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Commodore Dave's Blog

While the cruise industry enjoyed strong occupancy levels in 2009, many of those passengers were induced up the gangplank with discounts and incentives that brought cruise fares to historically low levels. That was great for the travelling public, but tough for cruise lines whose meager profits left shareholders looking for a life preserver.

Fast forward to the beginning of 2010. The economy is on the mend, interest rates are still low, there is pent up demand for travel, and this year’s Wave Season (the peak selling period for cruises from early January to mid-February) delivered strong sales for most cruise lines. In fact, several cruise lines reported that they enjoyed their best Wave Season ever this year.

As a result, some travel industry experts are now predicting that we’ve seen the end of the deep discounting in cruise fares that were available in 2009 and for the first two months of 2010. According to these experts, since sales for 2010 are off to a strong start and some cruises even have waiting lists why should they continue to discount their fares?

While there’s no question that 2010 sales have gotten off to a fast start, much of this demand has been fueled by discount and incentive programs put in place at the end of last year. For example, programs promising two-for one cruise fares, free cabin upgrades, generous shipboard credits, free air, incredibly low lead in prices, complimentary shore excursions, children cruise for free, and other incentives have continued to drive passengers up the gangplank.

The question is whether the travelling public will continue to snap up cabins once these incentives disappear, and whether there is anyone in the cruise industry willing to take that chance before the end of 2010. In my view, the answer is “no.”

I expect we may see a small increase in prices for cruises at the bottom of the market that have been selling for ridiculously low prices like $35 to $40 per day. These types of lead-in prices are difficult to sustain for long, do not build brand loyalty, and usually represent a last-minute response to slow bookings.

However, I think it is unlikely we will see much in the way of price increases for premium and luxury cruise lines for the remainder of this year. In fact, I’m still receiving cruise line flyers promoting various incentives – the latest this week from Crystal, Regent, Princess, Seabourn, MSC, Cunard and Costa.

The reasons for the continuing soft cruise market are as follows:

- Cruise ship capacity will continue to increase in 2010 as new ships are launched, yet the pace of passenger growth has slowed considerably, particularly in the US.

- Airline capacity has decreased, making it more expensive and difficult for passengers to take advantage of last-minute discounts that cruise lines once used to fill empty ships. As a result, passengers have to be sold on taking the cruise much earlier.

- In order to generate reasonable returns, cruise lines need to fill their ships to at least 115% occupancy (100% occupancy is two people in each cabin). So demand needs to increase significantly before cruise lines can increase fares or drop incentives.

- Some cruise lines have already announced and locked in deeply discounted fares and generous incentives for the entire 2010 season in order to get their share of passengers.

- People are now used to getting some kind of discount fare or incentive in order to book a cruise well in advance of sailing.  That’s not going to change overnight. In fact, it’s been years since it was necessary for anyone to pay the brochure rate for a cruise.

As a result, I think it’s premature to predict cruise line fares will return to normal anytime soon. However, I do think we have reached the absolute bottom of the market when it comes to pricing, and that there is only one direction for fares to go in 2011 – up. So if do you have a special cruise in mind, it may pay to start looking for it soon.

It could be the beautiful sunsets, the sultry breezes at sea, or the excitement of sailing to far-away places, but there’s something special about vacationing on water that brings out the romantic in everyone.  

In fact, according to survey after survey, the traveling public consistently rates cruising as one of the most romantic forms of vacation on the planet. And believe it or not, they also claim that cruising positively impacts everything from the type of lingerie they wear to the frequency, quality and location of their sex lives!

For example, a survey conducted a few years ago for Royal Caribbean International found that 95% of Americans consider cruises “very romantic” compared to land-based trips, and that 80% of them feel more amorous at sea than at home. In addition, 79% said they pack sexy undergarments and head to bed for a romp within 10 hours of boarding the ship.

While slightly more reticent, Canadians apparently feel the same way. For example, in surveys conducted over the last two years for Tripharbour.ca, 81% of Canadians said that cruise ships are romantic places for a vacation, and 64% agreed that cruising is more exciting than staying in a hotel. And perhaps surprisingly, the survey showed that men find cruising to be as romantic as women do.

While Canadians gave cruise vacations top marks for romance, they also ranked them high for excitement, with 94% saying cruise ships travel to exciting destinations all over the world.

