BREAKING news, Price Drop Policy...new info

[Ladylouwho]

I've read through the thread, and haven't seen anyone raise this OBC "type" issue.

 

Just a few months ago we had a round-and-round about the refundability of OBC. The way I understood that to finally come down was that there are two "kinds" of On-Board-Credit.

 

OBC that is essentially cash-equivalent, such as refunds from canceled excursions, or gifts from your TA, or in this case, credit from a price drop, would be refundable.

 

But, OBC from non-cash equivalent sources, such as on-board booking, group amenity points, other marketing incentive type awards, would not be refundable.

 

And, to further enhance the bottom line, OBC would be used in the order of refundable type first, and non-refundable type last. Of course the purpose for this was to put the line in the position of having to refund as little money as possible, and if you could not spend all your OBC, by using the non-refundable portion last, you were less likely to get any cash back.

 

 

So the question of the day is: Is this policy still in effect?

 

The ramifications of the new Price Drop Guarantee policy in conjunction with the OBC spending order policy serves to further reduce the value of OBC awarded as incentives.

 

This may not give too many people heartburn (if they even realize it is happening), but if these policies are still in effect as I remember them being, we should at least be aware of this additional consequence of the new price guarantee policy.

 

Theron

 

BINGO!!!!!!!! Everyone is just Hunky Dory with every little change/cutback that RCI seems to roll out on a monthly basis. Just remember, this hits you on your bottom line and gives them a plus on theirs. If you love that then cool. Keep those changes/cutbacks coming! (Or as Goldstein likes to refer to them, ENHANCEMENTS.) lol!

 

 

Colleen

[Sue L]

I've read through the thread, and haven't seen anyone raise this OBC "type" issue.

 

Just a few months ago we had a round-and-round about the refundability of OBC. The way I understood that to finally come down was that there are two "kinds" of On-Board-Credit.

 

OBC that is essentially cash-equivalent, such as refunds from canceled excursions, or gifts from your TA, or in this case, credit from a price drop, would be refundable.

 

But, OBC from non-cash equivalent sources, such as on-board booking, group amenity points, other marketing incentive type awards, would not be refundable.

 

And, to further enhance the bottom line, OBC would be used in the order of refundable type first, and non-refundable type last. Of course the purpose for this was to put the line in the position of having to refund as little money as possible, and if you could not spend all your OBC, by using the non-refundable portion last, you were less likely to get any cash back.

 

 

So the question of the day is: Is this policy still in effect?

 

The ramifications of the new Price Drop Guarantee policy in conjunction with the OBC spending order policy serves to further reduce the value of OBC awarded as incentives.

 

This may not give too many people heartburn (if they even realize it is happening), but if these policies are still in effect as I remember them being, we should at least be aware of this additional consequence of the new price guarantee policy.

 

Theron

 

this OBC WILL be refundable, but I see your point if you have multiple sources.

[petesweet]

Ok, I avoided getting in the middle of the other thread (it seemed more like a whinefest than informational thread IMHO), so since it seems that the policy hasn't changed after all, I will comment here. If I understand correctly they were no longer going to give you a monetary refund or credit card refund. The only downside was that you got an OBC which if you didn't use it you could cash it out in the casino at a cost of 3%. Unless I am missing something. What the heck is the big deal? Most price drops are a less than a few hundred bucks. Even the most frugal spenders can easily spend that amount and even if they don't on $300 the 3% is $9. OMG, the inhumanity of it all.

 

In my opinion, RCI has always been very fair by allowing many discounts after final payment. They did not have to do that, not all of their competition does it. I benefitted one time after 911 by almost $2000 by a price drop on airfare booked with the cruiseline, but that said, I was thrilled to get the discount, but if they hadn't, I had previously purchased the cruise, and at the time I did so I was happy with the deal. I just don't get all of the emotional outbursts on this topic.

 

jc

 

Oh, you're no fun!!!;)

Kathy

[cruisingram1]

I've read through the thread, and haven't seen anyone raise this OBC "type" issue.

 

Just a few months ago we had a round-and-round about the refundability of OBC. The way I understood that to finally come down was that there are two "kinds" of On-Board-Credit.

 

OBC that is essentially cash-equivalent, such as refunds from canceled excursions, or gifts from your TA, or in this case, credit from a price drop, would be refundable.

 

But, OBC from non-cash equivalent sources, such as on-board booking, group amenity points, other marketing incentive type awards, would not be refundable.

