The beginning of the end for cruise fuel surcharges?

The dreaded “s” word – surcharges – is back in the news, but this time cruisers have reason to be cheerful. On the face of it, at least.

With the price of oil now down to little more than US$60 a barrel – that’s half the price it was in July – cruise lines have taken their first steps to get rid of fuel surcharges.

US giant Carnival is being credited with having started the ball rolling, but it appears that the plaudits should actually go to Voyages of Discovery.

Vilified for having the highest fuel surcharge in the industry at a whopping £19 a day, I discovered this week that it quietly dropped them in the summer with immediate effect. Bookings now and for 2009 are guaranteed to be surcharge-free.

Sister company Swan Hellenic removed its surcharges last month, with a no-supplement guarantee in force until March 31, 2009.

Italian line MSC Cruises also has an early Christmas present for cruisers – as of November, the fuel surcharge has been dropped on all future bookings.

Unfortunately, if you were hoping to get something in this year’s Christmas stockings from any other cruise lines, you’ll be disappointed.

US cruising giant Carnival, which owns Cunard, Princess Cruises, P&O Cruises and Ocean Village, among other brands, is axing fuel surcharges on bookings made after October 31 2008 – but only for cruises in 2010.

Royal Caribbean Cruise Lines is also dropping fuel surcharges, this time on bookings made after November 10 this year, but likewise only for cruises taken on or after January 2010. The change affects Royal Caribbean International, Celebrity Cruises and Azamara Cruises, which are all owned by RCCL.

There is also a ray of hope to those who have booked a 2009 cruise on either a Carnival or RCCL ship, or who plan to book one for next year.

Both lines have drawn up guidelines whereby fuel supplements charged on 2009 bookings will be refunded if the oil price stays low. They are complicated so you’ll have to trust the lines to do the maths, but it is all to do with the price of oil staying at or below US$70 (Carnival) or US$65 (Royal Caribbean) for a certain number of days before your cruise.

Rather than cash, refunds will be made in the form of on-board credit, which I’ve no doubt will elicit complaints – in this economic climate it is nice to have some unexpected cash come your way – but it’s not such a bad thing. The credit will pay off the crew’s gratuities and could cover some of your bar bill. Either way, you are only spending money you didn’t expect to have anyway.

I admit to being pleasantly surprised that so many lines have dropped, or started to drop, their fuel surcharges, but it’s a shame that the domino effect that worked so well when the lines were putting up their surcharges is less effective when it comes to getting rid of the charge.

Fred Olsen Cruises Lines, a big favourite with older British cruisers, is still collecting £6 per person per night, or £84 over a two-week cruise. Norwegian Cruise Line continues to levy US$11 (£7.28) per person per night, and there are levies of US$8 (£5.30) on Disney Cruise Line and £3.50 on Star Clippers.

Any cause for cheer has also been knocked sideways with news that this Friday, at the same time as dropping fuel surcharges across its brands, Carnival is increasing cruise prices for, yes, you’ve guessed it, its 2010 sailings – the ones that should have benefited from an end to the fuel surcharge.

The cruise line has not said what those increases will be – and of course there is the bigger question of whether they will actually stick in the present economic climate – but I suspect what they are really doing is building the surcharge into the cost of the cruise, so it is presented as one price.

The timing of the announcement was not great, given that it was at the same time as telling the world that it was dropping fuel surcharges, but it’s a smart move.

The “s” word causes angst and upset, not so much because of the money – let’s face it, another £60 or so is not going to break the bank if you are already paying £1,500 for a cruise – but because it is shown as a separate charge. It’s like VAT, and no one likes to pay that.

A Silver Lining for Vacationers in the Caribbean

If the financial crisis has made you think twice about spending money on a vacation, hotels in the Caribbean are trying to sway you with discounts and deals.