When it comes to the most adventurous places aboard a cruise ship in which to have a romantic tryst, Canadians were divided with 23% voting for their balcony, 20% favouring the ship’s life boats, and 19% voting for the hot tub. Fortunately, only 15% said they would like to make “whoopee” on the ship’s bridge, which I’m sure was a relief to the Captain and officers who spend most of their time there.

While not as scientific, an online poll undertaken by a cruise community called Cruise Critic found that cruising is also a good place for single people to begin a romance.

For example, the poll revealed that 49.75% of respondents had met someone special while cruising and that 12% of those relationships had ended in marriage or a committed relationship.

So if you’re looking for a Valentine’s Day gift that exudes romance, why not give your spouse, partner or friend a cruise. After a few days at sea, even Cupid would agree you made the right decision.

It looks like single travelers are finally going to get a break from the cruise industry with Norwegian Cruise Line’s recent announcement that its newest ship will feature 128 cabins that are specifically designed and priced for solo sailors.

For those not familiar with the way most cruise lines currently treat single travelers, here’s how it works.

Cruise lines build cabins that are big enough for at least two people and price them accordingly.  So if you see a cruise advertised for $799 per person, that price is based on two people sharing the same cabin for a total cost of $1,598.  

If you’re traveling with a spouse, partner, friend, etc., the double occupancy policy is no problem. But if you’re travelling alone, the cruise line requires you to pay a single supplement which normally ranges between 150 to 200% of the per person fare. In other words, solo sailors can end up paying double the per person fare.

There are some exceptions among the major cruise lines. For example, Holland America has a handful of single cabins on the Prinsendam. P&O Cruises will have 18 of them on the Azura when it is launched.  And Cunard Line used to have some single cabins aboard the old QE2 and Caronia when they were still in service (originally built to accommodate nannies traveling with wealthy families).

But beyond that, single travelers have had to rely on cruise lines or online message boards to find someone with whom to share a cabin. Or, if they’ve been willing to sail on less-popular cruises or travel at the last minute, solo sailors have sometimes been able to book a cabin with little or no single supplement.

Why the cruise industry has ignored the single traveler for so long is puzzling. After all, there are more than 100 million single adults in North America, 35 million of whom take a vacation alone every year. But less than 5% of them take a cruise.

So what has NCL done to take advantage of this potentially huge and lucrative new source of business?

The cruise line is building its latest ship, the Norwegian Epic, with the single traveler in mind. For example, the ship will feature 128 single cabins on two decks with private access to a common lounge area.

The studio-style cabins will have 100 square feet of living space, a full-size bed, and separate bathroom with sink and shower. Guests in these “studio cabins” will also have access to an exclusive lounge area where they can grab a coffee, meet up with fellow singles, and relax with a cocktail in the evening.

These single staterooms will also be competitively priced. For example, when the Norwegian Epic begins service this July, fares on the ship’s alternating Eastern and Western Caribbean itineraries will start at just US$799 for a seven-day voyage. And more importantly, because these are single cabins, there will be no single supplement charge!

So hats off to the very creative folks at NCL. After leading the way on cruise industry innovations like anytime dining and incorporating brand-name groups into its shipboard entertainment, they’re blazing another trail with single cabins.

Let’s just hope the rest of the industry is paying attention.

There’s a new trend taking place in the cruise industry that few people would have thought was possible just a few years ago when the recession began. It’s called “trading up” and it occurs when people who would have normally sailed on a contemporary cruise line trade up to a higher-end luxury line.

How can this be happening in these tough economic times?

It’s simple. With ultra-luxury cruise lines offering humongous fare discounts and very attractive incentives on some cruises, more and more people are seizing what could be a once-in-a-lifetime opportunity. And if these people are used to paying for higher-category cabins like mini-suites and balcony cabins on contemporary lines, they can usually get an inside or even an outside cabin on a luxury line for just a little bit more money than they are used to paying.

For example, Crystal Cruises is offering every one of its 2010 departures at two-for-one prices for all categories of cabin. In addition, the ultra-luxury line is including up to $2,000 per cabin shipboard credits, free air on most itineraries, additional discounts of 3.5% for paying the full fare at least six months in advance, and a guarantee that passengers will get the best applicable fare.  