 

And, to further enhance the bottom line, OBC would be used in the order of refundable type first, and non-refundable type last. Of course the purpose for this was to put the line in the position of having to refund as little money as possible, and if you could not spend all your OBC, by using the non-refundable portion last, you were less likely to get any cash back.

 

 

So the question of the day is: Is this policy still in effect?

 

The ramifications of the new Price Drop Guarantee policy in conjunction with the OBC spending order policy serves to further reduce the value of OBC awarded as incentives.

 

This may not give too many people heartburn (if they even realize it is happening), but if these policies are still in effect as I remember them being, we should at least be aware of this additional consequence of the new price guarantee policy.

 

Theron

 

I think you make an excellent point. If this policy is still in effect, it does devalue the traditional OBC we get for booking onboard etc. If you've got a significant (or even non-significant) non refundable OBC, you can be sure you're going to try to use up any refundable OBC first or you'll lose your non-refundable OBCs.

 

You're probably right that most people won't have a hard time using up the refundable OBC because they are usually not that much, but I for one, will not prepay my tours any more because I'd want to make sure any refundable OBC went to pay off my excursions. Why pay RCL money upfront for my tours and then have to scramble to use up an OBC on something I would not normally purchase?

[Sue L]

I think you make an excellent point. If this policy is still in effect, it does devalue the traditional OBC we get for booking onboard etc. If you've got a significant (or even non-significant) non refundable OBC, you can be sure you're going to try to use up any refundable OBC first or you'll lose your non-refundable OBCs.

 

You're probably right that most people won't have a hard time using up the refundable OBC because they are usually not that much, but I for one, will not prepay my tours any more because I'd want to make sure any refundable OBC went to pay off my excursions. Why pay RCL money upfront for my tours and then have to scramble to use up an OBC on something I would not normally purchase?

 

Many tours do sell out so you may not be able to do what you want if you wait. They hold back only 30% for booking on board.

[Bakincakes]

I think you make an excellent point. If this policy is still in effect, it does devalue the traditional OBC we get for booking onboard etc. If you've got a significant (or even non-significant) non refundable OBC, you can be sure you're going to try to use up any refundable OBC first or you'll lose your non-refundable OBCs.

 

You're probably right that most people won't have a hard time using up the refundable OBC because they are usually not that much, but I for one, will not prepay my tours any more because I'd want to make sure any refundable OBC went to pay off my excursions. Why pay RCL money upfront for my tours and then have to scramble to use up an OBC on something I would not normally purchase?

 

 

Maybe that is what they are counting on?

 

You can drink it up..or eat it up..or buy somethng that is way overpriced onboard one of their ships.

 

If they allow this OBC to be used to pay for excursions pax may not have an issue with it.

[flagger]

You're probably right that most people won't have a hard time using up the refundable OBC because they are usually not that much, but I for one, will not prepay my tours any more because I'd want to make sure any refundable OBC went to pay off my excursions. Why pay RCL money upfront for my tours and then have to scramble to use up an OBC on something I would not normally purchase?

With only about 50% of tours as well as restaurant reservations available to be sold pre-cruise, you have a good chance of getting what you want by waiting. I had an RCI officer tells me only about 35% of people are pre-completing their Set Sail Pass as not everyone knows about it or has computer access.

 

I predict that more and more rate reductions will be for "new bookings only" which will limit the amount of OBC offered and protect the bottom line. Most TA's lose out on this new policy big time as there is no commission protection. Those who do not rely on commission aren't affected as much.

[cruisingram1]

I'll take my chances that the tour I'm hoping to get is available on the ship. We don't do the "hi-tech" stuff as we're traveling with young children and one beach is usually as good as another.

 

I'm a little sad that I will have to calculate and plan for the use of my OBC, but given the option of planning or not getting it, I'll take the former. As long as the OBC is good for tours and tips, it's going to have to be a pretty large refund to have issues using it up. Should those two categories be eliminated, we would be hard pressed to use a large refund since we don't drink much and the specialty restaurants don't sit well with young children. We also travel during school breaks and so far, the rates have only gone up so it's probably a non-issue in the first place. But for others, it will could take more planning to use up the refunds.

 

That said... I appreciate that RCL will continue to allow price adjustments. I'm sure, too, it's in their best interest as they are not philanthropists and their bottom line is usually what drives the ship!

[bajathree]

Here is what was sent

 

 

FAQs

What is the Price Guaranteeprice protection program?

 

If your customers book a cruise through you with Royal Caribbean and subsequently find a lower fare advertised

by Royal Caribbean, we will honor that rate by applying an onboard credit to the reservation equal to the price

difference. For reservations outside of the final payment period, the onboard creditmay be replaced, upon request,

as a reduction to the outstanding balance or a refund as applicable.

