Fincantieri to build ultra-luxury ship for Regent Seven Seas Cruises


Fincantieri has received an order from Regent Seven Seas Cruises for the construction of a super luxury cruise ship.

The new ship will be called Seven Seas Explorer. She will be assigned to Sestri Ponente (Genoa) shipyard and her delivery is scheduled in summer 2016.

The contract is worth approximately USD 450 million. SACE (Italy's export credit agency) has made a significant contribution to finalizing this deal thanks to its provision of export guarantees to the banking system, allowing Fincantieri to present the cruise line with a satisfactory package of technical, commercial and financial proposals.

With its 54,000 gross tonnes and 223 metres in length, Seven Seas Explorer will be the flagship of the fleet, with accommodation for 738 passengers in 369 spacious suites. The new ship will be built using the very latest in environmental protection technologies. The interiors will be particularly sophisticated, with every attention paid to passenger comfort. The renowned studies of Tillberg Design AB, RTKL Associates and I-Crave will be in charge of interior design.

Commenting on the announcement, Fincantieri CEO Giuseppe Bono said: "I am extremely pleased with this new order, which is all the more important because it establishes our global leadership in this sector and strengthens our presence in the luxury segment with the addition of another prestigious brand to our client list, also thanks to the fundamental synergy created by the country through agencies designated to promote Fincantieri exports".

Frank Del Rio, chairman and CEO of Prestige Cruise Holdings, commented: "This new ship order represents an exciting time of growth for our company as we build the next generation of cruise ships for the world’s most inclusive luxury cruise line,” said Frank Del Rio, Prestige Cruise Holdings Chairman and CEO. "Seven Seas Explorer will be the most luxurious cruise ship ever built boasting one of the highest space ratios and staff-to-guest ratios ever seen in the modern era of cruising enabling us to deliver the highly personalized service and extraordinary experience that is the hallmark of the Regent brand".

Oceania Cruises announces its inaugural World Cruise

Oceania Cruises announced today its first ever Around the World in 180 Days cruise, a star-studded, port-intensive 180-day voyage aboard the 684-guest Insignia, setting sail round-trip from Miami on January 10, 2015.

This extraordinary once-in-a-lifetime voyage visits five continents, 44 countries and 89 ports of call and will feature 11 overnight calls plus 4 two-night calls in Cape Town, South Africa; Yangon, Myanmar (Burma); Singapore, Singapore; and Shanghai, China.

Insignia’s 180-day journey begins by visiting boutique ports in the Caribbean then steers south to South America and east to Africa before heading to India, Asia, Australia, New Zealand, the South Pacific and Hawaii before returning via the Panama Canal to Miami on July 8, 2015.

"As the leading specialist in destination cruising, we wanted to create a unique port-intensive voyage that reflects the dreams of the true explorer, rather than speed across the seas racing to the next convenient port as is the norm in a typical 100- to 110-day world cruise," said Kunal S. Kamlani, the line’s president. "By eliminating the 100-day time constraint, we freed ourselves to conceive a remarkable dream voyage designed to visit the world’s most fascinating destinations."

In addition to crossing the equator four times and sailing through all 24 time zones, the Around the World in 180 Days cruise will traverse three oceans and 10 seas, call on 45 islands and offer the chance to visit 47 UNESCO World Heritage Sites.

Of the 89 ports visited on this extraordinary cruise, 13 are new to Oceania Cruises, including Corinto, Nicaragua; El Guamache (Isla Margarita), Venezuela; Langkawi, Malaysia; Santa Marta, Colombia; and Xiamen, China.

Guests will also enjoy a one-night pre-cruise luxury hotel stay in Miami and free exclusive shoreside events in Walvis Bay, Namibia; Myanmar; Bangkok; Beijing and Honolulu.

Bookings for the Around the World in 180 Days cruise open at 8 a.m. EST on July 17, 2013, and feature two-for-one cruise fares, free FIRST CLASS round-trip airfare and free pre-paid gratuities. Additionally, guests will receive a free visa package including entry visas for 16 countries, unlimited Internet and laundry service, luggage delivery, round-trip transfers and free onboard medical service, a first for the industry.

"We expect that many of our Around the World guests will be experienced cruisers and therefore will be over the age of 60," Kamlani added. "In order to eliminate the stress of worrying about everyday medical issues, we have included free onboard medical service for our Around the World guests for the duration of the cruise."

Guests must book by 9 p.m. EST on September 17, 2013, to receive early booking fares beginning at $39,999 per person.

Around the World guests will cruise aboard the Insignia, an elegant mid-size ship. Insignia is spacious enough to offer every modern comfort and amenity of larger ships, yet small enough to call on secluded bays and chic, seaside hamlets not accessible to most vessels. Gourmet cuisine crafted by acclaimed master chef Jacques Pépin is served in four open-seating restaurants, all at no additional charge. The ship features spacious, modern accommodations and a state-of-the-art fitness center, casino, boutique, large pool and the Canyon Ranch SpaClub.

Scandlines and STX Finland sign Letter of Intent

Scandlines and STX Finland Oy have today signed a Letter of Intent (LOI) for building two new ferries for the route Rostock (Germany) – Gedser (Denmark) for delivery in spring 2015. The project will bring some 1000 man-years of work for STX Finland and its subcontracting network.
 
The ferries will be double ended and construction will allow the ferries to be used on the route Puttgarden (Germany) - Rødby (Denmark) as well. Each ferry will have a capacity of 1,300 passengers and 72 trucks or 382 cars. The ferries will be operating on environmentally friendly LNG instead of traditional heavy fuel, thus reducing emissions to the air significantly. Nitrogen emissions, CO2 and particulates are reduced remarkably and sulphur emissions are practically zero.
 