Other luxury lines including Silversea, Seabourn and Regent are offering comparable savings. For example, Regent is offering two-for-one fares, free air and free shore excursions. The latter can be a tremendous savings, especially in places like Alaska, Europe and Asia where the cost of shore excursions over a two-week period can easily exceed a thousand dollars a person. In addition, these lines also include tips and alcohol in their fares.

So what kind of pricing differential are we talking about when it comes to regular pricing on contemporary cruise lines versus discounted fares on luxury lines? Let’s look at my recent South American/Panama Canal cruise from Valparaiso, Chile to Miami, Florida with Crystal.

We paid US$3,620 per person for an outside cabin with a large picture window, and received a US$1,000 per person shipboard credit, which effectively reduced each fare to US$2,620. For a 15-day cruise, that price works out to US$174.66 per day, per person for accommodations, entertainment, transportation, and all meals (including free alternative restaurants) aboard one of the highest-rated luxury cruise ships afloat.

Now let’s compare that cost to a similar cruise on a contemporary line, and to the regular price of sailing on a luxury line without these types of discounts.

The current fare for a comparable 14-night cruise with a contemporary line like Celebrity ranges from C$1,599 for an outside cabin, to C$2,569 for a balcony, and C$3,679 for a suite. That works out to $114.21 per day for an outside cabin, or about $60 a day less than what I paid on Crystal for my cruise. And the price of a balcony cabin on Celebrity is effectively the same as I paid for an outside cabin. For my money, the Crystal fares are a much better value.

As for Crystal’s regular fares without discounts, my South American/Panama Canal cruise normally sells for US$7,240 per person. Without any shipboard credits, that amounts to US$482.66 per day – a full US$308 per day more than the discounted fare I received and that Crystal is offering for 2010.

Of course, many people are completely happy sailing on a contemporary cruise line like Princess, Celebrity and Royal Caribbean, and have no desire to trade up. But for those who do, there may never be a better time to cruise with a luxury line than during 2010.

Some people believe that a cruise is the best way to see Europe. These folks argue that cruisers can cover more territory in the same amount of time, only have to unpack once, and feel safer at night on a ship, and that a cruise vacation is less expensive than touring on land.

Other people prefer land excursions in Europe. They argue that cruise ships don’t spend enough time in each port of call, and that passengers only get a small taste of what a region has to offer from a cultural and culinary perspective.

Fortunately, I agree with both groups, which is why I usually combine a land excursion with a cruise at one or both ends of my voyage. It’s the perfect way to get the best from both modes of travel, and a smart strategy for getting the most from your travel dollar.

As a result, I’ve done lots of pre and post-cruise land excursions in Europe, but one of my favorites is still Provence in the south of France. I first discovered the region while on a one-day shore excursion to Aix-en-Provence while docked in Sète, and then returned for a full week several years later.

Since I try to avoid North American chain hotels, I chose to spend my week in Provence with a small Canadian-based company called O! France (www.ofrance.ca).  For a fixed price, the company offers a large room with private bathroom in a “bastide” near Avignon, guided mini-bus tours to the most interesting local towns and landmarks, lots of free time to explore, complimentary wine from the best vintners in the region, dinners prepared by a chef from a local French restaurant, and doting attention from engaging owners Hélène Buisson and Jim Walker.  The  group is limited to a maximum of 12 people, and the wines are some of the best in the region since Jim is a wine importer who runs a wine club (www.arthursellers.com) and has some of the best winery connections in Provence.

The bastide is a centuries-old country mansion that once served as an abbey with its own working mill. Today the three-storey house has a lovely stream that runs directly beneath the house, a gorgeous pool, a grand country-style kitchen, and beautiful grounds that stretch along both sides of a stone road that runs through the grounds from a wrought iron gate to the front door.

We began each day with coffee and a fresh pastry from the local boulangerie before boarding the mini-bus for our daily tour. Typically, we spent the morning touring a town that was also hosting a colourful Provencal farmer’s market, followed by a leisurely lunch at a local bistro, and then toured another town or winery in the afternoon.  Then we returned to the bastide for a swim, some wine on a vine-covered terrace, and a multi-course French dinner served by our hosts.

