WashyWashyHappyHappy95 Posted August 13, 2016 #1 Share Posted August 13, 2016 I read somewhere on here that the Breakaway has been making a lot of sailings, because Del Rio doesn't like discounting cabins to fill up the ship. Is this true? Is it to keep up with his new "premium" rebranding of NCL? What could the benefit of sailing with empty cabins possibly be? If you're a week or two out from the cruise, why not fill up the last ones that don't seem to be moving at regular prices? At least then they'll buy drinks, use the casino, etc. Link to comment Share on other sites More sharing options...
FLSteve11 Posted August 13, 2016 #2 Share Posted August 13, 2016 I read somewhere on here that the Breakaway has been making a lot of sailings, because Del Rio doesn't like discounting cabins to fill up the ship. Is this true? Is it to keep up with his new "premium" rebranding of NCL? What could the benefit of sailing with empty cabins possibly be? If you're a week or two out from the cruise, why not fill up the last ones that don't seem to be moving at regular prices? At least then they'll buy drinks, use the casino, etc. No CEO likes doing it! :) They do it when they have to sometimes, but sometimes they try not to (like RCL who said they're not going to). They certainly don't want to try and have people look for cheap rates if they can help it. They want to discourage too many people from waiting to book to the end hoping for deals. Link to comment Share on other sites More sharing options...
WashyWashyHappyHappy95 Posted August 13, 2016 Author #3 Share Posted August 13, 2016 No CEO likes doing it! :) They do it when they have to sometimes, but sometimes they try not to (like RCL who said they're not going to). They certainly don't want to try and have people look for cheap rates if they can help it. They want to discourage too many people from waiting to book to the end hoping for deals. Yeah, but to the point where the ship is sailing with tons of empty cabins like Breakaway is lately? I'd think that once your a a week out from sailing, whatever's open should be priced to SELL. I can't see how the numbers work if you're saying keeping rates high is better than filling late unfilled cabins at a lower rate, but at least getting more people for shore excursions, the daily services charge, and of course that cash cow DRINKS Link to comment Share on other sites More sharing options...
triptolemus Posted August 13, 2016 #4 Share Posted August 13, 2016 Consider this... the inflated prices are paying for the empty cabins. The point is they don't want people waiting until 1 week before sailing to book. Link to comment Share on other sites More sharing options...
AdoraBelle Posted August 13, 2016 #5 Share Posted August 13, 2016 http://boards.cruisecritic.com/showthread.php?t=2389306 Link to comment Share on other sites More sharing options...
Rare www3traveler Posted August 13, 2016 #6 Share Posted August 13, 2016 I forget what the percent is of cabins left open on any of the ships. Sometimes there is a need to move people from one cabin to another for major maintenance issues, or needing rooms if they have to rescue people- stranded boaters, people from Cuba, needing space to isolate either passengers or staff. Link to comment Share on other sites More sharing options...
my3sonsnj Posted August 13, 2016 #7 Share Posted August 13, 2016 Yeah, but to the point where the ship is sailing with tons of empty cabins like Breakaway is lately? I'd think that once your a a week out from sailing, whatever's open should be priced to SELL. I can't see how the numbers work if you're saying keeping rates high is better than filling late unfilled cabins at a lower rate, but at least getting more people for shore excursions, the daily services charge, and of course that cash cow DRINKS This is exactly why the stock price tanked since the beginning of the year and especially after last week's conference call on second quarter financials. Link to comment Share on other sites More sharing options...
garnet115 Posted August 13, 2016 #8 Share Posted August 13, 2016 Yeah, but to the point where the ship is sailing with tons of empty cabins like Breakaway is lately? I'd think that once your a a week out from sailing, whatever's open should be priced to SELL. I can't see how the numbers work if you're saying keeping rates high is better than filling late unfilled cabins at a lower rate, but at least getting more people for shore excursions, the daily services charge, and of course that cash cow DRINKS What makes you think Breakaway is sailing with tons of empty cabins? I am sailing next week and the ship is just about sold out. I believe it's been the same the last few weeks. There was a nice price drop a few weeks ago, but prices started going up again in the last week as categories started selling out. Link to comment Share on other sites More sharing options...
sfaaa Posted August 13, 2016 #9 Share Posted August 13, 2016 I read somewhere on here that the Breakaway has been making a lot of sailings, because Del Rio doesn't like discounting cabins to fill up the ship. Is this true? Is it to keep up with his new "premium" rebranding of NCL? What could the benefit of sailing with empty cabins possibly be? If you're a week or two out from the cruise, why not fill up the last ones that don't seem to be moving at regular prices? At least then they'll buy drinks, use the casino, etc. That's just an assumption and not a guarantee. A lot of penny-pinching last minute cheap deal cruisers would just camp out at the buffet and don't spend an extra dime on the ship. Not the kind of preferred clientele NCL wants. Link to comment Share on other sites More sharing options...
