Opinion about Carnival Fuel Surcharge

[tedjazz]

I have offered my opinion about the Carnival Fuel Surcharge, supported by facts that are supplied by Carnival themselves and I have been BBQ'd on numerous occasions by the many Carnival Stockholders that populate this thread. I want to just throw out a few thoughts that I am sure that I will be vilified for, but what the heck...the arguement rages on about the "cheap" crusies versus the price of fuel charges. I appreciate "cheap cruises", but I don't appreciate paying for something that is non-existant, "High Fuel" prices in the form of Fuel Surcharges. Here are the facts and no one can dispute them, for they are the truth. Carnival chose to implement Fuel Surcharges that ratcheted up as fuel escalated from $100/barrel to $147/barrel. Remember they began at 100/barrel. That seems reasonable to me. Customers should help out with the fuel costs. I would concur with that. Now that Fuel has drop significantly, way lower than when they implemented the original Fuel Surcharge they still keep it in place until a number of tasks (hoops) have been completed and they insure they return a profit. I am not anti-profit, that is what keeps Carnival prosperous and they are very much so. I am truth in costs, if I pay extra for "High Priced Fuel" then it should be "High Priced", but let's face it, it's not, It's actually quite cheap based on pre-fuel surcharge prices. Many people would argue that I/we are paying for past "high fuel" prices, that have just been left over for us to deal with. I don't buy that and really I don't think anyone with an IQ over 50 should either. I know that most would disagree with me that is your right but stop and look at "Fuel Surcharges", not, wow what a cruise bargain I am getting, the two are not related. A wise man once told me, "You can pretend that Dog **** smells like perfume, but it's still Dog ****." Happy Cruising Ya'll. Thanks for listening :)

[GoinCruisin]

Why do we need so many threads on this?? :(

 

Bottom line is Carnival has a plan... they are being cautious like any wise business would. They waited for a long time to implement a fuel surcharge even as oil prices were rising... it will come off completely if and when the oil prices STABILIZE... the price of oil today is pretty much what they will pay maybe in December... they are going to do what they have to do just like all the other cruise companies. Posting a million times about how unhappy you are isn't going to do anything... we can't do anything to change it. Speak with your wallet and cancel your December cruise, and book with a cruise line that doesn't have a fuel surcharge... it really should be that simple. Most companies that implemented a surcharge over a year ago (outside the cruise industry), haven't removed the charge yet... most businesses are much smarter than that, you wait for stabilization... if you can't wait for that, I really do think you should book elsewhere, and I don't mean that to be ugly, but I just don't get the point of post after post and thread after thread of the same thing over and over and over again.

[kansas kruiser]

Why do we need so many threads on this?? :(

 

Bottom line is Carnival has a plan... they are being cautious like any wise business would. They waited for a long time to implement a fuel surcharge even as oil prices were rising... it will come off completely if and when the oil prices STABILIZE... the price of oil today is pretty much what they will pay maybe in December... they are going to do what they have to do just like all the other cruise companies. Posting a million times about how unhappy you are isn't going to do anything... we can't do anything to change it. Speak with your wallet and cancel your December cruise, and book with a cruise line that doesn't have a fuel surcharge... it really should be that simple. Most companies that implemented a surcharge over a year ago (outside the cruise industry), haven't removed the charge yet... most businesses are much smarter than that, you wait for stabilization... if you can't wait for that, I really do think you should book elsewhere, and I don't mean that to be ugly, but I just don't get the point of post after post and thread after thread of the same thing over and over and over again.

Way to go Chris!!:)

[tedjazz]

Why do we need so many threads on this?? :(

 

Bottom line is Carnival has a plan... they are being cautious like any wise business would. They waited for a long time to implement a fuel surcharge even as oil prices were rising... it will come off completely if and when the oil prices STABILIZE... the price of oil today is pretty much what they will pay maybe in December... they are going to do what they have to do just like all the other cruise companies. Posting a million times about how unhappy you are isn't going to do anything... we can't do anything to change it. Speak with your wallet and cancel your December cruise, and book with a cruise line that doesn't have a fuel surcharge... it really should be that simple. Most companies that implemented a surcharge over a year ago (outside the cruise industry), haven't removed the charge yet... most businesses are much smarter than that, you wait for stabilization... if you can't wait for that, I really do think you should book elsewhere, and I don't mean that to be ugly, but I just don't get the point of post after post and thread after thread of the same thing over and over and over again.

