Preview

How Carnival Cruise Lines Can Become More Like Royal Caribbean

Powerful Essays
Open Document
Open Document
3468 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
How Carnival Cruise Lines Can Become More Like Royal Caribbean
Cruise Line Industry:

How Carnival Cruise Lines Can Become More Like Royal Caribbean

Service Marketing

Intro-
For our project, we chose to analyze the service provided amongst different companies in the cruise industry. Needless to say, every industry contains many separate companies with varying business models and different core values which help differentiate their company from the next. In the cruise industry, as we discovered through our research and through the JD Power Ratings, we found that Royal Caribbean and Carnival Cruise Lines were perfect examples of such differing companies. It should be noted that we decided to primarily focus specifically on the flagship cruise line, not the entire corporation, as different cruise lines within the corporation are not only of different qualities and target different audiences, but they have nowhere near the market share that Carnival and Royal Caribbean cruise lines do (i.e. Celebrity Cruise Lines, a sister of Royal Caribbean, will not be included in the comparison with Carnival). Upon initial review, one may think Carnival Cruise Lines would obviously provide better service as it possesses 21.2% of worldwide market share compared to Royal Caribbean’s 16.4%. However, as our research and JD Power Ratings showed, Royal Caribbean Cruise Lines is considered superior in every aspect of service quality. How is this possible? How and why is Royal Caribbean Cruise Lines superior in quality to Carnival? What can Carnival Cruise Lines do to catch up to Royal Caribbean in service quality? These are questions we will address throughout the entirety of our presentation. First, however, we must analyze the industry as a whole to get a better understanding of the situation at hand.
The cruise line industry is, without a doubt, one of the most popular and prosperous tourist industries in America today. According to the American Association of Port Authorities (AAPA) and the Florida-Caribbean

You May Also Find These Documents Helpful

  • Powerful Essays

    The current economic landscape is impacted by an aging population with disposable income as well as many external and environmental forces. For instance, over 60% of the worldwide cruise passengers are over the age of 40. Despite the rising oil prices, cruises have and may continue to become increasingly popular as baby boomers enter retirement.…

    • 7656 Words
    • 25 Pages
    Powerful Essays
  • Better Essays

    At the present time, the US economy has began to slow and this will have a direct impact on the cruise industry. Also, the industry depends heavily on travel agents to do the majority of their booking. This has caused the cruise operators to be hesitant in implementing on line booking and other marketing plans in fear of the travel agents refusing to sell their packages. Finally, the increase of competition in the industry will begin to make it more difficult to continue to operate cruises at full capacity, which is vital in this industry because of the high fixed costs associated with the…

    • 1348 Words
    • 6 Pages
    Better Essays
  • Powerful Essays

    Hrm110 Unit 1 Assignment

    • 1041 Words
    • 5 Pages

    This industry effects others by offering them a chance with business, if they work together. When the ship docks, the passengers can get off and visit the area, so really the cruise also attracts tourists. So when this ship docks, tourists will want to buy something from the area, have a tour of the area, or if its a tropical area, some may want to go down to the beach. So before the cruise starts, the company will figure out where they are going to stop, and can call tourist groups in the area and make up plans on the day the plan on docking. So really because of the cruise, businesses in the area are getting profit from the tourists on…

    • 1041 Words
    • 5 Pages
    Powerful Essays
  • Powerful Essays

    Carnival Cruise Case

    • 3148 Words
    • 13 Pages

    Carnival Corporation is considered the leader and innovator in the cruise travel industry. Carnival has grown from two converted ocean liners to an organization with two cruise divisions (and a joint venture to operate a third cruise line) and a chain of Alaskan hotels and tour coaches. Corporate revenues for fiscal 2001 reached $4,535,251,000 and net income of $926,200,000. Carnival has several “firsts” in the cruise industry: first to carry over one million passengers in a single year, and the first to carry five million total passengers. Currently, Carnival’s market share of the…

    • 3148 Words
    • 13 Pages
    Powerful Essays
  • Good Essays

    Script - In January 2010, the island nation of Haiti was devastated by an earthquake.…

    • 497 Words
    • 2 Pages
    Good Essays
  • Best Essays

    Carnival Cruise Lines operates in the leisure travel market of the tourism industry. The barrier to entry is extremely high…

    • 3120 Words
    • 13 Pages
    Best Essays
  • Satisfactory Essays

    Carnival Cruise Line

    • 820 Words
    • 4 Pages

    Carnival is a low-cost and customer oriented company which provides fun for a broad market. (Exhibit1 illustrates the core competiveness and key activities of CCL.) “Fun Ship” theme is the key competitive advantage of CCL which “wants to think of the boat as the destination, and the ports as secondary”. At the same time, they use various promotional channels and wide ticket price range to attract broader market. Low cost strategy, customer friendly service and efficient product distribution enable CCL to be the leading company in the cruise industry.CCL performed well in the past and boasts bright future market, but there is still a large room of strategic improvement to break the bottleneck and achieve an even stronger market position.…