Even before the latest economic news, the Caribbean's tourist industry was under pressure. Flights to the area have been cut and airfare prices have risen. An active hurricane season -- particularly devastation from Hurricane Ike -- has already spooked some potential travelers and damped demand. Indeed, bookings at many hotels began to drop over the summer. And hotel construction in the area is booming, meaning there are more rooms to fill. So, while the fall off-season has usually meant some hotel discounting, this year the offers are particularly sweet.

The Hyatt Regency Aruba Resort & Casino, for example, is offering a fifth night free, a room upgrade, and free breakfast for two every day on stays before Dec. 18. For the first time during the off-season, the Turks & Caicos Club, a small luxury resort on Providenciales island, is offering rates starting at $247.50 until Nov. 9, a 50% discount from rates at the same times last year. "We wanted to encourage people to come to the island not only because of the hurricane," (Hurricane Ike struck nearby) says spokeswoman Tiffany Dowd, "but because of the economy." Ms. Dowd says the property did not sustain significant damage during Ike.

To be sure, the travel industry overall may be in for tough times ahead: Hotels in other regions of the world have recently started to see revenue fall. But on a broad level, room rates are still rising -- as they have for several years. That isn't the case in the Caribbean. The region is the only geographic area in the world that has seen average hotel-room rates drop consistently over the past few months. In August, the average rate for a room in the Caribbean was 8.2% lower than last year, according to Smith Travel Research, a hospitality-research firm.

Online travel agencies such as Travelocity and Orbitz say they are also seeing big discounts. "We have crazy hotel promotions going on now in the Caribbean," says Brian Hoyt, an Orbitz spokesman. For example, average daily room rates for Puerto Rico during October through December are down about 11% for hotels on the site, compared with the same period last year. Average rates in Punta Cana, Dominican Republic, are down 16%.

In addition to dropping rates, hotels are offering added perks like free meals, resort credits and airfare reimbursement to keep travelers coming before the typically busy winter holiday season.

Sandals Resorts has extended a promotion, first offered earlier this summer, which gives guests an airfare credit of up to $550 when they book a three-night stay by Oct. 23 for travel through Dec. 20. The all-inclusive resort, which caters to couples, is also offering additional perks like spa credits this year, says Mitchell Nover, media coordinator at Unique Vacations, which handles sales and marketing for Sandals Resorts.

Hotels are hoping that their deals will offset the pain of higher airfares for travelers. For years, the Caribbean has been able to depend upon a wealth of good, cheap flights. But airlines have been cutting their schedules in the region. About 15% fewer flights are expected into the region from the U.S. this December compared with last December, according to OAG Back Aviation Solutions. And prices for the flights that are left are rising. Online travel agency Travelocity says that airfare into the Caribbean from the U.S. is up about 10% this fall and winter compared with last year.

In Cancun, Mexico, which isn't as affected by airline-route cuts but is often considered part of the Caribbean tourism region because it is competing to attract similar travelers, some room rates are also falling.

"It's been a tough second half, no doubt about it," says Chris Calabrese, director general for the plush JW Marriott Cancun Resort & Spa and its slightly less-expensive sister property, CasaMagna Marriott Cancun. When the hotels noticed weakening demand earlier this year, they dropped some rates and created packages they hoped would attract guests. Until Dec. 15, CasaMagna Marriott is offering a $109 base rate, and the JW Marriott Cancun's base rate is $130. Mr. Calabrese says those rates are 20% cheaper than last year at the same time.

Most hotels say that bookings still look strong for the busy winter holiday season, but that they aren't as booked up as usual at this time. So some are offering winter deals, too. Travelocity is offering an average room rate of $300 per night (from Dec. 15 through Jan. 15) at The Somerset on Grace Bay, a 46% discount compared with what the modern luxury resort in the Turks and Caicos offered last year. At Las Casitas Village & Golden Door Spa in Puerto Rico, owned by LXR Luxury Resorts & Hotels, the site's average rate during the winter period is $527, a 43% discount from last year.

Some hotels are on the lookout for weakened demand from recent negative financial news even into late winter and spring and are offering pre-emptive deals.