 

Thanks for your imput, it is certainly most valued. I never thought of it that way.

[GoinCruisin]

Thanks for your imput, it is certainly most valued. I never thought of it that way.

 

Thank you for understanding... I really am not trying to be argumentative, but I also run a business and if we made quick decisions without research, history, and forecasting, we would not have been in business for 14 years... it's a pain to us as passengers, but they know that!!! They wouldn't be doing it just to tick us off, they are doing it because nobody is completely sure where oil is going to stabalize right now. Believe me, like I said, I'm not happy paying $2.29/gallon when I know there are plenty in the country paying less than $2/gallon, but there are other circumstances involved... we have no idea what the price of oil will be once it gets to the refineries and ends up at the ships... but really, the oil prices haven't been down long enough to start complaining... I think everyone will be happier in the long range if we wait for prices to stabilize and they can be done away with permanently... otherwise, they could do away with them now, but 3 months from now they implement them again, and then you have an even BIGGER nightmare to deal with... as much flack as the cruiselines get, believe me, I'm sure they would love to eliminate them completely... they are just going to be a little cautious. Hang in there :)

[tedjazz]

Thank you for understanding... I really am not trying to be argumentative, but I also run a business and if we made quick decisions without research, history, and forecasting, we would not have been in business for 14 years... it's a pain to us as passengers, but they know that!!! They wouldn't be doing it just to tick us off, they are doing it because nobody is completely sure where oil is going to stabalize right now. Believe me, like I said, I'm not happy paying $2.29/gallon when I know there are plenty in the country paying less than $2/gallon, but there are other circumstances involved... we have no idea what the price of oil will be once it gets to the refineries and ends up at the ships... but really, the oil prices haven't been down long enough to start complaining... I think everyone will be happier in the long range if we wait for prices to stabilize and they can be done away with permanently... otherwise, they could do away with them now, but 3 months from now they implement them again, and then you have an even BIGGER nightmare to deal with... as much flack as the cruiselines get, believe me, I'm sure they would love to eliminate them completely... they are just going to be a little cautious. Hang in there :)

 

Are we not wise to question, instead of accept everything we hear from... well at least that's my nature. :)

[G'ma]

Thanks for your imput, it is certainly most valued. I never thought of it that way.

 

How about this.....

 

Fuel prices increased 50% from January to November 2007 when Carnival began the fuel surcharges. It had increased almost 140% over a three year period ending in November 2007.

 

Carnival ate the price increases without passing it along. As the price kept increasing, they could no longer do that. So, for at least 3 years, Carnival kept their prices stable. When it was no longer financially feasible for them to do that as the price kept skyrocketing, they added the surcharge.

 

I don't have a problem with that at all and I don't think the surcharge is out of line...especially when compared to some other cruise lines who's charges are a lot higher.

 

They have announced a plan to start removing these surcharges if/when/as fuel prices stabilize. That's fair.

 

For the mopes who think they are being ripped off, perhaps they should rethink their vacation plans.

