CHARTERS, MEETINGS & INCENTIVES—PART 2

DEMAND FOR CRUISING IS ON THE RISE

According to the Cruise Lines International Association (CLIA), demand for cruising has increased 20.5% in the last 5 years. In fact, CLIA expects 27.2 million passengers to cruise this year.

 

TOP CRUISE INDUSTRY TRENDS

Transformational Travel

From cultural immersion and voluntourism to extreme adventures, cruise passengers experience a shift in perspective and a sense of accomplishment.

Healthy Doses

Cruise lines are tailoring trips for the growing number of health conscious travelers—from wellness seminars and fitness to food choices.

Smart Technology

The coming year will see a rise in traveler-friendly onboard technologies that enhance travel experiences.

DEMAND FOR CRUISING IS ON THE RISE

According to the Cruise Lines International Association (CLIA), demand for cruising has increased 20.5% in the last 5 years. In fact, CLIA expects 27.2 million passengers to cruise this year.

 

TOP CRUISE INDUSTRY TRENDS

Transformational Travel

From cultural immersion and voluntourism to extreme adventures, cruise passengers experience a shift in perspective and a sense of accomplishment.

Healthy Doses

Cruise lines are tailoring trips for the growing number of health conscious travelers—from wellness seminars and fitness to food choices.

Smart Technology

The coming year will see a rise in traveler-friendly onboard technologies that enhance travel experiences.

INCENTIVE TRAVEL POISED FOR GROWTH

In a recent survey of corporate planners, hotel operators, incentive companies and travel agents, the Incentive Research Foundation found that more incentive program participants are earning trips.

In addition, the average per-person spend has increased by about 5% annually since 2014. The current average spend is $3,900+.

A separate survey conducted by the Society for Incentive Travel Excellence found that 50% of incentive travel services buyers plan to increase the number of people who are eligible for awards.

Up to 90% of buyers and 85% of sellers believe that incentive travel programs motivate performance.

The most common destinations include North America, Western Europe, Caribbean and South America. The top three considerations for choosing a destination:

  1. Appeal to participants
  2. Value for the dollar
  3. Overall safety

INCENTIVE TRAVEL POISED FOR GROWTH

In a recent survey of corporate planners, hotel operators, incentive companies and travel agents, the Incentive Research Foundation found that more incentive program participants are earning trips.

In addition, the average per-person spend has increased by about 5% annually since 2014. The current average spend is $3,900+.

A separate survey conducted by the Society for Incentive Travel Excellence found that 50% of incentive travel services buyers plan to increase the number of people who are eligible for awards.

Up to 90% of buyers and 85% of sellers believe that incentive travel programs motivate performance.

The most common destinations include North America, Western Europe, Caribbean and South America. The top three considerations for choosing a destination:

  1. Appeal to participants
  2. Value for the dollar
  3. Overall safety

YOUR STEP-BY-STEP GUIDE TO BOOKING A CRUISE

As cruising becomes more popular, it’s never been easier to book a cruise for your client. Just follow these 6 steps:

STEP 1: GET TO KNOW YOUR CUSTOMER

Ask questions about the program:

What’s the purpose of the travel program? Is it an incentive program or a corporate meeting? What’s the history (previous hotels and destinations)? Is the program flexible? Complex?

Ask questions about the attendees:

What are the demographics (age, activity level) of the attendees? Are guests allowed? Do attendees have any physical limitations?

Ask questions about the budget:

What’s the budget for the program? Is it flexible?

STEP 2: SET EXPECTATIONS

Discuss the details, including accommodations (single vs. double occupancy), type (balcony, suites, etc.) and the costs and/or policies regarding group dining, drink packages, internet packages, excursions and onboard credits. Map out how an onboard program agenda might look. And explain the importance of planning free time. Opening the customer’s mind to the possibilities will allow you and Norwegian Cruise Line to develop the right proposal.

YOUR STEP-BY-STEP GUIDE TO BOOKING A CRUISE

As cruising becomes more popular, it’s never been easier to book a cruise for your client. Just follow these 6 steps:

STEP 1: GET TO KNOW YOUR CUSTOMER

Ask questions about the program:

What’s the purpose of the travel program? Is it an incentive program or a corporate meeting? What’s the history (previous hotels and destinations)? Is the program flexible? Complex?

