Free upgrades if ship isn't 100% booked?

[Tutankhamen]

To all those that say Carnival plans on selling ships at 100% or more are wrong. They are moving away from full capacity at any price and towards higher prices at the cost of lower capacity. They have been using this method for about a year now.

Edited June 24, 2014 by Tutankhamen

[Seany527]

Hmmmm. I was on the Splendor in Oct. Ship wasn't full and they wouldn't even let me PAY for an upgrade. Guest services was really busy so maybe I asked at the wrong time.

 

 

Sent from my iPhone using Forums

[smeyer418]

To all those that say Carnival plans on selling ships at 100% or more are wrong. They are moving away from full capacity at any price and towards higher prices at the cost of lower capacity. They have been using this method for about a year now.

while this may be true. Carnival across all its lines averaged 105.1 percent on all its sailings in 2013.

down from 105.5 the year before.

see http://phx.corporate-ir.net/phoenix.zhtml?c=140690&p=irol-reportsother2 2103 annual report at page 49. Its still an art setting the right price to fill up the ships.

[kylenyc]

To all those that say Carnival plans on selling ships at 100% or more are wrong. They are moving away from full capacity at any price and towards higher prices at the cost of lower capacity. They have been using this method for about a year now.

Interesting. Is Carnival the only one doing that? To say Carnival won't be give away a free cruise would also be consistent with that statement. However, I thought the mainstream cruise line model was to deeply discount if needed to get warm bodies on the ship because then you have a captive audience with opportunity for them to spend on board. An empty cabin earns $0 revenue guaranteed.

 

It's 8 days until a holiday weekend Independence Day cruise and they plummeted the cabin price to $347 per person no solo surcharge plus tax (formerly the price fluctuated between from $500 to $900 a person for an inside cabin). I've never seen that during for a holiday weekend cruise.

 

I think regardless of what Carnival may or may not have stated (or whether it still applies and applied to Carnival Cruise Line or only one of it's many subsidiaries like Princess, etc.), Carnival clearly can and did discount the cruise fare approaching the sail date (balconies and suites just sold out), although this is not guaranteed to be the case based on supply and demand.

Edited June 24, 2014 by kylenyc

[kylenyc]

while this may be true. Carnival across all its lines averaged 105.1 percent on all its sailings in 2013.

down from 105.5 the year before.

see http://phx.corporate-ir.net/phoenix.zhtml?c=140690&p=irol-reportsother2 2103 annual report at page 49. Its still an art setting the right price to fill up the ships.

Wish i saw your post first and said that in so many less words. :p :p :p

Edited June 24, 2014 by kylenyc

[Tutankhamen]

Interesting. Is Carnival the only one doing that? To say Carnival won't be give away a free cruise would also be consistent with that statement. However, I thought the mainstream cruise line model was to deeply discount if needed to get warm bodies on the ship because then you have a captive audience with opportunity for them to spend on board. An empty cabin earns $0 revenue guaranteed.

 

It's 8 days until a holiday weekend Independence Day cruise and they plummeted the cabin price to $347 per person no solo surcharge plus tax (formerly the price fluctuated between from $500 to $900 a person for an inside cabin). I've never seen that during for a holiday weekend cruise.

 

I think regardless of what Carnival may or may not have stated (or whether it still applies and applied to Carnival Cruise Line or only one of it's many subsidiaries like Princess, etc.), Carnival clearly can and did discount the cruise fare approaching the sail date (balconies and suites just sold out), although this is not guaranteed to be the case based on supply and demand.

 

"“We’re holding the price and giving up the occupancy, and that’s worked very well for us over the last year,” Chief Financial Officer David Bernstein said. "

 

http://www.businessweek.com/articles/2014-06-24/carnival-foresees-an-end-to-the-era-of-cheap-caribbean-cruises

[smeyer418]

Wish i saw your post first and said that in so many less words. :p :p :p

and Royal Caribbean which is RC and Celebrity is 104.3 http://phx.corporate-ir.net/phoenix.zhtml?c=103045&p=irol-irhome

 

I'll look up NCL too...

[smeyer418]

"“We’re holding the price and giving up the occupancy, and that’s worked very well for us over the last year,” Chief Financial Officer David Bernstein said. "

 

http://www.businessweek.com/articles/2014-06-24/carnival-foresees-an-end-to-the-era-of-cheap-caribbean-cruises

 

 

Which may also be Corporate speak for the Costa Concordia and Carnival Triumph issues as well.

[Tutankhamen]

Which may also be Corporate speak for the Costa Concordia and Carnival Triumph issues as well.

 

I think not. The abundance of berths has been killing the prices.....for a stock holder anyway. They need to get prices up.

[smeyer418]

NCL is 109.1 for 2013 and increasing....

 

http://files.shareholder.com/downloads/ABEA-5WOY6H/3278301432x0x734035/1F2949D4-11A3-4C85-BCED-5249FCEABC7A/2013_Annual_Report.pdf at page 42-3

[smeyer418]

I think not. The abundance of berths has been killing the prices.....for a stock holder anyway. They need to get prices up.

