Hi Karen. I would disagree with you. One thing that will hurt them more is having aging ships while their competitors are continuing with ordering ships. Passenger loads will drop, and you have to consider that some ships will have to be taken out of service because of age . The ships that are 5 years or older will put their average ships age at over 15 years old or older. This is not what they want to look forward to, not when their compilation has newer ships. Maybe not as big for Carnival, Aida, or Costa as for their Premium Lines such as Princess and Holland America. While Celebrity and say Disney have the modern ships. In the Luxury market with Seabourn and Cunard it will be a major issue.
They could try to merge their frequent cruiser programs to entice crusiers to go from one brand to another across their entire fleet. I wouldn't mind that at all and I'm sure I'm not the only one. That might keep people from trying other non-Carnival Corp brands to gain a different experience and maybe cruisers will be become more loyal to them as a whole.
I’m a new cruiser and the ship is what’s the most important to us right now. Maybe because we haven’t gone anywhere yet. We sail on the celebrity Apex this year.
As a carnival stockholder, I am happy to hear that they are working on getting the debt down. Especially since my feeling is that the economy is going into a slump. I believe fewer people will be cruising over the next several years. Good job Carnival!
I am ok with paying for room service. And I had no idea there were gluttons out there ordering 5-6 entres!! That’s abusive. I feel a cruise is the best bang for your buck! With the room, dining and entertainment! People that abused the services caused this. We will not stop cruising!! Be conservative people!!
Yes and how many times have you seen heaping plates of food at the buffet get tossed into the garbage? Or a deli sandwich that sits left on a plate not even touched? People need to wake up and not be so greedy or wasteful! Take a little, if you don’t like it ok no problem, of you like it then go back for more. There is a Chinese restaurant chain up here that serves tiny little deserts, at first you think cheap buggers! Then when you think about it this is a good idea. Take a plate with one of those tiny little Nanaimo bars and if you like it then get another if you don’t no big deal as there isn’t much waste.
Now see, I am considering not taking a cruise because of charging for room service (not to mention that mandatory 18% tip). I'm fine with limiting entrees etc. But seems like too many cruises are forgetting that they have replaced what I grew up with...all inclusive resorts. I want to pay one price, then know I'm going to be pampered & not feel like I'm at Disney (my former happy place) where they are trying to wring every last penny out of me. And I want to get room service a couple of times to stay in, rest and recover. It's not fair to pay tons extra for what would be free if I went to the dining room. The way I see it, I already paid for that meal. And to be clear, my issue with the 18% gratuity is that I doubt the person actually delivering it is seeing that. If they are, I'm fine. If not, I'd rather tip them cash that I know they get!!!
I need to correct the ship that housed New Orleans refugees from the hurricane that destroyed their homes. It was not the Elation,but the Carnival Ectasy! Next to her, the oldest now is the Elation. It would make sense to take her out of service. Sorry for that error!
I think they are being smart and focusing on other things that make customers happy, like guess experiences. Most people don't care about how many ships a line has
Good job, Don! As a Holland America Four Star Mariner, I am hoping they do not curtail their well-earned overall quality for short-term financial benefit - I am concerned at the huge debt level of the parent company and worry about the contamination factor for HAL.
I think Carnival is doing the right thing by retiring some of their older less efficient ships. Also, I think they should hold up on ordering new ships until they get their money flow back again and reduce the debt that grew when they didn't have any revenue for those long 2 years
Also, people are forgetting that Carnival corporation can transfer ships from Costa to Carnival, so just because Carnival isn’t getting new builds that doesn’t mean they won’t be getting more ships. I think it would be awesome if all 4 of Carnival Splendor’s sister ships joined the Carnival fleet. It would also be cool if the 4th dream class ship (that currently sails with Costa) joined the Carnival fleet. Costa is doing WAY worse than Carnival so it wouldn’t surprise me if Carnival corporation decides to phase out Costa and slowly transfer the ships to Carnival.
Our first cruise was on the Norwegian Bliss. It was a beautiful ship and the food was very good. However, we got bored, there just was not enough to keep us entertained. My husband was done with cruising after that. I talked him into a Carnival cruise on the Mardi Gras. We had SO much fun!!! There was so much to do and the people where fun and very nice. My husband decided right after that we would only cruise on Carnival.❤ The thing to know is to not cruise during spring break and stay away from short cruises.
I would be so glad to see some newer smaller ships. We don't look for lots of the things that newer ships have, As a stock owner I hope they can find a working balance between spending and profits.
Agreed I don’t like the new over crowded mega ships. I expect that as the lines continue to move towards profitable mega ships customers like us will elect to spend our vacation dollars elsewhere.
Sorry but not going to happen. They are far too expensive to run and that why they have sold them off and bring bigger one's which has the cabin capacity to cover loses. The big lines will sell the smaller ships to smaller companies or scrap them.
I'm also a stock holder, but being from the UK tend to stick to Cunard and P&O. I'm a big fan of Queen Elizabeth and Queen Victoria, both being the smaller ships, and less so now Queen Mary 2, which is much bigger (though small now by comparison t the mega ships). Queen Anne is coming which is another of the smaller ships, though can take more passengers than either QE or QV. I also went on P&O IONA last year, which is one of the new big ships and it was OK, (full disclosure, we had lots of bad weather so that could have negatively influenced my enjoyment) but I did notice they were nickel and diming a lot more and had a big push on trying to get you to pay extra for lots of things, including alternative dining as much as possible. Smaller ships are going to need to justify themselves as premium brand offerings and not try to dumb down and compete on price.
@@MicroFourThirdsCorner Cunard is my favourite line and QM2 my favourite ship followed by P&O. Love the Iona we are booked for 2023 and 2024 and we are also booked on the Arvia for 2024. If they are nickelling and diming us I don't mind as we don't spend any extras on ships anyway so we are probably not much good for their profits. Looking forward to trying the Queen Anne one day.
Carnival should just sell of their brands and just keep Carnival, Princess and Holland America. Focus on those three lines and sell the rest to pay off dept. Become smaller and leaner.
I prefer smaller ships. Grandeur of the Seas was our favorite. Too many mega ships are not necessarily a good thing. The post Covid world is definitely a different one. Merry Christmas Don🌲
We also love smaller ships. Have been sailing Grandeur and Enchantment of the Seas out of Baltimore for years. Gonna sail on Anthem of the Seas this coming March to experience the difference, but already have a cruise on Vision of the Seas booked later in 2023. Merry Christmas and Happy New Year to all cruisers everywhere!