 

Sources:

 

http://www.chicagotribune.com/travel/chi-page_3_story_revisenov18,0,4493605.story

 

http://www.dallasfed.org/research/eclett/2008/el0805.pdf

[GoinCruisin]

Are we not wise to question, instead of accept everything we hear from... well at least that's my nature. :)

 

Oh certainly! I question everything, but I also research the crap out of everything so I understand what I'm getting into... I am not a sheep, but I also don't complain just for the sake of complaining, especially in this economy... and as a business owner, I probably do more questioning than I ever did before, but I also see both sides of the coin. I really try not to complain if I can help it, but if I do, it's something that I have tried to see both sides of and if I have to back that up with research, i do... I'll tell you this, I returned from a cruise on Saturday... on Monday, I found out that one of my best friends and my aunt both had cancer... one of them will probably not have the time to ever cruise again and I can guarantee you she would be happy to pay any surcharge to get the chance... $60? If I am in good enough health, and it is an affordable vacation, I'll pay it in a second, because you never know when your chance is going to end... so while you say you won't cruise until the cruiselines eliminate the surcharges, you have to ask yourself, is it really worth it? I love cruising... it is a passion for me and I'm willing to sacrifice in other areas of my life in order to cruise... I'm paying more for groceries, gas, shipping, flying, etc... and I deal with it, so I certainly don't mind paying a little more for something I LOVE... it's still a great value and I'm going to try my best to live each day doing something I love and not sweat the petty bs... sorry to be a downer, but come on... if the worst thing you have to worry about right now is a fuel surcharge, during an economic downturn, you are doing pretty good I'd say.... I wish you happy cruising and good health, and I really do hope you can move past this surcharge issue and enjoy your cruise... we really never do know which one will be our last... so enjoy each and every one of them.

[SouthernCaribbean]

Are we not wise to question, instead of accept everything we hear from... well at least that's my nature. :)

 

You like any consumer can question and ultimately choose to take your business elsewhere.

 

Carnival like any business can impose any legal polices they choose.

[Pitboss32]

Are we not wise to question, instead of accept everything we hear from... well at least that's my nature. :)

 

Question Carnival Cruise Lines

3655 NW 87th Ave

Miami, FL 33178

 

Because nobody here can do a damn thing for you.

[tedjazz]

 

Lucy, I am sorry to hear of your bad news and hope that there may be some time for cruising for both your friend and Aunt and I certainly understand your perspective, I lost one of my best friends just this past week to Cancer and while he wasn't a cruiser he passed way before his time. I do understand and appreciate your point of view, I only wished that a few people tried to understand the other side of the coin, like you mentioned earlier. Take Care and best to you and your Family.

[tedjazz]

Question Carnival Cruise Lines

3655 NW 87th Ave

Miami, FL 33178

 

Because nobody here can do a damn thing for you.

 

I've already been that route, but thanks for your persective.

[tedjazz]

You like any consumer can question and ultimately choose to take your business elsewhere.

 

Carnival like any business can impose any legal polices they choose.

 

Like you said it's all about choice. Thanks for your imput.

[GoinCruisin]

Lucy, I am sorry to hear of your bad news and hope that there may be some time for cruising for both your friend and Aunt and I certainly understand your perspective, I lost one of my best friends just this past week to Cancer and while he wasn't a cruiser he passed way before his time. I do understand and appreciate your point of view, I only wished that a few people tried to understand the other side of the coin, like you mentioned earlier. Take Care and best to you and your Family.

 

Thank you Ted, and I am very sorry for your loss :(

 

I think we all need to take more time to see the other side...of course when we are on one side of the coin, we just figure nobody else can see it. We would ALL love to pay less! It's not like we are all sitting around hoping that the cruiselines will just charge us more and more, but cruising, fuel charges included, is still an amazing value and still not as expensive as it used to be... I want to do whatever I can to make sure ships are full and prices stay low, I want them to make a profit so they keep my price low and they don't start suffering... I'm willing to pay the fuel surcharge if that is what it takes... but we all have different thresholds... good luck to you!!!! :)

[dclark]

It works both ways- last year, my family of four cruised on New Years on the Dawn Princess and we bought our tickets just a few weeks before they added the first fuel surcharge. Now, a lot of people on the ship paid the fuel surcharge, but my family of four, in two adjoining cabins, didn't. Should CCL made us pay?

It's just how things go. Right now,it looks like the first cruises to get a full obc will be the xmas ones. The cruises before will still have to pay, but some of those cruises are going for $400 pp, so I really don't pity those who have to pay.