Grace Bay Club, owned by Grace Bay Resorts, a luxury property in the Turks and Caicos, hasn't yet seen business weaken, says Nikheel Advani, chief operating officer and principal of Grace Bay Resorts. But last month the hotel started offering a series of deals -- a fourth night free through Dec. 16, a $500 resort credit for stays of three nights or longer and a fifth night free, Jan. 4 through Feb. 12. In addition, children under 12 eat free until Dec. 20. "Just watching news, seeing Wall Street, and talking to guests," it's clear travelers will respond to value, Mr. Advani says.

Ritz-Carltons in the Caribbean and Mexico have an attentive eye on bookings over the coming months. "The unknown is how leisure travel will be impacted by what is happening to the economy," over the last few weeks, says Ezzat Coutry, senior vice president of The Ritz-Carlton Hotel Company.

By: Sarah Nassauer
Wall Street Journal; October 8, 2008

Cruise Tourism to Increase During Winter Season

After what was deemed a very slow summer season, the winter season is expected to pick up for stakeholders in the cruise business with over seven new ships calling on the port.

The first of the winter cruise vacations arrived in Antigua yesterday, the transatlantic voyage from the UK Cruise Line, P&O, with its vessel Arcadia.

President of the Antigua and Barbuda Cruise Tourism Association (ABCTA) Nathan Dundas said P&O will be making approximately 25 calls and it is expected that Antigua will receive calls from two other UK lines, Fred Olsen & Saga Cruises.

“If the bookings hold as we have received them and we are not hindered by any weather conditions we can still expect to have a good winter season,” Dundas told the Antigua Sun.

It is expected that the main American cruise lines Carnival Cruise Corporation and Royal Caribbean Cruise Lines will maintain their calls to Antigua and Barbuda throughout the winter season.

According to Dundas, Antigua and Barbuda expects to receive at least seven new discount cruises calling in St. John’s for the first time with the most anticipated one being the Carnival Victory from Carnival Cruise Lines.

“The Carnival Victory is the cruise ship that will be replacing the Carnival Destiny that used to make weekly calls all year-round to Antigua,” he stated.

Carnival Victory’s first call will be on 7 Nov.

Antigua is said to be one of the destinations that is doing well in the winter season even though the island is at the same declining position as the rest of the Caribbean during the summer months.

“Cruise stakeholders will be looking forward to a good season as the summer was very slow for the past month having only one cruise- ship, the Adventure of the Seas making fortnightly calls to Antigua,” Dundas added.

The first new ship making its inaugural call to Antigua will be the French cruise ship Amadea from the V Ships Cruise Line on 27 Oct.

The cruise sector still expects to reach its target of over 620,000 passengers for the 2008/2009 season.

By: Afeefah Beharry
Antigua Sun; October 6, 2008

Pink Floyd Themed Cruise to the Bahamas

Great Gig in the Sea is the first Pink Floyd themed concert cruise to the Bahamas. This set of Bahamas cruises will allow Pink Floyd fans to combine sun and sea with an amazing concert experience.

This one-of a kind voyage will feature the music of Think Floyd USA: The American Pink Floyd Show, and will celebrate material from Pink Floyd’s earliest days through the present. So take a cheap Bahamas cruise that includes Think Floyd USA and be taken on a musical and visual flight through the Pink Floyd galaxy performing all of Pink Floyd’s classic hits from legendary albums such as Dark Side of the Moon, Wish You Were Here, Animals and the all time classic, The Wall.

Extraordinary Shore Excursions for Adventuresome Cruisers

Travel specialists Cruise Brothers pick their favorites.

Today's cruise lines, in addition to taking the vacation experience to new heights at sea, are now offering truly remarkable, once-in-a-lifetime, land-based shore excursions, guaranteed to intrigue even the most discerning travelers and adventurers.

