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Azamara - Revenue or Customer Loyalty Driven?


JeffK

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Azamara – Revenue or Customer Loyalty Driven?

 

We are aboard the Quest – third cruise in 12 months (1 Journey & 2 Quest). Over this 12 month period we will have sailed on Azamara for nearly 50 days. Cruising is not new to us - we are at the highest levels of customer loyalty in the various ship programs having traveled by ship at least 4 times per year over the past 30 years.

 

Azamara staff and crew are very friendly and they easily remember you from sailing to sailing. Even those on the crew who may be new to us on this sailing can quickly become an acquaintance. One of the enjoyable aspects is how the crew can become like long lost family so quickly.

 

Yet, is the Azamara home office in Miami (or now Royal Caribbean – they say no longer under Celebrity control, and there are personnel from Royal Caribbean on board training the kitchen staff) really interested in customer loyalty or simply revenue? As we boarded this cruise in Athens the other day, I witnessed a number of guests asking about the potential to upgrade their cabin – the answer was a resounding yes if you were interested in paying the difference. Actually, the difference in cost would have been less than the original cost – something to remember for the future, i.e, book an oceanview and pay to upgrade to a verandah for less once on board, etc.

 

But, my interest was in customer loyalty being recognized and honored by complimentary upgrades like in most good hotels around the world. Over a number of months prior to sailing I raised this question with my travel agent, agency, the agency’s Azamara sales representative, Azamara reservation’s agents, and directly with the Azamara customer service personnel. The consistent answer was that all complimentary upgrades derive from the Revenue Department, but that no one knew what criterion was applied or used to make such upgrades occur. I was assured by Azamara customer service they would make a note of my interest (I had booked a Club Continent Suite and desired an upgrade to an Ocean or Owners Suite).

 

Once onboard I confirmed that the ship was not a sell-out, 2 Ocean Suites and 1 Owner’s Suite were still available along with various verandah, oceanview, and interior cabins. I was informed the only possibility to be considered for a complimentary upgrade was if they had a request for my S1 category cabin AND they had none available. REVENUE was key – the only key it was explained that makes Azamara sail. Following the revenue stream a game of bingo was held today to “win” the owner’s suite for the duration of the cruise – I guess they figure they will make some more dollars off those playing for the chance. Throughout this discussion the onboard crew and guest relations could not have been nicer, but as explained their hands are tied to the revenue requirements of the home office.

 

Bottom line question for Azamara (Royal Caribbean) executives – would you rather I posted this note on Cruise Critic, or would it not have been better to have seen a posting exclaiming the wonders of customer loyalty and the graciousness of Azamara through the awarding of upgrades. I can only conclude that Revenue wins the day over loyalty – at least this will be one of the factors helping us decide which cruise line to use when comparing itineraries in the future. For me recognition of Customer Loyalty will always win my future business.

 

Jeff K

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I want to see Azamara maximize its revenues and earn decent profits so I can continue to enjoy great service. That's the way it works in the for-profit world.

 

I am perfectly happy with paying a price for a certain known level of service and I don't expect any freebies. I think it is great that Azamara, when they have empty cabins, can enhance their revenues by charging for an upgrade or auction them off at bingo. That just means that they will continue to be able to provide good or even better service to me in the future.

 

Companies that don't earn decent profits eventually lower their standards, cut their costs, etc, which all means eventual disaster for them and their customers.

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Well I thought you made some points Jeff until you got to the "I'll fix you" tone of shouldnt you have given me what I wanted rather than have me post this here. CC isnt [or at least I hope isnt] some sort of bludgeon/extortion tool. I agree with woodtrvel, if A gives it away to you, my cruise may be negatively impacted by a need to cut costs in order to maintain a profit margin. Bottomline, you got what you paid for and are unhappy that you didn't get more than that.

---------------

Helen

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Az is revenue driven. This RCL Division is trying to survive and make a profit so its very revenue driven. It is part of a public company and as such wants to make $ for itself and its shareholders. How it goes about doing that is another story all unto itself and beyond the scope of this thread.

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I think Azamara gives very nice perks for loyalty. Almost 4 hours of internet free, free laundry and pressing....I don't know of any cruise line that gives cabin upgrades for loyalty! If you like to cruise, then you just pick the line that suits you the best.

