Alan Lam reporting from Tianjin
Not wanting to be overshadowed by its bigger competitors, at the China Cruise Shipping Conference and Expo (CCS 11), currently underway in Tianjin, Norwegian Cruise Line Holdings, Ltd (NCLH) is pushing its boat out, relentlessly promoting its brands and showcasing its new ship, the Norwegian Joy, to the Chinese market.
Cashing in on Chinese tourists’ seemingly endless appetites for eating, shopping and entertainment, the CEO Frank del Rio and his energetic team introduced the group’s new Chinese ship as the best of its kind on the market, featuring, among others, 28 restaurants without limit on dining times, shops selling Chinese customers’ favourite brands, and entertainment for all ages, including a two-level competitive race track – first-ever at sea.
At the same time, recognising the growing affluence and the diversifying tastes of this fast growing source market, NCLH is heavily promoting its other two luxury brands, Regent Seven Seas and Oceania, introducing the mainly Chinese conference delegates to its newest luxury ship, the Seven Seas Explorer.
“All three of our brands will call at Chinese ports in the next 12 months,” said Frank Del Rio. In the past year the group has opened offices in Beijing, Hong Kong, and Shanghai. It has relocated one of its most senior executives, David Herrera, to China.
With its “first class at sea” philosophy, the group also promoted its “The Haven” concept on Norwegian Cruise Line with gusto to the Chinese market.
Norwegian Joy will set sail from both Tianjin and Shanghai from next June.
Responding to a specific question asked by CBR correspondent during the press conference concerning whether or not the group had considered Southern Chinese ports as its homeport options, “We look at China in the same way as we did the USA in 1966 when Norwegian first invented cruising,” replied Harry Sommer, NCLH’s Executive Vice President International Business Development. “At first all cruises were centered around Miami. That was the cruise capital of the world. As the interest developed, it spread to Alaska, Europe, and the rest of the world. Cruise in China started in Shanghai ten years ago. It is already branching out. We imagine in time those areas will grow. I wouldn’t be surprised if we have ships based in these markets sometime in the future.”
“As the South continues to develop and growth,” added David Herrera, “we are in conversation with several ports in the region. One of the advantages the South has is the weather. As in Miami, you can cruise out of the South year round.”
The key issue for NCLH in this connection is that it has only one ship available for this market at present. It can only be present in one region at the time.
NCLH is entering China at the ten-year transitional juncture of this market. The next ten years will be very different according to the general prediction at CCS 11. Our full report on this conference in the 3/2016 issue will examine this prognosis.
