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Royal Caribbean Group promises $40 million interest free loans to support travel agents

In:
21 Dec 2020

Royal Caribbean Group announced on Monday a $40 million "Pay It Forward" program to support travel advisors hit hard by the slowdown in travel during the current global health crisis.

The second phase of the RCL CARES program, Royal Caribbean Group has recognized that after nine months without cruises, the travel agent industry is hurting just as much as the cruise lines.

The new program makes a $40 million pool of funds available to qualifying travel advisors, who can apply for three-year, interest-free loans of up to $250,000 to keep their businesses focused on a return to growth.

Just like the cruise lines, travel advisors have felt the strain during most of 2020.  Royal Caribbean Group believes there is optimism that the travel industry will eventually recover, but this  intervening period of slower-than-usual business is a critical time.

Details about the application process for the program would be shared directly with travel advisors in January.

“We know our travel advisor friends are suffering, too, and we will get through this tough period together, just as we always have,” said Richard Fain, Royal Caribbean Group’s chairman and CEO.  “Our travel partners have stood strong beside us for more than 50 years, and we are determined to be there for them now. We’re going to get to the other side of this challenging time together.”

In April 2020, Royal Caribbean Group launched RCL Cares as a travel agent support program to provide resources for travel professionals.

Royal Caribbean Group offers financial assistance during times of emergencies, such as when a hurricane impacts one of the islands the ships visit. In a similar manner, the travel agent industry is a critical piece supporting the cruise lines and RCG wishes to step up for them.

New Royal Caribbean cruise ship terminal in Galveston still on schedule to begin construction

In:
21 Dec 2020

It looks like Royal Caribbean's new cruise terminal in Galveston is still on track to begin construction work in Spring 2021, following a one year delay.

During the monthly meeting of the Board of Trustees of Galveston Wharves, the Port of Galveston reported that Cruise Terminal 3 is still scheduled to begin construction in April 2021 so that it can be ready to open in October 2022. 

Galveston Port Director Rodger Rees shared a brief update where he discussed a recent conversation with Royal Caribbean, in which the cruise line confirmed plans to go ahead with the start of construction of a new cruise terminal in April.

Mr. Rees spoke with Royal Caribbean in early December and was told that not only does Royal Caribbean have plans to begin construction in April, but they have already set aside money on their balance sheet to pay for the work.

"Everything you're saying is a go," Mr. Rees said about the cruise line's plans to begin construction. "Construction is scheduled to begin in April."

"And to kind of back that up a little bit, they revealed to me that they had, in fact, set aside some equity on their balance sheet, encumbered some equity on their balance sheet for the cruise terminal, construction and other work."

The new Terminal 3 in Galveston will be built on 10 acres of land at Pier 10, and will be used exclusively by Royal Caribbean.

Moreover, Allure of the Seas was mentioned during the meeting as the cruise ship Royal Caribbean will assign to the new terminal to offer Western Caribbean cruises.

This follows up on an earlier meeting of the Port of Galveston in September 2020, where Royal Caribbean indicated it was still planning to begin construction in April.

In December 2019, Royal Caribbean and the Port of Galveston signed a long-term agreement to build a $100 million 150,000-square-foot cruise terminal.

Originally, the new terminal was slated to open in November 2021.

In late March 2020, Royal Caribbean asked the Port of Galveston to delay the start of the new cruise terminal by one year.

In April 2020, the Galveston Wharves Board Meeting approved a delay in construction of Royal Caribbean's new cruise terminal, with a new target completion date for the terminal is September 1, 2022. 

Oddly enough, the one issue Royal Caribbean is concerned about with construction is a delay in getting new terminal gangways.  Evidently, there is one company that makes them and they are informing clients of a two year backlog.

Many thanks to RoyalCaribbeanBlog reader Galveston Steve for alerting us to this news.

Royal Caribbean Post Round-Up: December 20, 2020

In:
20 Dec 2020

Merry Christmas! The holidays are here, and so is our weekly round up of this week's Royal Caribbean news.

There was a lot of Royal Caribbean news this week, but the big news was Royal Caribbean's announcement it has sold two of its cruise ships.

Majesty of the Seas and Empress of the Seas have been sold to an undisclosed buyer in the Asia-Pacific region that will release details for future sailings at a later time.

Both ships will depart the fleet later this month and guests who had cruises booked on either vessel will be contacted with their options for rebooking or cancellation.

The news was met with cruise fans and cruise line executives sharing fond memories of both ships, and bidding farewell to two classic vessels.