Same here. I stick with the Baltimore port because of their smaller ships which makes it feel more like family. Of their two lines, Carnival always offered the best experience (even though their inside rooms cost 30% more).
I think all the cruise lines are in trouble, not just CCL. When you consider the massive spending and no income through the pandemic I do not see how it could be any other way. Don’t forget they took money for 2019 and 2020 cruises and spent it to keep going but could not provide the cruise. They issued enormous future cruise credits meaning they have been carrying passengers for the last 12 months without adequate fresh income ….. I wish them well.
Not MSC, they are the world's largest container ship company and made tons of extra cash with super high pricing during the supply chain squeeze. They are privately owned but need to keep spending to reduce their taxes on their windfall prfits.
I would love to have more Pinnacle and Signature Class ships with Holland America, but not right now. We’ve sailed four times since August of 2021 for a total of 38 days and no things are not like they were, but things are getting better with each sailing and more and more on board.
We have had to cut back on not needed expenditures because of the current inflation going on. Once inflation goes away, I am sure we will spend more. I think Carnival is thinking the same. So, not surprised by the increase cost to cruise with less being offered as it used to be. They are just like the public, trying to survive the high costs and of course, the shipping issues going on. Thanks for sharing!
The last inflationary cycle of the '70s under the Carter administration took 15 years to dissipate. If people think this is going away in a year or so, they are in for a rude awakening. Look back at history and see how long it took to get out of this vicious cycle. Not to mention this current economic environment and overspending is completely unprecedented. We are in for a substantial recession if not a depression.
I expect once something is ‘taken away’ from cruisers and made ‘for pay’, it will be impossible for cruise lines to give it back. It would be going against their DNA.
@@lenvella9541 I have been cruising with HAL since 2013 and been a fan since. Could you share more what it was like 20/30 years ago before it was bought out by Carnival? I appreciate how HAL operates and with its mid-size fleet, decent food and excellent services. All their ships (older or newer) are always immaculately clean and well-maintained. I couldn’t make myself try another line after making the mistakes of trying Norwegian in 2018. Their crew are not all as nice and we find the food not great with little selection.
The problem carnival have is not immediate, it’s in the future. They’ll get left behind, MSC and RCI are roaring ahead with innovation, Carnival won’t be. Also customers won’t sail Carnival if they keep endlessly cutting back the services making it worse, they’ll go elsewhere and force Carnival further into a downward spiral. They could really be in trouble in the next few years.
The stock is at about 1/10th of its all time high just before COVID of about $72. That's insane. Pair that with the amount of debt they're in and I'd say they really are in trouble.
I might buy a 100 shares to get the OBC if the share price drops below $4 per share. Four cruises and it’s paid for. But I wouldn’t buy it as an investment.
Very interesting video thanks. I'm thinking of trying a short cruise for first time but but these bigger and bigger ships (too many people) interest me less and less. The prices are also starting to put me off a bit now although I do realise you can't have it both ways.
Love your crazy sweater.....thanks for the year of reporting Cruise News....went to Panama canel..in OCT...been enjoying your up dates...Merry Christmas in Canada...& very Happy New Year of GOOD HEALTH......bless you
Carnival is going to do just fine. They are going to pivot towards marketing and new customer capture. Top Funnel strategy. As a first time Cruiser, I didn't even think about the "shop for my vessel". It's all about the destination and the pricing.
I hit my Milestone on Carnival with a 25th cruise. I've sailed on several cruise lines and Carnival's my favorite line. The naysayers label Carnival when actually it's not bad at all. I've never had a bad experience through 25 cruises with them since 1985. I enjoy all cruise lines. It's all what you make of it without others making your mind up for you.
Just hitting platinum on my next cruise in a couple of weeks we will be boarding as platinum. After this we will be on a b2b2b on the same ship in the same room. I have not had any measurable issues in 70+ days except a couple of small things that were quickly fixed to my satisfaction of which can take place on even the most expensive and luxurious cruises. I can sit back and be comfortable with not feeling I am surrounded by uppity types, the rooms have been clean, the food pretty good, the prices good ok maybe more attentive service in the lido at times but that may come on a ship with a higher crew to passenger ratio and a trip price of double what I’ve paid.
Sailed on Glory and worst experience ever. Crew was good. First and last time on Carnival. Food was poor, entertainment lacking. Activities absent except for trivia the whole day.
As a Carnival investor, this is what I want to hear. Focus on reducing new debt so that profitability is reached. That increases the stock value. It's been a bumpy road but not their fault.
Carnival has been doing something weird lately. I’ve been getting really good offers by email but when I try to book I get a message that the rate isn’t available for one person. I’ve been cruising solo on Carnival since 2007. I’ve never been unable to book a cruise because it was only for one person.
The Shiplife guy was cruising by himself on the Paradise 2 months ago. I was on the same cruise. He usually cruises by himself, unless his girlfriend can come along.
That sucks... Might be worth discussing the issue with a Carnival agent, or an independent agent who specializes in cruising. They may be able to find a workaround for you.
Carnival has always been known as the cruise line with extremely short, cheap cruises as well as cost per day significantly lower on longer cruises than their competitors. In the past several years it appears (may or may not be true) that they have experienced more mid cruise mechanical problems than other lines. They have been perceived as having dining options that are significantly inferior than those of the competitors (may or may not be true). and there have been episodes of group violence on the ships that have been highly publicized. I don't know what they can do to improve these situations, but I do believe many people are fed up with the perceived unpredictability of a Carnival cruise experience. -
The episodes of group violence on Carnival have been few and far between. You are talking like they occur on every cruise. NO THEY DON'T! Fights have occurred on EVERY cruiseline! The last one I heard of was on a Celebrity ship, if I am not mistaken, NOT on Carnival. I know for sure the fight happened on luxury brand! I think you hear about a fight on a cruise and instantly think it is on Carnival, without checking to see which cruise it was actually on. If so, SHAME ON YOU!
From watching you and a few other cruisers the industry on the most part are in trouble. Not a cruiser so doesn’t affect me but sure is sad watching the quality/enjoyment/demise of the industry.
