Why is cruising so cheap? Why aren't land resorts as cheap as cruise ships?

[LazySleepr]

Why is cruising so cheap when compared to staying at a Holiday Inn per night? What's the catch? My teacher once said you can't get something for nothing so my gut feeling says something is up.

 

I've been doing some counting and figured out I could get a room, all you can eat food, shows, entertainment, etc for a price less than staying at a high end motel. How is this possible? Cruise ships not only do this, they still are moving vessels which only adds to the expense.

 

How in the world did they manage to stay so cheap compared to higher end motels and most hotels and land base resorts out there? Why aren't land resorts just a cheap? What's the catch?

[cb at sea]

Well, on a ship the "cheap" prices are for itty-bitty cabins...not luxurious hotel-sized cabins. The food is mass-produced...and they are making ALOT more money than the "cruise fare" would let you think....all the alcohol/soda/spa/photos/excursions, etc....add to the bottom line of the cruise ship. Lots of "hidden" profit for them!

 

Mpst folks will end up spending about 1/2 of what the actual cruise cost in "extras".

[paul929207]

Does the resort you are talking about have the addons that cruise ships have? I mean things like the casino, shore excursions, tips, bingo? These all take in real money on every ship.

 

Also, most employees are from third world countries and are paid much less than equivalents in the US, although maybe not low paid compared to resort on the islands out side the us

[tak81288]

The make LOTS of money of alcohol sales, photos people buy on the ships, shore excursions, the spa, the casino, specialty resturants/cafes, soda, gift shop...etc...None of those things are included in the price of the cruise and people spend a lot of money on those additional add-ons...

[LazySleepr]

Las Vegas resorts also have most if not all these items (spa, casino, photographers, etc) and they cost quite a bit - with only just a single room! No dining, no food, nothing else!

[firefly333]

People who drink and gamble a lot subsidize the cruise prices .. I dont think they break even per some of the shows, like the one on CNBC unless they reach a certain amount of liquor sold and gambling profits.. thats the answer I believe.

[STARFISH*4]

give me a cruise anyday (money wise and other) over a land vacation...

just look at how much you spend for food alone in a day not on a cruise:eek:

[clackey]

The low price is exactly why we cruise. I unpack once, have service fit for a king, eat way too much, go to the shows and lounges and see some neat people and countries for one small price. Well, one small price plus gratuaties, port excursions, transportation and extra goodies like drinks and trinkets. I have researched all inclusive resorts and I can't buy the airfare as cheaply as I can book a cruise. To tell the truth, I can't stay at a resort near home for the price of my cruise.

[luddite]

Cruising has gotten rather inexpensive.

Here is one possible explanation for the query:

They aren't making any more real estate but they ARE making more cruise ships.

[lady_cruiser]

Another thing to factor into the price of land-base resorts is the salaries of their employees. Employees on resorts, especially in the U.S., has to abide by the minimum wage laws. Salaries on cruise ships for the hard working crew is practically non-existent. And like most of us here at Cruise Critic we would take a cruise over a land-base resort vacation any day.

[matj2000]

AI are usually cheaper but if you want the higher end ones you will have to pay alot more.

Airfare plays a big part in AI pricing, which fluctuates greatly depending on what airport you have to fly out of.

I almost cancelled my Freedom cruise in March to go to Cancun/Maya Riviera. With air it was over $500 cheaper than RC without airfare. All depends on where you live.

[Haoie]

Really now: Cruising isn't that cheap [especially for those of us stuck in boonie countries].

[beachchick]

Why is cruising so cheap when compared to staying at a Holiday Inn per night? What's the catch? My teacher once said you can't get something for nothing so my gut feeling says something is up.

 

I've been doing some counting and figured out I could get a room, all you can eat food, shows, entertainment, etc for a price less than staying at a high end motel. How is this possible? Cruise ships not only do this, they still are moving vessels which only adds to the expense.

 

How in the world did they manage to stay so cheap compared to higher end motels and most hotels and land base resorts out there? Why aren't land resorts just a cheap? What's the catch?

 

Well, mainstream cruise lines are terrific, but they are not the equivalent of high end hotels or resorts. At least, not in my opinion. If you want to equate the cost of high end hotels (and the related costs of food, entertainment, etc.) to cruising then you need to use the cost of luxury cruise lines as a comparison. Again IMO, Holiday Inn is not a high end hotel chain and I'd say you absolutely could compare the costs of Holiday Inn level hotels and mainstream cruises.

