NCL and Dimed

[zcritic]

First, a Note on Airlines

“De-bundling” is a popular term, particularly in the airline industry, for the concept of variable pricing for airfare, baggage, beverages, etc. The airline industry runs on tight margins, and continuously seeks to increase ancillary revenue.

From a customer’s perspective, this translates to “hidden costs”. While there was much uproar over checked bag fees a few years ago, most customers have come to understand that this shift is an industry norm.

To the benefit of the customer, de-bundling gives the opportunity to pay only for the services desired. For example, Spirit Airlines charges a la carte for everything including carry-on bags and sodas, for which most customers have an expectation will be complimentary. To Spirit’s credit this also provides them the ability to present the lowest price base fare compared to other carriers because they attach the costs after the fact. Unfortunately for Spirit, they have very low customer satisfaction ratings because they take advantage of opaque pricing, and are not very forthcoming about managing customer expectations of hidden fees.

While the revenue enhancing element of Spirit’s practice has benefits to the organization, there are external costs borne by the customer service team, who often have to apologize for practices that outside the norms of air travel. Further, those customer relations employees are given very little autonomy to help customers because the nickel-and-dime-the-customer business model is the core practice of the airline.

 

Cruises

Very few industries operate on as tight margins as cruise lines. In fact, the price of the room may even operate at a loss. Cruises depend on ancillary revenue, particularly from the casino and alcohol sales. And, these are acceptable cultural norms for cruise providers and customers alike. For example, it is commonly known that all cruise lines enforce strict policies around bringing alcohol on board because selling drinks is the primary revenue stream for a cruise line. And, people have an expectation that the prices will be high, which is a tradeoff for low cost accommodations and free meals.

Norwegian Cruise Line is a pioneer in “de-bundling” in the cruise industry. They have branded themselves as offering “freestyle” cruising which has many benefits. The basic premise is not having a committed dinner seating. So, NCL is able to offer more dining venues, some with optional, nominal supplemental charges. This is a great way to enhance revenue for the cruise line and provide a better overall experience for discerning customers who want a more upscale or more private experiences while aboard.

On the flip side of cruise “de-bundling”, NCL has pushed some boundaries in other areas. For example, they are one of the first cruise lines to charge a delivery fee for room service… a traditionally free amenity of cruising. Also, they advertise enticing promotions like free Wifi, dining upgrades, drink packages, photos, etc. But, these promotions have complex terms and conditions, which catch people by surprise.

Just like Spirit Airlines, though, this type of creativity in pricing and breaking from typical expectations of travelers may have long term customer experience and reputational repercussions.

 

NCL Guest Relations

Hopefully you’ve found the opinions above to be objectively represented. Unfortunately, I did find myself in a “caught by fine print” situation. I have tried to resolve my issue 7 times with NCL guest relations. It has been my experience that NCL guest relations’ policy is to not respond to pre-cruise or post-cruise requests.

[LrgPizza]

Thankfully I haven't been caught by fine print since I was a teenager and was taught by my parents to read it.

 

It's ridiculously easy to sail on NCL with no extra charges that wouldn't have been there 10 years ago and more. Some people just don't manage finances or reading fine print as well as others. Sorry.

 

 

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[Two Wheels Only]

Now, explain how Margaritaville was advertised as a complementary restaurant when I booked but was à la carte when I sailed....

[Loralye]

Enjoyed your read... just popping in to let you know that you chose a very catchy title that could quickly be adopted by others :eek:

 

Marketing 101...

[Aquahound]

That article's pretty funny. I've been saying for a long time that NCL is the Spirit Airlines of the cruise industry. :D

[SeaShark]

Now, explain how Margaritaville was advertised as a complementary restaurant when I booked but was à la carte when I sailed....

 

Ummm...because it changed and you don't seem to understand Paragraph 2 of the Guest Ticket Contract.

[GUT2407]

I'm not sure why people who think they're being nickel and dime dsail NCL.

[ColinIllinois]

Complex Terms and Conditions that catch people by surprise?

 

On the promo page, click on Terms and Conditions. They are spelled out clearly.

 

Caveat Emptor.

Edited June 20, 2016 by ColinIllinois

[fshagan]

Interesting and well thought out first post. I disagree in general with the "nickle and dime" characterization of NCL in general, but respect those who choose not to sail the line until NCL backtracks and brings back **whatever** complimentary thing that was taken away. I don't at all understand those that continue to sail the line while still complaining. Only loss of business will change the behavior.