    • 820 Words
    • 4 Pages
    Satisfactory Essays
  • Better Essays

    One of the rapid producing leisure industry divisions, the cruise industry faces several challenges. Whereas supply continues to rise at double-digit levels, demand battles to keep speed. Known the demands on communications and the jeopardy of an eroding on-shore practice, less port are in a location to provide accommodation the cruise lines as supply grows. At the similar time, the community sector's inspection of manufacturing practices associated to the surroundings, duty, safety, protection and work increases. Regardless of these confronts, numerous cruise lines report record levels of productivity. This analysis will calculate the leisure-cruise industry and help come to the conclusion on if entering the market is a great idea. This report will focus on the Porter’s Approach to Industry Analysis. Each force will be identified in their separate sections as well as the power of each force to permit a new entire in the market.…

    • 1323 Words
    • 6 Pages
    Better Essays
  • Powerful Essays

    Carnival Swot

    • 2540 Words
    • 11 Pages

    The cruise industry is the fastest growing segment of the travel industry with more than a 2,100 percent growth since 1970. While new cruise lines have appeared, the existing cruise lines have expanded their itineraries to include more ports of call, convenient disembark ports, and innovation onboard with amenities and facilities. A huge contributor of the cruise industry is Carnival Cruise Lines. Carnival offers a variety of quality cruises and prides themselves on delivering memorable vacations to cruisers. They not only offer outstanding value, but fun!…

    • 2540 Words
    • 11 Pages
    Powerful Essays
  • Powerful Essays

    Cruises: the Ugly Truth

    • 2726 Words
    • 11 Pages

    When most people think of taking a cruise, they imagine visiting exotic places, lounging by the pool or beach and sipping on exotic drinks. Add to this the promise of all you can eat gourmet food and days of pampering and you have what sounds like the vacation of a lifetime. This is for good reason. The cruise industry spends millions of dollars a year in advertising to ensure that this fantasy image fills the minds of not only potential cruisers but also veteran cruiser in hopes that they will return. Cruises were once thought of as a type of vacation exclusive to only those with the big bucks. However, advertising campaigns by modern cruise lines have been very successful in convincing customers that there is a cruise for every, budget, vacation preference and family dynamic. From Carnival 's "Fun Ships" to Royal Caribbean 's rock climbing walls and onboard inline skating, cruise lines are putting a lot work into moving away from the perceived "stuffiness" of the past in hopes of attracting new customers.…

    • 2726 Words
    • 11 Pages
    Powerful Essays
  • Better Essays

    Royal Caribbean’s mission statement is:” We always provide service with a friendly greeting and a smile. We anticipate the needs of our customers. We make all efforts to exceed our customers' expectations. We take ownership of any problem that is brought to our attention. We engage in conduct that enhances our corporate reputation and employee morale. We are committed to act in the highest ethical manner and respect the rights and dignity of others. We are loyal to Royal Caribbean and Celebrity and strive for continuous improvement in everything we do.” Their vision is to empower and enable their employees to deliver the best vacation experience for their guest, by generating superior returns for their shareholders and enhancing the well-being of our communities. Overall, I think Royal Caribbean’s ultimate mission is to provide exceptional service to guests by going above…

    • 938 Words
    • 4 Pages
    Better Essays
  • Good Essays

    The Royal Caribbean Cruises definitely lacked in many aspects of the Cycle of Capability. The article stated nothing about limitations and expectations of employees, employee recognition, how satisfied the employees were, employee referrals of potential job candidates, or employee/customer selection. However, since this case focused on technology, I can see that Royal Caribbean Cruise lines have incredibly well-designed support systems. With the leapfrog program in effect and several technological innovations Murphy implemented, the customer’s needs were not only met, they were exceeded.…

    • 593 Words
    • 3 Pages
    Good Essays
  • Powerful Essays

    A threefold business strategy was in place. It consisted of 1) design better cruise experiences, 2) reduce costs and 3) grow revenues. It improved guest experiences through luxurious ships with rock-climbing walls and ice-skating rinks, the Silverwhere seating arrangement program, Internet cafés and the introduction of a debark card for reduced debarkation times. While Royal Caribbean was not the low-cost leader that larger competitor Carnival was, it offered a premium cruise experience at mass-market price and leveraged the individual character of its two brands – Royal Caribbean and Celebrity.…

    • 1130 Words
    • 5 Pages
    Powerful Essays
  • Satisfactory Essays

    Cruise Syllabus

    • 1225 Words
    • 5 Pages

    Analyze the services of the cruise industry from a traveler’s perspective. Identify routes, schedules, fare specials, and vacation packages;…

    • 1225 Words
    • 5 Pages
    Satisfactory Essays
  • Good Essays

    Suggested Learning Activities 1. Spotting the difference between a mere sentence and a judgment/proposition. 2. Imaginary ‘anatomy’ of the body. 3. Mind game: What’s more essential: a) character or fame? b) beauty or brain? c) money or person? 4. ‘Measuring depth of knowledge’ game.…

    • 8913 Words
    • 36 Pages
    Good Essays