Royal Caribbean Sees Continued Increase of Onboard Spend

Harmony of the Seas

Onboard spend is driving strong revenue performance for Royal Caribbean Group, the company announced during its second quarter earnings call.

“So the incredible yield growth is driven by strength in pricing and onboard spend for both new and like-for-like hardware. While it’s still too early to provide any specific color for next year’s outlook, clearly, the very healthy demand environment we are seeing is quite encouraging,” said Chief Executive Officer Jason Liberty.

“Our customers remain engaged and eager to vacation and build memories with us as they continue to shift preferences towards experiences over goods.”

The company reported that over the last few months, “experience spend” was up 25 percent compared to 2019 with double that spent on goods.

Even with increased pricing, “we’re not really seeing that point where price is impacting our demand,” continued Liberty.

Liberty revealed that the main driver of that has been the company’s ability to be much more effective curating the process for its customers to book their activities on the ship.

“Our ultimate goal here is to try to give a day back to our guests to come on our ships and instead of them having to spend a day booking their restaurants and booking their spa appointments and more, they’re able to do that ahead of time,” Liberty concluded.

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