 

What should I do ifmy customer finds a lower rate?

 

Simply call a Royal Caribbean representative to have your guest’s onboard credit applied. There are no forms to fill

out. The adjustment will be made to their reservation. Onboard credits will be applied to the first and second guest

on the reservation for the full amount of the price difference unless otherwise requested at the time of application.

If you prefer, your guest will also be given the option of upgrading their stateroom based on availability and price

paid. Outside of final payment period, they also have the option to have their price reduced to the lower rate,

however commission will not be protected in this case.

 

When can Imake a reservation for my guest?

 

Anytime! Royal Caribbean’s Price Guaranteeprice protection applies anytime between booking and 72 hours prior

to sailing as long as they are eligible for the new lower rate. Use this programtomake their reservation early to give

your customer the best choice of staterooms and departures. That way you and your guest can rest easy knowing

that we will adjust their price should we lower our rates.

 

When can I call for Price Guarantee price protection?

 

Anytime between initial reservation and 72 hours prior to departure of the sailing. The new rate must be available

at the time of request for conversion and no conversions will be made after departure.

Are Groups bookings eligible to receive the Price Guarantee price protection?

Bookings that are part of an affinity or promotional group (non-contracted only) and that are both fully named and

depositedmay take advantage of the Price Guarantee price protection program. However, price protection will not

be available within 70 days of the sailing date if payment in full has not been received for the applicable booking

within the group.

 

Are the Onboard Credits refundable if not used onboard?

 

Yes, the onboard credits are refundable..

What are the Terms & Conditions for Individual and Qualifying Group Bookings?

Programapplies only to individual bookings or to affinity and promotional group bookings (non-contracted)made

in the fifty U.S. states and Canada. For individual berths within a qualifying group booking, the guest booked at a

higher fare can receive the difference between that fare and a lower fare advertised or offered by the applicable

Cruise Line in the form of an onboard cruise credit. For reservations outside of final payment period, upon request

the difference will be refunded back to the original payment source. Requests for adjustments must be received by

the cruise line at least 72 hours prior to the scheduled sailing date for the cruise. The lower fare must be a)

available for the same ship, sailing, category and number of guests as the current booking; b) available at the time

the request for rate conversion is made; and c) a rate program that is not limited to new bookings only. If the lower

rate is available under any of the following special price programs, it shall not be available under the Price

Guarantee program: Royal Sales Event; Travel Agent, Interline or Industry Reduced Rates; Employee rate programs.

The Price Guarantee program does not apply to any charter arrangements nor does it apply to any space that sold

to a third party for resale. Travel Agent commission will not be protected on reductions in cruise fare that result in

an onboard credit or refund. Price Guarantee does not apply to government taxes and fees and/or fuel supplement

charges. The Price Guarantee program may be discontinued or modified at any time without prior notice and shall

be void where prohibited or restricted by applicable law.

©2009 Royal Caribbean Cruises Ltd. Ships registry: The Bahamas. MK09015983b

GUARANTEE

PRICE

 

OK....I have a question....how are they refundable:confused:to the CC that booked the room or to the CC on the set-sail pass:confused: This gets VERY confusing when booking multiple rooms with different CC's. I will give an example...we travel with family on a sailing in 3 cabins...each cabins is paid under a different CC but the set-sail pass for charging is under 1 CC....so who and where does the credit of any unused OBC go:confused:and we could be talking a considerable amount as last year 2 weeks after final we saw a drop that would of brought a OBC of over $2000 between these 3 rooms....and I am very confident it will be no different this year.

[posso]

Am I missing out? I don't understand what is or was or might or not happen! If I booked through Thomas Cook in UK and paid the balance last month for a cruise going next month -might I get a bonus or a gift or a reduction or the usual disappointment?:confused:

[bajathree]

Am I missing out? I don't understand what is or was or might or not happen! If I booked through Thomas Cook in UK and paid the balance last month for a cruise going next month -might I get a bonus or a gift or a reduction or the usual disappointment?:confused:

 

 

The new price guarantee is for the US market....the UK market has a very different set of rules.

[Sue L]

OK....I have a question....how are they refundable:confused:to the CC that booked the room or to the CC on the set-sail pass:confused: This gets VERY confusing when booking multiple rooms with different CC's. I will give an example...we travel with family on a sailing in 3 cabins...each cabins is paid under a different CC but the set-sail pass for charging is under 1 CC....so who and where does the credit of any unused OBC go:confused:and we could be talking a considerable amount as last year 2 weeks after final we saw a drop that would of brought a OBC of over $2000 between these 3 rooms....and I am very confident it will be no different this year.

