Big drop in stock price this morning

[CRUIS4ME]

Stock at a -$3+ loss right now. Analysts are saying that the Carib market is too competitive and that is why they are leaning to more Euro or Asian markets. Then there is the dollar on the rise which is costing more for other currencies to buy/convert their money into dollars.

 

As for me personally, I find the on board prices too high....and quality less that average. I seem to always buy a piece of nice jewelry when sailing NCL or smaller ships...but haven't bought one thing in the nicer shop on board a RCCL ship in the past several years because prices are too high The "sales" on board are for over inflated prices at best. The "value" specials are junk. Never had a bar tab to justify their drink packages...and don't let me even think about the internet cost vs benefit.

 

Just another gal's opinion...

Edited January 29, 2015 by CRUIS4ME

[MADflyer]

They are forecasting a record 2015. Some interesting info in forecast.

 

http://www.cruiseindustrynews.com/cruise-news/12175-royal-caribbean-forecasting-record-2015.html

[The Big Booper]

I played a hunch after our recent Oasis cruise; dumped my RCCL stock and moved the $$ and added to our Apple bushel. Good move he says as he pats himself on the back.

[steveru621]

The price of a simple vodka and tonic has not changed in years. An after dinner Grand Marnier has been $6 for as long as I can remember. What has changed? Premium alcohol. RCI is pushing the hell out of multiple premium liquor drinks and clearly they are more expensive.

 

If you think $12 mixed drinks are the norm, no wonder you have stopped buying drinks. Even in the books at the bars most drinks are far less than $12.

 

I agree the price of pictures have reached a limit where we have stopped buying them. One, we have way too many cruise pictures and two, (don't listen RCI) the two free pictures we get as diamonds are perfect.

[steveru621]

That was just for the quarter. The drop for the year was 57 million with almost all coming in the last quarter.

 

Only a wild eyed theory. If you STOP offering discounts to fill cabins you will sail with less revenue producing cruisers.

[Baron Barracuda]

When discussing parent Royal, you can't ignore the impact of Celebrity which has been very promotional. First came the 123 Go program with your choice of free drinks, free grats or an onboard credit, and then they sweetened it as the 123 All Inclusive where if you sale cc, ac or suite you get all three. This has resulted in X pre-selling a very high % of their priciest cabins at firm booking rates, but will later result in a huge drop in onboard spending. They just expanded the All-Inclusive program to balcony cabins in Europe and Alaska.

 

I recently booked a 14 day Eclipse sailing in April 2016 in cc at a list price of $143 per person per day (plus port charges). I will however receive back an onboard credit of $12.50 pp/pd, grats of $12.50 pp/pd and the classic beverage package which they value at $56 pp/pd. That's a total credit of $81 per person per day. Plus, I will receive an addional $11pp/pd onboard credit for booking while aboard ship. You can debate the true value of the drink package, but nonetheless it's still a very generous promotion.

 

Of X's roughly 24,000 passenger capacity roughly 25% qualify for the all inclusive offer, and most of the rest qualify for at least one 123 Go option. Do the math and you can see the potential for a $100 Million+ per year reduction in onboard revenue.

 

Good business move? I don't know. But I took advantage by booking 4 cruises over the next two years. Now if only RCL would offer a similar deal (BOGOHO doesn't count).

[John&LaLa]

I played a hunch after our recent Oasis cruise; dumped my RCCL stock and moved the $$ and added to our Apple bushel. Good move he says as he pats himself on the back.

 

The last guy to brag about dumping his stock did it in the low $60's. He was short sighted. ;)

[knittinggirl]

We sold our stock earlier this month. We really didn't care for all their cutbacks, but the final straw were the Quantum reviews and Celebrity Sales Staff. Looked like they were trying push the passengers to Specialty dining by providing long waits, lost reservations and poor food in the MDR venues.

 

We have seven cruises booked on Royal and Celebrity, but not sure what we'll end up doing.

 

The Celebrity 123 Go Deal isn't all it's cracked up to be. When they offered us the deal, our cruise fare went up $500 a person. We already had the $300 OBC from our original booking, so no change there, even w/ the free gratuities, we didn't think we could drink ~$375 per person. We looked at the deal as what we could actually drink, not what their "value" for that drink package.