Read more: A last look at Majesty of the Seas

Royal Caribbean News

Royal Caribbean Blog Podcast

The 385th episode of the Royal Caribbean Blog Podcast is now available, discussing the restart of cruises on Quantum of the Seas.

Chris Gray Faust from Cruise Critic joins Matt this week to break down Royal Caribbean's first cruise ship to restart operations.

Please feel free to subscribe via iTunes or RSS, and head over to rate and review the podcast on iTunes if you can! We’d appreciate it.

New RCB Video: How to choose the right Alaska cruise

Have you subscribed to the Royal Caribbean Blog YouTube Channel? We share some great videos there regularly, all about taking a Royal Caribbean cruise! This week, we are sharing our latest video — How to choose the right Alaska cruise — and don’t forget to subscribe here.

5 plans Royal Caribbean will and won’t be able to do in 2021

The new year is right around the corner and Royal Caribbean had some pretty big plans for 2021 before everything changed in 2020.

While there have been significant delays and changes to Royal Caribbean's plans, there are still some projects moving forward and others not so much.

Here is a look at what we can and cannot expect from Royal Caribbean next year.

Spotted: Daily charge for Royal Caribbean text chat on Quantum of the Seas

In:
19 Dec 2020

Royal Caribbean has always operated its cruises a little bit differently in Asia, and we can add chat to the list.

A guest who was aboard a Quantum of the Seas cruise from Singapore noticed Royal Caribbean is now charging a daily fee for its chat feature.

The app is free to download and use its core functionality, but the chat feature seems to be an add-on.

Sail n Snow shared a photo from Royal Caribbean's app advertising guests can add-on the text chat feature for $1.99 per day, per guest.

It is also worth noting Royal Caribbean has charged for activities and things to do on Asia sailings that are not charged for in North America or Europe, such as North Star or Ripcord by iFly.

The text chat feature on Royal Caribbean's old app, Royal iQ had a daily charge associated with it.

Royal Caribbean's chat feature was still in development prior to the cruise line shutting down due to the global health crisis, and at the time was complimentary on the two ships it was being tested on: Allure of the Seas and Harmony of the Seas.

On Apple's App Store and Google Play store, the app description lists chat as a feature, with the note that "fee applies".

Other cruise lines offer a chat feature in their apps, with some charging for the feature and others including at no additional cost.

  • Carnival: $5 per user for duration of cruise
  • Disney Cruise Line: Free
  • NCL: $9.95 (includes phone and voicemail capability)
  • MSC: Free
  • Princess: Free

When Royal Caribbean resumes sailings, the app's role will be more important than ever. The cruise line recently notified guests that the app is required to be downloaded prior to sailing.

New functionality has been added to the app to facilitate social distancing and add more touchfree functionality.

How Royal Caribbean celebrates Christmas and New Years holidays on its cruise ships

In:
19 Dec 2020

Have you ever thought of celebrating a holiday like Christmas, or ringing in the new year, on a cruise ship?

Royal Caribbean offers holiday sailings on its cruise ships where guests can celebrate the holidays onboard, and it is a tempting way to not only celebrate with family, but escape to warmer temperatures and enjoy a less stressful holiday.

If you are considering planning a holiday cruise in the coming years, here is what you should know about what it is like to wake up on Christmas morning or stay up to midnight on New Years Eve with Royal Caribbean.

When does Royal Caribbean decorate for Christmas?

You will find Christmas decorations all around Royal Caribbean's cruise ships during the holiday season.

While there is no firm timeline, typically public areas of cruise ships get decorated for Christmas right around Thanksgiving or so.  Sometimes it is the week of Thanksgiving, sometimes immediately after.

Every ship in the fleet will have a Christmas tree up, along with menorah-lighting ceremonies. 

The Royal Promenade, Royal Esplanade and Centrum get decorated as well with Christmas decorations.

The decorations remain on the ship through New Years sailings.

Does Royal Caribbean do anything special for Christmas?

If your cruise happens to sail over Christmas Day, Royal Caribbean usually offers a few different Christmas-themed activities onboard.

Keep in mind the exact offering of activities will vary from sailing to sailing and these events are usually only offered on Christmas Day sailings.

Examples of activities Royal Caribbean has offered in the past include:

  • Special appearances by Santa’s elves
  • Gingerbread-cookie decorating
  • Family story time
  • Caroling
  • Holiday movie screenings
  • Craft making
  • Ugly sweater contests
  • Scavenger hunts
Main dining room Christmas menu

A priest will be onboard to conduct mass services on both Christmas Eve and Christmas Day during a Holiday cruise.

