Royal Caribbean to expand Cape Liberty

By Tom Stieghorst
Royal Caribbean Cruises Ltd. (RCCL) said it will build a second terminal at Cape Liberty Cruise Port in Bayonne, N.J., a facility that serves the New York area.

Groundbreaking on the $55 million project has already occurred, and the terminal is expected to be completed in time for the arrival of Quantum of the Seas in November.

The 125,000-square-foot terminal will include check-in, customs and immigration, and luggage-processing space, as well as a 900-car parking structure and pier improvements.

RCCL opened Cape Liberty 10 years ago this month. Currently, the port is the year-round home of Royal Caribbean’s Explorer of the Seas and seasonally for Celebrity Cruises’ Celebrity Summit.

Gaining perspective with a look back at RCCL, Carnival Corp.

Gaining perspective with a look back at RCCL, Carnival Corp.

By Tom Stieghorst
*InsightLooking back 10 years at the two biggest cruise companies is one way to gauge how far the industry has progressed and gain some perspective on the problems of the day.

In 2003, the problems included terrorism, war, flu and the SARS respiratory virus. “A perfect storm,” Royal Caribbean Cruises Ltd. Chairman Richard Fain called it in his annual letter to shareholders that year.

On the shipbuilding front, RCCL made its first new order in 3½ years, for an “Ultra Voyager” class ship that would evolve into the Freedom of the Seas. The letter mentioned short cruises from Los Angeles had been restored, and a brand-new terminal in New Jersey called Cape Liberty was inaugurated.*TomStieghorst

Celebrity Cruises had launched a marketing campaign with the theme of ordinary people being treated like celebrities, the Serenade and Mariner of the Seas were added to the fleet and RCCL’s joint venture with First Choice Holidays, Island Cruises, had just turned profitable.

RCCL was hoping to regain the investment ratings on its debt that it had lost after the 9/11 terror attacks.

Flash-forward to 2013. Terrorism, war, flu and SARS, while not vanquished, were not hot-button issues. In his letter to shareholders, Fain says RCCL ordered no new ships for 2017 to keep capacity growth modest.

Royal isn’t sailing from Los Angeles anymore, but its Cape Liberty terminal in New York Harbor is more important than ever. Royal built six ships after Serenade and Mariner, with a seventh, Quantum of the Seas, due in November.

RCCL’s stake in Island Cruises was sold to Germany’s TUI, which is a 50-50 partner with RCCL in TUI Cruises. And the company is still trying to earn back its investment grade rating.

For Carnival Corp., 2003 was the year it finalized its landmark merger with P&O Princess Cruises. It was preparing to take delivery of seven ships in a nine-month stretch, including Cunard Line’s Queen Mary 2.

“I have never, in my 35 years in this business, been more excited and enthusiastic about the future of our company,” Carnival Corp. Chairman and CEO Micky Arison wrote.

Ten years later, the mood is less ebullient. Arison’s letter in the annual report is a bit retrospective; it notes his retirement as CEO of the company he has steered for three decades and salutes Carnival veterans Howard Frank and Pier Luigi Foschi, who also stepped down from executive roles in 2013, leaving the company’s day-to-day direction in the hands of a relative newcomer, Arnold Donald.

Arison’s letter says Donald brought “a fresh perspective and a new energy to our company. … His skills are ideally suited to lead the next stage of Carnival Corp. and PLC.”

Sampling Celebrity’s new spa provider

By Tom Stieghorst
*InsightCelebrity Cruises had a nice reward for two of the 1,200 agents that attended CLIA’s Cruise3sixty event in Fort Lauderdale. They were picked for a free spa package aboard the Celebrity Reflection.

The two surprise winners were Rosie Perez, a Cruise Planners agent in Pembroke Pines, Fla., and Marcia Finkelstein, a vacation specialist at CruiseOne in Long Branch, N.J. “They were ecstatic — beside themselves,” said Dondra Ritzenthaler, Celebrity sales V.P.

What made the prize a little more special was the changeover in spa providers at Celebrity. The two agents were among the first to be treated by Canyon Ranch SpaClub staffers, who replaced the previous team from Steiner Leisure at the end of March.

Other than signage and a new area for retailing beauty products, there wasn’t much physical change to the spa, which includes two decks of treatment rooms linked by a spiral staircase; a hair salon; a Persian Garden area of heated ceramic loungers; areas for acupuncture, weight lifting and aerobics; and a relaxation area with a panoramic view that is just down the hall from the spa-oriented Aqua Class cabins.*TomStieghorst

“It’s almost like their front room,” said spa director Daniel Foxcroft.

The difference between Steiner and Canyon Ranch will come in the products and the people, Foxcroft said.

Gloria Weller, a retired information technology worker from Orlando, was one of the passengers getting ready to cruise on the Reflection who headed for the spa even before sailing.

After a five-minute Thai massage sampler, Weller said the deep muscle massage was very relaxing for her but wouldn’t be for everyone. “If you just want a feel-good massage, you wouldn’t do this.”

Finkelstein said her 80-minute package, which included a sea salt bath and full-body massage, was a very nice treatment. She said the Canyon Ranch name would probably influence a lot of people to go on Celebrity.

Peter Smith, president of Canyon Ranch, certainly hopes so. He got his first glimpse of the Reflection spa at a dedication during Cruise3sixty and said he “loved” the space, which is perched on the forward areas of decks 11 and 12, with floor-to-ceiling views.

Celebrity was smart to reward a few of the more than 200 agents who signed up to tour the Reflection during the conference. There were 24 ships to tour at Cruise3sixty, and providing a little extra incentive will help gain more exposure for its vessels going forward.

“You never know what you’re going to see,” said Perez in explaining why she chose to tour the Reflection. “You can’t sell something unless you see it.”