 

 

It will be to the credit card you have securing your seapass account. If you end up with OBC then you have couple options, use multiple cards instead of one, or you could go get the money out in the casino for a 3% charge. I have had OBC refunded in cash at the pursers desk but not positive if they will do it that way for this.

[crusinmama06]

Hey Sue, was just thinking of something. On my last cruise I set up a cash account, so at the end of the cruise, Carnival cut me a check for the amount left over on my account.

 

For cash accounts who have OBC, woud RCCL do the same? I would call the reps but we all know how that usually comes out. ;)

[Sue L]

Hey Sue, was just thinking of something. On my last cruise I set up a cash account, so at the end of the cruise, Carnival cut me a check for the amount left over on my account.

 

For cash accounts who have OBC, woud RCCL do the same? I would call the reps but we all know how that usually comes out. ;)

 

 

yes

[crusinmama06]

yes

 

Thank you. :)

[Sue L]

Hi All,

 

I just decided that since I am now past final payment for my October cruise, I would to volunteer and be a guinea pig to try out their new "Price Guarantee" policy on me.

 

I will sacrifice myself and willingly throw my reserversation into the maelstrom of uncertainty and I will be happy to get a HUGE price drop, (once already for $540 per person) and then I can

 

1. Verify that we will in fact get on the OBC

2. Will try spending it in various venues to make sure it is applicable ship wide, even the casino and spa

3. I won't spend it all to verify that in fact any extra will be credited back.

 

So who's with me??????????

[just4kixx]

Great idea! :D But since I don't sail till March, I'm out... how about I be your cheerleader!!! :p

 

A~

[M&M Hayden]

SIGN US UP!!

We're cruising in November and made final payment a little more than a week ago. If I see a price drop (doubtful since we're in a JS and there aren't many of them left) I'll be sure to contact my very efficient TA and he will be sure that everything is done to get us the OBC that we're due. ;)

[readyk]

would love 2. look like our cruise is sold out.:(

[molly361]

I'm with you Sue, but I can't promise that I won't spend all my OBC:p. On our last cruise we had OBC from multiple sources and did not want to "test the waters " so to speak so we paid 3% and took the money out of the casino on the last day. Better safe than sorry!!!

[Sue L]

I'm with you Sue, but I can't promise that I won't spend all my OBC:p. On our last cruise we had OBC from multiple sources and did not want to "test the waters " so to speak so we paid 3% and took the money out of the casino on the last day. Better safe than sorry!!!

 

Next time just go ask the pursers desk, they gave mine back and didn't charge anything.

[molly361]

Next time just go ask the pursers desk, they gave mine back and didn't charge anything.

 

I like that A LOT better Thanks!

[EVALUATOR]

Hi All,

 

I just decided that since I am now past final payment for my October cruise, I would to volunteer and be a guinea pig to try out their new "Price Guarantee" policy on me.

 

I will sacrifice myself and willingly throw my reserversation into the maelstrom of uncertainty and I will be happy to get a HUGE price drop, (once already for $540 per person) and then I can

 

1. Verify that we will in fact get on the OBC

2. Will try spending it in various venues to make sure it is applicable ship wide, even the casino and spa

3. I won't spend it all to verify that in fact any extra will be credited back.

 

So who's with me??????????

 

And if you would like to keep the experiment scientific...

 

I would be willing to let you pay for a cruise for me and I would be happy to see you get a huge price drop. Then I would verify that

 

1. We got a nice OBC for your price drop.:D

2. Will try spending it in various venues to make sure it is applicable ship wide, even the casino and spa:rolleyes:

3. Spend everything just in case the excess OBC isn't credited back. :eek:

 

Of course this is to make sure there is a similar experience to compare your's to.

[Sue L]

And if you would like to keep the experiment scientific...

 

I would be willing to let you pay for a cruise for me and I would be happy to see you get a huge price drop. Then I would verify that

 

1. We got a nice OBC for your price drop.:D

2. Will try spending it in various venues to make sure it is applicable ship wide, even the casino and spa:rolleyes:

3. Spend everything just in case the excess OBC isn't credited back. :eek:

 

Of course this is to make sure there is a similar experience to compare your's to.

 

hehehehehe!!!

[bajathree]

Thanks guys:)seems like as we see this happen will will learn more I am sure....but great ideas;)