Miami-based cruise lines map different routes through a struggling economy

With economic conditions making waves globally, signature Miami cruise lines are mapping different routes to calmer waters. Carnival Cruise Lines announced this week that a ship scheduled to move to Europe in May is to remain in Miami operating Caribbean cruises instead. A ship meant to shift in April from Long Beach, CA., to Miami and later to Baltimore will instead move directly to the Maryland port four months early to begin the city's first year-round cruise program. "Based on current market conditions, continued economic uncertainty and high air costs to Europe, we are shifting our focus to an even greater extent toward our core, close-to-home cruise options, which are clearly the preference of the vast majority of the mainstream vacation market right now," said Gerry Cahill, president and chief executive officer, in a press release. Carnival did not respond to a request for further comment. The company's third-quarter earnings show that the cruise line saw a dip in net income, dropping to $1.3 billion from $1.4 billion in last year's third quarter.
However, revenue rose year over year: the company generated $4.3 billion third quarter of 2007 and $4.8 billion the same period this year. The cruise line still plans to offer European voyages next year when its newest and largest ship, the Carnival Dream, debuts next fall. Royal Caribbean Cruises, another major cruise operation based here, has not announced any changes to its itineraries and destinations, said Ian Bailey, vice president of investor relations, in an interview. Should the need arise to tweak plans, the line is established enough in both North America and Europe to accommodate, he said. "If one market is particularly strong relative to the other one, or weak, you could source from the other market, so it does give you some flexibility in getting the ships filled." The cruise line saw record earnings in the third quarter of this year, with net income hitting nearly $412 million compared to $395 million from Cheap Cruises the year before. Still, in recent months, Royal Caribbean has seen a dip in bookings, while Discount Celebrity Cruises Alaska have been doing great. "Up until September of this year, bookings had been very robust, but over the last six-to-eight weeks we have seen a disruption in the volume of bookings that we've been taking for the year," Mr. Bailey said. The company expects fourth quarter yields to fall anywhere from 4% to 5%, according to an earnings announcement. "We don't know if this is the beginning or middle or end" of the drop in bookings, Mr. Bailey said. "Our visibility into 2009 is a little less clear." Royal Caribbean is taking a "wait-and-see" approach before changing any plans, he said, not because officials are "asleep at the wheel," but because "this is a very new disruption for usÖ certainly we would react appropriately as we get more data and understand better what's happening in the markets."

Last-minute cruise deals starting under $60, $40 and even $25 dollars per day

I had always thought that if you could get Cheap Cruises, Cheap Europe Cruises and Cheap Caribbean Cruises for under $100 per day, it was a decent price and dare I say, had come to be the standard way of measuring cruise rates (unless you were taking a luxe line). The way to look at it is, you’re not just getting the bed to sleep in, but also food and entertainment. Whether you’ve always loved or hated cruising in the past — now is the time to appreciate how low cruise prices are.

If you can pack your bags at the last-minute you’ll find cruises as low as $25-$60 per day, pre-tax.

CruiseOne/Cruises Inc is reporting 40 cruises under $40 per day. I thought I’d test this amazing deal for myself as well as have a look around at the market and see if anyone else was giving away their cruise trips at this low rate. Here’s what I found (but prices could change by the time you get there):

Cruises by Length:

> 19-Nt Voyage to South America - San Francisco to Santiago, on Norwegian Sun departing Nov. 4, 2008. Cost: $21/per day for an inside cabin, per person based on double occupancy, pre-tax. The total cost for two people was $1,165 after taxes, or $30.65/day. [CruiseOne]

> 7-Night Eastern Caribbean, Miami R/T, on Norwegian Dawn departing Nov. 15, 2008. Cost: $21 per day for an inside cabin, per person based on double occupancy, pre-tax. The total cost for two people was $922 after taxes, or $66/day. (Taxes and fees were $162 per person). [CruiseOne]

> 4-Night Bahamas, Miami R/T, on Norwegian Sky departing Nov. 10, 2008. Cost: $25 per day for an inside cabin, per person based on double occupancy, pre-tax. The total cost for two people was $425 after taxes, or $53/day. [Southwest]

STARTING UNDER $40/DAY

> 7 Night Western Caribbean Cruise, Miami R/T, on Norwegian Pearl departing Nov. 16, 2008. Cost: $33 per day for an inside cabin, per person based on double occupancy, pre-tax. The total cost for two people was $828 after taxes, or $59/day. [Southwest]

STARTING UNDER $50/DAY

> 32-day South American Cruise, San Francisco to Rio de Janeiro, Brazil, on Princess’ Star Princess departing Nov. 20, 2008. Cost: $43 per day for an inside cabin, per person based on double occupancy, pre-tax. [Vacations To Go 90-day Ticker]
STARTING UNDER $60/DAY

> 7-Night Mexican Riviera Cruise – Los Angeles R/T, on Vision of Royal Caribbean’s Vision of the Seas departing Dec. 1, 2008. Cost: Starting at $54 per person, double occupancy, pre-tax. [Cruise Critic]

> 8-Day Mexican Riviera, San Diego R/T, on Carnival departing Nov. 12, 2008. Cost: $50 per day for an inside cabin, per person based on double occupancy, pre-tax. The total cost for two people was $1,091 after taxes, or $68 per day. [Carnival]

Caveat: Note that not all of the deals above have the final price. In some cases I would’ve had to call in to get the final price.

Tip: Los Angeles Times Travel editor Catharine Hamm recommends booking a cruise through an agent. Read: A travel agent can help you find the best cruise and the best deal