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Superyachts and the Cruise Industry - American Superyacht Forum Day 1

I arrived in Seattle for the American Superyacht Forum (which is annually held in a "yachting" city or hopeful yachting city, such as Newport, Rhode Island,  San Diego, California, etc.)  Though I had been to the airport I had never actually visited Seattle, so I was looking at this trip not only from a yachtie standpoint, but from a cruise one as Seattle is a fairly regular embarkation port.

I am staying at the Marriott Waterfront which has a lovely bay view and typically comfortable, but not flashy, rooms.  My view is of a small yacht marina inside of the commercial pier.  The Bell Conference Center is pretty much 2 minutes away...and the cruise terminal is literally attached to it.  So,the first connection between the two industries I found on Monday is that yacht conference or cruise, stay at the Marriott Waterfront the night before.

The Keynote Speaker is the owner of the 152 foot (46 metre) sailing yacht S/Y Antara.  It was a joy to listen to an "old time" owner that still enjoys the "getting there" more than the "being there" (i.e. the journey is what he enjoys most as opposed to many new yacht owners that want to meet their superyacht once it has arrived in a port...usually by way of their private helicopter landing on the yacht's deck).  Just as that was enjoyable to hear, I was more than surprised to find out he lives literally in the town next to my office and he sails his smaller 44 foot sailboat in the Navesink River, which my office oversees.  (I had to fly to Seattle to meeting because...why?)

During his talk he discussed his experiences from his first sailboat to present.  Then he mentioned he just loves being at sea and spoke fondly of doing a crossing on the Queen Mary 2 just watching the water.  I asked him about his cruise, taken as a Grill Class guest, and he said he was very impressed with the service, but that was before he owned S/Y Antara, his first superyacht.  When I asked him about the difference in service quality he said from the moment he stepped on his superyacht he was "blown away" by the much higher level of service.  He has, for example, hosted former President George H.W. Bush for lunch and a sail on S/Y Antara.  Yes, there is a difference between cruise ship luxury and superyacht luxury.

But we talked a bit more after his talk and I asked him if he would like to sail in the Pacific Northwest, which is quite beautiful.  His answer was that it just wasn't practical to bring his yacht such a distance.  That lead me to ask if he would consider taking a cruise.  The response didn't really surprise me:  Concerns over the level of service, cuisine, etc.  I then asked him if he knew of Seabourn and he admitted a vague knowledge of a cruise line that had something like 90 passengers (SeaDream).  Obviously we spoke a bit about Seabourn and his interest grew and thoughts of spending time on the water visiting more exotic places became a viable option that he never had really considered.

The next conference panel was on State of the Industry - The USA in 2010 and Beyond.  Billy Smith III, the always energized vice president of Trinity Yachts spoke of how to attracted new people to the superyacht industry which, like most industries, finds itself suffering in this economy.  His comment, "The cruise industry introduces people to the ocean if not yachting" obviously jumped out at me.  It hit me that there are millions of potential yacht owners that don't live near the water and that they are part of the 85% of Americans and 95+% of Europeans and Asians that have never cruised.  (BTW, his son is working during his college summer by working for Holland America land tours in Alaska.)

So just on the first day of this conference from cruise terminal to levels of service to practicality of visiting exotic locales, to attracting clients...and even just enjoying the sea...has again tied together the superyacht and cruise industries.

Even When Skiing Iamboatman Thinks About The Cruise Industry - Training and Consistency Is the Cornerstone.

The other day I wrote about Mark Conroy, President of Regent Seven Seas Cruises' open letter and Regent's new efforts to provide what it has promised it would be providing all along. I am hopeful, but not enthusiastic.

Well, I am a member of the Tahoe Mountain Club - a sort of country club for skiers and golfers belonging to Northstar-at-Tahoe or Old Greenwood - here in Lake Tahoe, California.  It has, to be kind, been a monument to ripping off those of us shelling out tens and tens of thousands of dollars under the guise of providing the ultimate in luxury ski and gold experiences.  It has  actually been nothing more than a vehicle to sell faux luxury to those interested in being nothing more than fractional owners (read "timeshare") or renters.

The result has been really good looking facilities overrun with children, people who don't give a damn about the facilities or other "members", and the "real members" (those who actually paid up to $100,000 for a membership...I am a member, but not in that league!) being unable to find real luxury anywhere in the very facilities they have paid for.  (The General Manager actually sent out a letter last Spring claiming TMC was striving to reach an 8 out of 10...a B-...in all areas!)

This year I have found things to be just as bad...almost.  Just when I was about to give up, Schaffer's Camp, a private TMC restaurant on the top of Northstar-at-Tahoe, gave me some hope.  After my screaming for two years about the faux luxury, a pretentious but dishonest and inept manager, horrid overpriced food and lousy service, Tahoe Mountain Club finally listened.  I walked in the door and was greeted by, "Hello Mr. Goldring.  Nice to see you."  The new manager, Brad Kohler, happened to be there and started to speak to me with enthusiasm.  They found me a table in the dining room (I was going to eat in the bar) and was greeted by a very nice and competent waiter, trained and smiling bus-staff, a menu and wine list with reasonable food and wine at reasonable prices (and a true wine expert on staff)...and all of a sudden that Million Dollar View looked a whole lot better and the food was excellent.

How did this transformation happen?  BIG changes.  There was an admission by TMC's management that they were doing it wrong.  They brought in a fresh and enthusiastic face who actually knew the business.  He is taking it slow, limiting the reservations in the restaurant so that the staff (cooks to busboys) can learn what to do, how to do it better and making sure execution is excellent.  I repeatedly heard, "We want to take it slow so that we can deliver consistent service and product."  Music to my ears!!!

Being the skeptic I am, I went back the next day and found things...get this...exactly the same!  Consistency has possibly found another home.  While I remain skeptical,  the present situation in one small portion of the Tahoe Mountain Club has - after years - finally seems to deliver what was promised...at least at Schaffer's Camp.  (Last night at 6PM in the Alpine Club kids still were allowed to run amuck, classless and loud renters and filth - from the thin and marginally trained staff being unable to properly cleanup due to overwhelmed and chaotic situation.)