“If you want an extraordinary experience and money is no object, look for a cruise to Italy on a cruise line that offers plenty of over-the-top shore adventures,” said Kerri Fitzgerald, Marketing Director of Cruise Brothers, a top cruise pricing Web site that allows consumers to obtain the best deals on cruise vacations. "Cruise guests should be prepared to spend the day -- sometimes even a few nights -- away from the ship, for these shore excursions take travelers well beyond any typical bus tour. There's something for everyone -- from children to seniors."

Travel specialists at Cruise Brothers have identified some of their favorite, out-of-this-world Italian adventures available today:

12 Night Mediterranean Cruise on Princess Cruises: Departing from Civitavecchia (Rome), Italy
Ports of Call: Civitavecchia (Rome), Italy | Portofino, Italy | Monte Carlo, Monaco | Ajaccio, Corsica, France | Sorrento, Italy | Messina, Sicily, Italy | Valetta, Malta | Kotor, Yugoslavia | Sorrento, Italy | Ravenna, Italy | Venice, Italy

12 Night Mediterranean on Princess Cruises: Departing from Venice, Italy
Ports of Call: Venice, Italy | Venice, Italy | Piraeus (Athens), Greece | Rhodes, Greece | Civitavecchia (Rome), Italy

This popular cruise from Venice visits Rome, Venice, and goes into Greece. So, you've got Italy covered from the Grand Canal to Mt. Etna, as well as the treasures of Florence and Pisa. But, there's so much more.

11 Night Mediterranean on Azamara Journey: Departing from Venice, Italy
Ports of Call: Venice, Italy | Venice, Italy | Koper, Slovenia | Dubrovnik, Croatia | Civitavecchia (Rome), Italy | Marseille, France | Barcelona, Spain

Azamara cruise guests looking for a unique vantage point of the Italian countryside will thoroughly enjoy this eleven night Italian cruise.

"While traditional cruises are still popular, these private cruise deals take cruisers to far, out-of-the-way locales in the countries they visit -- and places typically not accessible to the general public," Fitzgerald said. "Most of these unique cruises are offered by luxury cruise lines that attract the world's most affluent travelers. Space is limited, so advance reservations are required -- along with hefty advance payments."

If you are interested in taking an adventurous cruise, but do not want to spend an outrageous price, check out Cruise Brothers, and for even more cruise deals, their partner Cabin Closeouts. Right now, Cabin Closeouts is featuring their exclusive Princess Cruise sale - going on right now. Take advantage of early booking savings for Europe & Alaska too!

Cruising Deals, Trends and Insider's advice

Kerri Fitzgerald, Marketing Director of Cruise Brothers says she is seeing some "absolutely amazing discounts" on cruises — like seven days on a new ship for $399-$499.

What are the hot trends in cruising? How will fuel costs affect the prices you pay? And what sort of stateroom do the experts book?

Kerri Fitzgerald, Marketing Director of Cruise Brothers, a leading cruise broker, offered her perspective:

Q: First up, the consumer issues: What will cruise pricing look like for this winter and into 2009?

A: What we are going to see ... in fact, what we are already seeing in the last month ... are absolutely amazing discounts. Most people buy cheap cruises a fair amount of time in advance. Then the downturn happened and people stopped buying or became more careful. So on our site, we have seen a lot more cruise deals and a greater variety of deals.

It's a fantastic value vacation. And that's not hyperbole. We're seeing $399 and $499 for seven-day cruises on new ships. That's crazy ... crazy good for the consumer.

Mexico cruises, especially those in the Mexican Riviera are going to be really hot this year. And South America.

Q: Will there be a fuel surcharge on top of those prices?

A: Yes, but in most cases it's fairly reasonable, usually $10 to $15 a day, and we are able to offer Mexico cruise specials that offer much more reasonable rates. It's different for every cruise line, so the challenge is to read the fine print. I don't see that going down just because gas prices are going down. I think we are stuck with that for a while.

Q: Say someone has done the basic West Coast cruises to Mexico and to Alaska. What's a good next cruise for them to try?

