
THE EFFECTS OF THE CREDIT CRUNCH
Some of the deals promoted over the past year seemed too good to be true – and probably were. Here’s how to spot the likely trends over the next year and to pinpoint bargains that don’t embellish the truth...
Promotions, bargains, unprecedented discounts – you see them everywhere, on cruise and travel websites, in national and local newspapers, and emblazoned across travel agency windows. Cruise lines have used all their marketing skills to keep ships full. As a result, it really has been a buyer’s market, an economic echo of what happened after 9/11, and good news for those fortunate enough to have a vacation budget.
During the early days of the credit crunch, cruise lines made changes, creating shorter itineraries to keep fuel bills down. Booking deposits were sometimes halved, and more incentives offered to attract fixed bookings. Insurance was introduced to provide full cash refunds to those who had to cancel because they lost their job before taking a cruise they’d booked.
Cost-conscious cruising
By the time you read this, cruise prices will probably have bottomed out, and should start rising to more sensible levels in 2010. Cruise lines with large fleets have sent their older tonnage off to distant waters to earn money in a currency that may have more value than their own, and concentrate their efforts on filling the newest tonnage at higher prices. Bright agents, therefore, will advise customers to book sooner rather than later in order to get a better choice of sailings and cabins – particularly at times of peak demand, such as the in the summer or at holiday times like Easter, Christmas and New Year.
Cruise lines in the “luxury” and “premium” market segments seek the baby boomers, who typically have more money to spend on vacations and who like new ships, so the demand will continue. Although bargains exist, read the small print. A highly discounted fare may apply only to certain dates and itineraries – for example, the eastern Caribbean instead of the more popular western Caribbean. They may be subject to a booking deadline or, typically, are “cruise-only,” which means you must book your own air transportation separately. This can prove expensive (to Alaska or Europe, for example). If air transportation is included, deviations may not be possible. Your cabin choice, grade and location may not be available. You could be limited to first seating at dinner (aboard a ship that operates two seatings), and some highly discounted fares may not apply to children.
How low can fares go?
Early in 2009, Carnival Cruise Lines offered their “absolute lowest rate.” These cut the cost of three days in the Bahamas from $259 to $179, four days in the Caribbean from $279 to $199, seven days in the Caribbean from $579 to $399, and five days to Mexico from $359 to $249. That’s less than $60 a day for a 3-day cruise, and less than $50 a day for a 4-day cruise – you’d pay about the same price as a motel room in the USA, without food, entertainment, or a library.
How can cruise lines offer such low rates?
Only because they hope you’ll spend plenty on board, and come back for more. And beware low fares in general – they may not include port charges, handling fees, fuel surcharges or other taxes. As with low-cost airlines, it’s add-ons such as government taxes and perhaps a non-refundable processing fee that take the glow off an apparent give-away price. The cruise lines have taken their cue from outfits such as the UK’s Ryanair, which charges extra for making a reservation (handling charge), airport check-in, checked baggage, priority boarding, carry-on duty-free items, carrying sports equipment, and changing a flight. It has even proposed charging to use the toilet. There are so many potential extra charges, in fact, that it’s probably cheaper to book a scheduled airline. Yet even some scheduled carriers are getting in on the act, charging economy passengers, for example, $7 for a pillow and blanket (US Air) or $40 to check two bags (American Airlines).
What about new ships?
While not immune from a global economic downturn, the cruise industry has stood up relatively well. One reason is that it plans ahead, as shown by the number of new ships on order through 2012. Cruise lines delayed the delivery of only a few ships, which is good compared to the cargo and container shipping industry, where some companies delayed multi-ship orders to save money and improve cash flow.
How to get the best deal
1. Find a travel agency that specializes in cruises – they’ll be bonded if they belong to the UK’s Passenger Shipping Association. A good agent will get you the best price, as well as get you upgrades and other benefits you won’t be able to get on your own.
2. Big travel agency groups and consortiums often reserve large blocks of cabins, and smaller independent agencies can access extensive discounts not available on the internet. Because the cruise lines consider travel agents as their principal distribution system, they provide special discounts and value added amenities that are not provided to internet sites.
3. Booking late may get you cheaper prices, perhaps due to cancellations, but you won’t get a choice of cabins and locations, so you could end up with a tiny cupboard above the galley. Better to book well ahead and choose your cabin and location.
4. If you’re on a tight budget, a number of ships feature drinks-inclusive pricing – this can save you a bundle in extra onboard costs and is particularly good for families with children.
5. Savvy passengers join frequent passenger clubs to get maximum benefits. These offer additional perks (onboard credit, free wi-fi service, private cocktail parties), and further discounts for booking your next cruise while on board (at prices not available on the internet).
6. Check to make sure that all port charges, government fees, and any fuel surcharges are included in an advertized price quote.
7. If you find a highly discounted cruise rate on the internet, fine. But, if a cruise line suddenly offers special discounts for your sailing, or cabin upgrades, or things go wrong with your booking, your internet booking service may prove quite unfriendly (many are not licensed or bonded). Your specialist travel agent, however, can probably work magic in making those special discounts and upgrades work for you – and travel agents do not charge for their service.