If Tahoe Mountain Club can make things work -even one facility at a time - Regent should be able to do it to.  Regent has an advantage, as well:  It has never been in as bad a shape as TMC.

That said, I kept thinking those that haven't tried Seabourn need to.  For me it sets the standard.  It is better at an excellent level of service...in all areas of its ships, with truly fine dining and, while not perfect, always striving for consistency.

Discounts and Luxury - Are They Mutually Exclusive and Do They Hurt The Consumer?

Over the past week...and especially the past three weeks...we all have seen something none of us have ever experienced and, worse, we do not really know where it all will be going.

Today someone pointed out an article in the New York Times which was a very interesting read:  http://www.nytimes.com/2008/12/04/fashion/04SHOPPING.html?_r=1&emc=eta1.  Basically, it is about Saks Fifth Avenue transforming itself into a discount marketer with deals on designer goods up to 70% off and what effect it has had, and may have in the future, on the luxury fashion market.  As the author discusses it, no matter how hard a luxury fashion retailer tries to keep its market-share and its "ineffable luster", the "slash-and-burn" pricing may, in the end, both cause the loss of luxury to have its "mystique" and cause consumers to balk at paying the premiums for a luxury wallet or gown.

By this point you are probably thinking, "Yeah, and that also applies to the luxury cruise market, too."  Well, I admit that was my first thought or, better, it is what I perceive will be in the minds of many travelers.  Actually, however, that concept is wrong...very wrong.  Let me explain.

In the New York Times article there is an example of a Valentino gown retailing at $2,950 marked down 70%.  Using that example, I first consider that the gown will be worn once (and only once) by a single woman who must be a particular size/height/measurements.  It is, to be sure, the ultimate in decadent purchases and, to be sure, is not going to create a life experience for the purchaser (as the event the dress will be worn at will, in the end, make more of an impression as to the overall experience).  I then consider the fact that while the dress may be stunning, most of the women that can and would actually wear that dress can probably make a pair of jeans and a T-shirt also look stunning, so they have many, many fashion options (at far lesser costs) available to them as extremely viable alternatives.

On the cruise side of things, Seabourn has a few, limited in number, seven day cruises selling for $2,840; a very relevant comparison.  Forgetting the market is not nearly as limited as to possible purchasers, this commodity is also perishable, if not by season, by time so there is pressure to sell it (rather than keep in on the shelf in inventory as one might a blender).  However, the consumer knows that a luxury cruise is not something she/he will use for a matter of a few hours or that it must be supplemented by other events to be truly enjoyed and appreciated.  This seven day luxury cruise lasts, well, seven days (not hours) and is the event.

On a Seabourn cruise (or it could be Silversea or Regent Seven Seas, for that matter), your transportation, housing, food, drink and entertainment is included.  The cost of strolling the superyacht docks of Monte Carlo, visiting Las Rambla and the markets in Barcelona, or cycling in Porquerolles, France in minimal.  And, how many of you cruise on Seabourn to...yes that's right...have a Seabourn Experience onboard the ship?  Admit it:  Many of you have opted to stay onboard the ship, just to enjoy it, when it arrives in port.

Now that you see one is an object with limited appeal and the other is an experience with much broader appeal, let's look at the mark ups.  I don't care how much time is spent hand stitching some exotic fabric, the mark up on designer clothes is absolutely shocking.  A shirt may cost $5.00 to produce in China, but will sell (would have sold?) for over $250.00 in the U.S.  A $35.00 pair of pants in the U.S. may sell for $150 Euros in France.  While all of that mark up is not enjoyed by the retailer, you can be sure that mark ups of 100% and more by them are not unusual.

On the other hand, the markup on cruises is not nearly at those levels.  (You may recall my concern when Silversea announced a 25% commission rate and I saw it as a sign of desperation because it wasn't economically viable).  Without repeating all that is included in a cruise you must add to it, the cost of the crew, staff, fuel, maintenance, etc., etc. 

One other factor is the holy grail of most cruise lines:  Onboard Revenue.  While on the mentioned lines you drinks and gratuities are included, on the mainstream lines they are extra. Chatting at the Sky Bar costs nothing, while Bingo (talk about profit!) is a hefty extra.  You get the idea:  Paying for a luxury experience net may not be that much more than if you sail on a mainstream line, but you get a seamless and more polished (i.e. enjoyable) experience.

So if you are feeling ripped off by Saks Fifth Avenue being able to sell designer fashions at 70% off, don't transfer that over to the luxury cruise lines.  Not all luxury is created equal and, alas, some luxury actually not only had great value, it remains a great value.

Seabourn Upgrading to Exclusive Molton Brown "Therapies" Toiletries

Seabourn announced today that it has listened to me.  OK, maybe they didn't, but it was something I have been speaking to Seabourn about for quite a few months.  Quoting from the Seabourn Odyssey blog:

For many luxury travel enthusiasts, the most fun part of sailing on Seabourn is the designer-label, high-end experience from the guest suites, to dining, to the spa experience. Famed bath and beauty product company Molton Brown, London is a regular fixture on Seabourn, however, we will be introducing a new range of products from Molton Brown, London called Therapies. The Yachts of Seabourn will offer these exclusively to cruise guests. (i.e. no other cruise line will have them.)



The Therapies Range is a high performance , luxury treatment line created solely from active plant ingredients to assist guests while they travel. The new range will help purify the body of pollutants picked up during the journey, ease travel tension, fight the effects of jetlag and aid sleep.

Products you will see onboard include:


Purifying plum-kadu hairwash and plum-kadu conditioner
Purifying ambrusca bath and shower gel and ambrusca body tonic
Purifying ambrusca cleanse bar
Purifying ambrusca thermal salts muscle soak
Sleep cedrus temple soother and soothing body oil

In addition, we will continue to offer the Molton Brown bathing preparations listed in our Pure Pampering menu and a selection of designer soaps including Hermes and L’Occitane.

In this time of people looking for where the cruise lines are cutting back, it is refreshing...and dare I say comforting...to see that Seabourn is still working hard to refine and improve the "details".

