Crystal to compete with SeaDream in small ship market

Crystal has announced the creation of a new small ship division that appears to be aiming at the SeaDream market.

https://www.youtube.com/watch?t=25&v=n-t2vKEDg_A

Interesting. Short on details. Any idea when they are introducing? Everyone else keeps creeping bigger, nice to see someone going smaller.

Here's the story from USA Today. Quite an ambitious expansion and strategy. Appears to be aimed at the very top end of the market for sophisticated wealthy travellers like Ho Hum.

In major expansion, Crystal Cruises to add river ships, yacht, airplane

Is a new era in luxury cruising about to begin?

Highly-rated luxury line Crystal Cruises is planning a massive expansion that includes the addition of the most spacious ocean-going ships ever as well as river ships, a yacht and even an airplane.

Crystal president and CEO Edie Rodriguez tells USA TODAY the two-ship line has signed a letter of intent with Germany's Lloyd Werft shipyard to build three ocean vessels with all-suite accommodations that are nearly twice the size of those on other luxury ships and such over-the-top, yacht-like amenities as submarines and helicopters.

Rodriguez says Crystal will enter the fast-growing river cruise market in the spring of 2017 with two custom-built luxury ships that will be defined by first-rate service, world-class dining, spacious suites and elegant public rooms. They'll be part of a new brand extension called Crystal River Cruises.

The line also is jumping into super-high-end, yacht-like cruising starting in December 2015 with the addition of a water toy-filled, 62-passenger vessel. To be called Crystal Esprit, it'll carry a 32-foot boat for adventuring, zodiacs, jet skis, kayaks and even a two-person submarine that Rodriguez says will allow for such innovative offerings as underwater weddings. It'll be part of a brand extension to be called Crystal Yacht Cruises that eventually could have more vessels, Rodriguez says.

The airplane that Crystal plans to acquire will be a Boeing 787 configured to hold just 60 passengers in sumptuous, fully reclining seats instead of the 300 that is typical. It'll be used to offer extravagant, around-the-world trips as part of a new brand extension to be called Crystal Luxury Air. The 28-day itineraries will feature stops in 10 to 12 remote and/or sought-after locales, with accommodations at some of the world's finest hotels and resorts, Rodriguez says.

Calling the additions "game-changing big," Rodriguez suggested that Crystal is aiming to move well beyond its luxury ocean cruise origins to become a leader in luxury travel of all types.

"We really came up with a global strategy to become the world's premier luxury, hospitality and lifestyle brand portfolio," Rodriguez says. "There is power in (the Crystal) brand."

Scheduled to debut starting in late 2018, the new ocean vessels will measure more than 100,000 gross tons while carrying 1,000 passengers, resulting in an unprecedented space-to-passenger ratio of 100. That's about 20% higher than the most spacious luxury cruise ship afloat today, Hapag-Lloyd's Europa 2.

Rodriguez says even the smallest suites on the new vessels will measure 400 square feet, and they'll also have higher-than-normal ceilings for ocean ships. The ships will sail with 1,000 crew members, resulting in an also unprecedented one-to-one crew-to-passenger ratio.

"It will make everything else that exists (in the luxury cruise space) pale in comparison," she says. "It will be just extraordinary ... (with) innovative offerings not found on luxury cruise ships today."

Rodriguez says the new ocean vessels will have Michelin-starred and celebrity chefs, and carry rubberized Zodiac boats for expedition cruise-style landings in addition to submarines and helicopters. In a first for large luxury ships, they'll also be designed with polar ice-rated hulls to allow for travel to the most remote regions of the Earth including the Arctic and Antarctica.

In an unusual twist, the new ocean ships also will have 48 residences that wealthy travelers will be able to buy as second homes. Ranging from 600 to 4,000 square feet, they will occupy a top deck and come with their own private restaurant, reception and facilities.

Rodriguez says Crystal regulars have been telling the line for years that they want the company to get into other types of travel besides ocean cruises such as river cruises and super-upscale, around-the-world tours, and the line is responding to the demand.

"We listened to our loyal customers," she says. "They have told us how they are going on other luxury vacations (that) are not on Crystal, but they would love for them to be on Crystal," she says.

Demand for more high-end travel options in general also is strong and growing, Rodriguez says, making this a good time to expand. "Our guest base is the top 2% of the world's wealthiest global consumers, and there's more than enough" of those to fill all of the berths the company is adding, she says.

Rodriguez and Crystal chairman Tan Sri Lim Kok Thay announced the expansion today during the line's annual President's Cruise aboard the 1,070-passenger Crystal Serenity.