A special Christmas day menu is available in the main dining room, as well as the specialty restaurants.

Read moreA look at Christmas on Royal Caribbean

What does Royal Caribbean do to celebrate New Year's?

Ringing in the new year is a giant party on Royal Caribbean's cruise ships, with ample space to celebrate the big day.

You will find a smattering of music parties around the ship.  The cruise line will distribute hats, decorations and even noisemakers.

In addition, Royal Caribbean usually reserves certain areas of the ship for purchase to guarantee a spot in the middle of the action. These are usually chairs and tables you can book that provide a reserved spot near the main party.

There is also live television feeds of the New Year's Eve festivities in Times Square that you can watch in your room or in public venues.

For the ball drop, the big party is usually in the main Promenade, Esplanade or Centrum (for cruises that sail through January 1).

Are Christmas or New Year's cruises more expensive?

In general, prices for holiday cruises do cost more because of the higher demand.

The weeks of Christmas and New Year's are times of the year when so many people have time off of school and work, so it is a popular time to getaway.

Due to the higher demand, you will see higher prices for a cruise that goes over Christmas Day or New Year's Eve, compared to the weeks before or after.

The best way to avoid paying higher prices is to try to book your holiday sailing as early as possible. Prices tend to go up over time, and if you can book earlier, you can usually save money in the long run.

Read more10 tips for saving money on booking a Royal Caribbean cruise

Are Christmas cruises crowded?

In general, cruise ships usually sail full (or close to full), and demand for holiday sailings is usually the highest of the year.

Cruise ships have a fixed capacity, regardless of which holiday or time of year you happen to sail on. Therefore, Royal Caribbean cannot and does not add more people to its ships than they would allow on any other sailing during the year.

However, there is usually strong demand for onboard activities related to the holiday season. In addition, specialty restaurants tend to be especially busy on the actual holiday, so pre-book if you know you want to dine at one on a holiday.

If you prefer to avoid ships sailing completely full or avoid a large number of children onboard, a holiday sailing may not be for you.

Families make up a much higher percentage of the guests on a holiday cruise.  Instead, consider cruises in January when school is back in session.

Are the ports of call your ship visit closed?

Despite the holidays, ports of call remain open during the holiday season because this is their busiest time of the year.

While there may be smaller establishments closed on New Years Day or Christmas Day, you will find plenty to do on shore if your ship happens to be in port on the holiday.

Shore excursions are available, and swimming at a beach is always a safe bet for something to do on a holiday.

Moreover, you can see how these holidays are celebrated in each island, including the Boxing Day holiday on December 26.

Research firm forecasts Royal Caribbean's gradual cruise ship restart plan

In:
18 Dec 2020

The question everyone wants to know is when cruise ships will restart sailings, and in what capacity.

Royal Caribbean has provided no firm restart plan in the United States, but Wall Street is just as eager as cruise fans to know when cruises might restart.

The Cleveland Research Company (CRC) is independent research firm that released the results of a study of expectations for gradual cruise ship restart in 2021.

CRC did its own research of conversations with travel agents and commentary from the cruise lines to determine what can be expected going forward.

The research firm concluded that across the Royal Caribbean Group brands, 44% of the fleet will be operating by December 2021 for an average of 20% sailing for the full year.

They also think 100% of the fleet will be in operation by mid-2022 and will finish fiscal year 2022 with 84% capacity.

CRC noted that it is not certain which ships Royal Caribbean Group will target for restart first in the United States, but it expects Quantum of the Seas to continue to sail from Singapore.

They did note Royal Caribbean Group's comments from the Third Quarter 2020 call with investors that stated initial revenue sailings will focus on short cruises in key drive-to markets in the U.S. and APAC. Trips out of the U.S. will likely start slowly and focus on stopping at private destinations, such as CocoCay.

Another prediction made was the influx of new cruise ships across the brand of companies that make up Royal Caribbean Group.

Delivery of Odyssey of the Seas in 2021 and Wonder of the Seas in 2022 are part of the plan, and CRC expects one new ship for Royal Caribbean International in 2023. They believe the first Icon Class ship is likely that vessel and is probable for 2023.

Royal Caribbean still has a number of government restrictions it needs to address before they can restart cruises.

The U.S. Center for Disease Control and Prevention (CDC) outlined a series of steps that need to be completed before a cruise ship can receive approval to restart sailings.

