Carnival Corp. to proceed cautiously with Ocean Medallion

Arnold Donald, left, with Travel Weekly’s Arnie Weissmann at CruiseWorld. Photo Credit: Creative FocusFORT LAUDERDALE — Carnival Corp. is taking a slow approach to introducing Ocean Medallion technology, making sure it works right and is delivering the services that customers really want, CEO Arnold Donald said Friday at Travel Weekly’s CruiseWorld.

Speaking to travel agents at the conference, Donald said the technology is so transformational that Carnival Corp. doesn’t want to create a future shock for past passengers.

The Ocean Medallion is a wearable disc that can be worn as a pendant, wristband or clip. Besides functioning as a stateroom key and streamlining the boarding process, the device is billed as a “personal concierge.” When used in tandem with the Ocean Compass app, the Ocean Medallion will enable passengers to make dinner reservations, order drinks to be delivered where they are located, receive excursion invitations based on interests, and play casino games anywhere on the ship.

“We’ve got to be really intelligent about how we introduce this because it’s different,” Donald said.

Carnival Corp. did a multimillion-dollar upgrade of the Regal Princess’ terminal at Port Everglades to create a new embarkation experience. “When guests walk through that terminal, it doesn’t feel like what they’re used to, so we want to manage all the unintended reactions,” Donald said.The first ship to have the Ocean Medallion, Princess Cruises’ Regal Princess, was to offer it on the entire 3,560-passenger ship starting Nov. 13, but the rollout has been scaled back to select guests and groups.

The MedallionNet rapid Internet service, which is in use on the whole ship, is drawing rave reviews, Donald said.

Carnival Corp. is targeting the 2018 first quarter for a wider introduction of the Ocean Medallion. “The guests will decide what they want, how they want it when they want it. That’s why we’re introducing it slowly to make sure we get it right because it’s truly transformational,” Donald said.

Carnival is also moving deliberately on developing a new $200 million beach destination in Grand Bahama. Donald said Carnival signed a deal to build the destination just before a change in government in the Bahamas.

“We’re working closely with the new government to make sure we’ve got the right location, the right development concepts and that it will work for the locals,” Donald said. “It’s not just a matter of building a destination, but building a destination that’s woven through the local community. We hope to have that destination completed in the next few years, but it is a process.”

Donald was also asked why Carnival sells through warehouse club Costco, which uses gift cards convertible to cash as a rebate when club members buy cruises

“I don’t have an easy answer for any of these big-scale folks that go low-cost,” Donald responded. “You have to match up your business where it really will compete effectively.”

He said agents that provide personal service and client understanding will not suffer from bottom-feeder competition, but he said Carnival will look at the issue. “We would prefer to see strong pricing,” he said. “There’s no big reason to be discounting today.”

Technology Meets Cruise Trends

Port of Miami entrancePHOTO: Port of Miami entrance. (photo via Flickr/Phillip Pessar)Cruise travel is so hot right now.

In order to determine just how hot, advertising platform Sojern partnered with Google to ascertain the outlook.

The three biggest takeaways from the report pertain to mobile planning, influence and alternative forms of travel. First, there has been an uptick in mobile cruise searches during 2017—33 percent to be exact, accounting for 29 percent of such overall searches. Second, pricing (89 percent) and entertainment (47 percent) are among the factors that influence potential cruisers.

Third, those searching for other vacations may still opt for a cruise in time.

Additionally, the report cross-referenced Google’s treasure trove of search and survey data with Sojern’s own intent information from traveler profiles and purchase signals.

As much as mobile and online are important these days, offline booking is still viable. Of past cruisers, 41 percent still made their reservations either by utilizing a travel agent or calling the cruise line directly. However, trends are certainly shifting more digital, so online travel agencies are crucial. After all, 69 percent of cruisers desire to book their next trip online.

Going digital is an influence in itself. The video specifically is cited as an important tool in capturing travelers’ attention, (which is one of the very reasons I produce my own Popular Cruising YouTube channel).

As far as marketing is concerned, there is a multitude of paths a buyer may take before booking.

One of the most common, with a 37 percent share, remains a simple cruise search followed by the reservation. However, there are also bookings that follow one or more searches for other travel forms and agencies either before or after a cruise inquiry.

In other words, agents, as well as cruise lines, should have a strong online presence, especially via social media.

As one might expect, searches for key air destinations also correspond to cruise searches. In the top ten are Miami, Fort Lauderdale, Orlando, Los Angeles, Boston, Cancun, Vancouver, San Juan, Honolulu, and Tampa.