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Not sure I'm aware of any other cruise line I've travelled on that gives away comp cabins, even to their highest loyalty passengers. I suspect that if it does occasionally take place, it will be before departure.

 

I'm resigned to the fact that Az won't be upgrading us to the Ocean Suite, so I'd better be on the lookout for the bingo game. However, I am impressed with the revamp of perks for past cruisers and look forward to enjoying the various functions and get togethers.

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I think that cruise lines have to be very careful upgrading passengers based on any specific criteria such as loyalty (which can be calculated in any number of ways - days cruised, dollars spent, number of cruises, etc.) Imagine the disappointment you'd feel if you found out that a customer you considered less "loyal" than you was given a free upgrade. That type of situation might cause bad enough feelings to result in lost revenue.

 

In a revenue-driven business, it makes more sense to impress a new customer rather than to reward a customer who is already loyal to them. I suspect that is why we were upgraded from an inside cabin to a verandah cabin on our first Celebrity cruise - our first impression of Celebrity was so good, it made us come back to Celebrity again and again, rather than return to lines we had previously tried. Also, we loved the verandah so much, we never booked another Celebrity cruise without one. On Celebrity's part, that upgrade was good for business. In my opinion, the current "Captain's Club" rewards are actually pretty good - I feel that my loyalty with Celebrity and Azamara is being rewarded quite well.

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Hi Everyone !

 

Azamara is owned by Royal Caribbean, which is a public company. As the OP is asking whether they are revenue *OR* customer service driven, I feel they are both. Revenues and Profits matter, though they strive for a great onboard Cruise experience. They need the latter to drive the former.

 

All of Royal Caribbean's brands rarely offer complimentary upgrades. It was frequent years ago, but no longer. Their mindset is, why give it away for free, when they can get $$$ for it. While I can understand that being frustrating to some, from a business standpoint, it makes sense. As for their loyalty benefits, for the most part, Im fine with what Azamara is offering.

 

To me, what it's all about, is an excellent onboard exprience. I do not worry about things like perks and upgrades. While they are always welcome, they do not dictate what line I choose.

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It seems to me that the policy of "upselling" is a good compromise - you can get a better cabin for a better price than offered during the regular sales period. I read somewhere that both Az and O rarely do the give it away upgrade (unless oversold, that would be O!) in part because their ships are much smaller than the 2000+ pax ones. Shortly after we boarded in May, we were offered a suite for several hundred $$ per person (we were in an inside) but we stayed put - it would have been a bargain compared to what the booking price had been. Any company that wants to stay in business has to balance revenue and expenditures for customer loyalty.

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My wife and I are new to cruising, the last one we took was more than 25 years ago. We are both (relatively) young, healthy, upper income, and do a lot of international traveling. If Azamara were purely interested in customer loyalty, S and I are the ones who should be upgraded. Why? Because if we like the service, and were handed a great freeby, who are we going to be sailing with next time, regardless of the price? Azamara or Costa?

 

I do understand the point - you have been loyal to them, and they should be loyal to you in the future. But if you really like the service, you want them to remain in business so that there actually will be a next time! I love my first class upgrades with Delta, but they are few an far between these days. So, for long distance travel, when I want more comfort, I pay for it and don't rely on the kindness of strangers. For local trips, I no longer get ticked off finding that I am number 19 for a first class upgrade on a fully booked flight, as happened this weekend on a 90 minute flight to Ft. Lauderdale.

 

You can always vote with your feet. My 2 cents.

 

David

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Boy, I was really quite put off by the OP. Azamara did offer friends a suite upgrade for a few hundred dollars each on their third cruise this year. Coming to the boards here to bash Azamara because a free upgrade wasn't offered is so petty. That is not the purpose of CC.

 

I have several friends who are in the restaurant business who talk about the people who try and get some perk by threatening to give the restaurant a bad on-line review if they don't comply. Or someone who will clean their plate and then say their meal was bad. I don't know what is wrong with society today. As long as you get what you paid for, you should not complain or expect more.