[jessemon]

I have offered my opinion about the Carnival Fuel Surcharge, supported by facts that are supplied by Carnival themselves and I have been BBQ'd on numerous occasions by the many Carnival Stockholders that populate this thread. I want to just throw out a few thoughts that I am sure that I will be vilified for, but what the heck...the arguement rages on about the "cheap" crusies versus the price of fuel charges. I appreciate "cheap cruises", but I don't appreciate paying for something that is non-existant, "High Fuel" prices in the form of Fuel Surcharges. Here are the facts and no one can dispute them, for they are the truth. Carnival chose to implement Fuel Surcharges that ratcheted up as fuel escalated from $100/barrel to $147/barrel. Remember they began at 100/barrel. That seems reasonable to me. Customers should help out with the fuel costs. I would concur with that. Now that Fuel has drop significantly, way lower than when they implemented the original Fuel Surcharge they still keep it in place until a number of tasks (hoops) have been completed and they insure they return a profit. I am not anti-profit, that is what keeps Carnival prosperous and they are very much so. I am truth in costs, if I pay extra for "High Priced Fuel" then it should be "High Priced", but let's face it, it's not, It's actually quite cheap based on pre-fuel surcharge prices. Many people would argue that I/we are paying for past "high fuel" prices, that have just been left over for us to deal with. I don't buy that and really I don't think anyone with an IQ over 50 should either. I know that most would disagree with me that is your right but stop and look at "Fuel Surcharges", not, wow what a cruise bargain I am getting, the two are not related. A wise man once told me, "You can pretend that Dog **** smells like perfume, but it's still Dog ****." Happy Cruising Ya'll. Thanks for listening :)

Don't worry about it. Once there surcharge is gone Carnival has already announced that they are raising the cabin prices.....

Guess that will make it easier for some to swallow......;)

[Snorkel2Much]

I have offered my opinion about the Carnival Fuel Surcharge, supported by facts that are supplied by Carnival themselves and I have been BBQ'd on numerous occasions by the many Carnival Stockholders that populate this thread. I want to just throw out a few thoughts that I am sure that I will be vilified for, but what the heck...the arguement rages on about the "cheap" crusies versus the price of fuel charges. I appreciate "cheap cruises", but I don't appreciate paying for something that is non-existant, "High Fuel" prices in the form of Fuel Surcharges. Here are the facts and no one can dispute them, for they are the truth. Carnival chose to implement Fuel Surcharges that ratcheted up as fuel escalated from $100/barrel to $147/barrel. Remember they began at 100/barrel. That seems reasonable to me. Customers should help out with the fuel costs. I would concur with that. Now that Fuel has drop significantly, way lower than when they implemented the original Fuel Surcharge they still keep it in place until a number of tasks (hoops) have been completed and they insure they return a profit. I am not anti-profit, that is what keeps Carnival prosperous and they are very much so. I am truth in costs, if I pay extra for "High Priced Fuel" then it should be "High Priced", but let's face it, it's not, It's actually quite cheap based on pre-fuel surcharge prices. Many people would argue that I/we are paying for past "high fuel" prices, that have just been left over for us to deal with. I don't buy that and really I don't think anyone with an IQ over 50 should either. I know that most would disagree with me that is your right but stop and look at "Fuel Surcharges", not, wow what a cruise bargain I am getting, the two are not related. A wise man once told me, "You can pretend that Dog **** smells like perfume, but it's still Dog ****." Happy Cruising Ya'll. Thanks for listening :)

My opinion (with a few verifiable facts thrown in):

In the face of volatile fuel costs in Nov 2007, the cruise industry had several options available to them that could mitigate their risk. CCL (quickly followed by most others) chose to slap on a (poorly thought out) customer surcharge that was implemented in a manner that violated a consent agreement they (and other cruise lines) signed 10 years ago with the Florida Attorney General.