Ask questions about the attendees:

What are the demographics (age, activity level) of the attendees? Are guests allowed? Do attendees have any physical limitations?

Ask questions about the budget:

What’s the budget for the program? Is it flexible?

STEP 2: SET EXPECTATIONS

Discuss the details, including accommodations (single vs. double occupancy), type (balcony, suites, etc.) and the costs and/or policies regarding group dining, drink packages, internet packages, excursions and onboard credits. Map out how an onboard program agenda might look. And explain the importance of planning free time. Opening the customer’s mind to the possibilities will allow you and Norwegian Cruise Line to develop the right proposal.

STEP 3: DISCUSS GROUP VS. CHARTER OPTIONS

Compare the differences between a group cruise and a full-ship charter:

GroupCharter
Non-exclusive ship (with private venues)Exclusive ship
Published dates/itinerariesFlexible dates/itineraries
Some flexibility (receptions, meetings, dining)Near-full customization
Greater flexibility (cancellation/attrition)More liability

    STEP 4: REVIEW THE ITINERARY

    Talk about the following details regarding embarkation and debarkation ports:

    • Attendee demographics
    • Where are they coming from and how (airline, drive-in)?
    • Does air lift and proximity to the airport matter?
    • Transportation from the airport to the port
    • Availability of pre- and post-cruise hotels
    • Ship sailing time
    • Early departures—rules vary by cruise line and country of embarkation and debarkation

    Next, talk about the following details regarding ports of call:

    • Are visas required for all or some nationalities?
    • Which shore excursions might appeal to the group? Should you plan private group excursions?

    STEP 5: DISCUSS TRAVEL DOCUMENTS

    Although passenger immigration and customs regulations vary by country, Norwegian Cruise Line recommends that everyone boarding a ship have a passport.  ​​​​​​​

    STEP 4: REVIEW THE ITINERARY

    Talk about the following details regarding embarkation and debarkation ports:

    • Attendee demographics
    • Where are they coming from and how (airline, drive-in)?
    • Does air lift and proximity to the airport matter?
    • Transportation from the airport to the port
    • Availability of pre- and post-cruise hotels
    • Ship sailing time
    • Early departures—rules vary by cruise line and country of embarkation and debarkation

    Next, talk about the following details regarding ports of call:

    • Are visas required for all or some nationalities?
    • Which shore excursions might appeal to the group? Should you plan private group excursions?

    STEP 5: DISCUSS TRAVEL DOCUMENTS

    Although passenger immigration and customs regulations vary by country, Norwegian Cruise Line recommends that everyone boarding a ship have a passport.  ​​​​​​​

    STEP 6: CRAFT THE REQUEST FOR PROPOSAL

    Our CMI team knows how to conduct successful events at sea. We can take care of all the details, while customizing your client’s meeting or incentive group travel however they wish.

    Contact us at 1.866.NCL.MEET or 305.436.4465 or events@ncl.com.

    If you’re using a third-party/broker, be sure to stay involved in the process and get to know the cruise sales contacts.

    If you plan to use the RFP you have for land-based options, please add the following information:

    • Preferred Destination (Bahamas, Caribbean, Mediterranean, Baltic, etc.)?
    • Number of days available for sailing
    • Range of dates available for sailing
    • Number and type of cabins (indicate the number of people in each cabin and note if any cabins will be singles)
    • Expectations (meeting space, dining, group functions)

    STEP 7: REVIEW THE PROPOSAL

    Norwegian’s proposal will include options on ships, cabin categories and pricing.

    Note that a proposal does not guarantee space. Once Norwegian receives a signed contract and deposit, we will reserve the quoted space and assign staterooms.

    STEP 6: CRAFT THE REQUEST FOR PROPOSAL

    Our CMI team knows how to conduct successful events at sea. We can take care of all the details, while customizing your client’s meeting or incentive group travel however they wish.

    Contact us at 1.866.NCL.MEET or 305.436.4465 or events@ncl.com.

    If you’re using a third-party/broker, be sure to stay involved in the process and get to know the cruise sales contacts.

    If you plan to use the RFP you have for land-based options, please add the following information:

    • Preferred Destination (Bahamas, Caribbean, Mediterranean, Baltic, etc.)?
    • Number of days available for sailing
    • Range of dates available for sailing
    • Number and type of cabins (indicate the number of people in each cabin and note if any cabins will be singles)
    • Expectations (meeting space, dining, group functions)

    STEP 7: REVIEW THE PROPOSAL

    Norwegian’s proposal will include options on ships, cabin categories and pricing.