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I think Azamara gives very nice perks for loyalty. Almost 4 hours of internet free, free laundry and pressing....I don't know of any cruise line that gives cabin upgrades for loyalty! If you like to cruise, then you just pick the line that suits you the best.

 

I agree. And neither do I regarding free upgrades. HAL calls people with upsell offers. One person posted on CC they were thrilled to move from the S Suite (HAL ship) to PH for only $1,000.00 more per person.

 

I also can't tell you how many people I met on Azamara who said they were "Elite" with Celebrity, the point being there were a lot of people onboard loyal to Azamara and RCCL.

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This is a really interesting thread. It does raise some interesting points. I am not sure that the OP meant to threaten AZ if they didn't get the upgrade. Just wondering why the policy is what it is. Maybe I am wearing my rose coloured glasses today ;)

 

I have never been upgraded on AZ and both times I have booked a sky or cc suite. I thought that they were what I wanted. I have been very blessed by the upgrade fairy many times on Celebrity and others. I always book the cabin that I want and if I get something better I am thrilled - a gift horse should never be looked at in the mouth!!!

 

What I find interesting is raising the point about what should be offered and when and to whom. It has long been a practise of cruise lines to offer upgrades. Maybe now the times have changed and with it the economy and what businesses need to do to stay profitable. I think that the agent you book with can have a great deal of influence in the matter of upgrades.

 

Let me ask the question. Would you rather gamble on an upgrade to a better cabin on an "if come maybe" scenario and have to pay for gratuities, wine, soda and big prices on mixed drinks OR would you be happier getting what you paid for on a line where service is great and there is more included in your basic fare?

 

If AZ is helping support their superior loyalty program and "extras" by auctioning (bingo) off or selling upgrades on excess inventory, then isn't this good news for it potential and existing clientele?

 

Just sayin'

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50 days in a year, wow, that is loyalty. Unfortunately the suites have a lot of value, more than what the cruise line can afford to give away.

At least I would hope you were or are invited to dine with the Captain and or SR. officers. I know there are now more cocktail parties, happy hours, internet time, free laundry, champagne, etc. to reward the past passengers.

The "new" Azamara does have a lot to offer and when comparing to other lines the easy to attain levels of Le Club Voyage do offer more.

We will at the end of January have 40 days on Azamara in a 12 month span. I really don't expect an upgrade (although I won't turn one down if it fell into my lap) just hopefully some recognition and a few perks for being a loyal (most of the time) fan of Azamara.

Hope you enjoy the Quest...

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A customer-focused business like Azamara needs to pay attention to both customer loyalty & the bottom line. They are not mutually exclusive. In order to get my loyalty, Azamara needs to deliver an on-board experience that matches what they “promise” in their marketing collaterals. I expect the stateroom that I booked & nothing more. If there are “better” staterooms available before we sail, I am happy to be called for an upsell, which I see as a win-win compromise. If such staterooms are still going empty once we’re aboard, then I think it’s very reasonable that Azamara charges for them. After all, they need to keep an eye on costs & revenue.

 

I personally think the Bingo thing is a bit cheesy, but I see the point of making a few easy $$. In a similar but different way, perhaps Azamara could hold a silent auction (with reserve prices) for unbooked high-end suites. They could continue with champagne "showings" of the suites and make it a fun event. It would generate buzz & revenue at the same time.

 

Or maybe there's a market for a new concept: Priceline of the Seas! ;);)

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Working in a revenue based business, I don't think any cruise line should be giving away cabins without a really good reason. As others said, there are many loyal cruisers - who picks who is the most special? Also, if they're going to always give the cabins as free upgrades - why would anyone ever buy them? From a business perspective - I think free upgrades don't make sense. Having the option to upgrade onboard for a lesser fee makes alot of sense to me. But again - I also travel all the time, and I also am quite comfortable if I don't get the "free" upgrade to First Class because I'm too far down in line. You get what you pay for, and while I haven't taken Azamara yet (in October - can't wait), I think we got alot. My other option was Crystal - who I love, have been with them before - but Azamara just sounded really interesting.... So, I hope you tell us how you actually like the cruise (which I hope is awesome), and I hope you continue to take all those amazing vacations - Good For You!!!

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Azamara – Revenue or Customer Loyalty Driven?

