The Disney distinction

Posted on 12 May, 2015 by Spacejunkie2

The Christening of the Disney Dream

Walt Disney Co. and its cruise line are on a roll.

The entertainment and media giant reported earnings rose 10% for the second quarter of this year with the fastest growth at its Parks and Resorts unit (which includes Disney Cruise Line), where operating income grew 24%.

What is Disney doing right?

First and most directly, it is raising prices. Disney said its earnings growth at parks and resorts was “primarily due to increases in average ticket prices at our theme parks and cruise line,” along with more spending on food and merchandise and higher average hotel rates.

Single-day tickets at Walt Disney World in Orlando cracked the $100 barrier last year. And Disney Cruise Line prices are generally much higher than competitors on similar routes.

A random comparison shows a balcony cabin on a 7-day Eastern Caribbean cruise departing Port Canaveral on Dec. 5 listed at $1,814 per person on Disney’s website and $912.50 on Carnival Cruise Line’s site.

Several things that underlie Disney’s pricing power are qualities that other cruise lines are also trying to achieve.

One is brand strength. On a 2014 ranking compiled by Interbrand, a unit of ad giant Omnicom, Disney held the 13th strongest global brand, just behind Intel and just ahead of Cisco Systems. Interbrand said Disney’s power as a brand stems from its “use of technology and data to understand what customers want and personalize their experiences.”

A second pillar of pricing power is capacity control. Disney has resisted the temptation to expand its fleet of four ships, the last of which was delivered three years ago. Unlike many lines, Disney has no ships on order. That helps keep supply scarce and drives demand.

But that doesn’t mean Disney gets stale. It frequently upgrades the experience, especially with new entertainment including shows from hit movies like Frozen and Tangled.

And Disney has a pipeline to first-time cruisers through its theme parks, where much of the programming on a Disney ship can be experienced. Disney cruise customers know what they’re getting even if they’ve never been on a cruise ship before.Of course, we don’t know exactly how Disney’s higher pricing translates into profits, as those vital numbers are buried in the results of the overall parks and resorts division.
My guess is that Disney Cruise Line makes a solid contribution.

Cruise lines cancel Puerto Vallarta port calls

Posted on 12 May, 2015 by Spacejunkie2

Civil unrest and violence around Puerto Vallarta led to cruise lines canceling ship calls there.

The Celebrity Infinity bypassed the Mexican port on May 10 for a day at sea, spokeswoman Cynthia Martinez said. On May 12, Royal Caribbean International’s Jewel of the Seas will substitute a sea day for Puerto Vallarta.

In a statement, Royal Caribbean Cruises Ltd. (parent of Celebrity and Royal Caribbean) said the decisions were made “due to the recent episodes of violent civil unrest, stemming from criminal gangs that have engaged in armed conflict with local authorities.”

Disney Cruise Line distributed a letter to passengers on a 14-day Panama Canal cruise aboard the Disney Wonder explaining that the May 12 port call was being canceled, citing “several reports of unrest in the area around Puerto Vallarta.”

Disney said taxes, fees and port expenses associated with the visit would be refunded to the original source of payment used by the passenger to book the cruise.

The Carnival Miracle will continue with its scheduled May 12 stop, but some shore excursions have been canceled, a spokesman said.

The U.S. State Department issued an updated travel warning for Mexico on May 5 detailing the “risk of traveling to certain places in Mexico due to threats to safety and security posed by organized criminal groups in the country.”

Disney Magic to Visit Dublin Port next year

Posted on 11 May, 2015 by Spacejunkie2

By Jack Quinn

The longest ship to ever call at the port arrived today

Dublin Port has cruised into the history books with the arrival of the 333m long MSC Splendida cruise liner today – the longest ship to ever call at the port.

She is one of 83 cruise calls confirmed for the port this year, which will see a total of 140,000 passengers arriving.

Currently ranked as the 11th longest cruise ship in the world, the arrival has pushed the boundaries of the port’s operational limits.

The ship’s 4,600 passengers and crew were greeted this morning by a Celtic-inspired welcome on the quayside – featuring a live ceili band, Irish drummers, dancers and entertainment – before passengers departed for the city’s shops and attractions.

But in a further boost for cruise tourism to the city, Dublin Port Company has confirmed it will become the first Irish port to welcome Disney Cruise Line with ‘Disney Magic’ calling to Dublin in 2016.

The 300m long Disney Magic will make her maiden call to Dublin Port on May 26th 2016 as part of a transatlantic cruise starting in Port Canaveral, Florida and finishing in Dover, England.

Disney Magic will visit Dublin again on June 13th 2016 as part of a 12-night cruise around Britain – with Dublin selected as the only destination in Ireland.

It will bring 2,700 passengers and a complement of 950 cast and crew to the city each time.

While Dublin Port Company and Dublin City Council will also jointly host the Cruise Europe Conference in Dublin in 2016.

The three-day event attracts over 200 delegates from leading cruise destinations throughout Europe, from all the major cruise lines and service suppliers to the cruise industry worldwide.