Del Rio's EXACT comments on the recent Fees and Price Increases

[DaytonCruiser]

well, in that case they should start charging extra per appetizer and entree in the MDR as well!!! Some people like to order one of everything, taking time and resources away from the galley and the servers.

 

I wouldn't be surprised if it's been discussed. Don't be shocked if they stop allowing the second entree at some point.

[hondorner]

If you want to see the captive audience concept in full force sail on Oceania. IMO all things that are not included in the fare cost more than on any other line I have sailed on and it works as most of the guests seem very happy to pay.

That's true as far as it goes, but you're leaving out an important factor -- the only things for which you have to pay on Oceania are shore excursions, alcohol and internet, and there are lower cost packages for all those. Those packages cost more than NCL, but one gets more -- the beverage package, for example, is not limited to $11 drinks and includes top shelf items like single malt scotches. Shore excursions are perhaps the only item that is more expensive than many other lines -- with the result that significant numbers of Oceania passengers arrange private excursions in smaller groups.

 

On the other hand, Oceania and Regent ships roam the globe, with very few itineraries being repeated from cruise to cruise, and therefore travel to more exotic destinations with only more expensive excursions available.

 

Almost everything else, from roundtrip airfare to all non-alcoholic drinks to specialty restaurants is included in the Oceania fare. Taken at the bottom line, which includes all cruise fare, taxes and onboard account at the end of the cruise, many Oceania cruises cost less than sailing in The Haven on an NCL ship, one of the reasons I'll never sail in The Haven.

[SteveH2508]

I wouldn't be surprised if it's been discussed. Don't be shocked if they stop allowing the second entree at some point.

 

I'm surprised they haven't - it is a low-hanging fruit - along with corkage fees and bringing soda on board.

[fishin' musician]

Upscale is relative. Royal Caribbean is probably upscale from NCL and Carnival. Princess may be upscale of Royal Caribbean. Celebrity is likely upscale of Princess. HAL used to be upscale of Celebrity. Azamara is upscale of Celebrity. Oceania is upscale of them all, but still not considered luxury. The true luxury cruise lines are Regent, Crystal, SilverSea and Seabourn, and SeaDream Yacht Club in a small way. Then there's the condominium ship called The World, where studio cabins are more than $600,000 and suits start at $13.5 Million, plus monthly fees.

 

Not all luxury lines are all-inclusive; Regent comes the closest to most all-inclusive.

 

Among river cruises, Viking is probably at the bottom. The only things that are included are standard shore excursions, but most are simply walking tours. Premium tours are offered at most ports for a fee. The closest European river cruises to all-inclusive are Uniworld and Scenic; the latter includes all excursions, all special events, all gratuities including tour drivers and guides, all alcohol except the absolute top shelf, and butlers in every cabin. The American river cruise paddlewheel steamboat American Queen is semi-all-inclusive with most excursions and wine or beer at lunch and dinner included.

 

When FDR says he wants to move upscale to a slightly more affluent level, he's talking only about bringing it up a notch above bottom. Frankly, he's not concerned with anyone currently canceling cruises -- first of all, if they're that touchy, they're probably the ones who complain the most and good riddance (my opinion). Second, there is plenty of opportunity in the slightly more upscale market; People are willing to pay more to sail Princess and Celebrity and Disney, for example, and there's plenty of potential in that market to replace folks who leave because the pricing is no longer at the bottom. But, first they have to chase away the whiners, moaners and cheapskates, then they can provide the service that gets higher prices (my opinion). It will take a couple of years.

 

10 years ago NCL was considered by many (most?) to be the bottom of the barrel, the Walmart of cruise lines. IMO they've come a long way and many who would not have considered them, now (or at least prior to the current regime) consider them at least on par with other mainstream cruise lines.

 

I've been fortunate enough to sail all mainstream lines serving US markets, except MSC... all but Carnival and X multiple times. Princess seems to be our go to line, with HAL, RCL and formerly NCL a close second. I think I've done 7 NCL cruises. With the current changes in effect, and who know what is on the horizon, I see a definite downturn in NCL's trajectory and a return to the bottom.

Edited May 11, 2015 by fishin' musician

[eroller]

Where would you put them, in revenue producing passenger cabins, or sleeping in hammocks on the Sun Deck?

 

 

I guess in the same place that all the other major lines without room service fees put them (Princess, Disney, Carnival, Holland America, Celebrity, etc). They seem to manage just fine just as NCL did for decades before the new fee was imposed.

[BritChickBN1]

It will be interesting to see how many people stop buying FCC's.

