Editorial: Unwavering Energy and Passion
As we start on a new year, the cruise industry has sailed through one of the most challenging economic climates of recent times. But the large (publicly traded) companies did not only sail through 2009, they also managed to post net income, contrary to the rest of the leisure industry and many other industries and…
Caribbean: Positive Steps on Uneven Ground
Cruise Industry News has invited some of the leading cruise destinations in the Caribbean to participate in a roundtable discussion on 2010 and beyond. While bigger ships, traffic numbers and infrastructure development plans in the region look very promising, a shaky economy has reduced passenger spending and there is no shortage of challenges in the…
Company Profile: Norwegian Cruise Line: ‘Good to Great’
“Everything is working well. We are cooking,” said Kevin Sheehan, CEO of Norwegian Cruise Line. “Our revenue is up; our cost structure is much better; employee scores have improved; passenger ratings are up; and pricing is good. “We have had eight consecutive quarters of consistent earnings performance and are well positioned for 2010 and looking…
Itinerary Planning: Trends
Three itinerary trends characterize the cruise industry in 2010: capacity reduction in Alaska, increased capacity in the Caribbean and a build-up in Europe, according to Terry Thornton, senior vice president of market planning at Carnival Cruise Lines. “Cruise lines are struggling to make a profit in Alaska,” Thornton said, noting that the head tax is…
Focus: Year of the Seafarer
This has been declared the Year of the Seafarer by the IMO, and both Nautilus International and the Norwegian Seamen’s Union (NSU) said they hope that this will be more than a PR effort. “We support the Year of the Seafarer,” said Johan Oyen, director of cruise operations at the NSU and chairman of the…
Focus: Newbuild Scenarios
After breaking a two-year lull in newbuilding orders in December, at press time, Carnival Corporation and Fincantieri also announced an agreement to build two prototype ships for Princess Cruises. In addition, MSC Cruises announced that it has signed a letter of intent with STX Europe for the delivery of new ship, the Favolosa, in June…
Company Profile: Carnival Cruise Lines: Targeting Middle America
Carnival Cruise Lines is the only cruise line in the world with a clearly defined product, according to Gerry Cahill, president and CEO. “All the other lines are trying to go up-market,” he said, “and tend to blend. We are truly defined: we offer a memorable vacation experience and a great value, targeting middle-America. Our…
Marine Ops: A Sea of Challenges
The cruise industry is facing a range of challenges on the marine operations side, ranging from environmental regulations to human engineering, new technology, alternative fuels and public perception. “Today, environmental regulations are clearly a challenge,” said Eirik Nyhus, director of maritime environmental strategic issues, at Det Norske Veritas (DNV). “We are looking at the regulations…
Hotel Ops: Meeting Guest Expectations and Budget Targets
There is more pressure on the hotel department than ever before. With reduced ticket prices, the ships not only have to be mindful of spending, but have the job of making up the lost (ticket) revenue, while keeping passengers happy. “One thing we are not doing is to cheapen the product to save money, that…
Editorial: Battle of the Giants
Both Carnival Cruise Lines and Royal Caribbean International introduced new ships this past fall. Carnival introduced the newest generation of what started as its Destiny class, built by Fincantieri in 1996, going from 101,000 to 102,000, 110,000 and now 130,000 tons and raising the passenger capacity along the way from 2,600 to 3,650. Royal Caribbean,…
Canada/New England: From Metropolises to Wilderness
From New York and New Jersey to Atlantic Canada, Newfoundland and Labrador and the Saint Lawrence River, cruise traffic is on a growth course, along with infrastructure development and marketing efforts to accommodate and attract more ships and passengers. The Cruise The Saint Lawrence port and destination association wrapped up a record 2009 season with…
Mexico: Adapting to Market Forces
Mexico is still reeling from the double whammy of the swine flu outbreak last year and the economic downturn, and the country’s tourism and port officials are still gauging the effects. As 2009 wound down, Mexico’s officials were watching tourism numbers carefully. Last fall was going to mark “the beginning of a very important season…
Editorial: Get the Orders Rolling; ‘New Gets Old’
This is a time of contrasts. The industry is introducing ever more amazing ships while raising standards and the bar on product delivery. At the same time, ticket prices are dropping lower than ever due to the economic downturn. We are seeing seven-day Caribbean cruises being offered as low as $399 per person this coming…
Polar Issues Raised
The polar regions are seeing an increased push in demand for voyages and landings. With more ships and capacity appearing in these regions over the last decade, there is no shortage of issues at hands for the lines to deal with. “All of a sudden we have a situation where there is a lot of…
Oasis of the Seas: Bigger and Better
“The Oasis of the Seas will have such a dramatic impact that she will help more people understand all that cruising has to offer,” said Richard Fain, CEO and chairman of Royal Caribbean Cruises, parent company to Royal Caribbean International. “We are seeing a halo effect on the rest of our fleet,” he added. “We…