2008 Global Superyacht Forum (Amsterdam)

Every year there is the preeminent gathering of the superyacht industry in Amsterdam:  The Global Superyacht Forum.  (http://www.superyachtevents.com/gsf )This event, with over 650 of the top members of the industry, is held in conjunction with METS, the world's largest exhibition of equipment, materials and systems for the international marine leisure industry. (http://www.metstrade.com/home.asp).

I have the honor of just being confirmed as the legal expert on a panel discussing and debating the various ways in which interpretations and consistency of the rules for constructing superyachts would help improve the process of building and designing of these floating palaces. 

For those with an interest in the highly technical world of superyacht construction (it isn't about the glamour you read about!), this is a rather hot topic, as this has been a very confused area of the industry.  There has been great inconsistency between the various classification societies (such as Lloyd's, RINA and American Bureau of Shipping) and the ship's registries (the entities where you document/register your yacht), the governmental interests (such as MCA and the U.S. Coast Guard) and those who are trying to get the yachts built according to the ever evolving specification and regulatory schemes...and on time and on budget (the shipyards and owners).

With the drastic change in the economy I think this will be an extraordinary session as what, at least to me, has been a "who cares what it costs, they all have money" will necessarily have to take into account both the concept of economic costs for the regulations and the "not killing the goose that laid the golden egg".

Joining me on the panel will be ship surveyors from Lloyd's Register of Shipping, RINA, The Cayman Island Shipping Register, the MCA (UK's Maritime and Coastguard Agency -the European regulatory gurus) and a shipyard. 

Boat International USA 50 Largest US Owned Yachts - MSY Islander

Today I received the August 2008 edition of Boat International USA and it lists the 50 largest yachts with a United States owner. I, quite proudly, saw that the superyacht that I breathed, ate, slept and drank for almost five years of my life remains - after an incredible 18 years - on the list.

With the boom in the superyacht market (yachts over 150 feet, more or less) and a five year waiting list to have one built, to think that what once was considered an impossible feat remains relevant more than two decades after she was conceived and the first aluminium cut is remarkable.

In 1990 Showboats Magazine was gave her an award, "The Magnificent Enigma". Why? this unique 192 foot (58 metre) superyacht has huge sail volumes, two retractable keels and water jet drives, with only a 7.5 foot draft (with keels retracted), a full depth swimming pool, the ability to hold a cocktail party for 250 guests and a list of features that most yachts of today still cannot match.

........................................................................................... I have many, many, many stories of this yacht and my involvement; most good, but some not so good. But they are, to be sure, stories which fill a very large portion of my lifetime.

If you want to hear more about her, log onto one of my websites: http://www.goldringtravel.com/ or http://www.yachtlaw.com/ and watch the video.

The Seabourn Pride, Legend and Spirit - Long Range Plans

There has been in further inquiry about the plans for Seabourn's current fleet of three small yachtlike ships with more than enough false rumors and innuendo that their end is near. The fact is, as I had previously posted, the triplets are part of Seabourn's long range plans.

Here are some truths:

1. The smaller triplets are loved by many passengers and there is a style and comfort level that makes the larger Odyssey just not attractive to them.

2. Many Seabourn passengers (not all by any extent) could care less about the new bells and whistles.

3. There are many unique ports that the Odyssey cannot visit and, therefore, the triplets remain as a real asset for those destinations.

4. There are itineraries that may well support 200 guests, but not 450 guests.

5. The Seabourn Pride will be focusing on Asia with new ports and extended itineraries. Seabourn has not advised what its plans are for the Legend and Spirit, but I would not be surprised if there was a Caribbean/South American presence as well as one in Africa and parts of Australia/New Zealand. I don't know, but I would put my money on the latter!

6. There is a need for capacity, as Seabourn's ships consistently sail at or near capacity. So with one ship in 2009 being delivered, the present demand for capacity might be met to a degree, but assuming any sort of growth, additional capacity will be needed into 2010 and 2011.

7. With the new ships in place, it may well be possible for there to be truly extensive refitting of the older triplets so that its machinery and environmentally related systems can be replaced, and some older design elements changed, at a fraction of the cost of new ships while there is sufficient capacity to meet the demands of Seabourn guests. (BTW, I do not know this to be true, but it is not a large jump for me to get there...in my mind).

One other bit of speculation to be addressed: Pricing. It is something that is based upon demand and costs of operation. If you want exotic ports, it is gonna cost you. No matter how you cut it, the Caribbean will cost less than Africa. Asia will cost you more than France. If you are looking for a deal, I would be looking at low demand seasons for particular locations rather than new versus old ships.

Seabourn Odyssey - The Details.

So what is this new Seabourn Odyssey all about?

First, let me state the obvious...which might not be that obvious to those who have not cruised on Seabourn. The new ship is about service. Consistent service. The service you expect.

Carnival, Princess and Royal Caribbean have far more toys and venues than the Odyssey, but you would never cruise on them expecting the same level of cruise experience. So when thinking about the new ship, don't think you need to go WOW! about anything. (OK, the Spa is a WOW!) Think about how the venue, its setup, its atmosphere blends, embellishes, or compliments Seabourn Service.

I will keep away from most statistics because they are to most just boring or, worse, confusing.

SEABOURN SQUARE

Every hate the feeling of having a barrier between you and the purser, when you want to discuss something? Dread lining up to talk about a tour or to book your next cruise? Well Seabourn is implementing something pretty cool (actually somewhat more akin to what private banking used to be like). You will be able to sit in comfortable chairs in a lounge atmosphere and deal with your requests, inquiries and needs in a most civilized manner. And what would make your feel a bit more comfortable? A coffee bar will be located in the same area....and just down the corridor from the Card Room.

DINING:

Main Dining Room - Seabourn has done something pretty unique. It has very shrewdly designed the Restaurant to be essentially two mirror-images of the triplet's dining room (as far as layout in the dining room and galley). Even the waiter stations are in the same locations. Why you might ask? So that any staff that comes from one of the triplets knows exactly where to go, were things are, and how to serve. While the room will be beautiful, the service will be - here's that word - consistent.

Restaurant 2 - Again consistent with the Pride, Spirit and Legend, this alternative restaurant will feature innovative menus with wine parings.