8. …and a deal to avoid: Don’t fall for one of those typically automated telemarketing scams (mainly operated in the USA) which tell you “Congratulations! You’ve “won free 2-night cruise” or, “If you just answer our 10-question survey we’ll send you two boarding passes for a 2-night Bahamas cruise”. These are scams – nothing more – and are not connected to genuine cruise lines. Don’t even think about giving your credit card details “for port taxes”.
A floating playground
The latest “largest ever” cruise ship arrived in 2009. At 220,000 tons, 1,181 ft (360 meters) long, 16 passenger decks high, and carrying up to 6,400 passengers, Royal Caribbean International’s Oasis of the Seas is innovative and exciting – which means it is not quiet and relaxing.
Being aboard such a floating playground can be like being in a large shopping mall, which does please some people. But waiting for an elevator can be frustrating. Certainly, you have to hope that 5,000 people don’t all decide to order an omelet, call room service, or go to the nearest beach at the same time. Disembarkation could be like getting out of a sports stadium at the end of a big game. After which, of course, you’ll need to locate your luggage.
Mid-size ships have benefitted from the introduction of so many large resort ships because more and more experienced cruisegoers now downsize in order to avoid the big ships’ sanitized cruise experience and long lines. Indeed, customization and personalization is a notable trend.
In 2010, 40 ships over 100,000 tons are in service and around 30 new ships are scheduled for delivery between January 2010 and December 2012, fueled by the optimism of cruise companies and the desire to have the latest fuel-efficient ships with more facilities. But orders have slowed down because, while most cruise lines earn their money in US dollars, ships are built in Europe, where the relatively weak dollar buys fewer euros than it once did.
Is cruising still good value?
It’s never been better, thanks in part because the economic downturn forced cruise lines to offer more incentives – such as onboard credit, cabin upgrades, and other perks – in an effort to keep their companies afloat. The price of your vacation is protected by advance pricing, so you know before you go that your major outgoings have already been set. A fuel surcharge is the only additional cost that may change at the last minute, although new laws in Australia and the European Union require all add-on port charges, charged gratuities, taxes and fuel surcharges to be included in the advertised price (“Single Figure Advertising”).
How do I get the best price?
Read the newspapers and check on the internet. But, to get the best deals, go to an agency that specializes in cruises – they will have access to deals and upgrades not available anywhere else.
The latest trends
* More large resort ships, charging for “extras.”
* More multi-generational cruising aboard the large resort ships.
* An increase in single-parent cruising.
* More child-free ships for those who have matured beyond noise and games.
* Small ship cruising (for those seeking to avoid large resort ships and crowds).
* More themed dining venues.
* More sophisticated spas and well-being treatment options.
* More “healthy eating” and “spa” menu choices.
* An increasing variety of active adventures ashore.
* Greater demand for smoking-free ships.
* More demand for longer cruises.
* More demand for short “getaway” cruises.
More exclusivity
Gated communities at sea have made an appearance. These areas are accessible only to those willing to pay a premium to “live” in one of the larger suites, and gain access to “private” facilities, concierge lounges, and private sunbathing areas. Ships that have them: MSC Fantasia, MSC Splendida, Norwegian Epic, Norwegian Gem, Norwegian Jade, Norwegian Pearl.
So two-class cruising (in some cases, three-class cruising) is back. What’s to come: more private alcove sunbathing space, reserved spaces in showlounges, tailor-made excursions, and more. While the ships have grown larger, the facilities available to all have shrunk, as has the open deck space that has become a “private” sanctuary area. But the elite will still have to mingle with the masses when they go through security.
The growth of shopping malls
Onboard “enhancement” items – such as luggage and tote bags, bed linen, personal amenities, wooden deck lounge (steamer) chairs, coffee tables and chairs, ship posters, cruise line memorabilia and collectibles, wine glasses, chocolate, flowers, and even mattresses – can now be purchased online from the major cruise lines (examples: www.carnivalcomfortbed.com; www.shop- hollandamerica.com). But such online shopping only works if you have a US address and credit card.
Dining and service
“Alternative” restaurants are fashionable, particularly aboard the large resort ships, and are ideal for escaping from huge dining halls full of noise and singing, table-dancing waiters. These are typically à la carte restaurants where you must make a reservation, and pay to dine in small, intimate places with superior food cooked à la minute, good wines and service, and a less frenetic ambiance. But a couple each having two glasses of palatable wine could, with the cover charge, easily end up paying $100 for dinner.
Cruise lines stuck with traditional two-seating dining are looking for ways to be more flexible (without placing an extra burden on the staff). More ships offer flexible dining and 24-hour casual (get-your-own food) eateries, so you can eat or snack when you want. Although the concept is good, the delivery often is not; it is typically self-service eating, and not the dining and service experience most passengers envisage.
The best and worst U.S. homeland ports
There’s no reason why ports should be any more immune from terrorist attacks than airports, but the need for sensible safety measures has been taken to extremes by overenthusiastic security personnel at some United States and Canadian ports. After many complaints, the Maritime Evaluations Group has built a picture of ports based on their user-friendliness and sense of hospitality.