Given most of these are also cruise hubs, it makes perfect sense that a search for something land-based might transfer over to something cruise based.

The report points out that, despite the wonderful all-inclusive value proposition of cruises, it is not always what leads people first to a cruise. Rather, it’s more often about a destination or experience.

Once another gets them interested, however, the value is a great way to win them over.

It’s worth noting a majority of cruise searches still occur on desktop platforms and almost all bookings are made on the desktop over mobile. During a week, most searches happen on Mondays and Tuesdays, with three-quarters via desktop. However, by the weekend, mobile searches account for one-third of the traffic.

Meanwhile, only 9 to 11 percent of reservations are actually made over mobile versus the remainder via desktop. There definitely seems to be potential to convert more mobile searches to bookings accordingly. Perhaps apps need to mature in this area to ensure better consumer confidence.

Ultimately, there remain plenty of ways in which a traveler can research and purchase a cruise vacation. Both cruise lines and travel agents need to simply be aware of the prime marketing positions and avenues to occupy.

Quantum Technology Delivers Ease

Royal Caribbean International’s new smartship creates a better cruise

By: Marilyn Green

<p>In addition to a skydiving simulator, Quantum of the Seas offers keyless entry to staterooms and robotic bartenders. // © 2014 Royal Caribbean...

The technology on Royal Caribbean International’s (RCI) new Quantum of the Seas is so smoothly, logically blended into life onboard that it makes returning home a bit of a shocker — you actually have to take a key and open your door. Guests on the November inaugural cruise were confronted by technological miracles; the designers of Quantum have been able to create a space where spectacular technical strides create a smooth cruise, rather than demand the focus of attention.

Take the online digital check-in. It needs a bit of time (you must create your own photo ID), but if you complete it, there is virtually nothing to do at embarkation — just collect a Radio Frequency Identification (RFID) wristband that functions as your ID/room key. You can also track your own bag to your stateroom via RIFD tags, and new guests of all ages quickly mastered the Royal IQ app, clustering around the kiosks or downloading it to set up their appointments, reservations and plans.

New onboard experiences are, of course, technology-driven and incredible feats, but they seem perfectly normal within the world that is Quantum. People simply accepted technological magic and got on with enjoying features such as the North Star gondola that looks enough like the London Eye to seem familiar. And the guests trying out the skydiving simulator merely remarked that it took a lot more effort than it appeared, instead of marveling at the technology that produced the experience.

One of the life-changing features is RCI’s new onboard Wi-Fi access, satisfyingly fast and priced at moderate rates, which is expected to attract many who would otherwise not cruise, such as the huge millennial market.

“For millennials, it’s not a real vacation experience unless they can share it,” said Bill Martin, chief information officer for Royal Caribbean Cruises.

Another popular smartship feature is the Robotic Bartenders at the Bionic Bar, but even those seemed eerily familiar (I couldn’t watch them without looking around to see the alien patrons from Star Wars’ famous cantina scene). The Robotic Bartenders B1-0 and N1-C are programmed to the movements of American Ballet Theater’s principal dancer, but their shapes somewhat resemble aquatic creatures. Drinks are ordered tableside with a tablet, mixed briskly by the robots and brought to the customers by a live waiter.

Two70, the performance space, is backed by six RoboScreens that add an extra troupe of performers or coalesce into one impressive image. The room’s Vistarama transforms floor-to-ceiling glass walls into very real backdrops, shown off in the performance of the Cirque-like spectacle “StarWater.” Although the effects are dramatic, the space somehow is very friendly, and several groups remained chatting and sipping drinks for an hour afterward the show.

When you hear about the 80-inch “virtual balcony” LED screens in the inside cabins, it sounds like a gimmick. But in fact, it opens up the whole space and gives occupants a true vision of the weather and surroundings. The smartship elements also have increased efficiency and environmental responsibility; computer modeling is used to reduce Quantum’s energy consumption, including efficient hull configuration, engine design and energy saving devices.

Even the crew’s superb service has been given a boost with tablets carrying custom apps that help them track guest preferences. And those same personal tablets enable the crew to Skype their families. They can now be a part of key occasions and see for themselves how their relatives are doing. The rest of the RCI crews will also be given these tablets without charge as the technology is installed across the fleet — 40,000 personal tablets in total.

“This isn’t about technology for its own sake,” one guest said, mirroring my own thoughts. “This is technology for making things better.”