Is P&O Cruises (UK) Next?

[david63]

Just seen this article about P&O Australia https://uk.finance.yahoo.com/news/carnival-corporation-strategically-align-portfolio-231500825.html and am now wondering if P&O UK will be next.

 

It could explain some of the re-alignment that is taking place.

[Angel57]

I’ve just seen that too…. Not sure what to make of it…..

[david63]

Not sure if there is any connection but Carnival UK shares have shown a significant jump this morning.

[molecrochip]

I would expect Costa to be next, if at all.
 

P&O Australia was organisationally already a part of Carnival Cruise Lines. This removes duplication and aligns product offering.

[molecrochip]

The smallest P&O Australia ship was due a dry dock next year. It’s appears to have been decided that there is no value for money to be had in that move. Also no other ship seen as viable to transfer.

 

Ultimately why operate a brand with just two ships?

[tring]

36 minutes ago, molecrochip said:

The smallest P&O Australia ship was due a dry dock next year. It’s appears to have been decided that there is no value for money to be had in that move. Also no other ship seen as viable to transfer.

 

 

I assume this means that they will not do the dry dock, so do they intend to dispose of the ship soon?

 

If that is the case, how does that impact the position for Aurora, being the smallest and oldest ship in the UK brand?

 

[molecrochip]

They have confirmed that the ship will leave the fleet - so its either been sold or recycled. They obviously couldn't see a return on say $150m of dry dock costs.

 

I don't see why it should impact Aurora. P&O UK have already confirmed that they will be investing heavily at her next dry dock to make her ready for the next 10 years.

[tring]

1 hour ago, molecrochip said:

They have confirmed that the ship will leave the fleet - so its either been sold or recycled. They obviously couldn't see a return on say $150m of dry dock costs.

 

I don't see why it should impact Aurora. P&O UK have already confirmed that they will be investing heavily at her next dry dock to make her ready for the next 10 years.

 

Thanks for the reply.  Well let's hope she stays a number of years anyway, though not sure I could believe another ten years - but the comment "they would say that, wouldn't they" comes to mind 🙂

 

The prices on both Aurora and Arcadia have got pretty high though and are largely selling, so that must make the real difference regards whether the investment is worthwhile. 

 

 

 

[Megabear2]

2 hours ago, molecrochip said:

The smallest P&O Australia ship was due a dry dock next year. It’s appears to have been decided that there is no value for money to be had in that move. Also no other ship seen as viable to transfer.

 

Ultimately why operate a brand with just two ships?

Cunard did for quite a while ...

[molecrochip]

But the regulation cost in Oz/NZ not so high.

[sandancer]

5 hours ago, david63 said:

Not sure if there is any connection but Carnival UK shares have shown a significant jump this morning.

Ah, I wondered why my shares were looking a little healthier today. 

[john watson]

If you look at the various videos of P&O Australia on YouTube, they are not the same type of cruise as P&O UK.  The line seems to have a party vibe and a lot more frivolity that is to say if P&O UK had any frivolity.  In my opinion it makes sense to amalgamate Carnival and P&O Australia as they are both party animals amalgamating P&O UK too seems ridiculous. UK citizens are the second largest group of cruisers in the world and it makes sense to let them stay as they are.

 

Regards John

[TRLD]

P&O Australia had 3 very old ships. They have been using Princess cast offs for years, with no new ships ever.  All 3 ships are over 20 years old, the oldest 27. The oldest will be scrapped, the other 2 (ex Golden and Star Princess). Will be transferred to Carnival.

 

With the gap in new builds due to Covid unlikely for Princess to have any ships to transfer so no additional ships.

 

From a market point of view Princess and Carnival can pick up the local business so why keep it as a separate line.

 

On the other hand P&O UK had some protections from when Carnival purchased P&O in order for the UK government to sign off on the purchase 

 

Unlike P&O Australia, P&O UK has been getting new ships and has a clear customer base with its UK market focus.

[TRLD]

9 hours ago, john watson said:

If you look at the various videos of P&O Australia on YouTube, they are not the same type of cruise as P&O UK.  The line seems to have a party vibe and a lot more frivolity that is to say if P&O UK had any frivolity.  In my opinion it makes sense to amalgamate Carnival and P&O Australia as they are both party animals amalgamating P&O UK too seems ridiculous. UK citizens are the second largest group of cruisers in the world and it makes sense to let them stay as they are.

 

Regards John

From what I have seen Germany is a bit ahead of the UK in the number of cruise passengers per year.

 

The way CCL sees it's customer base from the last 10k filing is

 

US and Canada  7.4 million

Continental Europe 2.6 million

UK .97 million

Australia and New Zealand .94 million

Other .55 million

[kruzseeka]

Interesting analysis here on the position of P&O Australia and rationale for Carnival's decision.  As others have said, this isn't mirrored by P&O UK (I hope!)

 

https://www.theguardian.com/business/article/2024/jun/08/p-o-cruises-closing-down-comment

[Winifred 22]

33 minutes ago, kruzseeka said:

Interesting analysis here on the position of P&O Australia and rationale for Carnival's decision.  As others have said, this isn't mirrored by P&O UK (I hope!)

 

https://www.theguardian.com/business/article/2024/jun/08/p-o-cruises-closing-down-comment

Interesting thank you for sharing. Also ties in with Cunard moving QE away from Australia/ New Zealand to the Caribbean and Alaska. 

Edited June 8 by Winifred 22

[Funboy]

6 hours ago, Winifred 22 said:

Interesting thank you for sharing. Also ties in with Cunard moving QE away from Australia/ New Zealand to the Caribbean and Alaska. 