 

I hope that your dissatisfaction with fine print leads you to vote with your feet and not sail NCL again if you don't get satisfaction. If you are looking for something not offered to the rest of us I hope NCL holds their ground; it is unfair and sometimes illegal for there to be "secret warranties" not available to all consumers.

[asubaru]

I call it "ala carted". It seems to be the direction of NCL (and some other cruise lines).

I do see the airline analogy with some cruise lines' direction. Some airlines have had very good results (profit-wise). Time will tell if it "works" for some companies in the cruise industry.

 

Just like other types of shopping, one needs to do their homework when comparing price/value. It isn't easy and cruising isn't the only industry where it's time consuming/ frustrating trying to decipher the actual cost.

 

 

 

I'm not sure why people who think they're being nickel and dime dsail NCL.

[BirdTravels]

I find it fascinating that the OP felt it necessary to create a new user to post this message vs. their normal user. Why hide?

[BirdTravels]

Now, explain how Margaritaville was advertised as a complementary restaurant when I booked but was à la carte when I sailed....

 

It's called smart business.

[GUT2407]

I call it "ala carted". It seems to be the direction of NCL (and some other cruise lines).

I do see the airline analogy with some cruise lines' direction. Some airlines have had very good results (profit-wise). Time will tell if it "works" for some companies in the cruise industry.

 

Just like other types of shopping, one needs to do their homework when comparing price/value. It isn't easy and cruising isn't the only industry where it's time consuming/ frustrating trying to decipher the actual cost.

 

Exactly.

[triptolemus]

Exactly.

 

Precisely.

[cruizinwithkids]

Does Norwegian use the term "Freestyle" anymore. I poked around their website today and didn't see it. Of course it's probably in 3 inch high letters and I just missed it.

 

I've just been reading quite a few criticisms of Norwegian's "Freestyle" and I'm not sure they market that anymore.

 

Just found it!!!

Edited June 21, 2016 by cruizinwithkids

[Two Wheels Only]

Ummm...because it changed and you don't seem to understand Paragraph 2 of the Guest Ticket Contract.

I understand, I just don't agree with it.

 

It didn't make a difference to me since I had the UDP but just because a business "can" doesn't always mean that it "should".

[Two Wheels Only]

It's called smart business.

 

That's an oxymoron. :p (couldn't resist)

[asubaru]

I think using dining in conjunction with freestyle would have served them better; Freestyle Dining. It's more than just eating when you want and with whom. NCL has at least 20 dining options (Jewel class and up) and I think that is a strong selling point.

 

Unfortunately, some have taken it to a new level by claiming it's not freestyle because they have to make reservations for shows and entertainment. Hard to imagine that people think they can get on a ship like the Escape and have availability in any venue, anytime, they feel like doing something.

 

Then there's the not freestyle gripes because they have to pay for a cupcake or milkshake. It can be confusing, I suppose, but it's impossible to cover all the bases

 

 

 

 

 

 

 

Does Norwegian use the term "Freestyle" anymore. I poked around their website today and didn't see it. Of course it's probably in 3 inch high letters and I just missed it.

 

I've just been reading quite a few criticisms of Norwegian's "Freestyle" and I'm not sure they market that anymore.

 

Just found it!!!

[GUT2407]

Precisely.

 

Oh look my stalker is back.

[triptolemus]

Oh look my stalker is back.

 

Oh, look who never left!

 

22 ppd ftw!

[GUT2407]

Oh, look who never left!

 

22 ppd ftw!

 

You must really care about me, to check my post count so often,:confused::confused:

[sfaaa]

Hidden fee can also mean a Buyer is too lazy to read the contract terms or make a reasonable effort to understand the deal. If someone is not prepared to do his homework or research, then don't complain when the product or experience turns out to be less than the expectation or cost more to the pocket.

[GUT2407]

Hidden fee can also mean a Buyer is too lazy to read the contract terms or make a reasonable effort to understand the deal. If someone is not prepared to do his homework or research, then don't complain when the product or experience turns out to be less than the expectation or cost more to the pocket.

 

Seems common that people don't read the Ts&Cs then complain.

[sfaaa]

Seems common that people don't read the Ts&Cs then complain.

 

And demand a refund or free perks because they have been 'wronged' by the cruise line.

[wdsted]

The message isn't resonating with me. I've never read the fine print with much vigor because I've never had to. Any NCL offering that costs additional money is either worth it to a customer who wants it or avoidable by those who don't. I think NCL is pretty transparent with these things. You should probably try some other cruising solution.

 

 

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