Why State Discounts on Cabins?

[ggo85]

RCI offers discounts on certain cabins on certain cruises to residents of certain states. My question is . . . why?

 

At first, I thought it had something to do with people who lived near the port, last minute cabins . . . a way to fill the ship quickly at the last minute with folks who didn't need to worry about arranging flights, etc. But that would only involve a few states (FL, TX, NJ, etc.).

 

I find it hard to believe that they really care about geographic diversity -- they're a business which means they want to fill all cabins at the highest price point possible.

 

So, why would RCI offer discounts for, say, people who live in Kansas? Or Montana? Or Maine. Or . . . any other statae. And why certain states for certain cruises at certain times? I'm SURE there is a financial aspect but am curious as to what it is (and will probably feel like an idiot when someone explains it to me:o).

[temple1]

Inexpensive word of mouth advertising?

 

They give a few price drops to individuals from those states who then go home and hopefully tell all their family, friends, coworkers and the grocery clerk about their wonderful cruise on XYZ of the Seas.

 

They have a great cruise and book a future cruise and then Cousin Leena from Lake Woebegon hears what a wonderful vacation you had and they are looking to see how they can have a wonderful vacation also.

[Starry Eyes]

let's say a cruise is leaving from NYC area. Many of their early bookings are likely from the nearby states. the cruise line wants to keep those local bookings at the current rate rather than dropping those fares. so they can offer a residency discount to me in the Midwest. From here we can have a long drive or a short flight to the port city...if we take the bait, we help fill the ship without dropping prices for the core local customers. and if we like it, we will look at that departure option next time rather than reflexly looking at Florida departures.

 

PS. I have cruises booked from Baltimore and NJ, the former at Tuesday rates and the later at resident rates.

[Cigar King]

They give a few price drops to individuals from those states who then go home and hopefully tell all their family, friends, coworkers and the grocery clerk about their wonderful cruise on XYZ of the Seas.

 

I haven't been on the XoS (XYZ of the Seas)...can I get a state discount for a cruise on it? ;-)

[blueblock]

There are sometimes U.S. state discounts on European cruises - there are several for my state right now. It's not about proximity to the port; it's all about filling the ships at the best price point they can obtain, which may sometimes involve discounts targeted to particular groups (seniors, state residents, military, law enforcement, etc.).

[ggo85]

Thanks for the replies. It makes sense, sort of . . .

 

However, if they offer state discounts on non-US departures, then I'm totally confused -- other than if it is simply a way to promote their line/ship/itinerary to areas of the country that normally don't cruise.

[Nebr.cruiser]

All I know is state discounts from Nebraska are pretty rare!--though I have seen them.

 

It generally seems to be from the more populous states in the east/south--I thought maybe it had to do with how many people are likely to cruise from certain areas, or who live near enough to drive to ports.

[lysolqn]

I haven't been on the XoS (XYZ of the Seas)...can I get a state discount for a cruise on it? ;-)

 

XYZ of the Seas is RCCL's best kept secret, exclusive, offered by invitation only and experienced by only a very few! I will be posting my review and photos shortly.

[spiritkat090909]

My guess is that it has to do with the airfare that the cruise line blocks space for... they agree to purchase x amount of airfare at a discounted rate. (This is how it used to be done, once upon a time.)

 

If a particular state hasn't sold all of the space they have booked, then they can pass the savings on in a resident discount? Or the airfare rates have gone up & they still have a lower rate held? (This is speculation.)

[Never2Late2Cruise]

RCI offers discounts on certain cabins on certain cruises to residents of certain states. My question is . . . why?

 

At first, I thought it had something to do with people who lived near the port, last minute cabins . . . a way to fill the ship quickly at the last minute with folks who didn't need to worry about arranging flights, etc. But that would only involve a few states (FL, TX, NJ, etc.).

 

I find it hard to believe that they really care about geographic diversity -- they're a business which means they want to fill all cabins at the highest price point possible.

 

So, why would RCI offer discounts for, say, people who live in Kansas? Or Montana? Or Maine. Or . . . any other statae. And why certain states for certain cruises at certain times? I'm SURE there is a financial aspect but am curious as to what it is (and will probably feel like an idiot when someone explains it to me:o).

 

Eventually they will have to discount the fare to fill the ship. By fine tuning those

who will be given the discount it limits the number of discounts at any one time.

 

Military-Law Inforcement and Senior Discounts give good PR "the Cruise line with a heart

that recognises those on fixed income and people who serve our community".

