Because you’ve been on over 50 cruises or have made hundreds of cruise bookings, don’t think it will be “business as usual” for your new bookings. Many things have changed, and not just for the better.
This is especially true for the high-end “Big Three” cruise lines (Regent, Seabourn, and Silversea), where all-inclusive fares make it difficult for the lines to pay down their share of the massive $74 billion debt their parent companies (Norwegian, Carnival, and Royal Caribbean) ran up during the pandemic; and fund the building of even more luxurious ships to fend off attacks from well-financed newcomers such as Viking, and Ritz-Carlton (Marriot).
When did onboard submarines and helicopters become part of the luxury cruise experience? Who would predict that Viking would launch more ships this year than the U.S. Navy? That’s what a Viking Mars officer said last week, standing next to the captain, in a report on Viking’s plans given to an audience of hundreds of guests.
Here are some of the shoals you must navigate when booking clients on luxury cruises.
Beware of Non-Refundable Deposits
Many experienced travel advisors used to recommend that their clients place multiple deposits on cruises they were considering and decide later which one to take. Deposits were always refundable for cash on luxury lines, until final payments were due, typically 60-90 days before the sailing date.
Now, restrictions are penalizing guests who withdraw deposits are becoming common, especially when guests opt for cruise packages that don’t include airfares. On Silversea, which doesn’t sell Premium Economy tickets that many elderly guests find essential, opting for “Port-to-Port” can lead to cancellation penalties of 85-100%.
When guests or travel agents are quoted prices this is not always mentioned, and the website is vague on which penalties are imposed for different pricing options.
Full-Payment is Sometimes Due Much Earlier Than Expected
Under new pricing deadlines for Viking Ocean, full payment is sometimes required as much as a year before sailing or soon after placing a deposit. While call center staff may suggest CFAR (Cancel for Any Reason) insurance be purchased if guests are unsure they really want the cruise, the insurance adds about 11% to the bill and is never refunded. Also, making full payment closer to the sailing date is being used by Viking as a perk on some cruises they are eager to fill.
Other cruise lines seeking to improve cash flow will likely emulate this policy. Also, always check if CFAR cancellations are made in cash or paid in cruise credits that can only be applied to future sailings of the same cruise line.
Understand the Difference Between Cruise Insurance Policies and Cruise Protection Plans
Insurance companies with huge financial reserves typically sell cruise insurance policies. These policies usually pay commissions upwards of 20% and offer protection if the cruise line or any travel provider declares bankruptcy. They usually are “age rated,” meaning that your older clients may not be able to afford them; and they must be sold by licensed brokers regulated by the states in which the clients live. As a travel consultant, you are legally prohibited from explaining the provisions to your clients. Typically, you will connect your client with a licensed telephone representative who will pay you 100% of the commission due from the sale.
Cruise lines also sell cruise protection plans. Most aren’t age-rated; your clients typically pay the same rate, whether 20 or 75, and the rate is typically at least 30% less than a comparable cruise insurance policy. Yet, if the cruise line goes into bankruptcy, as happened to Crystal Cruises, guests can lose all the money they’ve spent and the money due for any claim they had for medical expenses or death. CFAR coverage may be readily available and more affordable, since the cruise line can more easily resell the stateroom. Commission rates seldom exceed 10%, but it’s a much easier sell.
Onboard Entertainment is a Bit Disappointing
Norwegian Cruise Lines, whose high-end choices are Regent and Oceania, has already announced cutbacks in onboard entertainment—particularly the large Broadway-type shows. The Big Three have never had these elaborate productions, but expected cutbacks in the number of productions that involve 6-8 singers and dancers, which are the mainstay of the luxury small ships. Judging by my two recent cruises on Seabourn and Viking Oceans, these shows may be offered only once or twice a week, with soloists or movies in the showroom taking up the slack.
Shore Excursions Hit a Low Point
Since the pandemic, many shore excursions have been disappointing due to staff whose destination knowledge is at least two years behind the times and experienced shore excursion providers that have gone out of business. Based on my recent two high-end cruises, and dozens of discussions with other guests, more people are being packed on buses, pre-cruise prep work has not been adequately done, and the poor quality of the shore excursions has been one of the major gripes of the participating guests.
Another problem was that the physical challenges involved in some shore excursions weren’t adequately described. This was the case in one shore excursion in Lombok (Indonesia), where guests using walkers were asked to walk about a quarter of a mile through winding, muddy alleyways to reach a pottery workshop and several beach visits on the Great Barrier Reef in Australia where elderly guests were left on a beach for up to three hours without any shade or chairs being made available to them.
The Cuisine is Still Top Quality on These Luxury Small Ships
On the Viking Mars cruise I completed this week, the food was among the best I’ve ever experienced on land or at sea. This was particularly true for the two specialty restaurants and about half the dinners in The Restaurant. I was never served ingredients that weren’t top-quality, even in the few cases where I didn’t care for the recipe. Breakfasts and lunches were about the same quality as those in Big Three ships’ buffets. Most importantly, I saw no cutbacks in quality, cooks, or servers. I also saw chefs willing to take risks with preparations I’d never seen before in the specialty restaurants and the main dining room.
The Ship’s Crew Members Are as Accommodating and Friendly as Ever
The housekeeping, room service, and other stuff you saw around the ship were as accommodating as those on the ships for years. This was noteworthy since Mars had been in service for less than a year and many of these individuals had never been to sea.
Dr. Steve Frankel and his wife have cruised on most of the Seabourn, Silversea, Crystal, Azamara, Oceania, Regent, and Windstar ships. Steve is the founder of Cruises & Cameras Travel Services, LLC. He has been recognized as a “2021 Top Travel Specialist” by Conde Nast Traveler magazine and a “Travel Expert Select “by the Signature Travel Network. His specialties are luxury small-ship cruises and COVID-19 safety measures, and has a doctorate in Educational Research with minors in Marketing and Quantitative Business Analysis. He’s also earned a Certificate in Epidemiology from Johns Hopkins University. Previously, he managed qualitative and quantitative research in the private & public sectors. He’s a member of the Los Angeles Press Club, and has written 13 books and hundreds of articles. His email address is steve@cruisesandcameras.com.
