There’s no better way to get to know someone than to break bread (or bagels) together. So I think all of us in the trade press came away from our recent breakfast at the Four Seasons Fort Lauderdale feeling we better understand where Norwegian Cruise Lines’ new president David Herrera came from, how he got to where he is now, and how he and Harry Sommer (and even Frank Del Rio) will work together in the coming months.
Chatting over coffee and at the formal Q&A that followed one early morning before Seatrade Global, we also touched on the importance of travel advisors, international markets and full-ship rentals. And we saw a little of the camaraderie and friendly banter that has long existed between Herrera and Sommer, who is moving up to president and CEO of NCLHoldings as Del Rio retires.
“2023 is looking to be a banner year,” Sommer said, noting that the rate of repeat travelers has doubled across the brand. That’s a great base for the smooth transition of a newly promoted leadership team that has worked together for years, the two emphasized.
Herrera has been with Norwegian for eight years, during which time he has worked with Sommer on many key projects that now are coming to fruition.
As we reporters struggled with the early start to our day, Herrera and Sommer were unfazed. “Harry’s an early riser. He gets up at 4:30 and emails me; I get up at 5:30 and reply,” Herrera told me. “Then I walk my dog and, by the time I get back, he has emailed me again.”
Over the years, those communications included finance and strategy and trade sales, as well as China operations when Norwegian Joy was there. That is until the company decided there wasn’t a long-term interest for a US brand in China, Herrera said. “It’s rare in Corporate America that you have this type of transition. There’s not going to be a major overhaul. We’ve been partners for the past 10 years and we’ve made the decisions together. Harry and I have a shared vision for the execution of our strategy, and our team is a group of All-Stars. Our sales and marketing and guest services are ready.”
Sommer noted that he and Del Rio have been discussing this succession plan for the past six months, and by January “had a pretty good idea he’d be president, so he’s had an active role” since then.
For his part, Sommer said, he is “super passionate about our decarbonization efforts.” And he is “a huge believer in our partnership with the thousands of travel advisors out there,” whose business since Covid “primarily has been supporting cruise lines and resorts. They are our secret weapon. Our biggest passion is to the people who deliver to our guests.”
On the product side, “now is a great inflection point” to invest by extending Norwegian’s business in the UK, Central Europe, Asia, Australia, and Latin America—”and we’re going to be smartly investing in each one,” Sommer said. Because it all starts with the ships, he will follow Del Rio’s lead and, “absolutely will be intimately involved in the shipbuilding process.”
On the itinerary side, “we had a lot of three and fours but we’re moving to longer itineraries,” Herrera said. “In Europe, our guests tell us seven days is not enough, so we’re moving to eight and nine days and we’re getting great feedback.”
Also in the sights of both presidents is group and charter business—so much so that NCL has carved out one entire ship, which it will sell exclusively to sponsors and charter groups in 2024, and increase that to two ships in 2025.
“It’s a little bit of a risk, but we see them as a healthy opportunity for our business, and I can absolutely see them having a bigger role in the future,” Sommer said.
Cheryl’s 40-year career in journalism is bookended by roles in the travel industry, including Executive Editor of Business Travel News in the 1990s, and recently, Editor in Chief of Travel Market Report and admin of Cheryl Rosen’s Group for Travel Professionals, a news and support group on Facebook. As an independent contractor since retiring from the 9-to-5 to travel more, she has written regular articles about the life and business of travel agents for Luxury Travel Advisor, Travel Agent, and Insider Travel Report. She also writes and edits for professional publications in the financial services, business, and technology sectors.