Why is business on Celebrity off?
#1
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Why is business on Celebrity off?
I'm assuming business is off because they seem to be offering the biggest discounts and lowest prices, especially for a cruiseline that considers itself "upscale".<BR><BR>Here's what I think, I think they are turning people off with their dress codes and their "no liquor" brought on board policies, plus the fact that they close their pools early and despite advertising themselves as a family cruiseline, don't allow children under 3 in the playrooms even if their parents are with them to watch (yet they still charge the kids full fare). They also are short high chairs for the kids.<BR><BR>Doesn't seem like they are addressing customer service issues very well. I've learned sooooo much from cruisecritic.com, mainly that Celebrity has a way to go to improve customer service!
#4
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I don't understand why Celebrity so prominetly (and intentionally, by the way), features children and babies in their new advertising campaign yet doesn't treat them as well as the other lines once they are onboard.<BR><BR>I've read several complaints about the kids programs, shortage of high chairs and cribs, etc. What's up with THAT?<BR><BR>They should make up their minds. Either market to families and then go all out to do a good job of it, or decide to gear themselves to adults only.
#5
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Whatdo--you are as wrong as could be when you say,"Here's what I think, I think they are turning people off with their dress codes and their "no liquor" brought on board policies,..." etc.<BR><BR>A few months ago, this issue came to the board, and all the know-it-alls questioned the published data that RCI [parent of Celebrity] cash on hand was declining due to increased costs of ships. Nothing to do with customer satisfaction.<BR><BR>There is no indication that bookings are off. RCI needs cash to pay bills, and all they have to sell is future beds.<BR><BR>Now we'll hear from Peter who will ask where the cash flow data for Celebrity comes from as it is wholly owned by RCI, and not shown seperately in 10K filings. Using income from one operating division and applying it elsewhere is called "getting the money from where you can find it." Just like transferring one credit card balance to another.<BR><BR>Happy--do you really mean "Now if we could get rid of the smokers---oh, yes!" Do you dislike Celebrity so much you want it to go the way of Renaissance?
#7
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I disagree. The dress codes and not bending over backwards to imitate Disney's cruise line has kept the white trash element relatively low on Celebrity's cruises. There's a market out there for something other than Carnival. They might actually get more revenue if they'd raise prices and go back after the market they've traditionally served.
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#8
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Your comments address shipboard activities and not financial considerations. As I read the economics of RCI, the issue is money...or to be more precise, the lack of adequate cash reserves.<BR><BR>RCI participates in the mass-market cruise business with Royal Caribbean Lines. Fares in the mass-market segment have reached a point where there is little place for them to go. The surplus of beds in the mass-market category has driven prices to the point that little is left between operating costs and revenues.<BR><BR>Obviously, someone at RCI concluded there was greater elasticity in the pricing of Celebrity and a more competitive price would attract passengers.<BR><BR>It's something like Harley and Earl. In Michigan, they bought a bale of hay for a dollar, hauled it to Texas and sold it for a dollar. Harley's way of making money was they needed a bigger truck.<BR>
#9
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RCCL is not doing well at all. They keep delaying the building contracts on their two new ships. I have a strange feeling they will cancel the contract altogether. The money lost will be nowhere near their loss if they build and launch them. <BR><BR>Due to the popularity of the Carnival Spirit Class ships that line will not be building any more mega liners after the Valor. They are going back to the Spirit Class.<BR><BR>Paul
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