Celebrity budget for food per passenger?

[EvelynAlexa]

How much does Celebrity budget per day pp for food. I read the per passenger budget on Celebrity for food is $10 daily. That's hard to believe, is the number $10 correct?

 

Alex

[dkjretired]

How much does Celebrity budget per day pp for food. I read the per passenger budget on Celebrity for food is $10 daily. That's hard to believe, is the number $10 correct?

 

Alex

 

I doubt that anyone on this board could tell you that with any accuracy. Don't believe it's something that Celebrity releases to the public.

[wallie5446]

Why does it matter?

[cle-guy]

How much does Celebrity budget per day pp for food. I read the per passenger budget on Celebrity for food is $10 daily. That's hard to believe, is the number $10 correct?

 

Alex

 

Can you cite your source please, it would be interesting reading.

[cle-guy]

From the Q1 10K, period ended March 31, 2014

 

1st quarter, 2014, the Corporation as a whole spent:

 

• $118,000,000 in food costs
  
• carried 1,278,234 passengers
  
• for a total 8,853,637 passenger days
  
• This averages out to $13.32 per passenger per day in food cost
  

 

However the $118,000,000 includes cost of crew meals as well, and is blended for RCI, Azamara and Celebrity. One may assume then that as RCI has the most passengers fed, and has a slightly less luxurious food product, X and AZ would have slightly higher spend per passenger.

 

A food service operation serving this many meals would operate under a 20% food cost or even better, or so relative to revenue, that is to say this $13.32 COST is the equivalent of retail meal revenue of $66.60 per day (what one would have spent if they were buying meals outright in the real world for retail value).

 

 

http://quote.morningstar.com/stock-filing/Quarterly-Report/2014/3/31/t.aspx?t=XNYS:RCL&ft=10-Q&d=cd73a5294270e5fd92d526f37cb7406a

[Shelley G]

In 1998, on our first cruise on the Century, one of the gentlemen at our table said he was the food purveyor for Celebrity ( or he owned the company where Celebrity purchased food.). At that time he said the budget for food was $14.00 per person. Of course, then there was foie gras, caviar and sweetbreads on the menu. The Maitre D's and waiters etc were very solicitous toward him, so he must have been someone important.

[Gracie115]

A food service operation serving this many meals would operate under a 20% food cost or even better,

 

]

 

What do you base that on? Have been involved in food operations most of my life and have never seen a 20% cost....NO, I have not run a cruise ship company but still....that would be a VERY low cost, especially factoring in the employees they are feeding for free....

[cle-guy]

What do you base that on? Have been involved in food operations most of my life and have never seen a 20% cost....NO, I have not run a cruise ship company but still....that would be a VERY low cost, especially factoring in the employees they are feeding for free....

 

I'm getting this from my experience working at Marriott. We HAD to maintain 25% food cost for a 180 room property, and hotel meals expenses are quite large relative to a giant operation due to relatively small numbers of guests and lots of waste and inability to buy in bulk and the requirement to buy much food already prepared (i.e. breads etc., where cruises buy flour and yeast and make the bread for example) any where near the capacity a cruise line can. General mom and pop restaurants should have about a 30% food cost (the actual cost relative to price of just the ingredients used to prepare a meal without overhead, staff, paper/glass/silver etc.) or so generally as I recall.

 

I figure the free employees works itself out in the assumed enhanced weighted average of the expense relative to X and AZ versus lower quality RCI meals. I.e, yes the $13 figure is overstated due to employees, but on RCI it will tend to be more like $10, and X then more like $16, so just say leave it at $13. Also the employees aren't eating the lobster or filet mignon they are getting the buffet meals.

 

This is where things get fuzzy, how much of the 118 mill is allocated to X vs AZ vs RCI and how many of those passenger days are allocated to those as well. They do not break figures out by line.

 

I suppose if someone can find the number of employees onboard fleet wide, we could then calculate employees X number of days and come up with a figure to back out actual employee meals, but again, their meals are going to be lesser cost due to lesser quality ingredients like lack of lobster etc...