The Colonnade - This is an indoor/outdoor restaurant with an open kitchen serving breakfast, lunch and dinner. It will feature a different theme each evening. Sound familiar? How about both indoor and outdoor seating?

Patio Grill - This is not just any poolside grill. There will be nice touches that make it a bit special at various times of the day. Wander by with a cup of coffee in the morning and you will be greeted with the aroma of warm cinnamon buns.

In Suite - Seabourn does this the best of any cruise line. Your meal will be served course by course, timed as you like it, with the Main Restaurant's menu available. If you simply want a late night pizza or an afternoon snack, there will be an extensive menu available.

SPA

Seabourn will have a unique, two story, indoor and outdoor spa with expanded services. But what is really exciting is that there will be 750 sq. ft. Spa Villas which provide you a private indoor area with seating and dining areas, a double bed lounger, two treatment beds, an oversized bathtub and shower...plus a private outdoor wraparound terrace with sun loungers. You will be able to rent these villas for your private treatment sessions for half or, demand permitting, full days.

In addition to Finnish saunas and aromatic steam rooms, there will be seven private treatment rooms with a much broader spectrum of services than is available on the triplets including a full service salon.

Seabourn will also be providing a state of the art gym for cardio, strength and weight training along with a Kinesis Wall. (For those of you that don't know what that is, don't worry about it - you will never use it!)

And for those wanting to just relax, the indoor pool will be located on Deck 8 and the Spa's own outdoor whirlpool will be located on Deck 9.

POOLS

If the triplets have glaring weakness it is the pool's location and layout. No more. On the Odyssey the outdoor pool is centrally located on Deck 8 with two whirlpools adjacent thereto. Modern, upgraded, lounges will be provided as well.

There will be a second smaller outdoor pool with two more whirlpools aft on Deck 5, as well, providing a quiet place to relax.

Wait until you see the water effects.

MARINA

Seabourn will have its very popular marina installed on the Odyssey and the offerings will be expanded to include water skiing and windsurfing in addition to snorkeling, banana rides, etc.

LOUNGES

One of the interesting things is that the lounges are designed to keep the intimate settings that exist on the triplets. Yes, The Club and the Observation Lounge will be larger, but their layouts are such that they are broken up into smaller spaces. Seabourn has not forgotten that it is the socialization among its guests that is one of its strongest features and these spaces are designed to enhance conversation.

Also, while the Sky Bar will be present in its familiar location and with a now fairly consistent look (thanks to the recent upgrades to the triplets!), there will be a second outdoor bar one deck down...right by the main pool.

STAFF

I have kept the best for last.

Seabourn is doing an incredible amount of work to make sure the staff on the Odyssey is trained, knowledgeable and, of course, familiar. Continuing with the tradition of European and South African staff, Seabourn has put in place an extensive shoreside education and training program.

But as you know, there is nothing like actual experience, so Seabourn is doing something unheard of. It is sacrificing suites on the triplets to house some staff so that they can shadow the current staff and learn "on the job" while not compromising either your upcoming cruise on the triplets or having you face an untrained staff member on the Odyssey. While I am sure it will not be perfect, the effort to make the service as consistent as possible from stewardesses to bartenders, pursers to waitstaff, is remarkable.

If you have questions or would like more information on any particular aspect of the Odyssey, leave a comment or drop me an email. Better yet, give me a call!

Regent, Oceania and Information

One the best things I have found from my brief time blogging (don't let all the posts fool the new visitors, I've only been doing this a short time) is that there is a really great mix of people reading this blog. And the result is that I am getting some great input, interesting insights and information as well as different perspectives. Hopefully as this little part of the internet develops we can get into a higher level of discussion and, therefore information, than is not found elsewhere.

Now, what the heck does this have to do with Regent and Oceania? Possibly a lot. Here is a bit of perspective as explained to me. Regent and Oceania obviously have much in common: Both use good quality food, hotel supplies, marine services, etc. There is an economy of scale that clearly makes sense to utilize. (Said in plain language, if you give a vendor more business you can get better pricing due to the increased volume.) This is actually a similar concept that I explained is why Seabourn is able to push forward as part of the large Carnival Corp. behemoth...and if it is good for the goose it should well be good for the gander.

The other concept is that nobody does everything the best way possible. Everybody does something better than the next guy. There is apparently a systemic "look see" going on between Oceania and Regent as to who does what which way and what works better...so that the better approach, or possibly a blending of approaches...can be utilized by both (possibly in variations?).

Both concepts make sense and is consistent with what I have read and reported. The difference may be one of perspective, to wit: Is the approach being used to better each individually or (here's that word again) blend them. I am told it is definitely the former.

Now, me being me (and we know that is part realist and part skeptic) I understand the concept of keeping Regent and Oceania separate entities from the "product" side, but I remain concerned about there being too much homogeny...especially because once you take away the included alcohol and gratuities from Regent, Oceania is looking very similar...other than the suites (but new ships are coming, so I am anxious to see the details on this point!).

On the other hand, the hardware of Oceania and Regent are sufficiently different today that they are different products. For me, I would take a bill for drinks and gratuities with an awesome itinerary (and Oceania has much stronger itineraries...and isn't cruising about going places?) over a very expensive cruise just because it is more inclusive with larger suites.

Does this sound a bit confused about where things are and where they are going? Do I sound a bit non-committal? Yes and Yes. I think what I am getting at is that the concept at Prestige Cruise Holdings may be to keep 'em separate, but practically speaking Regent and Oceania may be far more similar than different; and as the cruise market shakes out with this troubling economy, and if the pricing is not outrageously different, the choice may ultimately be "itinerary vs. suite accommodation". I say this noting I think the "inclusive vs. pay as you go" is generally more hype than anything else.

I am told that in the coming weeks and months there will be some good news from PCH in the coming weeks and months. That may give us even more info...and insight. I have more thoughts, but that'll do it for now.

What Makes a Good Travel Agent Even Better. Thank You Seabourn!

I always find the different perspectives on with whom to buy one's cruise interesting. There are those that only consider price, those that consider assistance and yet others that consider extras.

An interesting thing happened just today when a client was given an inaccurate quote from another agency and then asked me to beat that price...after I had given a very significant discount already and irrespective of the hours spent discussing which cruise to take, logistics, quoting possible alternatives, etc.