 

Residency discounts besides controlling the number of discounted fares it plays on human

nature "Getting something that is not available to all" and helps start the cruise on a

positive note-good for getting repeat bussiness. It may also play into peoples head to

spend more onboard, as charges really was not that high if you factor in the discount.

 

Jeff

[raiderag]

It's nice to see some different theories about this, because sometimes their pricing and discount schemes make no sense to me.

[RoofingPrincess]

My guess is that it has to do with the airfare that the cruise line blocks space for... they agree to purchase x amount of airfare at a discounted rate. (This is how it used to be done, once upon a time.)

 

If a particular state hasn't sold all of the space they have booked, then they can pass the savings on in a resident discount? Or the airfare rates have gone up & they still have a lower rate held? (This is speculation.)

You don't have to take the cruise line's airfare to get the state discount, so I don't think this is the case.

[bbbearden]

RCI offers discounts on certain cabins on certain cruises to residents of certain states. My question is . . . why?

 

At first, I thought it had something to do with people who lived near the port, last minute cabins . . . a way to fill the ship quickly at the last minute with folks who didn't need to worry about arranging flights, etc. But that would only involve a few states (FL, TX, NJ, etc.).

 

I find it hard to believe that they really care about geographic diversity -- they're a business which means they want to fill all cabins at the highest price point possible.

 

So, why would RCI offer discounts for, say, people who live in Kansas? Or Montana? Or Maine. Or . . . any other statae. And why certain states for certain cruises at certain times? I'm SURE there is a financial aspect but am curious as to what it is (and will probably feel like an idiot when someone explains it to me:o).

 

I have always been curious about this myself, have actually priced cruises and input different states, and the prices always came back the same. Never quite understood why it made much of a difference.

 

XYZ of the Seas is a great ship, love the suites and the CL is the best in the fleet, I was thankful for my invitation to sail on her. :D:D

[ggo85]

XYZ of the Seas is a great ship, love the suites and the CL is the best in the fleet, I was thankful for my invitation to sail on her. :D:D

 

I can't believe you let the cat out of the bag on this one. Now everyone will want to book her and the rest of us won't get those huge discounts.:D

 

And . . . I'm now feeling better that my original question on state discounts wasn't so stupid/obvious after all.

[CCJack]

I think this is an interesting question... I don't know for sure, but I tend to agree with others.. The short answer is obviously to fill ships and then take the discounts away if not needed to fill a ship. But which states is interesting. I agree with Jeff in that they are playing the human desire to get something others are not. So as an example, if they offer discounts for 5 states, you may think that only 5 / 50 states get a discount, so you are real lucky to be in the 10%. However, they always tend to be high population states such as Texas, Florida, Michigan, Ohio, New Jersey, etc. so those 5 states may be much more of the population than it appears. Same thing with location. I think it has nothing to do with airfare, but instead states that generally have a lot of potential cruisers to that departure. So for Mexcian cruises discounts go to Arizona, California, etc. You want people to think they are one of the few on the ship that got the bargain, but in fact 90% of the people on the ship may be eligible.

[Beth C]

The only "state discount" I've ever snagged was for the Allure Inaugural in October for December sailing...

 

It was actually a Canadian resident discount. Had been debating going on her... Saw the sweet deal, took the bait and brought along 5 others with me!

 

Whatever their logic is.... works ;)

 

 

Sent from my iPhone using Tapatalk

[northcove]

I think this is an interesting question... I don't know for sure, but I tend to agree with others.. The short answer is obviously to fill ships and then take the discounts away if not needed to fill a ship. But which states is interesting. I agree with Jeff in that they are playing the human desire to get something others are not. So as an example, if they offer discounts for 5 states, you may think that only 5 / 50 states get a discount, so you are real lucky to be in the 10%. However, they always tend to be high population states such as Texas, Florida, Michigan, Ohio, New Jersey, etc. so those 5 states may be much more of the population than it appears. Same thing with location. I think it has nothing to do with airfare, but instead states that generally have a lot of potential cruisers to that departure. So for Mexcian cruises discounts go to Arizona, California, etc. You want people to think they are one of the few on the ship that got the bargain, but in fact 90% of the people on the ship may be eligible.

 

:rolleyes: I kind of agree. We're from NYC, sailing out of Jersey and got the discount.

It's anywhere between a 30-45 cab ride to get to the port, no flying required.

I'm betting most of the people will be from the Tri-State area and we all got it.

[Mademypoint]

I got one and this is the first time in four bookings. I live in NJ.