Could it also be that there are various reports that thecruises from American ports are so large in number that they are being heavily discounted. It would make sense for Carnival to take in P&O (as they already own it) to concentrate on a market which is richer ie more people less ships.I would not discount the 'takeover' of P&O just yet.

 

[Cruisemeister2002]

I think Carnival group will do whatever it deems fit as far as P&O UK. It's only my opinion, but I do believe the P&O name is tarnished by downgrading the quality and service of what it once was. I know you have to cater for the younger generation, but it's the older generation that keeps the passenger uptake higher in months when kids are at school and parents are at work. P&O have to cater for both traditional and modern type cruising. As I have booked a Princess cruise for later in the year and therefore read more of the comments with regards to Princess it does appear that our American cousins to put it politely, prefer a more casual style of dining and although it seems to be creeping into UK cruising there are still those that like the formal nights and shall we say more glamorous style of cruising.

[david63]

My guess would be that any change to P&O UK will come when the two adult only ships are retired from service.

 

38 minutes ago, Cruisemeister2002 said:

there are still those that like the formal nights and shall we say more glamorous style of cruising.

And that is provided by Cunard - although that is starting on the downward path.

 

I an fairly certain that within Carnival Corp there will be  a "master" plan as to what market each brand is aiming for and which direction they are planned to go in over the next ten years.

[molecrochip]

7 hours ago, david63 said:

I an fairly certain that within Carnival Corp there will be  a "master" plan as to what market each brand is aiming for and which direction they are planned to go in over the next ten years.

There is. When you consider that over 95% of P&O cruisers are British and the average age is around 41, it won’t surprise that they are firmly targeting British multi-generational families.

 

Advertising has been targeted towards 25-55 on basis that 55-75 are more likely to already know P&O and it’s not them that need enticing in.

[daiB]

8 hours ago, Cruisemeister2002 said:

I think Carnival group will do whatever it deems fit as far as P&O UK. It's only my opinion, but I do believe the P&O name is tarnished by downgrading the quality and service of what it once was. I know you have to cater for the younger generation, but it's the older generation that keeps the passenger uptake higher in months when kids are at school and parents are at work. P&O have to cater for both traditional and modern type cruising. As I have booked a Princess cruise for later in the year and therefore read more of the comments with regards to Princess it does appear that our American cousins to put it politely, prefer a more casual style of dining and although it seems to be creeping into UK cruising there are still those that like the formal nights and shall we say more glamorous style of cruising.

On Iona and Arvia 6 cruises in all the younger element have been the ones to go all out on formal nights and it’s some of the older generation who do not bother. BTW the longest queues we saw on both ships where to get formal photos taken in the Atriums.

[john watson]

1 hour ago, daiB said:

On Iona and Arvia 6 cruises in all the younger element have been the ones to go all out on formal nights and it’s some of the older generation who do not bother. BTW the longest queues we saw on both ships where to get formal photos taken in the Atriums.

 

 

I think you will find that P&O Australia cruises are similar to P&O UK taster weekender cruises but which have got totally out of hand. The younger element go totally over the top like a spring break weekend and as such will align more easily with Carnival Cruise Line.

 

 

Regards John

[Mycruiseobsession]

Hi I am from the Australian side 😁 we have been discussing this on a long thread too.

 

P&O Australia is a casual more family  focused experience on smaller ships, loaded with water slides, flying foxes and very laid back dress standards.

 

Certainly the short 3-4 day trips can be full of younger party ragers in a rush and forget to bring their manners but the longer itineraries are more civil.

 

P&O Au in my opinion just can't  afford to keep running, they are competing with themselves Carnival "The fun ship"  Princess Cruises and the USA Royal Caribbean. Let's say they cater to a beer budget experience. It's still a decent holiday if you like cruises / the ocean in general.

 

Now that P&O Au is being absorbed  by Carnival we will most likely see an increase in fares and less itineraries.

 

I think Princess Australia still remains a popular choice for the over 50's crowd, whilst P&O Au was marketed to the budget family holiday.

 

Interesting times ahead!

 

[Cruisemeister2002]

6 minutes ago, Mycruiseobsession said:

Hi I am from the Australian side 😁 we have been discussing this on a long thread too.

 

P&O Australia is a casual more family  focused experience on smaller ships, loaded with water slides, flying foxes and very laid back dress standards.

 

Certainly the short 3-4 day trips can be full of younger party ragers in a rush and forget to bring their manners but the longer itineraries are more civil.

 

P&O Au in my opinion just can't  afford to keep running, they are competing with themselves Carnival "The fun ship"  Princess Cruises and the USA Royal Caribbean. Let's say they cater to a beer budget experience. It's still a decent holiday if you like cruises / the ocean in general.

 

Now that P&O Au is being absorbed  by Carnival we will most likely see an increase in fares and less itineraries.

 

I think Princess Australia still remains a popular choice for the over 50's crowd, whilst P&O Au was marketed to the budget family holiday.

 

Interesting times ahead!

 

Although it has been pointed out that P&O UK passenger levels are supposedly far greater than Australia I for one know from experience that they have been dumbed down. Gone are many of the nice things that used to be part and parcel Of a P&O cruise. If it hasn't gone it's charged for and I wouldn't be surprised given we also have Princess, Carnival and Cunard all sailing from the UK if P&O didn't suffer the same fate as Au P&O.

[Winifred 22]

1 hour ago, Cruisemeister2002 said:

Although it has been pointed out that P&O UK passenger levels are supposedly far greater than Australia I for one know from experience that they have been dumbed down. Gone are many of the nice things that used to be part and parcel Of a P&O cruise. If it hasn't gone it's charged for and I wouldn't be surprised given we also have Princess, Carnival and Cunard all sailing from the UK if P&O didn't suffer the same fate as Au P&O.

They were part of Carnival Corp anyway.