I really thought about "Was it all price?", "What about the assistance I gave?", "What is the it extra that I could give or did give versus the other agent?"

But then I thought, if it was only about price then I would not have had to spend the hours working things out. And if it was about assistance, it would not really be about the price. But then I thought, "Ya know, it is actually about the extras...and that doesn't really mean a free tour or cocktail party."

The extras is making sure the client has a wonderful experience from beginning to end. So even though the travel agent with the error wasn't my employee (and, in fact, was my competition) I thought about the client being put in a bad place through the act of a bad travel agent. So I not only honored the erroneous quote, I beat it.

Maybe it was not the most expedient thing to do from a business perspective as to that single booking, but from a way to do business, I think it was the only thing to do. It put my client in a "win, win" situation. The client knows it got the best price AND it knows there is a travel agent willing to go the extra just to make sure the client is more than content.

As most of you know, I am a Pinnacle Club (top tier) agent with Seabourn Cruise Line. And you know that I believe Seabourn is the best cruise product out there in spite of it having (at least for now) the oldest, least amenitied, ships in the luxury market. Why?

It was thinking about what Seabourn would have done for its guest that gave me the answer.

American Superyacht Forum - America's Cup Regatta

As I had mentioned, two weeks ago I fulfilled a dream of sailing on the 12 metre yachts that are the America's Cup. It was all in fun and we had a blast. Here are some photos:

Sometimes you just have to love your job...no matter how hard the work is!

Regent's Former Head of Luxury Cruises Back to Silversea

It was announced to day that Christian Sauleau has rejoined Silversea as executive vice president of fleet operations, overseeing marine, technical, hotel, crewing, entertainment and land programs. He had been with Silversea in the mid-1990's before taking a position with Radisson Seven Seas, which later became Regent Seven Seas...just as it was being marketed for sale.

Mr. Sauleau quit Regent after the sale to Apollo Management. At the time I questioned the plans for the expected new Regent ship and where the focus of the cruise line was going. While I don't know everything, I see the Oceania-fication of Regent now consists of probably using an Oceania hull if there is a new ship (per Mark Conory), Oceania's hotel and food operations being put into place, a stripped down loyalty program and who knows what else.

The indicationsare that Silversea and Seabourn will be the only two major luxury lines. Seabourn will soon be a six (6) ship line (by 2011) and Silversea, with its Prince Albert II and newbuilds, also will be taking up more of the luxury passengers. To be sure it looks like Mr. Sauleau's talents will now be utilized rather than suppressed solely for the purpose of improving the immediate future's bottom line.

Regent Seven Seas Society Membership Changes...The Devolusion of a Loyalty Program

Regent Seven Seas has quietly announced some changes to its past passenger program. As I explain below, the program is providing far less than Seabourn and Silversea do while Regent charges the same price for its cruises (regardless of quality). Essentially, with a couple of exceptions, Regent is repackaging some of the little things it stopped providing its most loyal passengers as part of their cruise fare as "benefits" and then others are cheap efforts to sell insurance and up sell souvenirs.

First a good thing: For those of you who are familiar with the program, the "improved" one drops the silly art auction discounts.

Now, if you dig down, the program really doesn't provide much. After 21 days it provides free internet (which is a very nice thing) and one hour of satellite telephone time (also nice), but not much else of substance...until you sail more than 200 days.

At that 200+ day level Regent will provide complimentary laundry and pressing (and dry cleaning for those over 400 days) and a newspaper. I believe this change is in response to a number of World Cruise passengers who were very upset to see the previously complimentary laundry being limited by day and number of pieces on this past world cruise. So, if you are on your third World Cruise it is not a problem. It is a curious solution, but one that does correct an unintended insult to Regent's most loyal passengers.

Also at 400+ days Regent is providing complimentary transfers to the airport (within 50 miles) or airport/pier transfers for those same 400+ day folks.

But then it gets silly; and I mean really silly. If you purchase Regent insurance and you are one of its most loyal past passengers you get (noting it is a $49.00 value!) increased coverage. Not only that, if you act now and purchase a personalized softcover commemorative album it will be upgraded to a hardcover at no additional cost! Geez.

But saving the best for last, after tauting that its 200+ day passengers will have a special event on each cruise, Regent inserts an asterisk "The exclusive activities offered for Gold, Platinum and Titanium members may be combined with special events already incorporated in our longer voyages." In English: World Cruise and World Segment Passengers - the ones that will probably be in the 200+ day category are probably getting little benefit.

Since Regent competes with Seabourn and Silversea comparing the loyalty programs is only fair and appropriate.

On Seabourn's latest version of its program after 140 days you receive a free 7 day cruise in the category you have most sailed anywhere Seabourn cruises, or you can accrue the benefit and take a free 14 day cruise after 250 days. Comparison:

- Over the life of the Regent program to 250 days you may receive about $3,000 in benefits...if you fully use the internet benefit (at $100 per 10 day cruise and the first two don't count as you are not vested). If you don't, it is pretty much worthless. (Don't get me wrong, the internet benefit is nice.)

- On Seabourn you receive a cruise worth around $10,000 - $15,000.

All of a sudden the Regent program is looking pretty lame. And, for those who have spent 400+ days, you would be looking at $30,000+ in free cruises on Seabourn...while you had to fight to get Regent to do your laundry.

On Silversea you receive an additional 5% off on any Venetian Society discounted sailings after 100 days (value around $375-$500). At 250 days you receive an additional 10% off, plus complimentary laundry, along with early embarkation ($100 per cruise). At 350 days you receive a complimentary 7 day cruise followed by a complimentary 14 day cruise at 500 days. Again, the comparison - while not as generous overall as Seabourn - still puts Regent to shame.

Now, let me add one additional point: Seabourn and Silversea have much less capacity so the guests sailing are the ones actually paying for their one benefits. On Regent there are many that will never make even the first level of benefits as that would require three 7 day sailings. Those passengers are subsidizing the benefits of the most loyal passengers. Hence Regent should have a far more generous program because it is charging as much as Seabourn and Silversea and in actuality is doling out its limited benefits to only a small percentage of its past passengers.

It just baffles me.

For those that want to see the full list of Regent benefits, here they are:


Bronze, 4 - 20 nights
Seven Seas Society cocktail reception
Access to Seven Seas Society cruises, including exclusive events ashore
Seven Seas Society savings on select sailings
Personalized newsletter
Access to Online Personal Profile
Communications with advanced access to itineraries and special offers
Upgrade and referral opportunities on select sailings

Silver, 21 - 74 nights
Everything from Bronze tier PLUS the following items:
Complimentary Internet access on board
One hour complimentary phone time per suite
Complimentary pressing on formal and/or informal nights (up to two items per 7-night cruise segment)
Invitation to participate in Seven Seas Society Advisory Board (on select sailings)
Invitations to exclusive Regent cruise and hotel events in select cities

Gold, 75 - 199 nights
Everything from Bronze and Silver tiers PLUS the following items:
Priority disembarkation at cruise completion in select ports
Additional two hours of complimentary phone time per suite
Choice of newspaper service from around the world
Complimentary pressing of up to two additional items per 7-night cruise segment
Complimentary upgrade to hardcover of personalized commemorative album at soft cover price on select voyages
Exclusive Gold, Platinum and Titanium activity aboard or ashore on every sailing*
Priority reservations at restaurants and spas
Complimentary upgrade to Regent Care Plus when standard package is purchased

Platinum, 200 - 399 nights
Everything from Bronze, Silver and Gold tiers PLUS the following items:
Complimentary air deviation services (one time per sailing)
Additional six hours of complimentary phone usage per sailing
Complimentary pressing
Complimentary laundry services
Invitation to Customer Advisory Panel (on select sailings)

Titanium, 400 + nights
Everything from Bronze, Silver, Gold and Platinum tiers PLUS the following items:
Complimentary transfers to and from your home to the pier (within a 50 mile radius). OR complimentary transfers from the airport to the pier on embarkation and disembarkation day
Complimentary dry cleaning

The exclusive activities offered for Gold, Platinum and Titanium members may be combined with special events already incorporated in our longer voyages.

It's The Annual Awards Season - Yuk!

Last night I received an email from Crystal trumpeting that it was named the best large ship cruise line for the 13th year by Travel and Leisure Magazine. While I believe Crystal is, in fact, the best large ship cruise line, I take exception to the poll of some "readers" of that publication as being meaningful in any real respect. I say this for two basic reasons:

First, years ago various publications put together "Best of" lists that were based upon a critical analysis of the things which each felt were the critical factors when determining the best of, say, a cruise line: Service, food, cabins, amenities, itineraries, etc. Then someone had the brilliant idea of opening up the Best of lists to the publication's readership...and then some opened things up to, the kiss of death (IMHO): Internet voting. This leaves me wondering what these polls actually mean, if anything.

I have a plaque in my office "2000 Berlitz Guide - The World's Finest Luxury Ships" It names the QE2 Grill Class as No. 1, followed by 5 Seabourn ships (including the former Sea Goddess I and II), Hanseatic and two Silversea ships (Silver Cloud and Whisper). Each entry has a point total, reflective of a quantifiable scoring based upon Douglas Ward's critical analysis of the ships. To this day I utilize the Berlitz guide as a guide...not a bible. The author/analyst has his definite likes and dislikes. (Even though I love cheese, I have never discounted a line because of an inferior cheese assortment.)

The Travel and Leisure, or Porthole Magazine, or Conde Nast, or whomever's polls are not surveys of criteria, but popularity contests of only those that actually vote. First I ask, "Who actually votes?" "Are those that vote actually readers of the magazine?" "Is there a way to improvidently skew the results?" And, the answer invariably is, "There is no way to associate votes with readership of the magazine and, yes, you can - as they say in Chicago - vote early and often." Conde Nast posts right on its website: "Make Your Opinion Count! Sign up to participate in Condé Nast Traveler reader polls, and you may earn a chance to win a free trip in one of our survey sweepstakes."

As readers of this blog, ask yourself, "Did I vote? Would I ever vote? Do I know anyone who does vote?" My guess is that for the vast majority of you the answer to each of the three questions is "No." And if the votes are not by your peers, why would you bother considering or worrying about what others actually think? And, to be sure, you don't even know how many people actually voted...or if they had ever been on the cruise line or at the property they voted for!

This years T&L poll of cruise lines does not provide any shockers as to the top lines, though obviously, who is No. 1 and who is No. 3 should be meaningless...even if you give the poll any credence. But the 2007 Porthole Reader's Choice Awards (BTW, you can sign up online, so you actually don't need to be a "reader" of that magazine either) awards Carnival the best main dining room cuisine and NCL the best alternative dining cuisine. Personally I don't care if your favorite is Seabourn's, SeaDream's, QM2's Grills or Silversea's main restaurant or Regent's alternative Signatures, Celebrity's Olympic Restaurant, QM2's Todd English, etc., there can be no legitimate question that there is no qualitative basis upon which Carnival and NCL can legitimately top the cuisine presenting in those venues.

I also looked at the T&L Top 100 hotels. Five of the top 10 are African safari hotels; one actually being a luxury tented camp. Make no mistake, some of those properties are truly outstanding (and I am truly looking forward to my luxury safari next year), but seriously? What are the standards in making a hotel one of the best. Some might say an absence of insects and really good air conditioning; which are absent/partially absent in some of the those Top 10 choices. (Imagine those missing at the Raffles Dubai - where I have stayed and was blown away by how incredible the hotel is...and it is not on the list at all?) BTW, African safari hotels also took 6 of the top 15 in the Small Hotel category while only 2 from all of Europe made the list.

That brings me to my second reason: What one person finds perfect another finds unacceptable. On CruiseCritic.com, there have been some pretty animated "discussions" about why Regent is supposedly the best cruise line and so far superior to, for example, Crystal. The argument is that Regent has open-seating, is liquor inclusive and has wonderful suites, while Crystal has fixed seating, you pay for most of your alcoholic drinks and it has smaller (though not small) cabins.

Believe it or not, in legitimate surveys people actually prefer fixed times to dine. Even with open seating, you will find that most people schedule the time to arrive...and with whom they will be dining. For some, the concept of meeting new people every night is uncomfortable and they enjoy catching up with their new friends each evening. For some signing for a drink is "so yesterday", while others say, "Why should I prepay at a premium for drinks that I will never consume?" And then while no one would complain about about having a larger cabin/suite, for others big enough is well big enough. (There are so many other factors that should be considered when selecting YOUR cruise, but the point is made.)

So, in the end, in the T&L survey, Crystal was No. 1 in the large ship category and Regent was No. 2. I am very confident that for many Regent loyalists, Crystal is simply not an option at all. For them, Crystal doesn't even belong on the same list as it offers such a different cruise experience.

And that, alas, is my point. These awards lists really have nothing to do what is best for you. They may give you "brand awareness" or a signal that a particular property exists, but use them for nothing more. For me, they just confuse the marketplace and create a false impression.

Now, should I take a Royal Caribbean cruise because they have been voted to have the best Caribbean itineraries (the same major ports every large ship line goes to...at the same time!) or should I consider Seabourn (which cruises from Barbados to Martinique, Guadeloupe, St. Lucia, Grenada, St. Vincent, and The Grenadines).

Let's have a vote! Maybe not.

Intercontinental Tahiti - A Great Start Upon Arriving in Tahiti

In a bit of irony I just received a notice for the newest video of the Intercontinental Tahiti resort. Having stayed there I am pleased to confirm that it actually looks like it does in the video. So if a cruise is not in your plans, or you are looking for an excellent pre-cruise hotel, consider the Intercontinental Tahiti.

Cruising French Polynesia

A reader of this blog wants to know what is happening with luxury cruising in French Polynesia in the next few years. The answer is: Something...and it probably will be very good.

Regent Seven Seas has announced, after rumors that 2009 would be its last year chartering the Paul Gauguin, that it is again negotiating to extend the charter. To me this seems almost identical to what occurred a few years ago when Regent had everyone believing the present charter was not going to happen. I do not know if it is a negotiating or marketing ploy, but I find the "this could be it" approach unfair to the clients. Regardless, the 350 passenger Paul Gauguin provides an overall exceptional experience at a premium (not true luxury) level. It does have a good number of balcony cabins and a very limited number of suites (though they are not furnished at a level one would normally expect.) I truly enjoyed this ship and highly recommend it, but know that it is an great way to experience French Polynesia in a very comfortable and cared for manner, but not at the level of the other Regent ships.

Silversea is close to finalizing an agreement with the Tahitian government to place its new discovery vessel, Prince Albert II for the period of April through October 2009. A letter of intent was signed in December 2007 and a meeting was held last month. Its itineraries have been set in anticipation. The Prince Albert II, with only 132 passengers, has been extensively refit and now has quite a number of suites, though only the top suites have true balconies (and a limited number of French balconies). I understand that the level of service is intended to be as close as possible to the luxury levels of Silversea.

Seabourn is going to be visiting French Polynesia during the Seabourn Odyssey's 2010 World Cruise, but not before. While I know Seabourn is planning on having a strong presence in Asia in 2010, I do not have any information on its expanding its presence in French Polynesia for now. When it does make its brief stay in French Polynesia, it iwll raise the standard of luxury to its highest levels to date.

There are, of course, some other alternatives:

Star Flyer, a 170 passengers sailing ship, with modest accomodations is now based in French Polynesia, but it provides a markedly different experience with the majority accommodations being very compact cabins with twin bunks or beds and portholes. While the other two regulars, Paul Gauguin and Prince Albert II, fares include gratuities and drinks, they are not included on the Star Flyer.

If you act quickly, Princess's Tahitian Princess cruises French Polynesia through December 2008. This former R-Ship provides a more "cruise ship-like" experience than the others mentioned with a good variety of accommodations and a fairly standard Princess experience.

Also, with more cruise lines traveling to and from Australia, there are some one-off cruises which spend some time in French Polynesia including such lines as Celebrity. While they may not be the most ideal way to visit this little slice of paradise, it may provide an option on either side of some extensive sea days.



It is hoped that Regent is able to renew its charter with the Paul Gauguin. If it does not I am confident some other entity will continue to operate the Paul Gauguin there. It is a purpose built ship with a very loyal following. Losing that option would leave the area with only two real choices with no compromise in between and extremely limited capacity.

The Oceania-fication of Regent Seven Seas Cruise Line

After months of Regent Seven Seas (luxury) claiming that is not and will not be Oceania (premium), and being blasted by loyalists on such message boards as Cruise Critic that I was just stirring the pot, reality is setting in and, to be sure, I was correct; but alas it is bittersweet.

As reported in Seatrade's Cruise Community, Mark Conroy has announced (admitted?) that not only has the hotel services been turned over to Oceania's vendor, the catering is also being transitioned, as is its reservations system (admitted no loss there!).

But probably bigger news is that the grand plans for its possible new ship has now apparently gone by the wayside. It is reported that Regent may use the Oceania platform for the ship’s technical basis (Decks 3 and below...which would be a significant cost savings) and building the accommodations and public areas as a Regent product with large suites and a spa deck, possibly with a retractable glass dome over the pool. (Compromise in design can be a dangerous thing. I say this not as a travel agent but as a yacht lawyer having a bit of experience in that area.)

For many months I have heard, read and listened to esoteric visions of grandeur of a new ship being delivered in relatively short order with incredible facilities while providing truly luxury service to 1,000+ passengers...something heretofore unachievable by anyone in the industry...while I have been observing Regent making mistake after mistake covering it by marketing.

As a court just observed today in a very important decisionn, just because you repeat it three times (or more) it doesn't make it true. It looks, smells and feels like Regent is becoming Oceania or Oceania+. Does one need to taste it to know it is it? Me thinks not!

I have, as many know, been very skeptical of Regent's plans as I have watched its service and consistency slide over the years...while its pricing has skyrocketed. What is amazing to me is that what has seemed so obvious apparent was so easily masked by Regent's unbelievably costly marketing plan. (I guess it worked...at least in the short term.)

But there is a silver lining in the cloud of what may be the slow demise of Regent as a true luxury product: The emergence of Oceania as a strong value product.