Rare sparks1093 Posted August 13, 2016 #10 Share Posted August 13, 2016 Del Rio has said from day one that he wants NCL to get away from discounting in order to fill ships, that's why he offers tons of perks to entice people to book. Link to comment Share on other sites More sharing options...
casofilia Posted August 13, 2016 #11 Share Posted August 13, 2016 I'm expecting a lot of flaming on this BUT!! In New Zealand we have the principle of "User Pays". I am all in favour of cruising with the same principle. Pay for the cruise, and that includes 3 meals a day in MDRs and all day in the buffet and other free restaurants and nothing else, as one price. Then pay for everything else on a "user pays" principle as we do now, when we don't have the various perks, for specialty dining, for shorex, for alcohol, for the spa. Link to comment Share on other sites More sharing options...
sfaaa Posted August 13, 2016 #12 Share Posted August 13, 2016 I'm expecting a lot of flaming on this BUT!! In New Zealand we have the principle of "User Pays". I am all in favour of cruising with the same principle. Pay for the cruise, and that includes 3 meals a day in MDRs and all day in the buffet and other free restaurants and nothing else, as one price. Then pay for everything else on a "user pays" principle as we do now, when we don't have the various perks, for specialty dining, for shorex, for alcohol, for the spa. Nothing wrong with this at all. It's similar to the Carnival business model and it works very well for them. NCL just wants to try a different route. Link to comment Share on other sites More sharing options...
david_sobe Posted August 13, 2016 #13 Share Posted August 13, 2016 Consider this... the inflated prices are paying for the empty cabins. The point is they don't want people waiting until 1 week before sailing to book. BINGO DING DING DING We have a winner! Link to comment Share on other sites More sharing options...
jingle5616 Posted August 14, 2016 #14 Share Posted August 14, 2016 Although NCL has had a good booking summer, they have dumped cabins this spring and summer. Right now you can book NCL Escape for $399 interior GTX for August. Andy and Franky might not like dumping cabins, but they do. You just have to watch and move swiftly when they do. Link to comment Share on other sites More sharing options...
Zippeedee Posted August 14, 2016 #15 Share Posted August 14, 2016 I received email today from two different online booking sites offering extra OBC and cash back for either the Dawn or the Breakaway, plus all the extras. They have not cut the single supplement so it doesn't work for me. There were tons of cabins to choose from over the next few weeks. Link to comment Share on other sites More sharing options...
Fido Chuckwagon Posted August 14, 2016 #16 Share Posted August 14, 2016 This is exactly why the stock price tanked since the beginning of the year and especially after last week's conference call on second quarter financials. The good news for cruisers is that after the abysmal stock and profit performances lately it's likely that Frank Del Fee-oh and Andy Stuart will be shown the door by the Board some time soon. Hopefully the new CEO will have a philosophy more like Kevin Sheehan's and can repair all the damage to the brand that has been done by these two clowns. I say this as both a cruiser of NCL and a stockholder. Link to comment Share on other sites More sharing options...
lettienets Posted August 14, 2016 #17 Share Posted August 14, 2016 The good news for cruisers is that after the abysmal stock and profit performances lately it's likely that Frank Del Fee-oh and Andy Stuart will be shown the door by the Board some time soon. Hopefully the new CEO will have a philosophy more like Kevin Sheehan's and can repair all the damage to the brand that has been done by these two clowns. I say this as both a cruiser of NCL and a stockholder. Like Sent from my BLU STUDIO 6.0 HD using Tapatalk Link to comment Share on other sites More sharing options...
luvtheships Posted August 14, 2016 #18 Share Posted August 14, 2016 I forget what the percent is of cabins left open on any of the ships. Sometimes there is a need to move people from one cabin to another for major maintenance issues, or needing rooms if they have to rescue people- stranded boaters, people from Cuba, needing space to isolate either passengers or staff. Stranded boaters are not housed with pax. They are kept isolated Think about it as its a major safety issue Link to comment Share on other sites More sharing options...