While tour itineraries vary depending on the week, mine included visits to some of the most charming and interesting towns in Provence.

For example, during my first full day we were taken to Isle-sur-la-Sorgue to enjoy its wonderful renaissance architecture and the largest antique, flea and farmers’ market outside of Paris. Then we slipped over to nearby Fontaine de Vaucluse for lunch at the foot of a waterfall in the shadow of a rocky ridge of mountains and the ruins of an ancient castle.

Throughout the week we repeated the process, with leisurely visits to spectacular towns like Gordes, Les Baux, Saint Rèmy, Nîmes, Orange, and Roussillon. And on our last day, we toured Avignon, which  was once home to Pope Clement V. The French Pope fled turmoil in Rome for Avignon during 1309 and eventually transformed the city by building magnificent convents, churches and palaces, including the extraordinary Palais des Papes.

My wonderful week in Provence served as a vivid reminder that land excursions have the ability to make a great cruise even better. And as my wife Gail likes to say, “If something is worth doing, it’s worth overdoing!”

Much has been written about Royal Caribbean International’s decision to continue port calls at its private beach resort in Labadee, Haiti following the island’s devastating earthquake on January 12. In particular, some organizations have questioned the morality of passengers sipping margaritas on the beach in a private compound that suffered no damage while thousands of Haitians are suffering a mere 100 km away at the quake’s epi-centre in the country’s capital of Port-au-Prince.

There’s no question that the dramatically different images of pampered cruise ship passengers enjoying carefree fun on the beach versus hungry and homeless people wandering the devastated streets of Port-au-Prince are difficult to reconcile. In fact, on first glance, they can be downright offensive.  But there’s more to this story – a lot more — than what these images and some media reports may have let on.

So let’s put the issue of these Haitian port calls in perspective.

After much internal debate and discussion with officials from Haiti, executives at RCI decided to continue port calls in Labadee rather than diverting its ships elsewhere. They did so because they believed it was the most effective way they could help the country deal with this terrible tragedy now and in the future.

That decision was based on two primary factors: the amount of money pumped into the local economy every time a ship visits Labadee, and the potential for ships to bring food and other needed supplies ashore to help in the country’s relief efforts. For example, 40 pallets of rice, beans, powdered mile, water, and canned foods were delivered when the first RCI ship called on Labadee following the earthquake, and more has followed in subsequent visits. In addition, RCI is donating every cent of its revenue from the visits to humanitarian relief in Haiti, and more than 300 Haitians in the area derive part or all of their income from cruise ship visits.

So the facts show that RCI’s decision to continue calling at Labadee was the right one from both a humanitarian and economic perspective. But what about the public relations damage caused by those contrasting photos and stories, and the outrage felt by people who question the morality of vacationing so close to a disaster zone?

It may have helped RCI’s image if they had waited a few weeks after the earthquake before allowing their ships to call at Labadee. For one, it would have shown the cruise line was really struggling over its decision, that is was sensitive to the public’s perception of the situation in Haiti, and that it wanted to respond in a respectful fashion. And at the very least, it would have given them an opportunity to more fully flesh out their relief plan, determine the size of an appropriate corporate donation, and get out in front of what they should have known would be a public relations challenge.

As for the morality issue of pampered passengers having fun when so many people are suffering, it’s a legitimate concern that demonstrates our sense of humanity. As caring people, we don’t think it is right for “rich” holiday makers to be drinking margaritas on the beach while “poor” people are sleeping in tents just a few miles away.

However, while this is a noble sentiment, it’s also somewhat hypocritical. After all, would we still care if the happy holiday makers were celebrating on a beach in nearby Cuba or the Dominican Republic? And would this outcome be better for the people of Haiti, some of whom rely on tourism for their family income or are benefitting from RCI’s relief efforts?

The reality is that while we may have found the images of cruise ship passengers frolicking on the beach in Labadee somewhat troubling, I don’t believe we can fault the motives or actions of RCI. They’ve done their best to help in Haiti, despite a rather unfair public relations hit to their image. If we need someone to blame, perhaps we should be looking at those media outlets and special interest groups who were only too happy to profit from a misleading photo or headline.   

