Royal Caribbean looks to end last minute discounts

Monday, 22 Apr, 2015 0

Royal Caribbean has ended the policy of offering ‘disruptive’ last minute discounted cruise deals in the US and is likely to make a similar move in the UK.

Chairman and CEO of Royal Caribbean Cruises Richard Fain said the practice is both confusing and damaging to brand integrity.

"As a result in March we adopted a new policy that we would not do any last minute discounts on bookings in North America," he said.

"Depending on the type of cruise, that last minute may be 10, 20 or 30 days out, but from that point on we will hold our price at the prior level

"This may cost us bookings in the short term and our guidance may reflect that, but we believe the long-term advantage for our brands is worth the small short-term cost. Over time, we believe this will lead to happier guests, happier agents, and better branding," he said.

Fain said the company is committed to upholding the new policy.

"We think getting our customers out of this used-car salesman kind of mentality will be good overall for the brand, good for their experience, and therefore lead to longer yields in the long run."

Royal Caribbean International chief executive Michael Bayley said the company was looking at extending the policy to other markets, including the UK where it launched its newest ship, the Anthem of the Seas, this week.

Linsey McNeill

Editor Linsey McNeill has been writing about travel for more than three decades. Bylines include The Times, Telegraph, Observer, Guardian and Which? plus the South China Morning Post. She also shares insider tips on thetraveljournalist.co.uk

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