 

The CCL fuel surcharge/supplement implementation method and terms (along with the agreement with the Florida AG) were eventually amended to what we have today. CCL has come to the realization that the current fuel supplement implementation does not mitigate CCL's risks in the manner they originally needed. Soooo...... they're phasing it out as clumsily as they slapped it on, and should now be re-examining the original options that they passed up in Nov 2007.

 

In any case, I applaud their decision to remove it altogether.

[cruisecastle]

I have offered my opinion about the Carnival Fuel Surcharge, supported by facts that are supplied by Carnival themselves and I have been BBQ'd on numerous occasions by the many Carnival Stockholders that populate this thread. I want to just throw out a few thoughts that I am sure that I will be vilified for, but what the heck...the arguement rages on about the "cheap" crusies versus the price of fuel charges. I appreciate "cheap cruises", but I don't appreciate paying for something that is non-existant, "High Fuel" prices in the form of Fuel Surcharges. Here are the facts and no one can dispute them, for they are the truth. Carnival chose to implement Fuel Surcharges that ratcheted up as fuel escalated from $100/barrel to $147/barrel. Remember they began at 100/barrel. That seems reasonable to me. Customers should help out with the fuel costs. I would concur with that. Now that Fuel has drop significantly, way lower than when they implemented the original Fuel Surcharge they still keep it in place until a number of tasks (hoops) have been completed and they insure they return a profit. I am not anti-profit, that is what keeps Carnival prosperous and they are very much so. I am truth in costs, if I pay extra for "High Priced Fuel" then it should be "High Priced", but let's face it, it's not, It's actually quite cheap based on pre-fuel surcharge prices. Many people would argue that I/we are paying for past "high fuel" prices, that have just been left over for us to deal with. I don't buy that and really I don't think anyone with an IQ over 50 should either. I know that most would disagree with me that is your right but stop and look at "Fuel Surcharges", not, wow what a cruise bargain I am getting, the two are not related. A wise man once told me, "You can pretend that Dog **** smells like perfume, but it's still Dog ****." Happy Cruising Ya'll. Thanks for listening :)

 

What's the big deal? If you don't like it don't cruise. Find something important to whine about becuase this isn't important at all

[klfrodo]

I have offered my opinion about the Carnival Fuel Surcharge, supported by facts that are supplied by Carnival themselves and I have been BBQ'd on numerous occasions by the many Carnival Stockholders that populate this thread. I want to just throw out a few thoughts that I am sure that I will be vilified for, but what the heck...the arguement rages on about the "cheap" crusies versus the price of fuel charges. I appreciate "cheap cruises", but I don't appreciate paying for something that is non-existant, "High Fuel" prices in the form of Fuel Surcharges. Here are the facts and no one can dispute them, for they are the truth. Carnival chose to implement Fuel Surcharges that ratcheted up as fuel escalated from $100/barrel to $147/barrel. Remember they began at 100/barrel. That seems reasonable to me. Customers should help out with the fuel costs. I would concur with that. Now that Fuel has drop significantly, way lower than when they implemented the original Fuel Surcharge they still keep it in place until a number of tasks (hoops) have been completed and they insure they return a profit. I am not anti-profit, that is what keeps Carnival prosperous and they are very much so. I am truth in costs, if I pay extra for "High Priced Fuel" then it should be "High Priced", but let's face it, it's not, It's actually quite cheap based on pre-fuel surcharge prices. Many people would argue that I/we are paying for past "high fuel" prices, that have just been left over for us to deal with. I don't buy that and really I don't think anyone with an IQ over 50 should either. I know that most would disagree with me that is your right but stop and look at "Fuel Surcharges", not, wow what a cruise bargain I am getting, the two are not related. A wise man once told me, "You can pretend that Dog **** smells like perfume, but it's still Dog ****." Happy Cruising Ya'll. Thanks for listening :)

 

 

While I disagree with your opinion, I do appreciate your well thought out and written proposal.

Just because we disagree, doesn't mean we have to be disrespectful to one another.

