Everyone wants a cheaper cruise, but I offer an alternative

[travel guy]

Yes I want a lower price too. But how far do we drive down prices before the product suffers? I have always thought about this but I was reminded of the topic as I watched the CNBC feature on the cruise industry.

 

A great example is the airline industry. It has become a commodity product with little, if any, service. We just want the lowest airfare to get from point A to point B.

 

So should cruise lines drive down costs for a cabin, but then go ala carte with everything on board? This has happened to a certain degree already. But I would not like to see it advance anymore! If cabin prices go lower then the cruise lines need to create more profit centers onboard the ship to make a profit. And as we all know if there is no profit then there will be no cruise ship.

 

In my opinion there is a point of no return with lower prices and the quality of the product delivered. I believe Celebrity has done a decent job balancing these market pressures with business survival necessities.

[velotaco]

Yes I want a lower price too. But how far do we drive down prices before the product suffers? I have always thought about this but I was reminded of the topic as I watched the CNBC feature on the cruise industry.

 

A great example is the airline industry. It has become a commodity product with little, if any, service. We just want the lowest airfare to get from point A to point B.

 

So should cruise lines drive down costs for a cabin, but then go ala carte with everything on board? This has happened to a certain degree already. But I would not like to see it advance anymore! If cabin prices go lower then the cruise lines need to create more profit centers onboard the ship to make a profit. And as we all know if there is no profit then there will be no cruise ship.

 

In my opinion there is a point of no return with lower prices and the quality of the product delivered. I believe Celebrity has done a decent job balancing these market pressures with business survival necessities.

 

Going ala carte may not be such a bad thing. Depends on what your cruise expectations are and what is important to enhance your personal experience. Let those who use the service pay for the service. It could be a viable business model. I would consider this depending on the price discount of a “no frills” cruise.

A cruise ship can be viewed as a floating hotel where you wake up every morning in a new port. It’s simply a conveyance. I’ve been on ten cruises in ten years without ever having been in the same port twice. For me, it’s all about the ports and exploring a new corner of the Earth each day. I probably eat more meals off the ship than on the ship. I never miss a dinner in the MDR or a specialty restaurant if I’m back on board in time, but lunch, and usually breakfast, is taken off-board. So paying as I go wouldn’t be such a bad thing.

I very rarely use any of the other ships amenities, except for the gym on sea days. The rest of the time at sea I spend reading or doing crossword puzzles. I don’t go to the shows (maybe a lecture where I can learn something), use the spa, do any of the “games”, gamble or spend the day drinking (of course some of these are already pay-as-you go).

I keep our room neat and organized, so I could forgo a majority of cabin service as well.

That being said, I do enjoy full service and it would have to be one heck of a discount from me to go that route. I like paying one price for everything and not having to worry about extra expenses.

[Addict]

This product already exists - it's called "Easy Cruise" and cruises the Med and Greek Isles.

 

But it really is a basic product from what I have heard - you pay for many extras including cabin service. And actually they are not that cheap compared to the much better experience you get on Celebrity for just a little more.

[cvaty]

They may focus on what is the more profitable aspekt!

[choochoocruiser]

Yes I want a lower price too. But how far do we drive down prices before the product suffers? I have always thought about this but I was reminded of the topic as I watched the CNBC feature on the cruise industry.

 

A great example is the airline industry. It has become a commodity product with little, if any, service. We just want the lowest airfare to get from point A to point B.

 

So should cruise lines drive down costs for a cabin, but then go ala carte with everything on board? This has happened to a certain degree already. But I would not like to see it advance anymore! If cabin prices go lower then the cruise lines need to create more profit centers onboard the ship to make a profit. And as we all know if there is no profit then there will be no cruise ship.

 

In my opinion there is a point of no return with lower prices and the quality of the product delivered. I believe Celebrity has done a decent job balancing these market pressures with business survival necessities.

 

I couldn't agree with you more. I find cruising to be an excellent value as it is right know. To start charging for all of the extras which are now included in the price would lessen the experience for me.

[cvaty]

I couldn't agree with you more. I find cruising to be an excellent value as it is right know. To start charging for all of the extras which are now included in the price would lessen the experience for me.

The thing they could do is to see if some vodka sort does bring more profit than the other one for example, to concentrate on this.

 

Which route are more appreciated then others by the passengers and supply them.

[cruisemuse13]

One of the reasons I enjoy cruising is that the price already covers food, entertainment, and good service. I enjoy going to dinner and ordering the seafood that I want, and not feeling like I should order the chicken because it is cheaper. Or having to decide between salad or dessert, but not both.

Also for the entertainment, I would never pay to go see an entertainer I did not know, but I enjoy going to the shows. And if the juggler is cheesy, that is OK beause he is part of the package.

And if i wanted to look after my own cabin, I would rent a cottage at the beach for a week instead.

 

So I agree with the OP. I want a good price, but I also want the cruise experience and will pay for it. I like knowing When I book the trip how much it is going to cost me, and I can monitor my own on board expenditures.