 

 

Bottom line question for Azamara (Royal Caribbean) executives – would you rather I posted this note on Cruise Critic, or would it not have been better to have seen a posting exclaiming the wonders of customer loyalty and the graciousness of Azamara through the awarding of upgrades. I can only conclude that Revenue wins the day over loyalty – at least this will be one of the factors helping us decide which cruise line to use when comparing itineraries in the future. For me recognition of Customer Loyalty will always win my future business.

 

Jeff K

 

Your loyalty is recognized with Le Club Voyage and quite

generously compared to other cruise lines and their programs

No where did it say that you would receive a complimentary upgrade once onboard if available

Also, there are plenty of cabins that look like an upgrade

on paper but ARE NOT ...so be careful what you wish for.

I've been cruising 45+ days a years for over 38 years since I was a small child.

So, I understand what you are saying about loyalty.

However, complimentary upgrades are less and less common across the board than they use to be with every cruise line AND airline...so if you judge AZ based on this..then you are in for a rude awakening when you take your dollars elsewhere.

Now my 2cents on who deserves a complimentary upgrade if they were being given away.......

It starts from the top down ..The cabin that has generated the MOST revenue in the past overall for the parent company RCCL is offered an upgrade 1st and then they work their way down the list....

I can assure all of you ...if someone who has never sailed on AZ or ANY RCCL company product receives a complimentary upgrade over me who has spent over $100,000 dollars in the last 10 years with them ....

It would be the last cruise I sailed with them, and the next $100,000 would be with a competitor...

that's just my 2 cents

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all you need to do is look to the U.S. airline industry and the state of their First Class cabins for an example of what becomes of an industry that begins to give away their best product as a way to retain loyalty. Compare a First Class flight on, say, United Airlines from Los Angeles Tokyo, as compared to Japan's ANA Airlines. Night and day. Why? Because United's First Class cabin has become so devalued over the years simply because of the shear volume of free upgrades that people expect as a reward for their "loyalty". People aren't willing to pay for something they can just get for free. I think a luxury cruise line should value their product and hold the highest end of that product in very high regard, which means not giving it away simply to say thank you.

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Thanks to all for the many interesting responses. The post was not meant as a threat, but a statement of reality. Now it is clear that most of those responding seem to express that loyalty is old school and all is about the bottom line world of revenue. I guess I will have to move into the new world of money money and more money buys all the enjoyment in life.

 

Too sad that the little things of kindness, graciousness, and expressions of true thanks for purchasing a product from a specific vendor versus all those available is no longer thought of as an expression to keep one's business. I guess that is why so many reacted in the way they did.

 

Again, thank you all for your insight into today's buyer beware world of penny wise and pound foolish.

 

Jeff

 

By the way, Azamara is undergoing another change during this sailing of the Quest - new service training in restaurants. Therefore, you get to sit for about 50 minutes before you ever see your first course, especially if you are more than a group of 2 at the table. They say this will get better as soon as the restaurant staff can adjust to the instituted Royal Caribbean ways.

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. I guess I will have to move into the new world of money money and more money buys all the enjoyment in life.

 

Too sad that the little things of kindness, graciousness, and expressions of true thanks for purchasing a product from a specific vendor versus all those available is no longer thought of as an expression to keep one's business. I guess that is why so many reacted in the way they did.

 

Again, thank you all for your insight into today's buyer beware world of penny wise and pound foolish.

 

Jeff

 

.

 

The 1st lesson might I suggest is realizing not any amount of money will BUY the enjoyment of life.

It does not buy your health, your soul, or class

Those 3 things are key to your enjoyment in life. Without your health you wouldn't be able to do what enriches your soul.

Without a positive soul your enjoyment will be limited.

Without class..well as the saying goes..you can't buy class

You can't control what other people or corporations will do for you, but you can control what you do for others..

I do believe in Karma and if you do even just a bit...know that eventually all the good you put out in the world will eventually manifest itself in return when you least expect it.

 

PS..whether you meant it or not, your 1 post towards the end did sound like a threat/extortion..

K.

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Guess I was wearing my rose coloured glasses when I responded previously.

 

Perhaps you missed the point Jeff - for any business to remain solvent they have to make money ...I am sure you dont give things away in your business if you can sell them and keep yourself afloat. We are all in business to make a profit.