As a benchmark for evaluating them, the terminal facilities, luggage handling, user-friendliness and hospitality factor of personnel at the Port of Yokohama in Japan score an impressive 94 out of a possible 100. The comparison with the typical experience in US homeland ports is telling.
Coping with the giants
Much work is going on at two of the (US) South Florida ports, particularly at Port Everglades (Fort Lauderdale) and Miami, where the port authorities have built terminals for the new large resort ships such as Royal Caribbean International's Oasis-class ships (Fort Lauderdale) and Norwegian Cruise Lines’ Norwegian Epic (Miami).
Some other, smaller ports, such as Baltimore, have been busy upgrading their facilities in order to attract more cruise ship business – hence an increased score for the current edition of this book.
New York’s Brooklyn Cruise Terminal was brightened up in 2008 by the addition of a 24ft by 9ft mural. It originally graced the Longshoremen’s Medical Center in Cobble Hill, Brooklyn, and was saved when the building was demolished. It was reinstalled in the cruise terminal due largely to the efforts of members of ILA Local 1814.
What the berth marks mean
In allocating points, we took account of the following factors: terminals and appearance and cleanliness, security personnel, attitude, check-in, security control, luggage handling by porters (often seeking tips), ease of disembarkation, immigration and customs, security personnel, luggage storage and identification system, porters, and ease of access to transportation and car parks.
FACILITIES RATED OUT OF 100
Port and Total
Baltimore 63
Boston 52
Cape Liberty, Bayonne, New Jersey 57
Charleston 53
Fort Lauderdale (Port Everglades 45
Galveston 45
Gulfport 44
Honolulu 54
Houston 52
Jacksonville 44
Los Angeles (Long Beach) 48
Los Angeles (San Pedro) 52
Miami 42
Montreal 53
New Orleans 50
New York (Brooklyn) 81
New York (Manhattan) 64
Norfolk 52
Philadelphia 49
Port Canaveral 54
St. Thomas 51
San Diego 55
San Francisco 49
San Juan 46
Seattle 59
Tampa 53
Vancouver 72
WHAT COULD BE IMPROVED?
It’s not all perfect. Here are some aspects of cruising in 2010 that the brochures certainly won’t mention.
* Large resort ships travel by night and are in port during the day, but provide little connection to nature and the sea, the ship being the destination (small town takes to water). Increasingly, the idea is to keep you inside the ship, spending money.
* Entertainment, whether production shows or cabaret acts, are much the same aboard nearly every large resort ship and lack originality.
* Aggressive, young, so-called “cruise directors” who insist on interposing themselves into every part of your cruise, day and night, military-style through the public address system. Some of these cruise directors may make good cheerleaders, but seem unable to communicate with anyone over 25.
* As identically sized standard cabins are the same shape and layout (good for incentive planners and groups, not for individual passengers), they are also the same colors: eggshell white, off-white, or computer-colored beige. While these are welcome soft colors after days in the sun, they are boring on voyages over long stretches of water. Only bold bedspreads or the occasional color prints that adorn a spare wall bring relief. Plain ceilings are also tedious. Close to useless are wall-mounted hairdryers in modular bathrooms; they should, instead, be located in the vanity desk or dressing area.
* Calling passengers “guests” is now widespread . But ships are different from hotels, and should remain so. They provide a nautical experience and move through water; passengers have cabins and suites, and decks, not floors. However, many cruise lines think they are in the hotel business – that’s because hoteliers, ex-airline people, accountants and equity investors run them, not shipping people.
* The meet and greet staff at airports in general are the weakest link in the chain.
* Two things that have almost disappeared: streamers and free champagne, formerly provided at bon voyage parties on deck on sailing day (exception: world cruises and Japanese-registered cruise ships). Instead, waiters hustle you to buy a “bon voyage” cocktail, or some “Bahamaramamaslammer” in a plastic or polystyrene sports cup. The little goodies, such as travel bags, and extensive personal amenity kits, have been taken away by the bean counters, believing that passengers won’t notice. Believe me, they do.
* As for food, note that ships that offer seven-day cruises may repeat menu cycles each week. You can take two, back-to-back 7-day Eastern and Western Caribbean cruises, but the menu may be repeated for the second week. The same goes for the whole entertainment program and the cruise director’s robotic spiel.
* Cruise ship food and service standards have suffered as a result of deep discounting. Most large resort ships don’t consistently live up to the brochure descriptions.
* One thing that should go into deep waters is the intrusive “Baked Alaska Parade.” Popular with first-time passengers, it is old hat for many. The industry should also find a better way to sing “Happy Birthday” than a waiter-induced chant that usually sounds like a funeral dirge.
* In the standard seven-day cruise market, particularly from US ports, disembarkation is mostly an untidy and hostile process. Passengers are unceremoniously dumped ashore, with little help after the trying procedures of locating their luggage and going through customs inspection. The same procedure applies to all passengers, even if they’ve paid for the finest penthouse suite.
Berlitz Guide © Apa Publishing 2010