 

BOHO is really a 25% discount, but keep in mind they raise the base fare. Also, their adjusted fares are showing up on the search page. When you get to actually booking, you learn you don't 25% off the original posted prices, because they raise the base rate then deduct from there.

 

I've gotten very few price drops since they started these Wow sales. They don't mean much, because you know there's going to be another a few days after the current one ends.

Edited January 30, 2015 by knittinggirl

[Garavar]

Earnings results for Q4 and FY2014 released this morning and not as strong as investors had hoped.

 

Q4 ticket sales revenue was up but on board revenue was down by 50 million.

 

On board revenue down 50 million? Farewell free drinks in lounge. :rolleyes:

 

Sent from my SGH-T699 using Forums mobile app

[reney313]

The last guy to brag about dumping his stock did it in the low $60's. He was short sighted. ;)

 

I did that..I think in the mid 60's..I had doubled my money and got nervous. Still a profit though....somehow hard to smile at it seeing the price now.

[John&LaLa]

I did that..I think in the mid 60's..I had doubled my money and got nervous. Still a profit though....somehow hard to smile at it seeing the price now.

 

I was referring to someone right after Oasis TA who said company was getting ready to crash and burn.

[Big_G]

I was referring to someone right after Oasis TA who said company was getting ready to crash and burn.

 

You can't cry over missed opportunities or it will make you insane. :D

[bouhunter]

Hang on to your SeaPass cards Diamond and Diamond Plus they be comin' after those free cocktail hours!!! Here comes the nickel and dime hit squad lol:eek:

 

 

Whatever...............:rolleyes:

[Aussie One]

I have sailed with RCCL quite a few times, as you can see, and used to buy things on ship, but have cut back drastically due to the prices. Drinks and pics are ridiculous. Don't tell me about the pics being subcontracted, because I'm sure RCCL has some control over the prices, since they get a piece of the action.The cruise prices are something else. Since the original BOGOHO in May, the prices have gotten out of control. When these people start cancelling before final payment, maybe RCCL will come back to their senses.

 

RCL cruise's out of Australian use US dollars for on board charges princess use AU dollars the Aussie dollar is now 20% lower against USD this means a beer could cost Aussies $10. Princess have lowered prices and do not charge tipping or gratuities plus good on board credit RCLare losing business because of this have g/day Aussie

[hintanjul]

This is a fascinating thread to follow as for the last few years i have noticed onboard prices rise out of hand. e.g. Bucket of beer on Carnival at $25 dollars for 4 bottles plus 15% for the bartender to take the tops off!!!! How that works is beyond me. I was under the impression that a gratuity was voluntary, not taken regardless of service quality.

I personally hope they go down to the locker for being so greedy.

We never book in advance and wait for the best locations and deals as we have flexible holidays, plus we use other lines, e.g. Cunard, MSC etc.

I cant see the point of staying(and paying) with one cruise line to get a lapel badge with a fake diamond in it.:confused::confused:

I realise everyone has a choice and good luck to those who exercise it but who cares if the stock or whatever you call it is down, up or going sideways.

As Frankie once said, relax!!!!!

Have a holiday and enjoy it and stop whinging about crap wi-fi reception, lack of sunbeds, dust on the balcony rail and the sea being salty.

There, steam blown off and roll on Friday 13th and Aruba, Curacao etc:D:D

[S.S.Oceanlover]

I used to buy little gifts on board, but now all RCCL offers are expensive items in

Coach and other pricey stores. I don't even go in to browse.

 

Mixed drinks are very expensive on Quantum. I believe they were $12.00 each!

Thank goodness for the CL and drinks on my Sea Pass!

 

We will spend for a nice cabin, usually a JS, but make few purchases on board.

Do not enter the casino except for the Three Spins To Win! Have a whole stash of key chains! 😃

 

I don't think my wife and i are RCI's target audience.

 

When we went on the Oasis we found like you stores like Kate Spade, Michael Kors, and Coach.

 

We just don't shop in those kinds of stores.

 

We also ate at Sabor which was very good. Our total bill was $31 with $19 being for the meal and $12 for one margarita to which my wife said, "If I knew it was that much money I wouldn't have gotten it.