You have said what I have been thinking for several months. With the cutbacks and scrappings they are trying to stop the bleeding. I would not be surprised if one or more of their European brands is sold in the next year or two. RC may take Costa as a replacement for Pullmantur while NCL may pick up Aida to get into the European market.
I respect their approach to want to decrease debt. Sounds like smart business. They have Mardi Gras and Celebration and then Jubile which are all mega ships. How many mega ships does a cruise line really need? I think they have a plan and will be fine 👍
@@lenvella9541 The ship seemed pretty full when I cruised on the Vista in February and on the Paradise in October. Unless you are talking from experience, you are not telling the truth.
Stop building ships instead of the cutbacks in service and amenities on board. The nickel and dime charges make loyal cruisers mad. I have heard those who can afford the changes say they will ditch CCL and pay to cruise on the higher end lines.
Just got back from 11 nights on Queen Elizabeth. Don't know what the occupancy rate was, but you had to arrive on time to get a good seat at Afternoon Tea. Have another Cunard cruise coming up in 2023 and one with HAL in 2024
I just got off a carnival ship yesterday, and I was disappointed. The food wasn’t great. One person made our trip but otherwise there wasn’t anything that made me want to go on a cruise again.
Carnival also has purchased several other ships which they are still getting ready and definitely the ships leaving are smaller ones. They have made numerous cutbacks which started before the pandemic. All the cruise lines have been making changes and are all in some trouble. But I foresee over the next year that things will bounce back as they are continuing to especially as they're also starting to punish many of the people who are abusing rules and making so much bad publicity. It truly sucks but they deserve the reprimands they're getting and thankful that it's finally happening and that the cruise lines are standing up for themselves and their loyal passengers
Don is a travel agent, not the CFO. They will sell more stock or ditch a couple of underperforming brands. The$$$$$ that be just want to see a healthy profit margin and room for growth. They will be fine. They are just challenged right now.
@@thomasallen6980 I think Don made it clear he wasn't CFO or a Financial Analyst, and I do agree with your comments. However, many can't help but hesitate when you are making significant payments to a struggling organization.
What Carnival needs to work on is their reputation. Speaking as a long time Carnival cruiser, they have the reputation as the "Walmart" of cruises and it's a well deserved reputation when it comes to their shorter cruises. After 30 cruises with Carnival, I won't do it again.
@@fedex1339 🤣 Thanks for that one. We did Carnival twice +20 years ago, at the time that was all we could afford and we did not complain much. Hopefully they survive, but they need to review their business plan ASAP.
During the pandemic, these cruise lines borrowed billions with very high interest in order to survive. They will have no choice but to gut services to be able to scale back costs. I’m sure they are paying millions in just interest alone and still not paying down on the principal.
I'm in the ground transportation industry. I'm down 30% of my fleet. Got rid of older vehicles and bringing on newer more cost effective vehicles. My profitability is up even though my number of trips is down. Almost the same as Carnival. It's just the way the market is moving. I believe it's responsible and necessary!
Just got off a Disney ship on Sunday. We were on the Magic (Galveston) and it's due to go in dry dock for overhaul in April. I am looking for a cruise to Alaska right now. I prefer Royal Caribbean a little more than Disney.
I think all the Cruise lines are going to have a tough time over the next few years. I get not ordering new ships, but, many other lines are adding and in places like Galveston there are many new lines cruising out of there now and it used to be primarily Carnival. What will keep a Texan Cruising on all the ships and Itineraries they have done many times when there are now three other lines to choose from? However, there brand is "Bargan" so raising prices will be tough. They are already equally priced to Royal in Galveston. Going to be a tough few years for the industry so loyal cruisers like me will just have to cruise extra😁
I think Carnival needs to focus on guest retention. IMO they need a better variety of shows. This does not need to increase costs much. For example if I cruise every 6 months from same port even if I sail on a different ship most likely my shows will be close to the same. we need a wider variety of show and rotate them between the ships every few months. If Carnival will not be getting new ships this must be done. they can also do more band and specialty cruises. I think you could sell a VIP ticket/ experience for better shows.
The new big Carnival ships are LNG powered ( better for the environment) , but the LNG prices exploded this year because of the LNG demand from European countries ( because of the boycot of Russian pipeline gas) and Asia. Carnival has because of this a bis disadvantage compared to RCCL and Norwegian.
Carnival needs more variety in their itineraries. The best part of cruising is the ability to visit multiple countries in one trip. I don't want to keep going to the same 4-5 ports!
You are going to the same ports because the cruise lines decided they would only stop at places where the local governments agreed to construct mega ports. Before that you would have to tender, but you also had more options. I prefer the way it use to be, and with all the other recent drawbacks to cruising, not to mention air travel issues, I don't see myself doing a cruise vacation in the near future.
Easiest way to cut debt is to get rid of some of the other brands. Carnival may downsize to five or fewer brands. You don’t repay 34 Billion by profit alone.
My first cruise was on the Mardi Gras the food was really bad I don’t drink but got the drink package and had 11 drinks and was not drunk I will never use carnival again next cruise is on ncl
If Carnival Corp. keeps cutting services and raising prices and now if they cut out buying new ships it sounds to me that they are shooting there foot off which the company is heading out. I am booked on Ruby Princess back to back January 8th-22 for my first cruises in 30 years and also booked on RC Allure of the seas in March. I’m sure when MSC moves into Galveston it will be my favorite cruise line for regular cruising. For a step up I might stay with Princess until they drop more services and I don’t feel the value anymore. Of course just my opinion but to me they are in big trouble. Merry Christmas and Happy Cruising to everyone 😊
Will be interesting to see how this plays out. Princess is starting to charge for things that use to be free, such as premium deserts at dinner. Curious how that will effect them long term.
I would have thought it was obvious that cruising would reach a stage where the bubble would burst! Just how many people want to go on a cruise, and how can new building be sustained!?
The cruise industry in general is in trouble. Laying off thousands and jacking up prices like crazy. I probably see 10 cruise advertisements everyday on tv.
That likely wont happen. Don’t forget the cruise market is very much a buyers market, they need to fill the ships to make a profit. They wont fill the ships if they increase prices, not enough people will sail. This is the disadvantage of having huge ships that must be filled up to be profitable.