A: I think South America is a phenomenal destination that combines a bit of Alaska with a bit of Norwegian fjords with a bit of Europe. It's the most amazingly diverse cruise. One day you feel like you are in Paris, the next day you feel like you are in the fjords ... And I feel like the cruise lines are overexposed. So I think the pricing will be good in the shoulder season ... November and late February/March. Otherwise, I would suggest the Panama Canal, which is sort of a blend of history and Mexico/the Caribbean, so you get some beach time as well.

Q: What's on the horizon?

A: I keep saying Asia is going to be the next popular region for cruise travelers interested in more exotic destinations, and I'm curious to see if the Beijing Olympics will, via its coverage of China destinations, result in a boom. Cruising Asia really is a great way to sample the region for the first time to get a feel for the varied countries and cultures.


Q: What's the latest on homeporting?

A: Travelers do not want the expense of flying. So I think you're going to see more use of the regional ports. San Francisco is getting a little more traffic, and Los Angeles and San Diego are for sure. Cruisers will have more close-to-home options than ever before.

Q: You no doubt have to cruise alone sometimes for reviews. What are good cruise lines for the solo cruiser?

A: Two of the best are Crystal on the higher end, which offers specials where you pay 125 percent (instead of 200 percent, or double), and Fred Olsen, which is just now marketing to the United States. The Queen Mary 2 will be offering some good incentives to solo travelers.

And other lines do have sales.

Fred Olsen has this ingenious effort ... they actually have single cabins. They are sometimes the same size as a double, but with one bed. The idea is to make people who are traveling solo not have to look at this big empty bed.

Q: And what if the solo or senior traveler wants a little peace and quiet?

A: Then it's important to avoid kids ... because they will take over the ship. You want to avoid peak holiday times. That would be summer, spring break time between mid-February and April, and obviously the Thanksgiving and December holidays.

You can also pick longer voyages on ships that don't market to kids. Most families don't go longer than seven days. So pick a 21-day cruise. Or find a ship that doesn't have state-of-the-art kid facilities.

Q: How are theme cruises doing?

A: Theme cruises are enjoying a huge renaissance ... whether it's quilting or Three Dog Night you are interested in ... because it creates an instant community. That's a lovely way to find a community onboard.

Q: What kind of ships or cruises do you prefer?

A: I like smaller ships, meaning under 1,000 passengers. You have a decent spa and enough amenities and restaurants, but it's also cozy enough. I do not like ships with the fixed dining.

I love Oceania. I think it's my favorite line. The ships are roughly 700 passengers, and they go to really interesting destinations. I think they do the best job in the industry in terms of value.

Q: What's the best stateroom to book?

A: I think the best cabin has to be any cabin with a balcony. That's like a whole other room. There is nothing like sitting out having coffee in the morning, watching the sunset in the evening, opening the door and having the air coming through. That's something an on-land resort can't touch.

Huge Savings Available on MSC Cruises

MSC Introduces Two New Luxury Cruise Ships

MSC Cruises' Newest Ships to Sail to the Caribbean and Mexico in 2009.

Book MSC Cruises Now and Save!

North American cruise passengers are able to experience the Caribbean and Mexico aboard two of MSC Cruises' newest and largest ships when the MSC Poesia and MSC Magnifica arrive in Fort Lauderdale for their inaugural 2009-10 seasons.

In addition to sailing on the two newest of the line's "Musica" class ships, passengers can select from a variety of Mexico cruises and MSC cruises roundtrip itineraries that include 7-night Eastern and Western Caribbean sailings and four different 10-night itineraries with stops in Mexico. MSC cruise Itineraries feature many of the most popular ports of call as well as several exciting not-so-often visited ports, such as Playa del Carmen, Curacao and Aruba, on select itineraries.

Cheap Caribbean cruises rates begin near $500 per person, double occupancy for some 7-night MSC cruises and below $800 per person, double occupancy for 10-night MSC cruise itineraries. As always, Government fees and taxes are additional, as is a fuel surcharge.

As with all MSC Cruises' sailings, kids ages 17 and under sail free when sharing a stateroom with two full-fare-paying adults.