Essentially, the Conditional Sail Order requires any cruise line to complete a few key steps:

  • Protect crew members from any health issues
  • Conduct a series of test sailings with volunteer passengers
  • Obtain a "Conditional Sailing Certificate" from the CDC

The research firm did not directly address the CDC's restrictions, but did allude to it in predictions for other cruise line's announced plans.

Royal Caribbean won't change to all-inclusive pricing

In:
18 Dec 2020

Don't expect an all-inclusive price on a Royal Caribbean cruise anytime soon.

Royal Caribbean's sister company, Celebrity Cruises, recently announced it would shift towards more of an all-inclusive pricing structure and many cruise fans were curious if a similar change was coming to Royal Caribbean.

Beginning November 17, 2020 all Celebrity Cruises sailings (except Galapagos cruises) will include WiFi, drinks, and gratuities.  

In the past, Celebrity Cruises would charge extra for these items, just like Royal Caribbean does now.  Going forward, if you book a Celebrity cruise, your fare will include the classic beverage package, Wi-Fi for two devices, and gratuities as part of the price you pay for your stateroom.

Celebrity believes this new pricing makes it simpler to understand the "bottom line price" for a cruise.

Royal Caribbean Director of Revenue Strategy, Brittany Briggs, was asked during a webinar with travel advisors if Royal Caribbean would ever move in the direction that Celebrity Cruises has.

Ms. Briggs confirmed that Royal Caribbean had no such intentions, "At this time we're not considering changing our pricing structure as we are truly focusing our on board experience for all of our guests."

A shift to all-inclusive pricing doesn't make sense for Royal Caribbean's guests, according to Ms. Briggs, "We're a multigenerational cruise line with a lot of family sailing with us, so we do want to continue to be a family brand. I don't think this direction is a good fit for us."

She also added that Royal Caribbean's non-refundable deposit program will continue to be offered, as it has been well-received by travel agents and guests.

Cruise fans mostly seem against the change as well, with plenty of comments on the RoyalCaribbeanBlog message boards and Facebook page.

Nancy Towner thinks it is better to leave the decision of getting add-ons to the guest, "I hope not! We have 2 drinks a day, do not need wifi while we're on vacation and absolutely do not want drinks, wifi, etc. included in the fare. Let those who want the extras pay for them and those of who don't want the extras pay for only the cruise!"

Christine DelRossi also doesn't think this pricing structure would be a good fit for Royal Caribbean, "Gee, I hope not. I would love the fare to include gratuities, but I prefer the option to purchase drinks and wifi ala carte. I think the all inclusive route is more suited to the luxury lines. Royal Caribbean is nice, but let's face it, it's more of a modest line."

Thomas Liddle thought it would be a good change, "I would love it if Royal switched to that, we love the way Celebrity does it. We have usually found that a loaded Celebrity cruise is about the same price as a Royal cruise where you have to pay extra for everything."

A last look at Royal Caribbean's Majesty of the Seas

In:
17 Dec 2020

Royal Caribbean announced it has sold Majesty of the Seas to an undisclosed party, based in Asia-Pacific and will depart the fleet later this month.

Having been a part of Royal Caribbean's fleet since 1992, Majesty of the Seas has been a favorite for many and will be missed.

In her honor, here are some photos of Majesty of the Seas from around the ship to enjoy one last look back.

All photos are credit to Royal Caribbean.

Pool deck on Majesty of the Seas.

Schooner Bar.

A Touch of Class Champagne Bar.

Spa treatment room.

Lounge.

Wagon Lounge.

Windjammer Cafe.

Starlight dining room.

Viking Crown Lounge.

Inside Stateroom.

Oceanview stateroom.

Grand Suite stateroom.

Oceanview stateroom.

Majesty of the Seas off the coast of CocoCay.

Panorama of the pool deck.


Centrum.

Adventure Ocean playroom.

Voyagers room in Adventure Ocean.

Aquanauts room in Adventure Ocean.

Chorus Theater.

Boutique shops in the Centrum.

Cafe Lattetudes.

Baleros Lounge.

Royal Casino.

Fitness Center.

Hair salon.

Spa sitting room.

Library room.

Living room teen club.

Fuel nightclub.

Reception desk.

Sports deck with rock climbing wall.

Covid has changed who Royal Caribbean targets in its sales

In:
17 Dec 2020

The impact of covid-19 on the cruise industry has been felt from every angle, including Royal Caribbean's sales and promotions.

