sudden massive increase on UDP prices

[Engineroom Snipe]

On 10/22/2022 at 9:52 AM, CFIGuy said:

 So I think the pricing increase is both to increase profit but also take demand down for the UDP slightly as well.

One could look at your supposition as being logical. RCI would have to really dig into historical data and try to predict the difference in profit. .

 

UDP is different because it is competing with food services that are included with the basic cruise fare at no additional cost

 

I tend to err on the opposite possibility that RCI wants passengers to buy UDP. The transaction is  purchased months in advance. RCI is getting a free no-interest loan until the passenger steps on board and uses the package. They calculate that some passengers will eat two or three meals in the main dining room. There might be a few customers who eat two UDP meals in one day but RCI controls the reservation system. RCI does not guarantee that the purchaser will get reservations every night or to the restaurants of their choice.

 

Airlines can overbook their flights and RCI can overbook their UDPs. They can guide those passengers to under utilized restaurants. If demand is high, RCI will slowly test the price premium and raise it. Until advance purchases fail to meet expectations, the prices will go up. The viscous supply-and-demand capitalism rears its ugly head. RCI has stockholders and RCI has a fiduciary responsibility to make a profit for them.

 

My wife and I tend to be minimalist on cruises. I do not want my fare to automatically include unlimited drinks because I do not drink. The current system does not penalize me for that decision. I find the food served at venues included in my base fare to be adequate. I do not need a cabana on Coco Cay. The base fare included umbrellas and lounges which are fine with me.

 

RCI does need me to fill a cabin, help their staff gets basic gratuities, and pay for fuel. My cabin helps to pay for the basic costs of keeping the ship afloat. They are willing to break-even on my cabin so others can purchase the drink, special food, spa, casino, excursion, internet, ship tours, and suit packages, etc., etc................

 

THOSE packages represent the profits in today's environment. They will go up until the consumer does not purchase them. That is the bottom line. If you feel the price is unreasonable, do not purchase the item. No one is forcing you to purchase anything but your base fare when you step onboard.

 

Someone is cooking and cleaning for me everyday so I have more time to spend with my wife on vacation. I get to use a Jacuzzi after a few hours of walking with her knowing I have no responsibilities but to exist. Life is good on a cruise.

[nferr]

On 10/20/2022 at 5:19 PM, Longhorn Cruiser said:

Has anyone ever bought two 3 night dinner packages?  It is substantially cheaper than the UDP.

Is this possible?

 The UDP includes lunch on sea days and embarkation day. I noticed that on past cruises it included lunch at Port Canaveral also for the Bahamas cruise on the Anthem, so on a seven nighter out of NY that's five lunches in the specialty restaurants also. 

[Toddcan]

Anthem UDP for a 7 day (March 2023 sailing) was teetering between $207.99("50% off") and $219.99 ("40% off") pp for the longest time.  

 

Now it's $260.99 (40% off) 

 

So, they have increased the regular base price. Not sure if that's their norm?  I've notice they flip between 40 and 50% off, but the base was the same.  But now the base is higher... 

[Toddcan]

On 10/20/2022 at 5:19 PM, Longhorn Cruiser said:

Has anyone ever bought two 3 night dinner packages?  It is substantially cheaper than the UDP.

Is this possible?

 

On 10/20/2022 at 7:15 PM, MrMarc said:

You wouldn't get the free lunches, 45% off wine, the discount on the Captain's table and you might be limited to 1 restaurant per night.

 

On 10/20/2022 at 7:47 PM, Longhorn Cruiser said:

 

I think I found a good compromise.   3 Day package for Chops, Teppanyaki and Wonderland and I booked Izumi for $28 and Giovanni's for $41.    We'll eat in the MDR for the two formal nights and get steak and lobster (second night).     The total is $184 per person vs $299.

 

This is why I love Cruise Critic. Great ideas. I think I'll do something similar.  Much cheaper than buying the UDP.   And, for us, not having the specialty lunch is just fine - on a cruise, we normally eat a nice breakfast, and usually nothing (except drinks/snacks) for lunch, and a nice dinner. I could not eat a full meal like that 3 times per day.   Thanks for bringing this up! 

[serenegrid]

On 10/21/2022 at 8:53 AM, gumshoe958 said:

It’s blindingly obvious to me that Royal are just following the standard practice in retail of raising prices before a sale to make the sale look better than it is, when in reality the sale price is the normal price.

 

And it’ll work - look out for all the gleeful posts next month saying “my UDP just came down $100!”

 

I very much doubt we’ll see any genuine bargains around Black Friday this year. Higher prices for everything are here to stay.

 

Agree - It just comes down from £299 to £238 (still higher than average...) but I'm going to secure the price now ugh and repurchase if I see a lower price or cancel if we decide we don't want it... 

[Longhorn Cruiser]

My UDP for December just dropped back down to where it was at $258 from $299 a person.