The airlines did this by mothballing some of its fleet. There has been some movement of ships to other lines but relatively little mothballing. I have no doubt that Carnival wanted to report that both the Triumph and the Concordia didn't cut that much travel. But prices have been growing over the last three years with the largest increases at NCL....again this is opinion. I don't have an inside track on any of them....

a lot of information including revenue per day is in the financials. If I was a full time analyst I probably can find out the exact charge per day(and the cost per day too)....

the largest expenses besides fuel...is commissions....

Edited June 24, 2014 by smeyer418

[kylenyc]

"“We’re holding the price and giving up the occupancy, and that’s worked very well for us over the last year,” Chief Financial Officer David Bernstein said. "

 

http://www.businessweek.com/articles/2014-06-24/carnival-foresees-an-end-to-the-era-of-cheap-caribbean-cruises

 

Okay. So full quote "“We’re holding the price and giving up the occupancy, and that’s worked very well for us over the last year,” Chief Financial Officer David Bernstein said. "We’ll keep looking at that."

 

Hence, not set in stone and to be evaluated and modified if needed, and in the context of an article specifically on cheap Caribbean cruises not all of them.

Edited June 24, 2014 by kylenyc

[Tutankhamen]

Okay. So full quote "“We’re holding the price and giving up the occupancy, and that’s worked very well for us over the last year,” Chief Financial Officer David Bernstein said. "We’ll keep looking at that."

 

Hence, not set in stone and to be evaluated and modified if needed, and in the context of an article specifically on cheap Caribbean cruises not all of them.

 

Ok, you got me. Not set in stone. And specifically Caribbean cruises.

[smeyer418]

Ok, you got me. Not set in stone. And specifically Caribbean cruises.

LOL my original numbers weren't exactly either...but I knew where to look them up.

[kylenyc]

Ok, you got me. Not set in stone. And specifically Caribbean cruises.

What? An interesting discussion and not having to duck under ad hominem attacks? Am I still in Cruise Critic? :p :p :p Cheers!

 

Regarding "getting their prices up", Carnival must be under pressure to launch new ships to be seen new and innovative. NCL and Royal are profiting from theirs while charging a premium. Carnival's next ship is in 2016. Meanwhile, NCL has launched ships 2013/2014/2015/2016, while Royal has 2014,2015,2016,2016,2018.

Edited June 24, 2014 by kylenyc

[Tutankhamen]

LOL my original numbers weren't exactly either...but I knew where to look them up.

 

Good finding!! Thx.

[Tutankhamen]

What? An interesting discussion and not having to duck under ad hominem attacks? Am I still in Cruise Critic? :p :p :p Cheers!

 

Regarding "getting their prices up", Carnival must be under pressure to launch new ships to be seen new and innovative. NCL and Royal are profiting from theirs while charging a premium. Carnival's next ship is in 2016. Meanwhile, NCL has launched ships 2013/2014/2015/2016, while Royal has 2014,2015,2016,2016,2018.

 

 

CC should be a fun place to share and express points of views without fighting!

 

Cheers!

[Tutankhamen]

I think there is a problem that will be compounded as new ships come on line. A lot of beds to fill with demand not increasing at a rate fast enough to fill the ships at a good price.

[smeyer418]

I think there is a problem that will be compounded as new ships come on line. A lot of beds to fill with demand not increasing at a rate fast enough to fill the ships at a good price.

not really new ships command premium prices. If any thing they have to cut the prices on the older ships which are less attractive but in general a rising tide raises all boats. i.e all the prices go up.

[Tutankhamen]

not really new ships command premium prices. If any thing they have to cut the prices on the older ships which are less attractive but in general a rising tide raises all boats. i.e all the prices go up.

 

Yes, new ships command a higher rate, but they also force lines to lower rates on the older ships.

 

Either way, the cruise industry is still struggling to make profits.

 

My opinion anyway.

[smeyer418]

Yes, new ships command a higher rate, but they also force lines to lower rates on the older ships.

 

Either way, the cruise industry is still struggling to make profits.

 

My opinion anyway.

 

 

? It doesn't force any one to do anything. They do it because they want to fill the older ships and the demand is less. In fact NCL across all its ships has raised prices old and new alike...and has increased its % of full too. Which is what I said at first and then you disagreed...consistency is the hobgoblin of small minds.

[Tutankhamen]

? It doesn't force any one to do anything. They do it because they want to fill the older ships and the demand is less. In fact NCL across all its ships has raised prices old and new alike...and has increased its % of full too. Which is what I said at first and then you disagreed...consistency is the hobgoblin of small minds.

 

Not going to bite your hook. Not sure why you feel the need to try and stir things up. I am also sorry that you resorted to insults so early into a discussion.:(

 

Have a great night. I am moving along.:)

Edited June 25, 2014 by Tutankhamen

[SoCalKJ]

...with ZERO expectations.

 

I am in a Junior Suite on the Miracle...which I booked under Early Saver last year when the itinerary was posted. Granted the price is more expensive from when I booked originally, but in doing mock bookings, the other JS is still available as well as several Grand Suites...which are currently listed as the same price as the ONE JS still available.

 

I'm thrilled with my suite, but I may just see what happens for the heck of it. They will probably say no, but the only stupid question is the one that's not asked, right? :rolleyes: