Today, we are talking about green. That’s right. Your money.
Specifically, if you think that once you've paid for your cruise, you're done spending money...
that is definitely not the case. Once on the ship,
there is still plenty of opportunity to spend money. In fact, in normal years,
about 30% of what cruise companies earn in revenue comes in the form of onboard spending.
And over the decades, cruise lines have had plenty of time to tweak things on the ship
in an effort to generate more revenue. It's nothing illegal or sneaky,
but from how the ship is laid out to how you pay for things on the ship, there are some
very clever ways that you may spend more money without even realizing it.
Here's how you might end up spending more on your next cruise.
Let's start with the most basic part of spending on a cruise:
How you actually make a purchase. These days, everything is done on your room keycard.
Sure, it opens your cabin door, but it can also be used just like a credit card around the ship.
Want a drink? Make an order and then the bartender swipes the card
(or post-COVID, just asks for your room number and dame).
The charge then goes on your account and you then pay it off at the end of the cruise.
Not only does all spending being on a card make things easier than dealing with cash and change,
but studies have shown again and again that people tend to spend more when paying with a credit card
than with cash. Exactly how much more varies based on the study, but the trend is undeniable.
So not only can the cards be more convenient around the ship,
but they also potentially mean people could spend more while on their cruise.
Which sounds better to you? Paying $60 per day for a drink package, or paying $420 for the package
during the length of the cruise. Over the course of a week cruise, it comes out to the same amount.
Still, for many things you'll see them priced in per day terms. To be sure,
that makes it easier to share pricing as different people take different length cruises.
But Psychologically, seeing the smaller amount is less of a hurdle for many people to overcome
to spend the money compared to seeing the price in full right at the start.
Now, this isn't some bait and switch as you'll always know what you'll pay in total for a package
or an upgrade before you pay. But similar to seeing a monthly payment when you're buying a car
or buying a house, that smaller per day price can be easier to stomach and seem more reasonable.
Who doesn't love a good sale? For people on the fence about a purchase,
sometimes a sale offer is enough to get them off the fence and open up the wallet.
Whether buying your cruise or on the ship, you'll notice that sale prices are everywhere. Go to
any cruise website and you'll be greeted with a big banner showing a discount or special offer.
When you're on the ship, it's much the same. Shops around the ship offer seemingly constant sales.
Want a service in the spa or to eat in a specialty restaurant?
You'll likely see some sort of discounted sale during your vacation.
These sales are nice, but they are also a technique to get passengers to go ahead
and make that purchase.
You can't spend money on a product or a service if you don't know it exists -- or you don't think
about it when it's time to buy. That's why cruise lines love to advertise to passengers.
What we're not talking about are the flashy TV ads you might see or the direct mailers
sent to your mailbox. Instead, we're talking more about advertising at your stateroom.
When you cruise, you'll often come back to your room with the daily planner next to the door,
along with a stack of papers offering everything from spa treatments
to art auctions to deals for booking your next cruise while still on the ship.
These ads are all designed to make sure you know -- or are reminded
about -- what's offered around the ship that is available for purchase.
Sure you spend money on the cruise, but there's always the chance to spend MORE money on the trip.
Let's take upgrades for example. Maybe you purchase a bare-bones interior cabin. For a
little more, you can upgrade to an oceanview room. Or even if you sail in a suite, there's the chance
to upgrade to an even nicer suite in a better location, with more space, or a bigger balcony.
No matter what you spend, there's always a chance to spend a little more for something better.
It's similar with specialty items, including restaurants. Sure,
you can eat for free the entire cruise with food that's included in your trip.
But there is always the opportunity to eat somewhere different -- for a price.
It all adds up to the ability for passengers to spend more money
if they want to have a better experience.
Ever wonder why you have so many options when it comes to packages? Take the drink package. For
many cruise lines there's a regular drink package, but then there might also be a higher-end package
and maybe even one that's more basic and includes fewer options at a lower price.
It's the same thing for Wi-Fi packages. There will be a top-tier package with streaming,
but also slower, more basic access -- such as simply being able to post to social media
and check email -- available for a lower cost.
Having these choices means it's more likely that a person can find a package
they like. Say you only had a choice between the top-tier Internet package for $25 per day,
or nothing. You might skip it if you only wanted to be able to check email. But if you have the
option of a lower-tier plan for $12 per day, you could find it worth spending the money.
Are you the sort of person that hates buying the cruise,
and then having to pay for a drink package, and then Wi-Fi,
and then gratuities? You're not alone. It can feel like you're being nickeled-and-dimed.
That's why cruise lines offer bundles. This is just an industry term of grouping things
together when you buy. So instead of buying a cruise and a drink package separately,
you buy them together when you purchase the cruise.
This bundling can lead you to spend more. Industry executives call it having a "fresh wallet."
Since you've already paid for the bundled package months ago,
it means you are essentially starting over on the ship. So instead of dropping hundreds on
a drink package when you board, you feel like you have more money to spend while on the ship.
Have you ever been on a cruise ship and seen the casino tucked away on a bottom deck at
one end of the ship? Absolutely not. The casino is always near the heart of the ship,
usually with easy access from the main promenade.
In fact, you often have to walk through it to get from one end of the ship to another.
And have you ever noticed that bars and shops are easy to find, with spots
right near where people congregate, such as the pool or the main thoroughfare of the ship.
It's just common sense that you have a place
that you want people to visit -- and spend their money -- then you put it front and center. The
same principle that applies to a shop on Main Street also applies to a cruise ship.
Ever heard of dynamic pricing? Not every line uses it, but one major line does: Royal Caribbean.
Dynamic pricing is just a fancy way of saying there aren't set prices. Instead,
the prices charged for many things on and off the ship change with the specific cruise.
For instance, you might find one price for a visit to the waterpark at CocoCay,
only for someone on another cruise to see a completely different price.
We personally took a cruise in 2019 where the admission price to the waterpark was $51.
On the same cruise just a few months later, it was $84 per person.
And on drink packages, there's not a set price. Instead, there's a range on Royal Caribbean
of $63 to $89 per day.
In other words, the pricing for things can
change similar to seeing different prices for different cruises.
Now this doesn't necessarily mean you pay more. Prices can go down as well to entice you to buy.
But it is another tool to entice passengers to spend.
Thank you for watching, and I hope that you're now more knowledgeable about the techniques on
cruise ships that can get you to spend more. If you liked this video, I'd appreciate it if you
like and subscribe. And be sure to check out the Cruzely channel or Cruzely.com for more.
Until next time, happy cruising!