Over the summer, Scandlines and STX Finland Oy will undertake negotiations under the LOI in order to reach a final contract.

Disney, Royal Caribbean and Holland America top J. D. Power cruise satisfaction chart

While overall customer satisfaction with cruise lines is high in the US, nearly one in five customers experience a problem while on their cruise, according to the J.D. Power 2013 Cruise Line Satisfaction Report released on 27 June.

The inaugural report measures cruise line customer satisfaction based on seven key factors (in order of importance):  service; stateroom; food; embark/debark; entertainment; cost; and excursions.

Key Findings:

Disney Cruise Line (871) ranks highest in overall satisfaction among cruise line brands, followed by Royal Caribbean International (838) and Holland America Line at 835.

Price (53%) and past experience with brand (39%) are the two primary reasons for selecting a cruise line.

The average price paid for one person is $1,628 and $2,330 for a group of two to four.

Disney Cruise Line ranks highest in customer satisfaction with a score of 871 (on a 1,000-point scale), significantly higher than the report average of 824, and performs particularly well in the entertainment and food factors. Royal Caribbean International ranks second with a score of 838, and performs particularly well in service. Holland America Line ranks third at 835, also performing particularly well in service.

 While customer service, stateroom and food comprise more than 50 percent of the contribution to overall satisfaction, the number of problems passengers experience during their cruise also has a significant impact on loyalty and advocacy. Overall, 18 percent of passengers across all cruise lines indicate they experienced at least one problem on their cruise. On average, cruise line passengers experience 1.8 problems.

Passengers experiencing zero or one problem (61% and 55%, respectively) say they "definitely will" take another cruise with the cruise line they most recently used. When two to three problems are experienced, the likelihood of customers taking another cruise with the same cruise line drops dramatically (33% and 28%, respectively). Among the brands above the industry average, 68 percent of passengers indicate they "definitely will" recommend their cruise line to others, surpassing the report average of 61 percent. A high level of satisfaction translates into customer loyalty and advocacy.

 "Many cruise lines in the report have very high levels of passenger satisfaction, well above the report average; however, for more than a year, the overall industry has been dealing with a lot of negative news affecting customer perceptions, expectations and trust," said Ramez Faza, senior account manager of the global travel and hospitality practice at J.D. Power. "To raise the bar, the industry must focus on meeting the needs of the nearly 20 percent of passengers who experience a problem with their cruise line experience. Cruise lines need to understand the causes of customer dissatisfaction and determine what will motivate them to come back."

The primary reason for choosing a particular cruise line is price (53%). However, among customers who say they "definitely will not" or "probably will not" return for another cruise, cost is the driving factor, with their overall satisfaction score at 614 points. The average price paid for one person is $1,628. When the number of people in the traveling party increases to two or four, prices average $2,330 for the group. Among customers who say they "definitely will" return, service is the key reason for their decision.

"To retain existing customers or acquire new customers, cruise lines need to be extremely sensitive to the price point that is most comfortable for customers, while providing the highest level of service possible," said Faza. "It's all about perceived value for customers. Did they get their money's worth? Was the service better than expected? Simply put, cruise lines need to work harder to create an enjoyable experience in which customers feel they are getting a great value for the price. Cruise lines that satisfy their customers and provide them with a reason to cruise again are rewarded with loyal customers."

Most consumers become aware of their cruise line brand through one of several means: the cruise line's website (28%); they are loyal customers who have traveled with the cruise line previously (24%); or they discover the brand from friends and family (17%). Additionally, television plays a role in creating awareness about cruise lines, with 2.8 percent of customers saying that TV ads were the reason they selected a cruise line brand.

J.D. Power offers the following recommendations to customers when selecting a cruise line

-- If you're planning a cruise for your family, choose a cruise line that provides age-appropriate entertainment and a variety of food choices for adults and children.

-- If you are taking a cruise with numerous ports of call find out which cruise line ranks highest for embarking/debarking. The more organized and efficient the cruise line is with both of these metrics, the less stressful the experience may be when leaving and returning to the ship.

--Taking a cruise with many ports of call is a great way to experience the world. Research all of the ports of call ahead of booking your cruise and plan each excursion so you will have plenty of time to experience everything you're interested in and get back to the ship on time.

The 2013 Cruise Line Satisfaction Report is based on responses from 3,003 customers who traveled on a cruise line in the past 12 months. The study was fielded from May 29, 2013, through June 14, 2013. Notably, among the five brands ranking above the report average, Royal Caribbean International and Celebrity Cruises are owned by Royal Caribbean Cruises Ltd. Holland America Line and Princess Cruises (both above the report average) and Carnival Cruise Lines (below the report average) are owned by Carnival Corporation & PLC.

Call for a friendlier regulatory environment at CLIA Europe Conference

The annual CLIA Europe Conference, formerly the European Cruise Council Conference, was held in Brussels on 25 June 2013, attended by hundreds of key industry personalities, travel agents, as well as EC representatives. A Cruise Business Review correspondent was present at the event. Alan Lam reports.

As the first gathering since the inception of CLIA Europe, the conference addressed a number of regulatory issues - particularly the Schengen visa restrictions that was considered to be a pressing concern by the industry - and highlighted the economic contribution of cruise. CLIA’s Secretary General, Robert Ashdown, spelt out the priority of CLIA for 2013 as to ‘leverage the strength to overcome obstacles’. The legislators in attendance all demonstrated a much better understanding of cruise business and pledge their support for the industry.

Issues such as overcapacity, challenges from Asian shipbuilding and competitive deployment were also discussed extensively. One of the main concerns besides calling for a cruise-friendly legislative environment was how to accelerate the training of travel agents, making them advocates for the cruise sector.

A full report and analysis of this event will be published in the next issue of Cruise Business Review.