me how specialty dining became a "must do" during the restart and since.  Prior to the pandemic specialty dining was already beyond my comfort level but they often had promos on board because there were tables available.  

 

For some reason currently specialty dining is often fully booked before a ship boards.  It's a trend I'm not involved with but it's definitely a trend.   People are willing to pay the 2022 higher rates.  When they sell out at higher prices they increase prices to see if people will continue to book it.  The sky is the limit as long as people are willing to pay it.

 

We only have our fellow cruisers to blame.  If no one buys it at the new price they'll lower the price.  

Well count me as one to blame.  I use the BOGO every cruise since turning D+ pre-pandemic. It's especially useful for 3 day cruises, as I can use it, and then spend one night in Playmakers and avoid the dining room  & Windjammer completely. Now, when I am on a ship with no CK, I spend my morning at Chops for breakfast, skip lunch, and have dinner at the specialty restaurants.

 

I love 3 night cruises!

[vjmatty]

3 hours ago, Mapleleafforever said:

Just wait until the cruise fares start climbing.......

Already there…. the 2C I booked on Anthem’s transatlantic next month for $1123 is now over three times that much.