[Gracie115]

I'm getting this from my experience working at Marriott. We HAD to maintain 25% food cost for a 180 room property, and hotel meals expenses are quite large relative to a giant operation due to relatively small numbers of guests and lots of waste and inability to buy in bulk and the requirement to buy much food already prepared (i.e. breads etc., where cruises buy flour and yeast and make the bread for example) any where near the capacity a cruise line can. General mom and pop restaurants should have about a 30% food cost (the actual cost relative to price of just the ingredients used to prepare a meal without overhead, staff, paper/glass/silver etc.) or so generally as I recall.

 

I figure the free employees works itself out in the assumed enhanced weighted average of the expense relative to X and AZ versus lower quality RCI meals. I.e, yes the $13 figure is overstated due to employees, but on RCI it will tend to be more like $10, and X then more like $16, so just say leave it at $13. Also the employees aren't eating the lobster or filet mignon they are getting the buffet meals.

 

This is where things get fuzzy, how much of the 118 mill is allocated to X vs AZ vs RCI and how many of those passenger days are allocated to those as well. They do not break figures out by line.

 

I suppose if someone can find the number of employees onboard fleet wide, we could then calculate employees X number of days and come up with a figure to back out actual employee meals, but again, their meals are going to be lesser cost due to lesser quality ingredients like lack of lobster etc...

 

 

My experience is different but who knows who is right? Mom & Pop places in my experience have run higher than 30%. I'm sure the bigger the operation the more the opportunity for lower costs because of sheer volume.

 

Regardless $13 or $10 or $16 is pretty low number, but their food is generally good all the time so that's what matters. I find watching the F & B crew working on the ship really interesting and enjoy doing kitchen tours because they just know what they're doing, day in, day out and to keep that many people(guests)happy EVERY day is pretty difficult task and yet they do it..day in, day out, week in, week out,...etc..etc..... I have great respect for that...imagine you do too as you are invested in the company.:):)

[cle-guy]

I find watching the F & B crew working on the ship really interesting and enjoy doing kitchen tours because they just know what they're doing, day in, day out and to keep that many people(guests)happy EVERY day is pretty difficult task and yet they do it..day in, day out, week in, week out,...etc..etc..... I have great respect for that...imagine you do too as you are invested in the company.:):)

 

Well, that, but more as I have done that work myself over the years. I'm the guy who strips his bed when leaving the hotel room or cabin, I'm the guy who puts the remote control and all collateral materials back where they were when I arrived. I'm the guy who doesn't take the unopened toiletry amenities (OK, I do take the Bulgarri ones when in a suite...) from hotels. I'm the guy to tell my housekeeper/cabin steward not to change my linens unless I ask - I don't wash mine at home every day, why do it while on vacation :D

 

I've swirled more than one necktie while managing a hotel and helping out housekeepers by cleaning toilets for them...:D

[Gracie115]

Well, that, but more as I have done that work myself over the years. I'm the guy who strips his bed when leaving the hotel room or cabin, I'm the guy who puts the remote control and all collateral materials back where they were when I arrived. I'm the guy who doesn't take the unopened toiletry amenities (OK, I do take the Bulgarri ones when in a suite...) from hotels. I'm the guy to tell my housekeeper/cabin steward not to change my linens unless I ask - I don't wash mine at home every day, why do it while on vacation :D

 

I've swirled more than one necktie while managing a hotel and helping out housekeepers by cleaning toilets for them...:D

 

I am in the hospitality business too...started out bussing tables at a Holiday Inn...a long time ago.... so understand completely....:)

[voyager1964]

Here is a general break-down, per passenger, per day:

 

Seabourn, Silver Sea - $24 - 26 per day

Oceania, Regent - $18 - 20 per day

Celebrity, Princess - $12 - 15 per day

RCCL, HAL - $12 - 13 per day

Carnival - $8 - 10 per day

NCL - $7.50 - 8.50 per day"

 

Source: http://cruiseforums.cruisecritic.co.uk/showthread.php?t=1096980&postcount=4

Estimates as of 2009

Read the referenced post for additional info

Edited June 23, 2014 by voyager1964

[gimletgal]

Why does it matter?