Don, the majority of Americans, Canadians and Europeans are struggling financially. The biggest cruise market is the middle class. Well, the lower 1/2 of this is out completely. They can’t afford anything anymore so obviously Vacations are the first to go. The other 1/2, my husband and I are in this camp, have 6 cruises booked, and still cruise. However, we will quit cruising if they cut the experience. We like 2 times a day turn down service, we just do, so we will find cruise lines who still do this! We like great service and no surprises with our cost, so we tend to book more all inclusive experiences like our Galapagos Machu Pichu trip coming up in June on Celebrity. It is pricey but absolutely everything is included and we don’t have to worry about being nickeled and dimed to death. Also, those of us who can still afford to cruise, and it’s shrinking, w don’t want to deal with thugs getting into fights on cruise ships. So we will avoid that.
We shaved of nearly 8k by simply going on the Celebrity Xpedition rather than the Flora. That 8k paid for our cruise to Iceland Greenland and Norwegian Fjords. We do not need butler service or be in all suites.
I suppose the luxury you talk about is nice of one can afford it or willing to pay the price. I just finished a b2b on the liberty in September in an ocean view room at a price of $850 Canadian $ for two people! The same port of departure on the new Disney ship would have cost me over 4 grand! Ridiculous! We went to pretty much all the same ports too. We had no issues but then again I don’t need a chocolate on my pillow or twice a day turn down. I don’t want or have a need to feel pampered. To each his own.
Being cautious during tougher times is respectable. 85% capacity is not indicating a big opportunity at this point. Marketing, having to still getting over the Covid hump and hesitancy will come. Once they see future demand, i'm sure they can act accordingly and increase their capacity when needed.
I dislike the Mardi Gras after a 12/3/22 cruising. It was loud, overcrowded, almost impossible to get an elevator. The only “free food” we liked was the pizza , the panini & the 🍔 burgers. We ate in the Main DR every night, where the food was top notch and the service impeccable!😅. I would never sail on her again, and we had a larger Balcony cabin (with a cloth bath closure). Where was the glass so the cloth doesn’t stick to you?😮😢Never again
How can you sit there and not show us the rest of your (everybody has one!!!) Christmas sweater? Does anyone else out there have a matching one? Merry Christmas, and good travels in the new year.
Thats what i'm wondering too. I think there is the possibility that there will a a cruises ship game of musicial chairs. Escitement can be created with fully refurbished ships
The problem is Carnival Cruises needs to increase prizes. They're a text example of diminishing returns. If they keep cutting services, eventually people will go away. Better a small increase and keeping amenities/ services.
I think it’s smart for Carnival to stop building ships and focus on paying off debt, getting rid of thugs onboard and focus on service!
Yes, concentrate on what they have and not build newer ones
Who would be the thugs asking for myself KAREN……..
Hi Karen. I would disagree with you. One thing that will hurt them more is having aging ships while their competitors are continuing with ordering ships. Passenger loads will drop, and you have to consider that some ships will have to be taken out of service because of age . The ships that are 5 years or older will put their average ships age at over 15 years old or older. This is not what they want to look forward to, not when their compilation has newer ships. Maybe not as big for Carnival, Aida, or Costa as for their Premium Lines such as Princess and Holland America. While Celebrity and say Disney have the modern ships. In the Luxury market with Seabourn and Cunard it will be a major issue.
@@EvilEyez21😅 I know EXACTLY what she meant .
@@EvilEyez21 The thirteen-percenters.
They could try to merge their frequent cruiser programs to entice crusiers to go from one brand to another across their entire fleet. I wouldn't mind that at all and I'm sure I'm not the only one. That might keep people from trying other non-Carnival Corp brands to gain a different experience and maybe cruisers will be become more loyal to them as a whole.
Many passengers are itinerary focused, not ship focused. New ports bring in excitement also.
I’m a new cruiser and the ship is what’s the most important to us right now. Maybe because we haven’t gone anywhere yet. We sail on the celebrity Apex this year.
I completely agree. Itinerary is #1 for me, and then the ship!
As a carnival stockholder, I am happy to hear that they are working on getting the debt down. Especially since my feeling is that the economy is going into a slump. I believe fewer people will be cruising over the next several years. Good job Carnival!
Is Carnival Corp in trouble? Aren't we all just a few paychecks from being in trouble?😉
I am ok with paying for room service. And I had no idea there were gluttons out there ordering 5-6 entres!! That’s abusive. I feel a cruise is the best bang for your buck! With the room, dining and entertainment! People that abused the services caused this. We will not stop cruising!! Be conservative people!!
Yes and how many times have you seen heaping plates of food at the buffet get tossed into the garbage? Or a deli sandwich that sits left on a plate not even touched? People need to wake up and not be so greedy or wasteful! Take a little, if you don’t like it ok no problem, of you like it then go back for more. There is a Chinese restaurant chain up here that serves tiny little deserts, at first you think cheap buggers! Then when you think about it this is a good idea. Take a plate with one of those tiny little Nanaimo bars and if you like it then get another if you don’t no big deal as there isn’t much waste.
Now see, I am considering not taking a cruise because of charging for room service (not to mention that mandatory 18% tip). I'm fine with limiting entrees etc. But seems like too many cruises are forgetting that they have replaced what I grew up with...all inclusive resorts. I want to pay one price, then know I'm going to be pampered & not feel like I'm at Disney (my former happy place) where they are trying to wring every last penny out of me. And I want to get room service a couple of times to stay in, rest and recover. It's not fair to pay tons extra for what would be free if I went to the dining room. The way I see it, I already paid for that meal.
And to be clear, my issue with the 18% gratuity is that I doubt the person actually delivering it is seeing that. If they are, I'm fine. If not, I'd rather tip them cash that I know they get!!!
I need to correct the ship that housed New Orleans refugees from the hurricane that destroyed their homes. It was not the Elation,but the Carnival Ectasy! Next to her, the oldest now is the Elation. It would make sense to take her out of service. Sorry for that error!
Given the number of 300+ LBS people walking around you should expect lots of gluttony!
@@mjneeds1585 ignorant. There’s nastier things to say to you but I’m too polite to say it here.
It was so good to see you on Emma's livestream. Safe travels on your amazing "boys trip" to the land down under!
I think they are being smart and focusing on other things that make customers happy, like guess experiences. Most people don't care about how many ships a line has
You will care when the cruise lines don’t have the carrying capacity to sell you a ticket.