 

The airlines are a good example. I remember when flights were part of the adventure and not just transportation. You dressed nice for the plane; family walked you to the gate; and you always got food, even free wine if flying overseas. ah, the good old days

[lysolqn]

"Everyone wants a cheaper cruise, but I offer an alternative"

 

Travel Guy, your title caught my attention. I read your post several times in search of the "alternative" you promised but unfortunately, you don't offer one. Your post accurately identifies a problem the cruise industry has been grappling with for years as prices have continued to drop; however, other than noting that at some point lowering prices begins to affect the integrity of the product (something no one wishes to see happen), you disappointingly offer no alternative. Suggesting prices not be lowered, especially in the current economic climate, does nothing to put warm bodies in the ever-increasing number of berths needed to be filled weekly. The industry is in a Catch-22 situation - if it keeps prices high enough to maintain the integrity of the product, there will be fewer people cruising, and empty ships don't make money.

[The_Big_M]

But it really is a basic product from what I have heard - you pay for many extras including cabin service. And actually they are not that cheap compared to the much better experience you get on Celebrity for just a little more.

 

That's not surprising. There are cost savings from doing everything in bulk, whereas trying to do things individually increases the individual cost, due to the extra administration required to determine pricing, have accounting and billing facilities to handle it and so on. Plus the ship still has to provide fixed cost staffing and facilities if they offer that service, even if only a few people use it.

 

Say they offered the gym but only 10% wanted to use it on a paid model. They'd either have to fully charge the cost of it to the 10% - which would likely reduce the usage even further as people considered that full charge a rip-off, or spread it around the existing passengers with a partial contribution for fixed costs, and a charge to cover variable costs from those who use it which is the likely approach. Thus, the overall price is not reduced as much as it still needs to be partially paid for in the regular ticket cost, even though you still need to pay extra if you want to use it.

[RodPat]

This sounds like sell the razors at a loss and make it up on the blades. May work for a company like Gillette but I don't think it would work on board a Celebrity ship.

 

Pat

[lysolqn]

This sounds like sell the razors at a loss and make it up on the blades. May work for a company like Gillette but I don't think it would work on board a Celebrity ship.

 

Pat

 

Or sell at a loss but make it up in volume.

[Addict]

Or sell at a loss but make it up in volume.

 

As far as I know, if you sell at a loss, the higher the volume, the more you lose?

 

Or did I miss something?

[lysolqn]

As far as I know, if you sell at a loss, the higher the volume, the more you lose?

 

Or did I miss something?

 

No, you didn't miss anything. It's the punchline to an old joke - Two men meet. One asks the other how business is. He replies, "Business is great; I just slashed prices in half." The first responds, "You slashed prices in half? Aren't you selling at a loss?" The second answers, "Yes, but I'm making it up in volume!"

[RodPat]

My husband is in business for himself. Sometimes he gives away a bin but makes his money filling all the holes in the bin with stuff he sells. Sometimes you must give something away to make people want to go with you. But as with a cruise line, they make it up on photos, drinks, spa treatments, specialty restaurants and everything else they charge for. So if you don't make much on the first monies collected, you will more than likely make it up on the extras. That is exactly how Gillette sells its razors. The razor is cheap and comes with 2 blades. Then you go out to get more blades and it cost twice as much as the razor. Then you do it over and over again. That is how you make a profit.

 

Pat

[Addict]

No, you didn't miss anything. It's the punchline to an old joke - Two men meet. One asks the other how business is. He replies, "Business is great; I just slashed prices in half." The first responds, "You slashed prices in half? Aren't you selling at a loss?" The second answers, "Yes, but I'm making it up in volume!"

 

 

LOL - never heard that one before. I look at everything too literally;)

[hcat]

Cute joke!

 

I am not in favor of no frills or a la carte cruising. There has to be a minimum component to the overall experience that all cruisers share, such as there is now...

 

As it is, there are many choices where you can spend extra money to personalize your cruise--spa, specialty restaurant, shopping.. & options to avoid uniform dress suggestions... That's about as far as I hope it goes.

 

I am also 100% the extra charge for a better steak in the MDR on Royal C--that's just tacky!

[Prada Cowboy]

A crusie ship was always there to pamper its guests...with the redicolous cheap fares who are already in excist the so wonderful once cruise experience suffers badly! It is for me the 1st time in 19 years that I am not booked on any kind of cruise and I normally did 5-8 a year. The food and service declined so much that it is not worth it for us to spend a lot of $$$ (we sail in suites) for a not good vacation anymore. Then again why should I pay over $10K for just my Suite and get the same horrible service and food as the guests who paid $350 for the week, because they need to fill the ships. There is nothing premium about big ships anymore!

 

We considered the smaller Yachts and so on, but would miss the entertainment and actually there is a huge decline to be seen as well.

 

Will test again next year in March and just hope for the best!

[WineDown17]

The cruise lines are also to blame by arguably building too many new boats- excess capacity vs demand.... prices go down.. maybe too low to sustain quality. A slippery slope.

 

I feel I am already paying for extra service by always purchasing a suite... but that extra service goes away when I leave my room.. so there definitely needs to be a balance... The differential between the service levels cant be too extreme.