 

I guess Princess and NCL and more suited for us.

 

Unfortunate as we really like the RCI product.

 

Bill

[The Big Booper]

The last guy to brag about dumping his stock did it in the low $60's. He was short sighted. ;)

 

I switched out of RCCL and bought more Apple stock. Check out the pricing of the two stocks.

 

I watch daily - here comes tax season, with more $$$ to invest. I'll buy into RCCL again.

[The Big Booper]

I don't think my wife and i are RCI's target audience.

 

When we went on the Oasis we found like you stores like Kate Spade, Michael Kors, and Coach.

 

We just don't shop in those kinds of stores.

 

We also ate at Sabor which was very good. Our total bill was $31 with $19 being for the meal and $12 for one margarita to which my wife said, "If I knew it was that much money I wouldn't have gotten it.

 

I guess Princess and NCL and more suited for us.

 

Unfortunate as we really like the RCI product.

 

Bill

 

Ya think Princess and NCL don't try to upsell and market to you. Check out those boards on CC.

 

We only go into the general store on Oasis Class, no Spade Kate, Coach etc for us. But the wealthy people from all over the world who sail on Oasis class love the expensive stores.

[Aboat1]

Could it be that the product the Royal delivers today is nothing like it used to be?

 

We could be considered "Loyal to Royals". However our last two cruises have been far less than what we have come to know when sailing with Royal.

 

We find ourselves having to bring things from home to keep our cruise experience what it was. Beds are uncomfortable. Have to bring pen and paper for notes. Have to pay extra for an improved dining. Toiletries are provided for some and not others. Staffing cuts shipboard wide. Crazy pricing. Poor web design.These are among the changes that have had an impact on our cruise experience.

 

Fuel cost have plummeted. Maybe it is time to give back some things that were taken away.

[DirtyDawg]

The Marketing Director quit several days ago, it should have been obvious that a large drop was coming.

 

So did you short the stock?

[The Big Booper]

RCL cruise's out of Australian use US dollars for on board charges princess use AU dollars the Aussie dollar is now 20% lower against USD this means a beer could cost Aussies $10. Princess have lowered prices and do not charge tipping or gratuities plus good on board credit RCLare losing business because of this have g/day Aussie

 

Interesting.

 

RCCL is spending a fortune on big new expensive ships, billion dollars each to build? They have to recover the costs somehow.

 

That's why the Q is being hustled over to China, lots of newly rich people with money to spend.

[S.S.Oceanlover]

Ya think Princess and NCL don't try to upsell and market to you. Check out those boards on CC.

 

We only go into the general store on Oasis Class, no Spade Kate, Coach etc for us. But the wealthy people from all over the world who sail on Oasis class love the expensive stores.

 

I cruise enough to know what goes on as far as upsells. I'm not naive in that sense.

 

On NCL we go to a specialty dinner 3 or 4 times during the week. ON RCI what is chops $35-$40 and then extra on top of that for lobster?

 

I don't mind paying extra for things but that's too much for us. I'm sure others with more discretionary income don't bat an eye.

 

As for all the rich people all over the world loving those stores, I am sure you are right.

 

That was why I said we aren't their target audience.

 

The poor sales girls in those stores seemed bored out of their minds as most times we passed those stores there was nobody in them.

 

Bill

[BILLP1]

Remember that the very expensive drinks are being poured with tax free booze. No where near the price for a bottle of liquor that we pay at home in a retail store. Check the retail prices for liquor the next time you are in St Thomas and understand that the cruise lines don't pay that much per bottle.

[71Corvette]

What I found interesting is that the stock was down about 8% immediately after markets opened. However, earnings weren't announced until 10 a.m. What's up with that? :confused:

 

I found it interesting that they expected sales to be soft through 2015. They cited competitive pricing on Caribbean itineraries.

[DirtyDawg]

What I found interesting is that the stock was down about 8% immediately after markets opened. However, earnings weren't announced until 10 a.m. What's up with that? :confused:

 

I found it interesting that they expected sales to be soft through 2015. They cited competitive pricing on Caribbean itineraries.

 

The press release was issued at 8:00 am, well before the market opened. The press/investor conference call was at 10:00 am.