Good job, Don! As a Holland America Four Star Mariner, I am hoping they do not curtail their well-earned overall quality for short-term financial benefit - I am concerned at the huge debt level of the parent company and worry about the contamination factor for HAL.
Nice posting while over on Emma's live. always amazing getting the dailies from you.
Same! I was thinking this is a brilliant move!!
I think Carnival is doing the right thing by retiring some of their older less efficient ships. Also, I think they should hold up on ordering new ships until they get their money flow back again and reduce the debt that grew when they didn't have any revenue for those long 2 years
Also, people are forgetting that Carnival corporation can transfer ships from Costa to Carnival, so just because Carnival isn’t getting new builds that doesn’t mean they won’t be getting more ships.
I think it would be awesome if all 4 of Carnival Splendor’s sister ships joined the Carnival fleet. It would also be cool if the 4th dream class ship (that currently sails with Costa) joined the Carnival fleet.
Costa is doing WAY worse than Carnival so it wouldn’t surprise me if Carnival corporation decides to phase out Costa and slowly transfer the ships to Carnival.
Our first cruise was on the Norwegian Bliss. It was a beautiful ship and the food was very good. However, we got bored, there just was not enough to keep us entertained. My husband was done with cruising after that. I talked him into a Carnival cruise on the Mardi Gras. We had SO much fun!!! There was so much to do and the people where fun and very nice. My husband decided right after that we would only cruise on Carnival.❤ The thing to know is to not cruise during spring break and stay away from short cruises.
I would be perfectly happy sitting on the deck and watching dolphins, whales and other sea creatures go about their daily business.
I would be so glad to see some newer smaller ships. We don't look for lots of the things that newer ships have, As a stock owner I hope they can find a working balance between spending and profits.
Agreed I don’t like the new over crowded mega ships. I expect that as the lines continue to move towards profitable mega ships customers like us will elect to spend our vacation dollars elsewhere.
Sorry but not going to happen. They are far too expensive to run and that why they have sold them off and bring bigger one's which has the cabin capacity to cover loses. The big lines will sell the smaller ships to smaller companies or scrap them.
I'm also a stock holder, but being from the UK tend to stick to Cunard and P&O. I'm a big fan of Queen Elizabeth and Queen Victoria, both being the smaller ships, and less so now Queen Mary 2, which is much bigger (though small now by comparison t the mega ships). Queen Anne is coming which is another of the smaller ships, though can take more passengers than either QE or QV. I also went on P&O IONA last year, which is one of the new big ships and it was OK, (full disclosure, we had lots of bad weather so that could have negatively influenced my enjoyment) but I did notice they were nickel and diming a lot more and had a big push on trying to get you to pay extra for lots of things, including alternative dining as much as possible.
Smaller ships are going to need to justify themselves as premium brand offerings and not try to dumb down and compete on price.
I prefer the smaller ships. The Spirit class are my favorite.
@@MicroFourThirdsCorner Cunard is my favourite line and QM2 my favourite ship followed by P&O. Love the Iona we are booked for 2023 and 2024 and we are also booked on the Arvia for 2024. If they are nickelling and diming us I don't mind as we don't spend any extras on ships anyway so we are probably not much good for their profits. Looking forward to trying the Queen Anne one day.
Dang I didn't know Carnival was down bad like that, might have to buy a keychain or a magnet to show my support next time I'm onboard.
Very Interesting Vlog Don. I also enjoyed your Live with Emma and Tony just before. Happy Holidays (Merry Christmas).
Carnival should just sell of their brands and just keep Carnival, Princess and Holland America. Focus on those three lines and sell the rest to pay off dept. Become smaller and leaner.
Hi Don, don't understand how one turn down service saves money. Same room stewards, not like they got sent home so less pay.
You would need less of them around the ship. But the gratuities cruisers pay will be the same!
I prefer smaller ships. Grandeur of the Seas was our favorite. Too many mega ships are not necessarily a good thing. The post Covid world is definitely a different one. Merry Christmas Don🌲
Same here love smaller ships
Count me in as preferring small ships .
We also love smaller ships. Have been sailing Grandeur and Enchantment of the Seas out of Baltimore for years. Gonna sail on Anthem of the Seas this coming March to experience the difference, but already have a cruise on Vision of the Seas booked later in 2023. Merry Christmas and Happy New Year to all cruisers everywhere!
Same here. I stick with the Baltimore port because of their smaller ships which makes it feel more like family. Of their two lines, Carnival always offered the best experience (even though their inside rooms cost 30% more).
Ww also go for smaller ships.
We are booked for a back-to-back-to-back cruise on the Grandeur. Love it!
Merry Christmas 🎅 🎄 Don
Not everyone wants to be on mega ships! Built smaller ones.
Love the sweater Don! As always thanks for the news! Happy Holidays ~
The food quality is down right now to, we love to cruise, but the food needs to get back to where it was.
They should quit wasting money putting roller coasters on ships, and get back to better service.
The roller coaster is a money maker, not a money waster; $15 per ride.
Well said....and agreed !!!
Wanta roller coaster...go to an amusement park...15 a pop...crazy....
I think all the cruise lines are in trouble, not just CCL. When you consider the massive spending and no income through the pandemic I do not see how it could be any other way. Don’t forget they took money for 2019 and 2020 cruises and spent it to keep going but could not provide the cruise. They issued enormous future cruise credits meaning they have been carrying passengers for the last 12 months without adequate fresh income ….. I wish them well.
I think selling at huge discounts puts them at greater risk. They might be financing a future competitor.
I've been buying their stock like crazy. They are NOT going out of business. Don should stick to cruises and stay out of financial subjects
Not MSC, they are the world's largest container ship company and made tons of extra cash with super high pricing during the supply chain squeeze. They are privately owned but need to keep spending to reduce their taxes on their windfall prfits.
Not royal , they actually turned a profit last quarter and don't have as much debt as Carnival does.
Great video Don. These are difficult times to cut cost and to make a profit.
I would love to have more Pinnacle and Signature Class ships with Holland America, but not right now. We’ve sailed four times since August of 2021 for a total of 38 days and no things are not like they were, but things are getting better with each sailing and more and more on board.