As a travel agent, can I comfortably stand behind a Regent cruise as I do a Seabourn cruise? Not a chance. Can Regent provide a very good cruise experience? Yes. The problem is not in what it may be able to do, but in its inability to provide a consistent cruise product.

Would you be comfortable booking a Regent cruise today and believe the product in late 2009 or 2010 will be of the same or better standards as today after reading this blog or would you first ask what are my alternatives considering itineraries, service and, of course, price?

If you want to cruise Regent I will take excellent care of you, having cruised on four of Regent's ships, but I would not do so without disclosing the foregoing and suggesting you consider alternatives. To me, that is what my job is about.

Seabourn - Double Keel Laying

Seabourn and T. Marrioti held a double ceremony today commencing the laying of the keels for the two sister ships (still unnamed) to the Seabourn Odyssey.

By laying the keels for ships to be delivered in 2010 and 2011 Seabourn is making a strong statement that its 32,000 Gross Registered Ton ships that are 650 feet long, with a beam of 84 feet and draft of 21 feet, will be a major force in the luxury and ultra-luxury markets for years to come.

Seabourn's two deck high/inside and outside spa, multiple fine dining venues and a design philosophy of making a larger ship as intimate and personal as its present triplets assures it will be providing an enhanced luxury cruising experience.

Travel Agents and Yacht Brokers

During the American Superyacht Forum I spoke on a panel addressing the issue of yacht brokers/agents who are so focused on booking a charter or making a sale that they actually undercut and weaken the very market they are serving. The parallels to travel agents is undeniable.

Two concepts quickly took center stage: 1. If your agent doesn't know what he/she is talking about the experience is destined to conflict and disappointment; and, 2. While there is dishonesty in the business, the majority of the time the problem stems from ignorance or lack of education.

Education: Taking the second point first, during the conference it was noted that of hundreds of delegates, only 5 or 6 were yacht brokers and, further, that many more were offered the opportunity to be part of the panel, but declined. This resulted in sort of a "preaching to the choir" situation. Clearly if the agents are not present they cannot learn anything from the conference. (And, of course, those that did attend felt like they were under attack, though in reality they were the ones to be complimented.)

There are essentially three ways to gain the experience one needs to be a good agent. The first is traditional education through written or online courses, seminars and general reading. I am a big proponent of these sorts of things. Personally, if there is a course I try to take it regardless of it is Regent, Crystal, Celebrity, Holland America or NCL. What many agents to not understand that it is not only the "product" they may choose to focus on that they need to know, a working knowledge of the "other" products is essential so that one can truly compare and contrast.

The second is seminars. These tend to be more in depth and allow the agent to ask questions and receive feedback. Recently I attended a three day session held by Seabourn for its top "Pinnacle Club" agents. This opportunity provided me with information not only as to a specific product, but as to the philosophy moving forward. This sort of information just isn't possible to provide in a book. Examples: Ports for 2010 and how they are chosen; Development of onboard services on the new Seabourn Odyssey; Marketing Strategies not yet releases to the public. Celebrity also provides in depth full day seminars which provide a wealth of information on both Celebrity and Azamara. While I do try to attend the short 2-3 hour seminars, they usually are of little use (especially if you take advantage of the online courses) as more time can be spent eating and giving out door prizes then actually learning about the product.

The third is experience. Experience, especially in the travel business is vital...and this is not about experience booking. In order to sell properly, you need to be on the ship. While 3-4 hour ship inspections are a great way to begin to understand the product, there is nothing like actually being on the ship for a cruise. An agent needs to experience first hand what the service is like, how a ship flows, how the cabins/suites function, what the food is like in real world conditions, what the entertainment is, how tours are operated, tendering, upkeep and maintenance, etc.

As an example, two years ago I inspected the Royal Caribbean Explorer of the Seas. My first impression was "This is a shopping mall. Get me off the ship!" But I endured my ship inspection and luncheon, learned a bit about where Royal Caribbean was going and said, at least I am not blind when I sell cruises on these ships. Well, this year I am finding a surprising increase in bookings on Royal Caribbean and it, in part, encouraged me to take seven day cruise on the Mariner of the Seas in August. (To be sure, I could not see doing it in a standard cabin, so I have booked a Grand Suite for the four of us...and to see if it works as well as Celebrity for a family of four.)

"I Don't Know...But I Will Find Out" - It is impossible for an agent to know everything. But with proper education and experience, an agent can understand quicker not only that a guess or assumption can be a bad thing leading to disappointment or, worse, a client's feeling that you lied to them to make a sale. For some reason many take what I believe is a counter-intuitive approach of "If I tell my client I don't know something they will think I am not worthy of their business." To the contrary, most clients appreciate an agent saying, "Let me get back to you on that. I need to find that out". Of course that is only valuable if the agent, in fact, gets right back to them. In short, I have a philosophy of "If I say I don't know something, it is a learning opportunity."

Putting this together, as an example, I have a Seabourn client that wanted to have a economically priced "girl's vacation". The client's immediate thought was Carnival; having been on a prior Carnival cruise. I could have said, "OK", booked and been done. Instead I suggested, instead, a cruise on a smaller Royal Caribbean ship I had experience with, but rather than with a few cabins here and there, I suggested a suite overlooking the stern (for three women) and outside cabins for those not able or willing to pay the premium; giving them essentially a private lounge and sun deck where the women could all be together with a bit of luxury...and at only a slightly higher cost than the conventional option.

The result was the following note: You really nailed it when you got us that great deck. We made great use out of it...All in all, I was really pleasantly surprised by the boat. Of course, it is not a Seabourn, but then, we didn't pay for a Seabourn [cruise]. Having only been on one Carnival cruise...I would put this many notches above that. The boat was a bit older, but then, the rooms were bigger...The caliber of the people was several notches above Carnival, and we had an excellent crew. So ---- I wouldn't hesitate to recommend it -- for what it is. Thanks for your help."

So today I start out with a wonderful note from a happy client (Seabourn and Royal Caribbean...for those doubters out there!!) and will follow that with work on a yacht charter litigation where the yacht and crew were clearly inappropriate for the charterer/client.