 

And why do we care? :)

[RobinAnn]

Interestingly, $13/day is just about at the USDA recommended amounts for liberal spending per person for food at home (for those between 19 and 50 years of age).

 

If those amounts hold true, I think the kitchens on the ships do pretty good (and of course they have the economies of scale).

[oregon50]

You do not have to care.....most probably do not. I find it to be a very interesting topic and the numbers from previous post are quite accurate.

[d4m]

Interestingly, $13/day is just about at the USDA recommended amounts for liberal spending per person for food at home (for those between 19 and 50 years of age).

 

If those amounts hold true, I think the kitchens on the ships do pretty good (and of course they have the economies of scale).

 

Those figures likely take into account 3 meals per day per person. Given that many of us only eat one or two can make a difference.

[neverbeenhere]

cruise industry food costs, I don't know... but, breakfast runs at 18% food cost in a US mass market restaurant.

[miched]

At $14/ day that would be $28 for my wife and I. Mutlply that times 7 and that would be $196 for a week. I do not know if my wife and I spend that much on food. You have to consider that a lot of the grocery bill is not food related. Now consider that we are paying retail and I am sure that X gets their stuff closed to wholesale because of the bulk and they also buy whole sides of beef and etc and do their own butchering, baking, hand make ice cream, and etc so that sounds reasonable.

 

It cracks me up when people will say that they get their monies worth just in the food that they eat on a cruise. Same with the drink pack. I could buy a case of premium beer for $30 and a bottle of liquor for $30 and serve it to anyone for $60 per day and make money, the extra $9 in tips would be a bonus. This is paying retail and you know that the cruise line isn't paying that. There are very few people if any that can drink a case of beer and a 1/5th of booze everyday.

 

 

🍸🍻🍺💰🍝🐮

Edited June 23, 2014 by miched

[EvelynAlexa]

Can you cite your source please, it would be interesting reading.

 

We just returned from the Vision of the Seas Bermuda cruise. In reading the RCL threads yesterday, it was posted. I mentioned it to DH. We are surprised at the $#'s therefore asked for comment.

 

Thank you for your response(s).

 

Eve

[EvelynAlexa]

Here is a general break-down, per passenger, per day:

 

Seabourn, Silver Sea - $24 - 26 per day

Oceania, Regent - $18 - 20 per day

Celebrity, Princess - $12 - 15 per day

RCCL, HAL - $12 - 13 per day

Carnival - $8 - 10 per day

NCL - $7.50 - 8.50 per day"

 

Source: http://cruiseforums.cruisecritic.co.uk/showthread.php?t=1096980&postcount=4

Estimates as of 2009

Read the referenced post for additional info

 

 

We appreciate the information.

Now I wonder about the cost per person for a specialty restaurant vs the value.

Note: we have not cruise on Celebrity, just considering.

 

Eve

[cle-guy]

We appreciate the information.

Now I wonder about the cost per person for a specialty restaurant vs the value.

Note: we have not cruise on Celebrity, just considering.

 

Eve

 

In any high-end restaurant the cost of the food products themselves don't make up the large portion of the bill. It's the extra service staff, higher paid and quality chef, decor, fine china, ambience etc. that really adds to the price due to the expenses of these "non-food" costs. Carrots cost the same to purchase from the supplier if you put them on a buffet or on a plate in a 5 star restaurant. So does a head of lettuce and a sack of potatoes, and even a filet mignon is the same cost, unless they select higher grades of meat, but that's not going to be a material difference.

[Gracie115]

In any high-end restaurant the cost of the food products themselves don't make up the large portion of the bill. It's the extra service staff, higher paid and quality chef, decor, fine china, ambience etc. that really adds to the price due to the expenses of these "non-food" costs. Carrots cost the same to purchase from the supplier if you put them on a buffet or on a plate in a 5 star restaurant. So does a head of lettuce and a sack of potatoes, and even a filet mignon is the same cost, unless they select higher grades of meat, but that's not going to be a material difference.