We have had to cut back on not needed expenditures because of the current inflation going on. Once inflation goes away, I am sure we will spend more. I think Carnival is thinking the same. So, not surprised by the increase cost to cruise with less being offered as it used to be. They are just like the public, trying to survive the high costs and of course, the shipping issues going on. Thanks for sharing!
What makes you think inflation is going to go away?
The last inflationary cycle of the '70s under the Carter administration took 15 years to dissipate. If people think this is going away in a year or so, they are in for a rude awakening. Look back at history and see how long it took to get out of this vicious cycle. Not to mention this current economic environment and overspending is completely unprecedented. We are in for a substantial recession if not a depression.
I expect once something is ‘taken away’ from cruisers and made ‘for pay’, it will be impossible for cruise lines to give it back. It would be going against their DNA.
Merry Christmas Don. Enjoyed seeing you and Tony on Emma's live. Have a great time with Tony on your cruise down under
Its a far cry from the days when the cruise lines owned their ships without debt. 20 year HAL/Carnival employee.
@@lenvella9541 I have been cruising with HAL since 2013 and been a fan since. Could you share more what it was like 20/30 years ago before it was bought out by Carnival?
I appreciate how HAL operates and with its mid-size fleet, decent food and excellent services. All their ships (older or newer) are always immaculately clean and well-maintained.
I couldn’t make myself try another line after making the mistakes of trying Norwegian in 2018. Their crew are not all as nice and we find the food not great with little selection.
The problem carnival have is not immediate, it’s in the future. They’ll get left behind, MSC and RCI are roaring ahead with innovation, Carnival won’t be. Also customers won’t sail Carnival if they keep endlessly cutting back the services making it worse, they’ll go elsewhere and force Carnival further into a downward spiral. They could really be in trouble in the next few years.
The stock is at about 1/10th of its all time high just before COVID of about $72. That's insane. Pair that with the amount of debt they're in and I'd say they really are in trouble.
Don’t forget to factor in customers who are suffering in this economy and will be cutting back on vacations.
I might buy a 100 shares to get the OBC if the share price drops below $4 per share. Four cruises and it’s paid for. But I wouldn’t buy it as an investment.
Can you show the data of RCL and Norwegian. What are the debt and profit for these 2 cruise line?
But like Baltimore needs the smaller ship. You get rid of all of the small ship people might not cruise. They might like smaller ship. Only my opinion
Very interesting video thanks. I'm thinking of trying a short cruise for first time but but these bigger and bigger ships (too many people) interest me less and less. The prices are also starting to put me off a bit now although I do realise you can't have it both ways.
Love your crazy sweater.....thanks for the year of reporting Cruise News....went to Panama canel..in OCT...been enjoying your up dates...Merry Christmas in Canada...& very Happy New Year of GOOD HEALTH......bless you
Carnival is going to do just fine. They are going to pivot towards marketing and new customer capture. Top Funnel strategy. As a first time Cruiser, I didn't even think about the "shop for my vessel". It's all about the destination and the pricing.
I hit my Milestone on Carnival with a 25th cruise. I've sailed on several cruise lines and Carnival's my favorite line. The naysayers label Carnival when actually it's not bad at all. I've never had a bad experience through 25 cruises with them since 1985. I enjoy all cruise lines. It's all what you make of it without others making your mind up for you.
Absolutely agree!!!!
Just hitting platinum on my next cruise in a couple of weeks we will be boarding as platinum. After this we will be on a b2b2b on the same ship in the same room. I have not had any measurable issues in 70+ days except a couple of small things that were quickly fixed to my satisfaction of which can take place on even the most expensive and luxurious cruises. I can sit back and be comfortable with not feeling I am surrounded by uppity types, the rooms have been clean, the food pretty good, the prices good ok maybe more attentive service in the lido at times but that may come on a ship with a higher crew to passenger ratio and a trip price of double what I’ve paid.
I like 3 cruises on Carnival. But the fourth one was so bad that I will never go back.
Same for me!! I have cruised on almost every line.
Sailed on Glory and worst experience ever. Crew was good. First and last time on Carnival. Food was poor, entertainment lacking. Activities absent except for trivia the whole day.
As a Carnival investor, this is what I want to hear. Focus on reducing new debt so that profitability is reached. That increases the stock value. It's been a bumpy road but not their fault.
When do you think we will start to see good improvement in stock price. This thing has gone nowhere this past year.
The competition has increased and is fierce! Survival of the fittest ($ wise). Carnival will have no choice but to sell off certain brands.
That would be the smart thing to do. No smart business person lets everything tank just to say we had the most ships.. !!!
Carnival has been doing something weird lately. I’ve been getting really good offers by email but when I try to book I get a message that the rate isn’t available for one person. I’ve been cruising solo on Carnival since 2007. I’ve never been unable to book a cruise because it was only for one person.
The Shiplife guy was cruising by himself on the Paradise 2 months ago. I was on the same cruise. He usually cruises by himself, unless his girlfriend can come along.
That sucks... Might be worth discussing the issue with a Carnival agent, or an independent agent who specializes in cruising. They may be able to find a workaround for you.
Carnival has always been known as the cruise line with extremely short, cheap cruises as well as cost per day significantly lower on longer cruises than their competitors. In the past several years it appears (may or may not be true) that they have experienced more mid cruise mechanical problems than other lines. They have been perceived as having dining options that are significantly inferior than those of the competitors (may or may not be true). and there have been episodes of group violence on the ships that have been highly publicized. I don't know what they can do to improve these situations, but I do believe many people are fed up with the perceived unpredictability of a Carnival cruise experience. -
The episodes of group violence on Carnival have been few and far between. You are talking like they occur on every cruise. NO THEY DON'T! Fights have occurred on EVERY cruiseline! The last one I heard of was on a Celebrity ship, if I am not mistaken, NOT on Carnival. I know for sure the fight happened on luxury brand! I think you hear about a fight on a cruise and instantly think it is on Carnival, without checking to see which cruise it was actually on. If so, SHAME ON YOU!
well paying $180 for a solo cabin on the luminosa out of brisbane and getting $500 OBC - no wonder they losing money
From watching you and a few other cruisers the industry on the most part are in trouble. Not a cruiser so doesn’t affect me but sure is sad watching the quality/enjoyment/demise of the industry.
You have said what I have been thinking for several months. With the cutbacks and scrappings they are trying to stop the bleeding. I would not be surprised if one or more of their European brands is sold in the next year or two. RC may take Costa as a replacement for Pullmantur while NCL may pick up Aida to get into the European market.