After sailing 4,500 nautical miles, visiting five cities on two continents, and transiting the Panama Canal between the Pacific to the Atlantic oceans, our cruise aboard the Crystal Symphony finally came to an end in Miami, Florida some 15 days after it had begun in Valparaiso, Chile.  

As cruises go, this one had been absolutely marvelous (and I’ve been on 51 of them). But while the weather had been great and the itinerary fascinating, most of the credit for our displeasure in leaving the ship belonged squarely on the shoulders of the officers and crew of the Symphony. Once again, they had surpassed our expectations, which is probably why Crystal Cruises has been selected as the world’s best large cruise line by the readers of Conde Nast Traveler magazine for the past 10 years.

From the moment my wife Gail and I had boarded the Symphony in Valparaiso, we had experienced extraordinary service. It began the moment a smiling crew member took our hand luggage at the gangplank and handed us a complimentary glass of champagne.  And it continued throughout the voyage with a lot of small but wonderful touches like crew members remembering our names, competing with each other to help us, and ensuring every meal was superbly cooked and served to our complete satisfaction.

The great service was complimented by a beautiful ship that I think is the perfect size for cruising.

At 51,000 tons with a passenger capacity of 922, the Symphony is large enough to have lots of choices for evening entertainment and dining, but small enough to be cozy. This is not a floating aircraft carrier with zip lines, surf simulators and ice-skating rinks where you never meet the same person twice and get sent ashore in hourly waves. It’s an intimate and sophisticated cruise ship where you meet interesting people, enjoy good conversation and make lasting friends.

In terms of layout, the Symphony is easy to navigate with most of the public areas conveniently located on four decks. Unlike the mega-ships, there’s no need to carry a deck plan around or use a Global Positioning System to find your cabin.  

The Lido Deck is the primary outdoor space aboard the Symphony, and it features a full-sized pool with a huge hot tub, a solarium with plush wicker furniture and table umbrellas, and a casual buffet-style café that serves breakfast and lunch. It also boasts an ice cream stand, a grill that’s open for late breakfast and lunch, a small bar and a lovely panoramic lounge located at the bow of the ship. Unlike some larger ships, we never had to search for an empty poolside chaise lounge or a fresh pool towel on the Symphony – they were always available. And within minutes of getting to our poolside chair, friendly crew members were ready to take our drink order.

Decks five and six are the two main decks for entertainment, dining and shopping. These decks feature several high-end shops, a martini bar, a coffee bistro, the main dining room, a casino, a sports bar, a main show lounge, a dance lounge and my favorite place on the ship, an intimate piano bar called the Avenue Saloon.

The Avenue Saloon offers a lovely pub setting and live piano music throughout the evening, which on our voyage was provided by the talented Charlie Shaffer.  However, we also had the benefit on being on one of Crystal’s Jazz Theme Cruises, which meant we were treated to a number of jam sessions in the Saloon and elsewhere by two wonderful jazz bands – the Pieter Meijer’s Quartet with Ms. Brady McKay, and the Cornet Chop Suey.

Deck 12 is home to a number of sports venues including a putting green, shuffleboard courts, golf driving nets, and a paddle tennis court. It’s also home to the Crystal Spa and Fitness Centre which offers a full range of treatments including hair styling, massages, and fitness classes. Their fitness staff and classes are so good that I even participated in several and hired a personal trainer for three sessions (and they have to be good to lure me away from the martini bar).

The food aboard the Symphony during our voyage was also outstanding – in fact, it was some of the most varied and delicious we’ve ever enjoyed at sea.

On most evenings we ate in the Crystal Dining Room, where we had a lovely table for two overlooking the water. During the cruise, our international menu options ranged from tender meats like Wisconsin veal chops and filet mignon, to mouth-watering fish dishes like lobster, grouper and sea bass – all served with delicious sauces.  And on those few occasions when we wanted a change of scenery and menus, we had two fantastic alternative restaurants to choose from, both of which are free.

We loved the ship’s Japanese-style restaurant called Silk Road, which is affiliated with renowned chef Nobu Matsuhisa. The Silk Road features a small dining room with a full selection of Japanese main courses, as well as a sushi bar that serves freshly-made-to-order sushi and sashimi. Since the sushi bar operates on a first-come, first-served basis, it proved to be a great spot when we made a last-minute decision to skip our late 8:30 pm dinner seating in the main dining room.  