    Note that a proposal does not guarantee space. Once Norwegian receives a signed contract and deposit, we will reserve the quoted space and assign staterooms.

    GENERAL INCLUSIONS

    Accommodations

    • Rates quoted per person are based on double occupancy (unless noted otherwise).
    • Rates are quoted separately for any third and fourth passengers in cabins.
    • Rates will vary by cabin category.
    • Suite upgrades are uncommon and suites are typically at the current rates.

    Food & Beverage

    • Meals are included (except in specialty dining rooms).
    • Beverage packages vary by ship and some group promotions include a beverage package as part of the fare, which helps control costs.
    • Function breaks and beverages are substantially discounted compared to hotel pricing and are sometimes complimentary (minus a small set-up fee).

    Activities & Entertainment

    • Fares generally include all onboard shows, activities, enrichment programs, recreational facilities, fitness centers and pools.

    GENERAL INCLUSIONS

    Accommodations

    • Rates quoted per person are based on double occupancy (unless noted otherwise).
    • Rates are quoted separately for any third and fourth passengers in cabins.
    • Rates will vary by cabin category.
    • Suite upgrades are uncommon and suites are typically at the current rates.

    Food & Beverage

    • Meals are included (except in specialty dining rooms).
    • Beverage packages vary by ship and some group promotions include a beverage package as part of the fare, which helps control costs.
    • Function breaks and beverages are substantially discounted compared to hotel pricing and are sometimes complimentary (minus a small set-up fee).

    Activities & Entertainment

    • Fares generally include all onboard shows, activities, enrichment programs, recreational facilities, fitness centers and pools.

    EVERYTHING YOU NEED TO KNOW ABOUT THE CONTRACT

    The Norwegian Cruise Line contract process involves the following steps:

    1. Norwegian issues an adapted standard contract.
    2. The customer reviews the terms.
    3. Norwegian and the customer discuss any questions and options.
    4. The parties agree on revisions.
    5. Norwegian executes the contract.
    6. Norwegian confirms group/charter contract upon deposit and/or receipt of letter of credit (required only for full ship-charters).

    Group contracts vs. charter contracts:

    Group ContractsCharter Contracts
    Terms address attrition/cancellationTerms do not include attrition/cancellation
    Defined deposit scheduleDefined deposit schedule secured by a letter of credit with automatic drawdown rights if in default
    ​​​​​​​

    IT’S TIME TO PLAN

    Norwegian’s CMI services team can facilitate the entire planning process. For group contracts, you’ll work with a program specialist. For charter contracts, a charter services manager will be in charge. While program specialists don’t always join the cruise, charter managers accompany all full-ship charters.

    What to Plan

    • Agenda (cruise, meetings, events)
    • Air/ground transportation
    • Pre- and post-cruise hotels
    • Cruise activities
    • Financial review schedules
    • Onboard contracts
    • Shore excursions

    Checklist

    • Add deposit due date/attrition dates to your calendar
    • Prepare the initial program timeline
    • Request public room space/dining
    • Review onboard amenities
    • Identify VIPs
    • Provide manifest to the cruise line
    • Send communications to passengers

    IT’S TIME TO PLAN

    Norwegian’s CMI services team can facilitate the entire planning process. For group contracts, you’ll work with a program specialist. For charter contracts, a charter services manager will be in charge. While program specialists don’t always join the cruise, charter managers accompany all full-ship charters.

    What to Plan

    • Agenda (cruise, meetings, events)
    • Air/ground transportation
    • Pre- and post-cruise hotels
    • Cruise activities
    • Financial review schedules
    • Onboard contracts
    • Shore excursions

    Checklist

    • Add deposit due date/attrition dates to your calendar
    • Prepare the initial program timeline
    • Request public room space/dining
    • Review onboard amenities
    • Identify VIPs
    • Provide manifest to the cruise line
    • Send communications to passengers

    WANT TO LEARN MORE?

    Norwegian Cruise Line

    Get detailed information and download collateral about Norwegian’s Charters, Meetings and Incentives (CMI) services.​​​​​​​

    CMI on LinkedIn

    Follow Norwegian’s CMI team on LinkedIn to stay current on the latest industry news.