I've only been on carnival and have always had a great time. Will be him on the celebration in jan so we will see if service has gone down
I respect their approach to want to decrease debt. Sounds like smart business. They have Mardi Gras and Celebration and then Jubile which are all mega ships. How many mega ships does a cruise line really need? I think they have a plan and will be fine 👍
@@lenvella9541 The ship seemed pretty full when I cruised on the Vista in February and on the Paradise in October. Unless you are talking from experience, you are not telling the truth.
Sorry I was trying to hit the thumbs up button. I agree with you.
I don't mean to be picky but you really need to put away your Swifter WetJet. :)
Very interesting content in this video. Thank you.
Great Video Don. Thank You For Your Perspective 👍
Stop building ships instead of the cutbacks in service and amenities on board. The nickel and dime charges make loyal cruisers mad. I have heard those who can afford the changes say they will ditch CCL and pay to cruise on the higher end lines.
Just got back from 11 nights on Queen Elizabeth. Don't know what the occupancy rate was, but you had to arrive on time to get a good seat at Afternoon Tea. Have another Cunard cruise coming up in 2023 and one with HAL in 2024
I just got off a carnival ship yesterday, and I was disappointed. The food wasn’t great. One person made our trip but otherwise there wasn’t anything that made me want to go on a cruise again.
Carnival also has purchased several other ships which they are still getting ready and definitely the ships leaving are smaller ones. They have made numerous cutbacks which started before the pandemic. All the cruise lines have been making changes and are all in some trouble. But I foresee over the next year that things will bounce back as they are continuing to especially as they're also starting to punish many of the people who are abusing rules and making so much bad publicity. It truly sucks but they deserve the reprimands they're getting and thankful that it's finally happening and that the cruise lines are standing up for themselves and their loyal passengers
Makes me a bit nervous to make the next payment on my Panama Canal trip for Dec. 2023.
Don is a travel agent, not the CFO. They will sell more stock or ditch a couple of underperforming brands. The$$$$$ that be just want to see a healthy profit margin and room for growth. They will be fine. They are just challenged right now.
@@thomasallen6980 I think Don made it clear he wasn't CFO or a Financial Analyst, and I do agree with your comments. However, many can't help but hesitate when you are making significant payments to a struggling organization.
Yes! Might be a bit scary to pay ahead
We cancelled our 2023 cruise. My neighbor’s son works at Carnival in finance and suggested we cancel…say no more!
What Carnival needs to work on is their reputation. Speaking as a long time Carnival cruiser, they have the reputation as the "Walmart" of cruises and it's a well deserved reputation when it comes to their shorter cruises. After 30 cruises with Carnival, I won't do it again.
We went on Carnival twice this year after Covid.
We are calling it the "Dollar Store" of cruises.
@@fedex1339 🤣 Thanks for that one. We did Carnival twice +20 years ago, at the time that was all we could afford and we did not complain much. Hopefully they survive, but they need to review their business plan ASAP.
@@fedex1339 I want to do a "Nordstrom" of cruises.
What is Carnival doing wrong that the other cruise lines are doing right or better? I don’t understand why they are struggling if the others are not.
Since the mandatory vaxes - lots of people are opting to take driving vacations in country.
During the pandemic, these cruise lines borrowed billions with very high interest in order to survive. They will have no choice but to gut services to be able to scale back costs. I’m sure they are paying millions in just interest alone and still not paying down on the principal.
Yes, and I think they got taken advantage of by the lenders, because they knew the companies were desperate!
I'm in the ground transportation industry. I'm down 30% of my fleet. Got rid of older vehicles and bringing on newer more cost effective vehicles. My profitability is up even though my number of trips is down. Almost the same as Carnival. It's just the way the market is moving. I believe it's responsible and necessary!
I'd like you to ask the cruise lines...
Why are you building amusement parks on cruise ships ???
And then tell us what they say Don !!!
Just got off a Disney ship on Sunday. We were on the Magic (Galveston) and it's due to go in dry dock for overhaul in April. I am looking for a cruise to Alaska right now. I prefer Royal Caribbean a little more than Disney.
I think all the Cruise lines are going to have a tough time over the next few years. I get not ordering new ships, but, many other lines are adding and in places like Galveston there are many new lines cruising out of there now and it used to be primarily Carnival. What will keep a Texan Cruising on all the ships and Itineraries they have done many times when there are now three other lines to choose from? However, there brand is "Bargan" so raising prices will be tough. They are already equally priced to Royal in Galveston. Going to be a tough few years for the industry so loyal cruisers like me will just have to cruise extra😁
I think Carnival needs to focus on guest retention. IMO they need a better variety of shows. This does not need to increase costs much. For example if I cruise every 6 months from same port even if I sail on a different ship most likely my shows will be close to the same. we need a wider variety of show and rotate them between the ships every few months. If Carnival will not be getting new ships this must be done. they can also do more band and specialty cruises. I think you could sell a VIP ticket/ experience for better shows.
The new big Carnival ships are LNG powered ( better for the environment) , but the LNG prices exploded this year because of the LNG demand from European countries ( because of the boycot of Russian pipeline gas) and Asia. Carnival has because of this a bis disadvantage compared to RCCL and Norwegian.
Carnival needs more variety in their itineraries. The best part of cruising is the ability to visit multiple countries in one trip. I don't want to keep going to the same 4-5 ports!
You are going to the same ports because the cruise lines decided they would only stop at places where the local governments agreed to construct mega ports. Before that you would have to tender, but you also had more options. I prefer the way it use to be, and with all the other recent drawbacks to cruising, not to mention air travel issues, I don't see myself doing a cruise vacation in the near future.
We just got off the Carnival Sunshine and there was NO ENTERTAINMENT, no shows- just a couple of singling couples.
Sure, NCL has eight ships on order, but won't they retire some of the old ships during that timeframe?
It could have something to do with the cost of diesel fuel, or perhaps the shortage of it? Carnival's such a popular venue. I hope it survives.
Stop ordering new ships for 1 year. Maybe??
Agreed
I agree but then You throw the Ship
Yards into an issue ......Catch ''' 22 '''''
Dam if You do Dam if You don't ....