[sparks1093]

It will be interesting to see how many people stop buying FCC's.

 

That metric might be the most important one for corporate to pay attention to- immediate feedback regarding the changes and how those changes are received by the passengers. I know that I was going to buy one or two on the Breakaway but not now.

[eroller]

People just don't get it. I'll state it again. The room service fee is one of the things designed to improve guest experience.

 

 

 

WOW since this new fee is designed to improve the guest experience, perhaps Oceania, Regent, and other lines should implement one as well? I'm sure it would go over just as well as its been received at NCL, but all is good since it's for the benefit of the valued guest right? :rolleyes:

[hypercafe]

Reading all this is just going around in a circle. FDR is not the cruising god, he is out to enrich the bottom line for the line. Members of the Oceania cult forget the price of drinks, 8$ for a bud, or internet per minute, pre cruise hotel, transfers, air fare deviation price, shore trips. NCL fare increases, lots of changes that add up to big bucks as Frank says. He said he has lots of levers to pull and he is pulling them. If he can squeeze 10$ pp out of all on a Breakaway trip that's 45k and he feels we are in vacation mode so will not notice. Wee I know he cares less but if I can not take coffee and a cookie out of the Buffet when I go on the Gem in October I will not be aboard. When I read some of this I feel Frank and his Oceania crowd feel NCL passengers are too stupid to figure this all out.

 

Sent from my XT1032 using Forums mobile app

Edited May 11, 2015 by hypercafe

[BritChickBN1]

That metric might be the most important one for corporate to pay attention to- immediate feedback regarding the changes and how those changes are received by the passengers. I know that I was going to buy one or two on the Breakaway but not now.

 

I agree. I've decided not to buy one also and see how everything shakes out. We'll be on the Gem in 3 weeks so I'll be able to get a feel firsthand.

[Cruise4Real]

The part about Del Rio's talk to investors that I found most curious was this, and it's gone barely noticed here:

 

So, yes you have to pay a delivery charge, so we that can deliver faster, because it eliminates some of the folks that order a piece of toast and a cup of coffee in the morning.

It's as if he, the CEO ghod of NCLH who is worth his millions because of the exceptional service to capital he provides, is UNAWARE of the fact that due to whatever feedback through whatever channels his company received, they WALKED BACK the charge for a piece of toast and a cuppa joe in the morning, both of which remain free of charge.

[richstowe]

One of the most annoying set of comments is when the blind loyalist state that we should reserve judgement until we hear whether they are actually enforcing these new edicts . So it's OK to make noxious new policies provided you don't actually mean it ?

People just don't get it. I'll state it again. The room service fee is one of the things designed to improve guest experience.

I'm not a NCL cheerleader, I'm just applying logic and common sense, something that seems sorely lacking in many of these discussions.

 

WOW since this new fee is designed to improve the guest experience, perhaps Oceania, Regent, and other lines should implement one as well? I'm sure it would go over just as well as its been received at NCL, but all is good since it's for the benefit of the valued guest right? :rolleyes:

Funny eroller but not as funny as hondorner stating they are not a cheerleader.

[janpo]

Wait until they start charging for pom poms.

[CruisinMaterial]

Wait until they start charging for pom poms.

 

^Truth! I thought they did already! :rolleyes::D

 

The usual cheerleaders have seemingly turned on NCLH suddenly too I've noticed. That can't be good PR for NCL either. :eek:

[YankeeFan4Ever]

Wait until they start charging for pom poms.

 

 

Comment of the year right here folks! :D

 

Love it!

Edited May 11, 2015 by YankeeFan4Ever

[srlafleur]

What I find most upsetting is being actually referred to as "a captive audience". That just seems rude and out of touch to me.

I've enjoyed my past cruises on NCL, but I am not a "captive audience". I've also enjoyed all of my OTHER cruises as well, and will continue to do so in the future, quite probably excluding NCL from my list of choices.

I don't even mind the charge for room service, as long as the new choices are actually an improvement and as long as continental breakfast is still available free of charge.

The last straw (in addition to being referred to as "captive") is not being able to get food from a venue on my own to eat wherever I please, like on my veranda. If that holds true, or gets worse, I'm definitely done.

Edited May 11, 2015 by srlafleur

[esp13]

The reference to "captive audience" wasn't about customers only sailing on NCL. It was about passengers on the ships during a cruise. I'm not sure why the term is so upsetting because it's literally true. You are on a ship in the middle of the ocean and can't get off. Therefore, you are the very definition of a captive audience on that ship regardless of which cruise line you choose.

