2 New Icon Class Cruise Ships Ordered By Royal Caribbean

Image result for anthem of the seas under construction

Photo of Anthem of the Seas under construction.
 Royal Caribbean has announced that it has agreed to order two liquefied natural gas (LNG) powered cruise ships from Meyer Turku in Finland. Even though it is early stages the ships will accommodate around 5,000 passengers each.

The newly designed vessels which are currently known as Icon Class are scheduled to be delivered in the second quarter of 2022 and 2024. The ships will dramatically reduce greenhouse gas emissions with LNG technology.

Richard Fain, chairman and chief executive officer of Royal Caribbean Cruises, Ltd said:

“With Icon class, we move further in the journey to take the smoke out of our smokestacks.”

“We are dedicated to innovation, continuous improvement, and environmental responsibility, and Icon gives us the opportunity to deliver against all three of these pillars.”

The Icon class ships will mainly be powered on LNG but will also use distillate fuel for ports which can’t accommodate the infrastructure. The cruise line will be announcing further details including design, tonnage and specific details in the future. Until then, Royal Caribbean must still focus on new Oasis and Quantum class ships which are currently on order.

Icon Class
Icon Class

Image By: Royal Caribbean

Anthem of the Seas Now Sailing in the U.S.

Anthem of the Seas enters New York

Anthem of the Seas sailed past the Statue of Liberty and around Manhattan on a night of such warmth and clarity that it was hard for me to realize the month was November. I sat in the ship’s beautiful conservatory and marveled at how welcoming such a huge vessel could be.

A ceremony marked the arrival of the Royal Caribbean International ship in the U.S., and Anthem made a glowing entrance. The onboard entertainment, dining and accommodations incited the same excitement seen in the U.K. for the vessel earlier this year. Americans were particularly enthusiastic about features such as the large virtual balconies in the inside staterooms, where people with live-streaming “windows” saw more dolphins and whales on the transatlantic crossing than many of those with balcony staterooms.

Doug Grau, director of sales for the Western U.S. for Royal Caribbean, says the active lifestyle activities available onboard — from a skydiving simulator to circus school — are an especially good match for Western travelers, who tend to be energetic and outdoors-oriented, falling within Royal Caribbean’s psychographic. The top-flight entertainment, including the amazing “We Will Rock You” Broadway musical, tribute bands and cabaret shows, is also a particularly strong draw for the West.

“There is huge interest in Western states for Anthem (Quantum-class) and Oasis-class ships, and 30 percent of Royal’s sales coming out of the West is for these ships,” Grau said.
However, Grau finds a gap between agent experience and demand. When he talks to agent groups and asks how many have sailed with Royal Caribbean, most have; however, when he asks how many have been onboard during the past few years, only a handful respond affirmatively. Grau notes that when Mariner of the Seas came to the West, it was the first time many agents had seen the ship — and it was nearly 10 years old.

At the rate that the line’s ship design and customer experience has changed, this means Western agents are missing out on the modernized Royal Caribbean, Grau says.

“If you aren’t selling these ships, your customers are buying them elsewhere,” Grau said. “I tell them it is well worth the investment to attend the East Coast Cruise 360 sessions and inspect a number of recent ships. Large ships scare a lot of agents, who are afraid their clients will be caught in long lines and tied up for hours when embarking. We’ve done everything possible, both in terms of design and technology, to make the experience human-sized and comfortable. We have more rooms that hold 80 or 90 people than ever before.”

These efforts are paying off. At Anthem’s embarkation on Nov. 4 in Cape Liberty, N.J., Royal Caribbean representatives with iPads checked passengers in as they were dropped off at the port. Common questions I heard from guests were, “Is that all?” and “What do I do now?” The answer: “Go right to your stateroom and enjoy the ship.”

My own check-in experience, complete with credit card scan and photo ID, which I had not done in advance, was five minutes from start to finish — considerably shorter than check-in on ships less than a quarter the size of Anthem.

During Anthem’s first cruise from the U.S., Royal Caribbean announced an order for a fifth Quantum-class ship to be delivered in fall 2020.

“It is such a pleasure to announce the order of another Quantum-class ship as we are welcoming Anthem of the Seas to North America,” said Richard Fain, chairman and CEO of Royal Caribbean Cruises Ltd.

Fain says although there have been some tweaks in food, drink and entertainment, the Oasis and Quantum ships cross international markets with ease.

“These ships have been received with excitement by passengers and crew and have performed exceptionally well across the globe,” he said. “We fully expect that momentum to continue as we add to this innovative class.”

Cruise Order book Hits Record Level

Cruise lines seem to have abandoned their cautious approach to ordering new ships this summer as the cruise orderbook has achieved record level, with the sector hoping to take advantage of the mobility of its assets to tap the enormous potential in emerging markets, according London-based industry analyst Clarksons Research.

Since the start of last year, 24 firm orders for new vessels, including 15 with capacity in excess of 3,000 passenger berths, have been recorded. The order book now consists of 41 vessels with a combined berth capacity of 120,664, equivalent to 25% of the current fleet.

In the 3,000+ berth sector the orderbook is equivalent to 73% of the current fleet.

According to Clarksons, the continued focus on “mega” cruise ships is evident from the orders noted so far this year.

Namely, Royal Caribbean has ordered another Quantum-Class, 4,200 passenger ship for delivery in 2019. Elsewhere, Carnival Corporation has firmed the first four of a previously announced plan for a nine-ship order.

“These will be the largest ships contracted by Carnival at 180,000 GT, and while not as large as the Royal Caribbean Oasis-Class ships (225,000 GT), they will have a higher total passenger capacity (6,600), giving Carnival at least a claim to having the largest cruise ships afloat,” Clarksons said.

In the past 20 years, there have three distinct phases of expansion, with the orderbook exceeding 100,000 berths in early 2001, in 2007-08 and again in 2015. The two previous peaks were followed by a sharp drop as investment in new vessels was abruptly cut off by economic slowdown in the established key markets in North America and Europe.

In the short-term, Clarksons expects the performance of the cruise sector to remain closely linked to that of the major “western” economies. Last year North American and European passengers accounted for 55% and 29% of the global market of 22 million respectively; these markets will continue to exert an important influence.

However, the outlook may be shaped by developments further east. Thus far, relatively few of Asia’s rapidly growing middle class have been exposed to cruises, but the cruise lines believe they can develop significant demand growth in this region.

In 2015 the number of mainland Chinese tourists cruising is expected to pass 1 million for the first time, and according to industry sources in 2014 the number of cruises based at a Chinese ‘home port’ grew by 9% y-o-y to 366, while another 100 cruises called at a Chinese port (up 41%).

“So, the cruise sector once again seems to be in rapid expansion mode. This time, the question is whether the establishment of new Chinese brands, the deployment of vessels specifically designed for Chinese operation and further investment in Asian cruise ports could drive a more sustained phase of ship investment,” Clarksons adds.