Nice sweater. I was watching the trio live and my question didn’t get answer. First time Alaska, what cruise line, ship and itinerary? Thanks ❤
A great, video full of good thought. Well done Don
Cutting back doesn't always make me run away, when i think of investing in a company. It sounds like a strategy, when you are in the hole.
I expect Carnival will cut back or sell some of there subsidiaries.
I don't see how eliminating the turn-down service saves cash. I don't know where you're getting this information, Don.
Easiest way to cut debt is to get rid of some of the other brands. Carnival may downsize to five or fewer brands. You don’t repay 34 Billion by profit alone.
I can see Costa going away. They'll keep the newer ships and scrap/sell the older ones. Fortuna and Magica may be on the chopping block already.
@@anakerose Can Carnival really afford to lose the European market?
Enjoy your white Christmas. We're expecting 32 downunder for Christmas Day 😂🎄
My first cruise was on the Mardi Gras the food was really bad I don’t drink but got the drink package and had 11 drinks and was not drunk I will never use carnival again next cruise is on ncl
Merry Christmas, love the sweater
Merry Christmas
If Carnival Corp. keeps cutting services and raising prices and now if they cut out buying new ships it sounds to me that they are shooting there foot off which the company is heading out. I am booked on Ruby Princess back to back January 8th-22 for my first cruises in 30 years and also booked on RC Allure of the seas in March. I’m sure when MSC moves into Galveston it will be my favorite cruise line for regular cruising. For a step up I might stay with Princess until they drop more services and I don’t feel the value anymore. Of course just my opinion but to me they are in big trouble. Merry Christmas and Happy Cruising to everyone 😊
Stocks go up and down.
People seem to forget that Carnival was down to $6.38 a share Oct 10.
This is the time to buy.
Interesting subject today. I hope carnival isn’t in trouble. I like Princess and would hate to see it go downhill.
Will be interesting to see how this plays out. Princess is starting to charge for things that use to be free, such as premium deserts at dinner. Curious how that will effect them long term.
I would have thought it was obvious that cruising would reach a stage where the bubble would burst! Just how many people want to go on a cruise, and how can new building be sustained!?
revenue generation comes from passengers, not ships. key question is # of passengers potential not ships
The cruise industry in general is in trouble. Laying off thousands and jacking up prices like crazy. I probably see 10 cruise advertisements everyday on tv.
Cruise ship in deep debt. Must be why they ran out of butter on our last cruise😂
SMH!🤦♂️
🤣
Merry Christmas Carolyn, best wishes from Julian aka Bib the Boulder......
@@BibtheBoulder Merry Christmas to you and yours also.
All of the cruise lines are in trouble. They had to borrow heavily during Covid. Get ready for huge price and fee increases.
That likely wont happen. Don’t forget the cruise market is very much a buyers market, they need to fill the ships to make a profit. They wont fill the ships if they increase prices, not enough people will sail. This is the disadvantage of having huge ships that must be filled up to be profitable.
Don, the majority of Americans, Canadians and Europeans are struggling financially. The biggest cruise market is the middle class. Well, the lower 1/2 of this is out completely. They can’t afford anything anymore so obviously Vacations are the first to go. The other 1/2, my husband and I are in this camp, have 6 cruises booked, and still cruise. However, we will quit cruising if they cut the experience. We like 2 times a day turn down service, we just do, so we will find cruise lines who still do this! We like great service and no surprises with our cost, so we tend to book more all inclusive experiences like our Galapagos Machu Pichu trip coming up in June on Celebrity. It is pricey but absolutely everything is included and we don’t have to worry about being nickeled and dimed to death. Also, those of us who can still afford to cruise, and it’s shrinking, w don’t want to deal with thugs getting into fights on cruise ships. So we will avoid that.
Bravo!!! My husband and I were looking at that cruise but its not in the budget right now. I know its early but enjoy yourselves.
Interesting you use the word thugs rather than drunks.......what constitutes a "thug?"
A thug is anyone who gets into a fist fight on a cruise ship, drunk or sober
We shaved of nearly 8k by simply going on the Celebrity Xpedition rather than the Flora. That 8k paid for our cruise to Iceland Greenland and Norwegian Fjords. We do not need butler service or be in all suites.
I suppose the luxury you talk about is nice of one can afford it or willing to pay the price. I just finished a b2b on the liberty in September in an ocean view room at a price of $850 Canadian $ for two people! The same port of departure on the new Disney ship would have cost me over 4 grand! Ridiculous! We went to pretty much all the same ports too. We had no issues but then again I don’t need a chocolate on my pillow or twice a day turn down. I don’t want or have a need to feel pampered. To each his own.
Sorry to see Carnival in trouble
It's called competition. There are other lines coming on to the market. So, slowing down is the best strategy. It's called retail.
"The Walmart of cruising". Yep, you nailed it, and it's why they will continue to suffer with burdensome debt.
Ships on order Don? Well if they are getting rid of older ships, need to replace with new ones.
Being cautious during tougher times is respectable. 85% capacity is not indicating a big opportunity at this point. Marketing, having to still getting over the Covid hump and hesitancy will come.
Once they see future demand, i'm sure they can act accordingly and increase their capacity when needed.
I dislike the Mardi Gras after a 12/3/22 cruising. It was loud, overcrowded, almost impossible to get an elevator. The only “free food” we liked was the pizza , the panini & the 🍔 burgers. We ate in the Main DR every night, where the food was top notch and the service impeccable!😅. I would never sail on her again, and we had a larger Balcony cabin (with a cloth bath closure). Where was the glass so the cloth doesn’t stick to you?😮😢Never again
Investors/shareholders have not had a dividend for over 3 years.
What 3 ships did Carnival say they were selling/scrapping?
I don't think that's been announced yet, other than two of the three will be Costa ships.
How can you sit there and not show us the rest of your (everybody has one!!!) Christmas sweater? Does anyone else out there have a matching one? Merry Christmas, and good travels in the new year.
Wonder if Carnival is going to sell off any of their underperforming subsidiaries to cut costs and get some ready cash to bring down that debt.
Thats what i'm wondering too. I think there is the possibility that there will a a cruises ship game of musicial chairs. Escitement can be created with fully refurbished ships
The problem is Carnival Cruises needs to increase prizes. They're a text example of diminishing returns. If they keep cutting services, eventually people will go away. Better a small increase and keeping amenities/ services.