FSNA5861 Posted August 14, 2016 #19 Share Posted August 14, 2016 I'm expecting a lot of flaming on this BUT!! In New Zealand we have the principle of "User Pays". I am all in favour of cruising with the same principle. Pay for the cruise, and that includes 3 meals a day in MDRs and all day in the buffet and other free restaurants and nothing else, as one price. Then pay for everything else on a "user pays" principle as we do now, when we don't have the various perks, for specialty dining, for shorex, for alcohol, for the spa. I agree with your opinion. When we started cruising in 2012, it was exactly as you described it. The rates were affordable then. It definitely was a "users pay" for drinks, specialty restaurants and the like. The Free at Sea promotions , although appealing to many, have resulted in major price increases wich makes it not so affordable for young families and retirees. Link to comment Share on other sites More sharing options...
HowardK Posted August 14, 2016 #20 Share Posted August 14, 2016 How long until this has a continued adverse effect? Will mid-September to October off season bookings have price drops or will they do more upsells for damage control? Pretty soon Andre Champegne (2016) will be considered premium despite the fact it is $2.99 in real life. Link to comment Share on other sites More sharing options...
Rare mking8288 Posted August 14, 2016 #21 Share Posted August 14, 2016 Well, as long as stockholders & Wall Street sounding happy with the financial projections vs. actual results, already mid-point into Q3 ... they know the internal numbers already - football is in the field and the goal posts are marked. Furlough the back office operations, trim the onboard crew headcounts, and do more chartering ... send & keep more ships in Asia, etc. They got options ... wait, isn't Cuba on the radar. :p Link to comment Share on other sites More sharing options...
boatseller Posted August 14, 2016 #22 Share Posted August 14, 2016 It's because the load factor of a ship or airplane is really a very small consideration in the revenue model of a cruise line or airline. That 'full' equals profit is a common misconception. NCL would be perfectly happy dispatching a ship with sold out Haven and Balconies at their target prices (notice this what the promos are based on), and an empty inside. Similarly, airlines don't put a value on a seat, usually a flight number. While they don't want empty seats to go out, there are many instances where a flight makes more money selling fewer, higher priced tickets. Just like it's also ok if the Wednesday flight "looses" money so long as the Thursday flight makes money. Link to comment Share on other sites More sharing options...
biker@sea Posted August 14, 2016 #23 Share Posted August 14, 2016 Del Rio has said from day one that he wants NCL to get away from discounting in order to fill ships, that's why he offers tons of perks to entice people to book. Alienating a segment of cliental is probable not the smartest thing he has done. All it will take is a few Hurricanes, and some noro and more Zika and he will be begging for last minute discount cruisers to fill cabin's. . Link to comment Share on other sites More sharing options...
Rare babs135 Posted August 14, 2016 #24 Share Posted August 14, 2016 http://boards.cruisecritic.com/showthread.php?t=2389306 Read the thread What is CAS? Seen this mentioned quite a bit. Link to comment Share on other sites More sharing options...
Rare mking8288 Posted August 14, 2016 #25 Share Posted August 14, 2016 (edited) Airlines don't need to fly full, that's true but U.S. based carriers are typically at 90%+ capacity. But, they also carry below the belly - cargo and freights make money, at a premium ... like fresh New England/Atlantic/Canadian cold water lobsters out of BOS to PEK on non-stops. Airlines can substitute, instead of cancelling flights, equipment or aircrafts, switching out a B747 to a B777 or from A320 to a CRJ900 if warranted, and, keep their top flyers happy - doing a combo of upgrades, compensations & mileage points for goodwill. ;) Does NCL want to get into cargo business & transport goods on a TA - like JAL or Air China - I am sure if the prices are competitive, prospective customers would consider - and, container boxes as cargo do not complain at all. :eek: That's revenue too. The China market is very unique - they might just find ships less than full when it is NOT sailing on one of the mainland's national holidays when some families are working & kids are schooling. Edited August 14, 2016 by mking8288 Link to comment Share on other sites More sharing options...
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