NCLH Concentrating on Product, People and Partnerships

Posted on 15 December, 2023 by Spacejunkie2

Harry Sommer, president and CEO of Norwegian Cruise Line Holdings, said his strategy is built on the three Ps: product, people and partnerships.

Speaking aboard the brand new Regent Seven Seas Grandeur, Sommer said he was not worried about the influx of new luxury cruise competition, pointing to new tonnage from The Ritz-Carlton Yacht Collection and Explora Journeys, but instead was focused on competing with luxury hotels.

“We are super focused and passionate on delivering an unrivaled product to our guests across all three brands,” said Sommer. “The three brands are different. NCL is in the contemporary space. Oceania is in the upper premium and foodie space that we created, and Regent is in the ultra-luxury space.

“When you know your main mission in life is to deliver an outstanding product to guests it really focuses everyone on what they are doing,” Sommer continued.

Since taking the helm at Norwegian Cruise Line Holdings earlier this year, Sommer said he had visited about half of the ships in the company’s 32-ship fleet and has plans to visit the rest in 2024. He said when he’s aboard he makes time to meet with the captain, general manager and also talks to crew and guests.

“I sit down with guests and ask them what they like, and about challenges and what we can improve,” Sommer explained, noting he held a forum aboard the Grandeur, talking to some of Regent’s most loyal guests and asking for feedback.

The second P in his arsenal is for people, with Sommer noting the company’s 40,000 employees both shipboard and shoreside.

For partnerships, Sommer pointed to the high commission rates Regent pays its travel advisor partners, and said the company was committed to being the easiest and most profitable cruise line to do business with.

“I know the commissions we give the trade are the highest by far in the industry mostly due to our all-inclusive packaging,” Sommer said. “We essentially pay commission on everything.”

Sommer: New NCLH Leadership Brings ‘Fresh Perspective and Energy’

Posted on 3 August, 2023 by Spacejunkie2

“With new leadership not only in my seat but in all three of our award-winning brands and most recently for our vessel operation function, there is a possible feeling of reinvigoration and excitement about the future across the entire company,” said Harry Sommer, president and CEO of Norwegian Cruise Line Holdings (NCLH), speaking on the company’s second-quarter earnings call.

Sommer took over as president and CEO of the company earlier this year, following Frank Del Rio ’s retirement.

“We are approaching every decision with fresh perspective and new energy, challenging the status quo at every level and encouraging our entire team to think outside of the box and come to the table with new ideas, however big or small,” Sommer said, noting his focus is on the future and how to refine and enhance our strategy to optimize the company’s existing fleet of high-quality assets, further differentiate the business model, build resiliency, advance efforts to drive a positive impact on society in the environment and ultimately drive more value.

“Our executive team has an average of over 20 years in the cruise industry and nearly all have been with NCLH for a decade plus,” he continued.

“I have the unlost confidence that this team is the right one to take the company to even greater heights.”

Norwegian Cruise Occupancy Ramp Accelerates to Above 100%

Posted on 2 May, 2023 by Spacejunkie2

Norwegian Cruise Line Holdings had an average load factor of 101.5 per cent in the first quarter, according to company executives speaking on the corporation’s first quarter earnings call.

“We reached load factors of 101.5 per cent in the first quarter, exceeding our guidance and breaking triple-digit levels for the first time in three years with some voyages exceeding occupancy above 115 per cent,” said Harry Sommer, incoming president and CEO of Norwegian Cruise Line Holdings.

“With this significant achievement, we have also nearly closed the occupancy gap versus 2019 levels,” he said.

For the second quarter, Sommer said he expects 105 per cent occupancy on average across the fleet.

“This average is slightly below 2019 levels as a result of our strategic shift to longer, more immersive itinerary at the Norwegian Cruise Line brand, naturally resulting in fewer thirds and fourths, which is what historically pushes passenger occupancy above the 100 per cent mark, all while enhancing margin over time,” he explained.

Most Recent Occupancy Rates:

Q1 2022: 48%
Q2 2022: 65%
Q3 2022: 81%
Q4 2022: 87%