 

I think it would be pretty easy to find a room at a Holiday Inn (or similar), add on the basic costs covered by cruise fare, and have the total be in the same ballpark at least as a mainstream cruise. There are many cases where the land stay would likely be less than the cruise cost.

 

You can't simply say "cruises are cheaper" because there is so much in play. Much is going to depend on when, where, size/newness of ship/hotel, additional amenities, and so forth. If you want to book on RCI's Oasis of the Seas during peak season, you're going to pay a premium for even the most basic interior cabin. OTOH, if you book on an older or smaller ship (all things being relative, of course) during non-peak times, then your cruise cost is almost certainly going to be much less. There is no set-in-stone way to compare the two types of vacation.

 

beachchick

[ehfl]

A big part of a hotel's expenses are labor and taxes (on all that real estate). Cruise ships use relatively low paid workers (although actually their take-home pay is high, since there are fewer payroll deductions). They don't pay real estate taxes, and since the corporations and most of the income is outside of the US, they pay low income taxes. Also, cruises are subsidized by casino income...something that most hotels don't have.

[sail7seas]

While many cabins on many ships are priced very low these days, don't forget there are lots of Suites paying much, much higher prices. Cruising is not 'cheap' for folks in those cabins. And, yes, of course, I understand they don't have to book the pricier cabins but be happy some do as they help 'carry the load' for those very low priced cabins.

[jagoffee]

Why is cruising so cheap when compared to staying at a Holiday Inn per night? What's the catch? My teacher once said you can't get something for nothing so my gut feeling says something is up.

 

I've been doing some counting and figured out I could get a room, all you can eat food, shows, entertainment, etc for a price less than staying at a high end motel. How is this possible? Cruise ships not only do this, they still are moving vessels which only adds to the expense.

 

How in the world did they manage to stay so cheap compared to higher end motels and most hotels and land base resorts out there? Why aren't land resorts just a cheap? What's the catch?

 

IMO a cruise can be the best vacation value.

 

1. Large captive audience. Once on board you spend money on things that have a high profit margin. So if you spend less you are getting an even greater value. The cost of the cruise is not where the real profit is for a cruise company.

2. A ship typically sails at or near capacity.

3. A ship can move around to where people want to cruise during the season and as people's demand changes. Europe or Alaska in the summer and Caribbean in the winter.

4. There is a lot of competition and choices forcing cruise lines to compete.

 

None of this is negative, it just result in a great value IMO. Although cruising is not for everyone. I have analyzed the costs between land vacations and cruises and from a cost perspective it is usually less expensive to cruise. This is particularly true when you cruise in high cost regions like Tahitia.

 

Bottom line is that I do not think that their is a catch except to monitor what you spend on board.

 

Book a cruise and have a great time.

[geoherb]

I don't think the cost is cheap when compared to a Holiday Inn. The least expensive cruises we have been on have cost close to $100 per person per day. There's no way I'd spend that much for a Holiday Inn.

 

When we take land vacations, I can generally get a hotel room for under $100 per day unless we're going to a large city. By economizing, we can eat for less than $100 per day.

[clackey]

I don't think the cost is cheap when compared to a Holiday Inn. The least expensive cruises we have been on have cost close to $100 per person per day. There's no way I'd spend that much for a Holiday Inn.

 

When we take land vacations, I can generally get a hotel room for under $100 per day unless we're going to a large city. By economizing, we can eat for less than $100 per day.

My cabin runs around $50 per day with tax and I eat like a horse. Chateau Briande, Prime Rib, Lobster, Mahi Mahi, Tiger Prawns, Pizza at 2"00A.M., Chocolate Melting Cake, Decadence of Chocolate. Total cost with transportation is around $500 pp for us. Let's see you get that at the Holiday Inn.:rolleyes:

[luddite]

I don't think the cost is cheap when compared to a Holiday Inn. The least expensive cruises we have been on have cost close to $100 per person per day. There's no way I'd spend that much for a Holiday Inn.

 

When we take land vacations, I can generally get a hotel room for under $100 per day unless we're going to a large city. By economizing, we can eat for less than $100 per day.

 

Lodging, unlimited food, a show,travel for 100$ a day per person. That ain't happenin' at the Holiday Inn. I haven't seen a 90$ room anyplace that I'd consider a vacation destination for a while.

[Travelcat2]

It sounds as if you can cruise quite inexpensively if you don't drink anything that costs money (including Coke, or nice coffee drinks), do not eat at speciality restaurants, do not take excursions, etc. What about tipping, etc. There are plenty of all-inclusive resorts in Mexico or Jamaica where you can have more included for less money. JMHO.