 

This is true if you are on a plane in the air, or even past security in the airport (although you could technically get out again). That's why those places charge so much for everything in them. They have captive audience that has no other alternatives. The only limit is figuring out when they charge so much that people stop buying things and keeping it below that point.

Edited May 11, 2015 by esp13

[srlafleur]

The reference to "captive audience" wasn't about customers only sailing on NCL. It was about passengers on the ships during a cruise. I'm not sure why the term is so upsetting because it's literally true. You are on a ship in the middle of the ocean and can't get off. Therefore, you are the very definition of a captive audience on that ship regardless of which cruise line you choose.

 

This is true if you are on a plane in the air, or even past security in the airport (although you could technically get out again). That's why those places charge so much for everything in them. They have captive audience that has no other alternatives. The only limit is figuring out when they charge so much that people stop buying things and keeping it below that point.

 

Yes, I'm well aware that we ARE actually a "captive audience", technically, but for someone in that position to refer to us as that, essentially admitting "we can do what we want, charge what we want, because what are they going to do, leave?" Uh, yeah. We can and will. There are other cruise lines out there and many other styles of vacationing. That kind of attitude doesn't foster any warm and fuzzy feelings toward my "host".

[eroller]

Yes, I'm well aware that we ARE actually a "captive audience", technically, but for someone in that position to refer to us as that, essentially admitting "we can do what we want, charge what we want, because what are they going to do, leave?" Uh, yeah. We can and will. There are other cruise lines out there and many other styles of vacationing. That kind of attitude doesn't foster any warm and fuzzy feelings toward my "host".

 

 

 

I agree. It's the context in which the comment was made that is somewhat insulting as a "valued" customer. FDR doesn't make me feel very "valued".

[richstowe]

esp13

Captive audiences don't want to see themselves refereed to as such and he should know that . When customers believe that the bosses see them as suckers to be fleeced , company's results will eventually falter. The fact that he actually said this publicly doesn't reflect well on his business judgement .

[mking8288]

What is NCL's vision, then ?

Can't seem to (easily) find a corporate vision and mission statement on the NCL website - other hospitality & major corporations in the service industry all have one, including #1 and #2 in the business - of their core corporate values, business conducts, communication principles, heritage and forward commitment, etc.

Cannot imagine one being written based on the captive audience concept by the No Communication Line (sorry for borrowing the term) that we used to introduce others to.

Honesty & Trust. NOT.

I know of no business not running to make a profit, some do it better & nice with excellence. Choose wisely.

 

send from my Google Nexus 5/7 MD via Tapatalk.

[SteveH2508]

This may go way over NCL's and FDR's heads but here goes.

 

Regarding the 'Captive Audience' statement.

 

An audience is a group of people who hear (from Latin audientia a hearing, from audīre to hear).

 

For a service business to be successful, they need to listen to their customers and prospective customers and provide what they want at a price that suits both parties.

 

NCL and FDR are not doing a good job of hearing at the moment.

[esp13]

Yes, I'm well aware that we ARE actually a "captive audience", technically, but for someone in that position to refer to us as that, essentially admitting "we can do what we want, charge what we want, because what are they going to do, leave?" Uh, yeah. We can and will. There are other cruise lines out there and many other styles of vacationing. That kind of attitude doesn't foster any warm and fuzzy feelings toward my "host".

 

Fair enough. For me, I have no problem with a CEO explaining his choices to his investors and referring to the inherent advantage of a cruise ship in having a captive audience. I'm sure CEO's of airlines, movie theaters, sports stadiums, and various other venues have made similar comments.

 

I just don't get the insult in that remark, but more power to you if it motivates you to find a better value elsewhere.

[norway olin]

The part about Del Rio's talk to investors that I found most curious was this, and it's gone barely noticed here:

 

So, yes you have to pay a delivery charge, so we that can deliver faster, because it eliminates some of the folks that order a piece of toast and a cup of coffee in the morning.

It's as if he, the CEO ghod of NCLH who is worth his millions because of the exceptional service to capital he provides, is UNAWARE of the fact that due to whatever feedback through whatever channels his company received, they WALKED BACK the charge for a piece of toast and a cuppa joe in the morning, both of which remain free of charge.

 

Yep, I heard that 4 days ago when I first listened to the conference call. Some of the most interesting stuff was when he had to leave the prepared script to answer questions off the cuff.

[NLH Arizona]

Yep, I heard that 4 days ago when I first listened to the conference call. Some of the most interesting stuff was when he had to leave the prepared script to answer questions off the cuff.

Happens all the time. I could tell you all stuff that would curl your hair that I heard at different well-loved companies' conventions, when there were no customers listening.