The announcement comes just four months after Hong Kong-based Genting Hong Kong, which Tan Sri Lim leads, purchased Crystal from Japan-based shipping company Nippon Yusen Kabushiki Kaisha (NYK) with the promise of injecting new capital into the company.

Established in 1993, Genting Hong Kong already owns Asia-based Star Cruises and is a major shareholder of Norwegian Cruise Line Holdings, which owns Norwegian Cruise Line, Regent Seven Seas Cruises and Oceania Cruises. It's part of the Genting Group, a global hospitality and leisure company.

The breadth of the announcement is a sign that Genting has grand expansion plans for Crystal, which until now has been one of the slowest-growing cruise companies. Rodriguez notes that Genting "didn't buy us to keep us as is; they bought us with a vision, and they have the finances to back up their vision."

Rodriguez added that more announcements from the company would be coming soon. "This is just the foundation of the future," she says.

The expansion will breath new life into Crystal, which has risked falling behind in recent years in the luxury cruise space as rival luxury lines announce ever more upscale and elaborate vessels. Three of Crystal's biggest competitors -- Silversea, Seabourn and Regent -- are in the midst of building major new ships that are expected to set new standards for the brands. Crystal hasn't added a new ship since 2003.

The new yacht trips that Crystal plans on the Crystal Esprit are available for booking starting today for members of the line's Crystal Society frequent cruiser program. The voyages will kick off on Dec. 23, 2015 with sailings in the Seychelles Islands starting at $2,690 per person for four nights. Other routes will include sailings around the Persian Gulf and along the Croatian coast.

For a deck-by-deck tour of a Crystal ship, click through the carousel below.

http://www.usatoday.com/story/travel/cruises/cruiselog/2015/07/19/crystal-cruise-expansion-airplane/30379447/

Thanks commodoredave for the interesting news.

The ESPRIT-yacht will be a competitor to Seadream. As it is built at Lloyd Werft you can be sure it is best quality!

A cruise at the Croatian coast on ESPRIT - why not ... ;)

I agree it will be a well built vessel and worth a try at some point.

I wonder what the implications are for SeaDream. Will Oslo decide to invest in a new ship? Do major refurbs of existing vessels? Sell out?

And if they just stand pat, will they be able to hold on to their market share? And will SD staff be recruited by Crystal?

Interesting times ahead.

I agree Dave, interesting options ahead. There are quite a few former SD staff over at Azamara. We have our first Azamara booked for down the road. Generally speaking, we have enjoyed our cruises on the former R-Ships. SeaDream really is approaching a critical time where major overhaul, newbuild, or call it a day options will need facing. Former SeaDream staff seems to have no trouble finding work at other high end lines.

WOW! Sounds great, hope they do it.

Rick

Rick, my sentiment exactly. For the last few years the small ship luxury market seemed to be disappearing. Now it looks like we may have at least one more great option. And if Crystal is successful with one small ship, they may build another.

I agree Dave, interesting options ahead. There are quite a few former SD staff over at Azamara. We have our first Azamara booked for down the road. Generally speaking, we have enjoyed our cruises on the former R-Ships. SeaDream really is approaching a critical time where major overhaul, newbuild, or call it a day options will need facing. Former SeaDream staff seems to have no trouble finding work at other high end lines.

Jimbo, how much longer do you think they can keep the old girls going without a major refit? And how long would they be out of commision for such a job?

Jimbo, how much longer do you think they can keep the old girls going without a major refit? And how long would they be out of commision for such a job?

30 years old is getting there. QE2 was the longest serving Cunard ship in Cunard's 175 year history at 39 years. And that included a major refit involving new engine/drive systems in the middle of that span. Unless SeaDream has some magic potion the other shipping lines throughout history have overlooked, the string is running out somewhat. Companies do studies involving Surveyors and Naval Architects to determine if the hull is worth re-engineing, etc. to know if it will pay to undertake such work. Replacing engines is a huge effort. Not just engines/gears but engine mounts, wiring, fuel systems, control systems, on and on need replacing. In order to replace this stuff involves cutting out bulkheads and decks in places as well as removing interiors that would be in the way. A good German shipyard could do this in a couple of months probably. And then there is the pile of $$$$ needed as well. Ship operation is a tough game and not for sissies.:eek::D

Hebridean Princess was built in 1964. Last time we were aboard, the engineer said it was getting harder to comply with environmental laws. Will be interesting if we take another tour of the engine room in 2016.

Hebridean Princess was built in 1964. Last time we were aboard, the engineer said it was getting harder to comply with environmental laws. Will be interesting if we take another tour of the engine room in 2016.