 

Perhaps the balance cant be within a line.. but rather each line goes back to truly differentiating itself.. as it cant really be done at the passenger level effectively...but again, this can only happen when supply does not trump demand....

 

I love cruising and will choose the line that provides the highest value for the experience level I seek.. and as my values may differ from others, choice for all will be paramount.

 

My 2 cents...

[sunlovermtl]

A crusie ship was always there to pamper its guests...with the redicolous cheap fares who are already in excist the so wonderful once cruise experience suffers badly! It is for me the 1st time in 19 years that I am not booked on any kind of cruise and I normally did 5-8 a year. The food and service declined so much that it is not worth it for us to spend a lot of $$$ (we sail in suites) for a not good vacation anymore. Then again why should I pay over $10K for just my Suite and get the same horrible service and food as the guests who paid $350 for the week, because they need to fill the ships. There is nothing premium about big ships anymore!

 

We considered the smaller Yachts and so on, but would miss the entertainment and actually there is a huge decline to be seen as well.

 

Will test again next year in March and just hope for the best!

 

Hello you should look at the Celebrity Summit April 18th sailing from San Juan to Barcelona. The prices for suites are amazing and they have joined forces with Bonapetit so the menus are greatly improved. To boot they have a Celebrity New York chef on that sailing.

[WineDown17]

Hello you should look at the Celebrity Summit April 18th sailing from San Juan to Barcelona. The prices for suites are amazing and they have joined forces with Bonapetit so the menus are greatly improved. To boot they have a Celebrity New York chef on that sailing.

 

Suites became dirt cheap for the 5/10 sailing as well..

 

but tell me more about the Bon Appetit thing- is it just for that sailing???

[GXmanDC]

My husband is in business for himself. Sometimes he gives away a bin but makes his money filling all the holes in the bin with stuff he sells. Sometimes you must give something away to make people want to go with you. But as with a cruise line, they make it up on photos, drinks, spa treatments, specialty restaurants and everything else they charge for. So if you don't make much on the first monies collected, you will more than likely make it up on the extras. That is exactly how Gillette sells its razors. The razor is cheap and comes with 2 blades. Then you go out to get more blades and it cost twice as much as the razor. Then you do it over and over again. That is how you make a profit.

Pat

 

Ideally the cruise lines would make it up with the on board charges, but I don't think they necessarily are, at least not right now. Slashing the cabin fare means the cruise line needs to sell even more drinks, specialty meals, spa treatments, excursions, etc., than they need to sell when cabins are full price. How many people get off the ship with total bills of $200 or $300? I don't think that makes up for discounted fares.

 

That Cruise Inc show on CNBC illustrated it quite well. For the cruise they profiled, it just broke even, after you add in all the on board sales.

[travel guy]

lysolqn,

I disappointed myself too! I did not write my comment in full support of my topic. I inadvertently offered a subtle alternative, of sorts. That is to stop the dilution of the product before it becomes a commodity like an airline seat.

I do understand where the cruise lines are coming from. The more people a cruise line gets on board then the more potential purchases are made. So profit centers are born!Combine that with an increasing number of berths in the market and brutal competition then you get to what we are talking about.

 

I can only hope that Celebrity among a few others can avoid going down this path too far.

[swigso]

A crusie ship was always there to pamper its guests...with the redicolous cheap fares who are already in excist the so wonderful once cruise experience suffers badly! It is for me the 1st time in 19 years that I am not booked on any kind of cruise and I normally did 5-8 a year. The food and service declined so much that it is not worth it for us to spend a lot of $$$ (we sail in suites) for a not good vacation anymore. Then again why should I pay over $10K for just my Suite and get the same horrible service and food as the guests who paid $350 for the week, because they need to fill the ships. There is nothing premium about big ships anymore!

 

We considered the smaller Yachts and so on, but would miss the entertainment and actually there is a huge decline to be seen as well.

 

Will test again next year in March and just hope for the best!

Try Azamara or Oceana or Crystal

[lysolqn]

I feel I am already paying for extra service by always purchasing a suite... but that extra service goes away when I leave my room.. so there definitely needs to be a balance... The differential between the service levels cant be too extreme.

 

Not sure I understand why when purchasing a suite you would expect the "extra service" not to go away when you leave your room. When booking a suite the only thing that distinguishes you from other pax is that you are paying for and receiving a higher level of accommodation and the perx associated therewith - nothing more. Thus, once you leave your suite, you are entitled to the same level of service as everyone and anyone else onboard. If the differential in service you refer to causes you to suffer culture shock, you're cruising on the wrong line.

[cruisemuse13]

Not sure I understand why when purchasing a suite you would expect the "extra service" not to go away when you leave your room. When booking a suite the only thing that distinguishes you from other pax is that you are paying for and receiving a higher level of accommodation and the perx associated therewith - nothing more. Thus, once you leave your suite, you are entitled to the same level of service as everyone and anyone else onboard. If the differential in service you refer to causes you to suffer culture shock, you're cruising on the wrong line.

I agree that all on the ship in public areas should expect and receive the same level of service. Otherwise it would be a return to the 'class' system on board.