We also thoroughly enjoyed Prego, the Northern Italian-style restaurant that features a Venetian décor.  Once again, Crystal has partnered with a great celebrity chef to oversee the menu and food preparation – this time, with Piero Selvaggio, owner of the successful Valentino restaurants in the US. 

In terms of our accommodation, while our taupe and lavender stateroom was slightly smaller than those on competing luxury lines, it was well designed with plenty of storage. And it came with a wonderfully comfortable bed, a desk with sofa, and a beautiful granite bathroom with a tub/shower and two glass-vessel sinks.

So if you’re beginning to think it was difficult to leave the Crystal Symphony after 15 glorious days at sea, you’re right. However, we did manage to cushion the blow by signing up for another Crystal cruise before we left the ship!

As the Crystal Symphony made its way to the U.S. Navy Pier in Key West, Florida, several dozen sleek yachts appeared on our port side headed for the Gulf of Mexico. We had unwittingly arrived in “The Conch Republic” during one its most popular events of the year – Key West Race Week. And from the deck of our ship, we could see the fleet of international boats jostling for position as they made their way to the start line for the day’s first race.

We could have spent an entire morning watching these beautiful racing yachts, but with only one day to explore historic Key West, we decided to cut the race short and spend some time in the old section of town.  

Located just 150 km north of Cuba at the southern most point in the continental United States, Key West was discovered by Spaniard Ponce de Leon in 1521. He named the tropical island Cayo Hueso (Bone Key) because it was littered with skeletons from the native Calusa Indians who once lived there.  Since many of the early residents to Key West were immigrants from the Bahamas known as “conchs,” many locals also refer to the island as “The Conch Republic”.

Once Key West became part of the United States in the early 19th century, it quickly became an important port because of its strategic location on the Straits of Florida between the Atlantic Ocean and Gulf of Mexico. In fact, by 1860 the town’s booming salvage industry had made it the largest and richest city in Florida with many beautiful stone buildings and wooden mansions.

Today, Key West is a haven for artists, writers and the world weary who love the town’s carefree atmosphere, historic architecture, warm weather and lush tropical setting. It’s a state of mind, locals explain, that is best described by former resident Jimmy Buffet in his hit song “Changes in Latitude, Changes in Attitude.”

After getting the requisite attitude adjustment at Jimmy Buffet’s Margaritaville Bar on Duval Street, Gail and I made our way up the road to the famous Conch Train for a guided tour of the Key West Historic District. The tour goes past most of the major attractions in the Old Town including Hemmingway House, the Truman Annex, the Audubon House, and Sloppy Joe’s Bar where writer Ernest Hemmingway used to drink the nights away.

Hemingway moved to Key West and bought a house here in 1931 where he wrote most of his major novels including For Whom the Bell Tolls, A Farewell to Arms and The Snows of Kilimanjaro. His house is now a museum filled with many of his personal treasures such as a ceramic cat by Pablo Picasso (a gift to the writer from the artist), and a hand-blown glass chandelier that Hemingway acquired in Venice.

The Audubon House and Gardens are also located on Whitehead Street, just few blocks away from Hemingway House. Built in the 1840s, the house belonging to the great naturalist John James Audubon is now a museum filled with antiques, and some rare lithographs of American birds, wildlife and foliage.

After completing our tour, we walked along Duval Street where we ducked into several great stores including Fast Buck Freddie’s, the legendary Key West department store, and Towels of Key West, which makes terry-cloth towels and robes from their own  island-style designs.

Since it was now time for some liquid refreshment and food, we made our way to the La Te Da Hotel and restaurant on lower Duval Street. Located in a beautiful Key West-style wooden mansion, the restaurant sits in a lovely courtyard surrounded by tall trees and a spa-style swimming pool. We had a marvelous lunch there of Conch Bisque followed by Panko-crusted Mahi-Mahi topped with salsa, all washed down with some cool sauvignon blanc wine.

Stomachs and shopping bags now full, we made our way back to the Crystal Symphony for the sunset sail-away party on the pool deck. Key West is famous for its gorgeous sunsets, and as we looked over the side of our ship to see a bright yellow ball sinking into the Gulf of Mexico, we certainly understood why. Our only regret was that we wouldn’t be seeing it again the next night.


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