 

AZ is rewarding ALL their loyal customers on a consistent and visible basis by providing the best loyalty program in the industry.

 

Your biggest reward for booking is the excellence in service that we who have cruised them before have come to appreciate.

 

Great point ASFlyer made about the airline "loyalty" programs and how they have evolved into less service for all travelling.

 

Can you imagine the nightmare of trying to pinpoint who gets what upgrade based on Karen's (Wheretonext) analysis? They would need a department dedicated to that project. :rolleyes:

 

Expect to get what you paid for and if expectations are exceeded then delight in that. Measurable standards are universal. We buy what we think is good value at whatever the cost is and whatever the product is based on our own desires. You are either satisfied with the deliverables as set out in your contract or you are not.

 

With regards to the service upgrades going on in the dining room.....those of us on dry land are thinking - "wow, great, ongoing improvements in service"

- for the past few weeks there have been criticisms of the dining room on the board and now we see that AZ IS LISTENING!!

 

Great news for us looking at an upcoming cruise!!! For you onboard not so great. Here's what I would do....if service is really bothering you, then appraoch someone on board ....we know AZ is very accommodating with customer issues.....and then discuss the situation. You paid for REAL service, not to be guinea pigs, so outline what you think would be a satisfactory compensation for this matter. If they come through, they have met your expectations, if they don't, then speak with your pocketbook next time you plan a cruise.

 

My 2.067 cents - CAD conversion from US. :D

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Can you imagine the nightmare of trying to pinpoint who gets what upgrade based on Karen's (Wheretonext) analysis? They would need a department dedicated to that project. :rolleyes:

 

 

My 2.067 cents - CAD conversion from US. :D

 

It's already an internal line item in most hotels, airlines

and cruiselines

It's associated with your Captains Club membership (or other membership numbers) Not only do they know how many sailings and how many days you have

They can determine how much you have spent.

If they are going to have a policy of offering COMPLIMENTARY upgrades onboard...the main office can very easily send that information over with the rest of the upcoming sailing packet.

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Thanks to all for the many interesting responses. The post was not meant as a threat, but a statement of reality. Now it is clear that most of those responding seem to express that loyalty is old school and all is about the bottom line world of revenue. I guess I will have to move into the new world of money money and more money buys all the enjoyment in life.

 

Too sad that the little things of kindness, graciousness, and expressions of true thanks for purchasing a product from a specific vendor versus all those available is no longer thought of as an expression to keep one's business. I guess that is why so many reacted in the way they did.

 

Again, thank you all for your insight into today's buyer beware world of penny wise and pound foolish.

 

Jeff

 

 

Loyalty isn't 'old school' (I think it's more common today than at any time in the past) and Azamara does reward those who are loyal clients. The problem though is that you aren't satisfied with their loyalty program and expect something above and beyond.

 

The 'kindness, graciousness, and expressions of true thanks' that you mention are actually there...but you are missing them in your focus on wanting more.

 

There is nothing wrong with trying to get the "most bang for your buck" but there is a problem if you can't accept the fact that you might not get more than what is promised for the price that you paid.

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It's already an internal line item in most hotels, airlines

and cruiselines

It's associated with your Captains Club membership (or other membership numbers) Not only do they know how many sailings and how many days you have

They can determine how much you have spent.

If they are going to have a policy of offering COMPLIMENTARY upgrades onboard...the main office can very easily send that information over with the rest of the upcoming sailing packet.

 

 

Yeah Karen ....we all know how AZ is handling their corporate admin office functions so far...add this to the mix and well - you know!! :eek:

 

 

It's not unlike the casinos who determine "whales" when they check in!!

 

It's really that AZ has definately departed from the cabin cost being incidental theory that most cruise lines have gone to...big ships only. Their theory is to get you onboard at the lowest cost and get you to spend, spend, spend onboard and make their revenue there. AZ is collecting the cost of operations from the room revenue primarily and hoping that you buy some optional extras with their new format.

 

I would be interested to see the difference between the discretionary spending on board this year with the new launch as opposed to last years with the old approach and higher prices for incidentals. I am very nosy. LOL

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