Tag Archives: michael bayley

The connecting-cabin conundrum

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MSC connecting Balcony Cabin.

One frustration for travel agents is when clients want to book a cruise on short notice with the expectation that they’ll be able to stay in connecting cabins. It can sometimes be hard to find rooms that adjoin or are on the same deck, much less those that connect.

But cruise lines could do more to help the situation, some travel agents say. The issue came to light at a recent travel agent forum on Royal Caribbean International’s Freedom of the Seas.

Agents said that Royal often allows connecting rooms to be booked online as singles, negating the advantage of having the connecting door between the two cabins.

“Royal Caribbean is great for families, but it is a real struggle on some of your popular sailings to find connecting rooms that do not have one already booked,” said Elise Aust, of Custom Cruise & Travel, Omaha, Neb.

Aust suggested that Royal hold the cabins back from full inventory to ensure that people who actually need them get to use them. “The last thing I’d want if I was booking a single cabin is a door to another room if I didn’t need it,” she said. “I think you would get a lot more families.”

Royal President Michael Bayley agreed that the idea made a lot of sense. “We’ll take a look at it and speak to our revenue team and see what we can do.”

Aust’s other suggestion, by the way, was to put magnifying mirrors in the bathrooms, an idea that seemed to confound Bayley.

“Really? That sounds horrifying,” he said. But he added that Royal would take a look at it for its new ships.

The ‘horrible mess’ of shore excursions

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By Tom Stieghorst

Cruise lines are starting to see declines from one of their most important revenue streams, shore excursions. That was one of the admissions made by newly named Royal Caribbean International President Michael Bayley at a forum for agents onboard the Freedom of the Seas.

Bayley gasped in mock horror after asking the group of about 250 agents whether they sold Royal Caribbean’s branded shore excursions or somebody else’s. In unison, they chanted “Somebody else’s.” When he asked for a show of hands, well over half the group responded.

“You know, we do have to change the system,” Bayley said in a half-joking, half-serious tone. “It’s a horrible mess.

“We must spend more time talking about this than I don’t know what else,” Bayley added. “We’re always trying to find the right solution.”

Elliott Finkleman, owner of an Expedia CruiseShipCenter outlet near Ottawa, said both Royal Caribbean and travel agents could make more money if Royal paid a commission on excursion sales.

“You’re losing out because it forces me to sell alternate product,” Finkelman said. “I don’t want to spend a lot of time on shore excursions, going port by port, and get nothing back from that.”

Vicki Freed, Royal’s senior vice president of sales, trade support and service, said that the line does pay commission on group shore excursions and that guests with excursion tickets sold through Royal get first priority in getting off the ship at port.

And Bayley reminded agents that there are some risks with third-party providers.

“If they’re selling at lower prices, they’re paying these commissions, chances are they do not have the same liability coverage and they have not gone through the process of safety for the guest that we go through,” he said.

Bayley said excursions have always been an important part of the cruise revenue pie.

“We all have revenue streams and we all try to protect them,” he said. “We have seen an erosion over the past couple of years, and it’s pretty obvious where that erosion is coming from, after our show of hands.”

Royal Caribbean tests Internet capability by offering free WiFi

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Royal Caribbean International has given away Internet access for the past couple of weeks on its newest ship, Quantum of the Seas.

The ship is one of three to be rigged for communications with the O3b mid-level satellite network, that provides for greater bandwidth and communications speeds.

The debut of a new, faster Internet service on Royal Caribbean International ships is only weeks away.

Royal Caribbean Cruises Ltd. Chairman Richard Fain said in a conference call with Wall Street analysts on Thursday that the system is now in testing on Oasis of the Seas, and full rollout is expected in early summer.

Provider O3B is using a series of mid-orbit satellites for the service, rather than one geostationary satellite orbiting at 22,000 miles. That means signals travel shorter distances, increasing speeds.

Fain said that the change will give Oasis “more Internet bandwidth than every other cruise ship of every other cruise line in the world combined.”

The service is initially targeted for Oasis of the Seas and the upcoming Quantum-class ships.

Internet service with speeds closer to those on land will help Royal Caribbean attract Millennial generation cruisers (ages 14-34) in particular, Fain said.

Royal Caribbean President Michael Bayley said guests were encouraged to use as much Internet capacity as they wanted or needed at no charge during recent cruises.

“On Quantum, because we have so much bandwidth, over the past three weeks we’ve given out free WiFi. I mean free, free, free all the time,” Bayley told a group of travel agents on Freedom of the Seas over the weekend.

Royal Caribbean officials said the experiment was a kind of “stress test” to see just how much demand the system can handle.

“So we’ve been monitoring the consumption of bandwidth when we let everybody have free bandwidth — the crew, the guests, everybody — and we’ve only used a fraction of it,” Bayley said.

The standard charge on most Royal Caribbean ships for Internet access is 65 cents a minute.

Cruise line officials said it is unlikely that Internet access will become free on ships equipped with O3b. The current working model is to charge like many land resorts a fee of $10 to $15 a day for unlimited access, Royal Caribbean spokesman Harry Liu said.

There will be a premium package for large-bandwidth usage like streaming video, and Bayley said the line is exploring what it can do with such applications.

“Soon we’re going to start speaking more about this capability,” Bayley told the agents. “Because of the scale and size of this bandwidth, we could do streaming videos. It’s genuinely as good as being in a city somewhere in the United States. It is better than that.”