 

Yes, except when purchased in LARGE bulk quantities as I'm sure the cruiselines do....price comes down, sometimes ALOT...which only supports your statement that more of the cost is attributed to staff/décor/china,glass,silver/etc.....

[EvelynAlexa]

In any high-end restaurant the cost of the food products themselves don't make up the large portion of the bill. It's the extra service staff, higher paid and quality chef, decor, fine china, ambience etc. that really adds to the price due to the expenses of these "non-food" costs. Carrots cost the same to purchase from the supplier if you put them on a buffet or on a plate in a 5 star restaurant. So does a head of lettuce and a sack of potatoes, and even a filet mignon is the same cost, unless they select higher grades of meat, but that's not going to be a material difference.

 

Please tell me about the table setting in Celebrity's specialty restaurants.

I'm curious now re the crystal, silver, china and flowers.

 

I get it about the carrots. Are they prepared in a special way in the specialty restaurants?

 

Thank you.

Eve

[cle-guy]

Please tell me about the table setting in Celebrity's specialty restaurants.

I'm curious now re the crystal, silver, china and flowers.

 

I get it about the carrots. Are they prepared in a special way in the specialty restaurants?

 

Thank you.

Eve

 

Murano etc. has chargers on table, synchronized service with plates under the silver domes etc. Individual butters salt and peppers etc. Some meals are table side prep like Steak Diana and flambéed lobster. Tables have flaming candles, you have 5 or more staff members fawning over your small table. Tables are spread out making more room, the ambience is far quieter and more relaxed. Murano includes an after dinner cheese cart selection.

 

Of course the carrots have some extra prep to them, that is really just a rhetorical comment, they may add herbs to them where buffet may not, or prepare as a pureed carrot soup. They have souflees. Much of the food has design and an artistic flare to it. One needs to experience it to know I guess. For me it's more about the ambience than the food really in the specialties, though some of the food is amazing, some of it average. I'm not a "foodie".

 

I have to be honest, I can not tell if you are being fecitious in your posts or perhaps english is a second language, but in any case, I post my honest observations and feed back here hoping to answer your queries.

 

You once asked me to cite a source, thus my request for you to cite yours, and I'm still awaiting that citation (you did indicate you read this in another forum elsewhere but did not provide the cross link) so I can learn a bit more about where the cost per person comes from, hoping it's a valid reliable source, and not just a poster positing in a thread without an external verifiable source. I'm curious to see how their analysis methodology compared to mine taking data from the company's 10Q filing.

[EvelynAlexa]

Murano etc. has chargers on table, synchronized service with plates under the silver domes etc. Individual butters salt and peppers etc. Some meals are table side prep like Steak Diana and flambéed lobster. Tables have flaming candles, you have 5 or more staff members fawning over your small table. Tables are spread out making more room, the ambience is far quieter and more relaxed. Murano includes an after dinner cheese cart selection.

 

Of course the carrots have some extra prep to them, that is really just a rhetorical comment, they may add herbs to them where buffet may not, or prepare as a pureed carrot soup. They have souflees. Much of the food has design and an artistic flare to it. One needs to experience it to know I guess. For me it's more about the ambience than the food really in the specialties, though some of the food is amazing, some of it average. I'm not a "foodie".

 

I have to be honest, I can not tell if you are being fecitious in your posts or perhaps english is a second language, but in any case, I post my honest observations and feed back here hoping to answer your queries.

 

You once asked me to cite a source, thus my request for you to cite yours, and I'm still awaiting that citation (you did indicate you read this in another forum elsewhere but did not provide the cross link) so I can learn a bit more about where the cost per person comes from, hoping it's a valid reliable source, and not just a poster positing in a thread without an external verifiable source. I'm curious to see how their analysis methodology compared to mine taking data from the company's 10Q filing.

 

 

Thank you for your contributions on this board.

The information you provide is helpful with our decision to book Celebrity.

 

It is unfortunate that the search feature here does not locate the original post re the $6 and $10 food budgets (which was incorrect, as subsequent post have shown.)

 

We regret troubling you with our questions.

 

Eve and Alex