Like all cruise lines, Royal Caribbean typically runs many different promotions to drum up business.  Since the cruise industry shutdown, the target audience for these sales has shifted.

Royal Caribbean Director of Revenue Strategy, Brittany Briggs, answered a question from travel advisors about what is taken into account when promotions are developed, and how will that change moving forward.

Ms. Briggs said since cruises stopped, Royal Caribbean has shifted its sales to target people that have cruised before with the cruise line, in lieu of new cruisers.

"We have had to adjust due to the current times, as you guys are all aware, and we have taken into account and geared a lot of our promotions more towards our repeat cruisers."

She said that pricing and promotion have been geared to Royal Caribbean's base of support during these difficult times.

Furthermore, Ms. Briggs indicated that this trend of targeting repeat cruisers will continue as Royal Caribbean gets closer to returning to service.

Cruise fans have taken notice of significantly more offers that seem to appeal to someone who has cruised with Royal Caribbean.

Early in the shutdown, new sales began offering bonus instant savings for members of the Crown and Anchor Society, which is Royal Caribbean's customer loyalty program. 

Most notably, Royal Caribbean unveiled an unprecedented offer with double Crown and Anchor points per night of any cruise in 2021.  Many repeat cruisers are drawn to the prospect of more quickly moving up the tiers of Crown and Anchor Society and reaping the rewards sooner. Prior to this year, the cruise line rarely offered ways to earn more loyalty points.

Ms. Briggs also mentioned that the manner in which Royal Caribbean elects a particular promotion is based on how that offer has performed historically.

"It's mostly driven based on historical performances, believe it or not, and how the promotion really resonates in the market, as well as the bookings that obviously drives in.

Strong demand by repeat cruisers has even surprised Royal Caribbean's executives. One of the few bright spots on Royal Caribbean Group's balance sheets has been bookings by repeat cruisers.

Royal Caribbean Vice President of Revenue Management Michael Goldner saw early on after cruises stopped that the people who were still booking are repeat cruisers, "New bookings, new reservations, mostly, not surprisingly, but mostly from Crown and Anchor guests."

Royal Caribbean Cruises Ltd. Chief Financial Officer Jason Liberty was equally surprised by the demand, "Our loyalty guests have really just been absolutely incredible in their support, and you can really see their love of cruising as they begin to want to focus further out."

Royal Caribbean International President & CEO Michael Bayley also spoke about the loyalty of cruise fans, "I think we've really seen surprising demand from our loyalty members, and remember we've got close to 20 million loyalty members. Their response to various promotions that we've put into the market, just to understand what the demand looks like is been surprisingly positive. So, as we move into Q4 and into '21, we've been honestly surprised in terms of the demand that we've seen coming in, particularly from loyalty guests."

Royal Caribbean extends all Future Cruise Credits through April 30, 2022

In:
17 Dec 2020

Royal Caribbean announced on Wednesday it has simplified when guests can use their future cruise credits (FCCs) by extending the expiration date to April 30th, 2022, regardless of when the sailing suspension occurred..

This change means guests have until April 30th, 2022 to apply your certificate to a Royal Caribbean International cruise that sets sail on or before the same date. 

The change is automatic, and there is nothing extra guests have to do to have their FCC extended.

Prior to this announcement, most FCCs were set to expire on December 31, 2020.

Royal Caribbean informed travel agents that the continued cruise shutdown has lasted much longer than anticipated, and as a result, this extension made sense.

"We never imagined the pause in cruising to last as long as it has. At the onset of the pandemic, rebooking deadlines and opt-in dates provided ample time for future vacation planning and cruise credit redemption — however, as time has progressed, the window of opportunity has narrowed."

Last month, Royal Caribbean had extended Future Cruise Credits that were going to expire by the end of 2020.  Today's announcement moves everyone ahead again to the end of April 2022.

Emails have been sent to guests who had future cruise credits to inform them of this change.

What can I use a future cruise credit for?

Future cruise credits are vouchers that guests typically get when a cruise is cancelled in lieu of a refund. You can think of them as a kind of gift certificate.

Future cruise credits have become widely available due to the current voluntary cruise shutdown that Royal Caribbean is engaged in, which means while cruises are being cancelled due to the global health crisis, Royal Caribbean is offering guests future cruise credits.

Royal Caribbean allows guests to use their future cruise credits to pay their cruise fare, including the deposit.

It cannot be used towards add-on purchases, like drink packages, shore excursions, port fees or taxes.

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