Discover The New MSC Cruise Ships Featuring Many Shipboard Amenities: 
Both the MSC Magnifica and MSC Poesia feature 1,275 staterooms, of which 80% are outside staterooms and 65% have a balcony. There will be 236,000 square feet of public spaces, 2 pools and 4 hot tubs, plus a 13,000-square-foot spa. On each MSC cruise ship, guests can select from four restaurants, including a Sushi Bar alternative dining restaurant.

In addition, the MSC Magnifica cruise ship features a Magrodome that allows guests to enjoy the pool area no matter what the elements.

MSC Cruises will offer many specials in the winter of 2008.

Leave the harsh North American winter behind and experience the warmth and beauty of the Mediterranean amidst the elegance and European and Italian ambiance of MSC Cruises’ two newest ships.

Guests can enjoy comfortable Mediterranean climates under less-crowded conditions – and with the lower airfares that come with the off-peak season – this winter on MSC Fantasia and MSC Poesia while discovering the hidden corners of Italy, Spain and Portugal or exploring the ancient mysteries of Egypt, Greece and Turkey.

MSC Fantasia, which debuts in December 2008, is the largest ship in the line’s fleet. In addition to five dining venues (including a Tex-Mex alternative dining option), the expansive AUREA SPA featuring Balinese treatments and a large Aqua Park (with 150 illuminated fountains), it introduces the MSC Yacht Club, the line’s new exclusive VIP area. MSC Yacht Club is a paradise within a paradise. It will consist of 99 spacious suites (up to 700 square feet), plus a bar, solarium, 2 Jacuzzis, a pool with sky dome, as well as offer guests their own butler service.

MSC Poesia is truly an Italian poem of the seas, with sophisticated color schemes, attention to detail and service. The ship features 12 bars, the refined AUREA SPA and the Kaito Sushi Bar, with its Japanese food and ambiance, including a Zen garden and art pieces.

After her December christening in Naples, MSC Fantasia will sail two 8-night roundtrip holiday itineraries from Genoa: the Dec. 20, 2008 Christmas sailing calls at Rhodes, Alexandria, Messina and Naples, while the Dec. 28, 2008 New Year’s itinerary visits Barcelona, Lisbon, Malaga and Civitavecchia. The ship will then sail 11-night Western Mediterranean and Canary Islands roundtrip itineraries from Genoa that call in Barcelona, Funchal, Tenerife, Arrecife, Malaga and Civitavecchia, from Jan. 5-Feb. 18, 2009. Departures from Barcelona are also available on all sailings except Dec. 20, 2009.

MSC Poesia, which debuted in spring 2008, will spend the winter sailing alternating 11-night itineraries roundtrip from Genoa. The Eastern Mediterranean and Egypt itineraries call at Katakolon, Piraeus, Rhodes, Alexandria, Limassol, Marmaris, Heraklion and Naples or at Ajaccio, Messina, Rhodes, Alexandria, Valletta, La Goulette and Naples. The Western Mediterranean and Canary Islands itinerary calls at Barcelona, Casablanca, Tenerife, Funchal, Malaga and Civitavecchia.

MSC Cruises’ winter cruises promote relaxation and personal harmony on board elegant and modern ships. Discover the beauty of the Mediterranean’s unique coastline from a balcony stateroom.

Guests can reap significant savings on the line’s Europe itineraries by taking advantage of the “Best Fare, Best Room” promotion, which provides the best stateroom available within their desired category (interior, oceanview, balcony) at the time of booking. “Best Fare, Best Room” rates begin at $1,049 per person, double occupancy; rates are cruise only, USD, government fees and taxes and fuel surcharge additional.

Families can also take advantage of the special “Kids Sail Free” offer on all Europe sailings when youngsters ages 17 and under share a stateroom with two full-fare-paying adults

For more information about MSC Cruises and its winter Mediterranean itineraries, visit a local travel professional or www.msccruisesusa.com.