[tedjazz]

What's the big deal? If you don't like it don't cruise. Find something important to whine about becuase this isn't important at all

 

I didn't know expressing an opinion would cause so much hate and discontent. I guess maybe for the future we should all just keep our opinions to ourselves? Peace ya'll :)

[firefly333]

I didn't know expressing an opinion would cause so much hate and discontent. I guess maybe for the future we should all just keep our opinions to ourselves? Peace ya'll :)

 

Seems to me the person you are responding to only expressed their opinions. Just because they dont agree with you, doesnt make their opinion worth less than yours or mean someone cannot express their opinion. If you can't stand someone not agreeing with you, dont ask their opinion. Good idea in most things in life.

[Magic City Cruiser]

I didn't know expressing an opinion would cause so much hate and discontent. I guess maybe for the future we should all just keep our opinions to ourselves? Peace ya'll :)

 

Ted, I don't sense much hate and discontent in the thread, just chalk it up to cyber conversations. But, you've been here long enough to know, as you said in your post, that your view would prove to be unpopular. ;)

I don't have an opinion one way or another but tell me your opinion, everyone, on this. It could be a"fact" and not an "opinion" for all I know!

When fuel prices started going up, why did they add a fuel charge instead of just increasing the cost of the cruise by 5-10 bucks! What difference is it to me WHY my cruise costs what it does? I figure they charge "what the market will bear" right??? I'm confused!

[tedjazz]

Seems to me the person you are responding to only expressed their opinions. Just because they dont agree with you, doesnt make their opinion worth less than yours or mean someone cannot express their opinion. If you can't stand someone not agreeing with you, dont ask their opinion. Good idea in most things in life.

 

You just proved my point. Thank you.

 

BTW, I was looking into the proverbial mirror when I posted my opinion comment.

[rjpolly]

You know, it comes down to this for me.

 

I dont mind the fact that Carnival imposes a fuel surcharge. When I booked last February for this upcoming cruise in January, it was $5 per person per day, fine.

 

Last week I called and received a refund because the price of the cruise went down $70 per person, but my fuel surcharge went up to $9 per person per day. That effectively gave me about a $50 per person credit difference, which is nice and I will not complain about that. I am simply stating this for others. I know there are a million threads and opinions on this matter.

 

When Carnival was charging $5 per person per day, oil was over $100+ per barrel back in Feb 08.

 

Now in November 08, oil is around $55-$60 per barrel, with the surcharge now being 80% higher than we originally booked for. I guess I wonder why Carnival continues to impose a higher surcharge when their costs have come way down.

 

I don't believe in the "catch up" theory, or the "stabilization" theory as others have mentioned. Carnival does not pay 2007 gas prices for the fuel they are purchasing today. So why do you accept the extra charges as "its just the way it is and if you don't like it, don't cruise." Using that as a response shows ignorance and doesn't get to the core of the question.

 

Think about this, if oil was at $55 a barrel all the time, there wouldnt ever be a fuel surcharge imposed, so now thats it that level, why is there one now?

 

I would suggest that Carnival institute some form of policy where, at the date of final payment due, if fuel is trading at or above a set price of $xxx then a surcharge will be imposed and added to the cruisers cost.

 

This way everyone would know ahead of time the surcharge may or may not apply to them, and they can plan for it and monitor it themselves, one time on date they would know to check, which would be final payment due date. Surcharge would then be added to each cruisers S&S account when arriving for embarkation and there wouldn't be any problems because they would be expecting it.

 

This nonsense of having to monitor it for 25 consecutive trading days 5 days prior to your cruise is crazy, and confusing for many people. Think of all those people who lost out on a nice OBC because of .53 a little while back.

 

I know I will probably be ridiculed for this post, and thats ok, just trying to bring another persons viewpoint into this.

 

Have a great day.

[Magic City Cruiser]

RJ, can you answer my question? Why doesn't any cruise line just put the fuel charge in with the cost of the cruise? Why even put it out there so we can see it and gripe about it? When the price of corn goes up, I don't see a corn surcharge;).