An interesting ship. Wikipedia has lots of info on her. A ship that Queen Elizabeth occasionally charters. Not bad for a former ferry that carried around 50 cars.:eek: She doesn't go very far on her voyages. I imagine one SD transatlantic is a good portion of Hebridean's annual mileage. I think it was Indiana Jones that once said "it's not the years, it's the mileage". Certainly true in my case.:eek::D I enjoyed your trip reports on your last Hebridean cruise.

Rick, my sentiment exactly. For the last few years the small ship luxury market seemed to be disappearing. Now it looks like we may have at least one more great option. And if Crystal is successful with one small ship, they may build another.

Crystal is not building the Esprit. They are renovating a Gentis ship that is older. Unlikely they will ever build another small ship. Economics for that just don't make sense. However, if they have a couple more older ships they can convert....perhaps.

MV Liemba was built in 1913/14 and is on its second set of engines!

(and was sunk in WW!) (and starred in The African Queen)

Couldn't help, on our trip on her in 2013, in thinking what a wonderful Sea Dream-esq ship she would make.

As this video shows, she ain't no SD now!

Crystal is not building the Esprit. They are renovating a Gentis ship that is older. Unlikely they will ever build another small ship. Economics for that just don't make sense. However, if they have a couple more older ships they can convert....perhaps.

Yes, you are correct. I found what looks like the history of this Genting ship. Note that they call it and its sister "Sea Goddess" like ships, which would make them relatives of the current SeaDreams:

Operator:Star Cruises

Year Built / Last Refurbished: 1991 / 1996

Length / Tonnage: 270 / 3,300

Number of Cabins / Passengers: 36 / 72

Officers / Crew: International / International

Operating Area: Southeast Asia

The Lims found suitable vessels in AURORA I and AURORA II. These two SEA GODDESS type ships had been ordered for Greece's Navtol and were to be christened LADY DIANA and LADY SARAH. Unable to pay for these ships, Navtol was forced to cancel their plans to operate them.....and in 1992, New Frontier Cruise Line entered the picture and snatched up the pair. With an already over saturated luxury market in the Western Hemisphere, the AURORAs were considered redundant.....and in 1994, Star Cruises jumped at the chance to acquire them, renaming them MEGASTAR ARIES and MEGASTAR TAURUS, and making them available for charter when not operating scheduled short cruises from Singapore and Kuala Lumpur.

An interesting ship. Wikipedia has lots of info on her. A ship that Queen Elizabeth occasionally charters. Not bad for a former ferry that carried around 50 cars.:eek: She doesn't go very far on her voyages. I imagine one SD transatlantic is a good portion of Hebridean's annual mileage. I think it was Indiana Jones that once said "it's not the years, it's the mileage". Certainly true in my case.:eek::D I enjoyed your trip reports on your last Hebridean cruise.

I am looking forward to blogging the next trip. It's going to be focused on whisky! We will be visiting several distilleries, a couple of which we saw on our first trip but are well worth a repeat visit. It's hard to be addicted to two luxury cruise lines.:D

MV Liemba was built in 1913/14 and is on its second set of engines!

 

(and was sunk in WW!) (and starred in The African Queen)

 

Couldn't help, on our trip on her in 2013, in thinking what a wonderful Sea Dream-esq ship she would make.

 

As this video shows, she ain't no SD now!

 

Thanks for sharing that!

Thanks for sharing that!

Looks like one of my old ships.:eek::D

Is this the ship that's more for private charters than individual cruisers? I'm not sure it will be apples to apples competition. I'd also be concerned about how quickly Crystal under it's new owners seems to be branching out into new things. Perhaps the new owners should try running Crystal successfully for a few years before entering a new ballgame.

Why do you think Crystal is not operating successfully. Some of their policies may not be to your or my liking but that does not mean it is not a successful operation.

I think the Emperor's point was that the new owners run Crystal as is for a while to get the feel for what Crystal is and what makes it popular, before running off making changes, adding ships, etc.

Besides, not a good idea to argue with an Emperor :-)

Look at what arguing with ho-hum gets one, and he is just the court jester.

I guess it depends on whether Genting will let Crystal management continue to do what it does best without interference. I believe that if anyone can match or better the SD luxury small-ship experience, it will be Crystal. However, their expansion plans are ambitious and it will stretch their ability to consistently deliver the great cruise experience for which they are currently known and recognized.

Why do you think Crystal is not operating successfully. Some of their policies may not be to your or my liking but that does not mean it is not a successful operation.

I believe Ragnars version was more succinct than mine.

I still don't see why you think Crystal is not a successful operation.

I still don't see why you think Crystal is not a successful operation.

I'm not saying it wasn't successful under NYK. I'm waiting to see what it becomes under the new owners after they start to assert their own style into the management, whether it stays successful or becomes say another FDR (Regent/NCL) controlled exercise in gouging with a drop in quality.