Royal Caribbean… Makes Cruising Greener

Last Week the world’s second largest cruise operator (Royal Caribbean) released its 2009 Stewardship Report.  This report covers a variety of different topics such as environmental, medical, security and public health efforts of Royal Caribbean International and its two other lines; Azamara and Celebrity Cruises.

The short of it is that Royal Caribbean was able to cut fuel consumption by 3.7 percent.  This improvement is due in large part to smarter sailing practices, better ship design and a better focus on energy efficiency measures.  They beat there year over year reduction goal which was 2 percent this was the result of using about 30,000 metric tons less fuel than what was planned.

When we think of fuel normally we think of ship propulsion however Royal Caribbean was able to exceed their goal by not only sailing more efficiently but by using more efficient HVAC practices.  Additionally they were able to refine some aspects of the hotel and lodging part of the equation to realize further savings.  Some of the measures which were taken include:

Royal Caribbean also re-used or recycled 21 percent more material than it did the prior year.  This allowed them to reduce the amount of waste taken ashore by 9 percent.

Royal Caribbean has set a goal of reducing fuel consumption by a minimum of 2.5 percent each year.  Royal Caribbean also stated that the reduction goal could be raised depending on which new technologies develop.

The next step in hitting their aggressive goal is to install high-tech clean wastewater systems throughout the entire fleet.  In a business environment where companies are constantly looking to save a buck, Royal Caribbean is investing over 150 million dollars in a fleet-wide installation of Advanced Wastewater Purification systems.  These systems can clean wastewater to a level which is twice as clean as the United States standard.

The cruise industry often comes under fire by environmentalist groups; with incidents like accidental waste dumping this is probably deserved.  However, it is good to see that Royal Caribbean is at the forefront of an effort to reduce the industries strain on the environment.  Hopefully the industry as a whole will follow Royal Caribbean’s lead and become just as vigilant.

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Hurricane Season Starting to Heat Up

Although Danielle has weakened to a Category one hurricane; Earl the fifth storm of this hurricane season is heading towards the Leeward Islands.  Hurricane Earl is quickly picking up steam and causing cruise ships to modify their itineraries.   The tropical storm which has now been upgraded to a category 1 hurricane is currently about 225 miles East of Antigua and 315 miles east of St. Martin and heading westward at a speed of 18 mph.  Forecasters expect the storm to reach Category three status which means a wind speed between 11-130 mph by Tuesday.

The eye of the storm is expected to pass over the Leeward Islands late Sunday night and a hurricane warning is currently in effect for those islands.  Also, a hurricane watch is in effect for the U.S. and British Virgin Islands as well as Puerto Rico. That region is expected to receive rainfall totals anywhere from 4 to 12 inches in some areas.  The good news for those currently in the Caribbean is, instead of turning west-northwest as forecasters expected it is starting to move on a more northern track away from the Caribbean towards the East Coast of the United States.

So far the Carnival Dream, Oasis of the Seas, Enchantment of the Seas and Norwegian Epic have all changed their itineraries.

Although no one really likes to have their trip altered, hurricane season can be fun if you approach it with an open mind.  There is a certain risk we all take on when booking cruises this time of year. When the announcement of an itinerary change is made, naturally you will feel a bit of anxiety.  Do yourself a favor; order another drink, realize there is nothing you can do about and embrace the added sense of adventure.  Sometimes you end up having even more fun flying by the seat of your pants.

If you are unfamiliar with the new ports of call the best thing to do is ask your waiter or a bartender for recommendations on what to do.  These guys visit these ports every other week and are more in tune with what is going on than almost any guidebook you will ever find.

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Carnival Cruise’s New Facebook Application

The other day Carnival Cruise Lines and a digital marketing agency called Razorfish announced the launch of a new Facebook application.  This new app is a new type of social commerce application that allows you to select, view, compare and share Carnival cruises with your Facebook friends list.

You can get the application on Carnival Cruise’s official Facebook fan page (www.facebook.com/carnival).  Once downloaded this application allows you to check out Carnival’s cruise inventory without leaving Facebook; details of the cruise  and even an invitation to book the cruise can then be shared with your friends with the simple press of a button.  On a website where many users post every time they get a drink of water, people will jump at the opportunity to update the world about an upcoming cruise.

This new app is a brilliant move for Carnival as it ties the Carnival Cruise booking engine into the most popular website in the United States; a move that is sure to be followed by the other cruise lines.  By leveraging the power of Facebook applications Carnival has created the industry’s largest sales force; with the best part being (at least for Carnival), this sales force works for free.

Currently Carnival’s Facebook page has about 250,000 fans that upon installing the app will essentially become unpaid affiliates for the cruise line.  The average Facebook user has over 100 friends.  Not all of those fans will be booking a cruise in the immediate future but Carnival is banking on the fact that most will at some point.  When that booking is made, information and invitations will go out to more than 100 people (the size of the average friend’s list).

My Viewpoint on the Carnival Facebook Application

From a business standpoint this is a brilliant move by Carnival Cruises, for cruisers it isn’t so great.  Let’s be honest.  With 250,000 fans potentially inviting 100 friends each on a cruise Carnival’s bottom line should grow tremendously.  I book a cruise and then recommend it to a half dozen friends who I went to college with; thats great business for Carnival, but other than companionship I get nothing out of the deal. It feels like Carnival is taking advantage of me.

The fans that make those recommendations get nothing out of the deal.  What I would like to see is Carnival institute some sort of program where the referrer could earn on-board credit or some other perk for additional bookings make through the invitation system.  This would create a win-win situation for both Carnival and its customers.  In fact, I would be willing to bet that had the cruise line not gotten greedy and instead decided to share the wealth this would be one of the fastest downloaded Facebook applications ever created.

You can bet Royal Caribbean and Norwegian Cruises will follow Carnival’s lead and if they decide to provide some sort of incentive it may not take long for them to eliminate Carnival’s first mover advantage.

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