Cruise industry must embrace digital world more as shopping habits change - Azamara UK’s Twynam
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- Written by Kari Reinikainen Kari Reinikainen
- Category: Top Headlines Top Headlines
- Published: 15 May 2014 15 May 2014
Shopping habits and desires are changing, so cruise companies need to get on board with digital marketing before those customers look elsewhere, Richard Twynam, UK managing director of Azamara Club Cruises, writes in a column published by Travel Weekly today.
The statement was made against a background of a 16% rise in UK online retail sales in 2013 that reached £91 billion, about $155 billion, according to Cap Gemini, the business consultancy. They forecast a 17% rise in online spending for 2014, when the total should reach £107 billion.
Twynham said he recently met Travel Weekly team and found they were somewhat surprised, when he was asked about what he hoped to achieve in his executive committee role at CLIA Cruise Lines’ International Association), that he hopes to use his digital marketing knowledge to improve understanding in the cruise sector.
“This is not an uncommon reaction. I think there are a couple of reasons why the perception of the cruise industry is that it’s behind the curve,” he writes.
“Firstly, from an agent’s perspective, the breadth of choice and cruise product available to sell is massive, and therefore while most would acknowledge that a website is a given and perhaps some targeted paid search, many feel a wider approach is needed, with adverts across print media and window advertising, for example.”
“Secondly, digital marketing can be confusing, with so many questions to answer and lots of new acronyms to learn at high speed. What is digital marketing anyway? Is it email communications to your database, digital advertising, e-commerce, social media, or as simple as paid and organic search? And then once you’ve got that sorted which electronic devices are most important? Tablet, mobile phone or PC - the list of questions is endless.”
Well, with my CLIA hat on, I see digital marketing as a blend of all of these things. More customers are expecting this, and demand for digital communications has grown in recent years and continues to do so. Activities do not have to be mutually exclusive or overly expensive.”
“Effective digital marketing also requires a basic understanding of 'pull' and 'push' marketing. For instance, with 'pull' digital marketing, prospects are actively seeking content on your product, and consideration needs to be given to ensure you are investing effectively with PPC and organic search, to aid web searches so that your product is prominently displayed when visitors are browsing.”
“Email communications need to be targeted, messages and timing must be appropriate to the recipient, to maximise on open and click through rates, and in turn, drive higher levels of conversion. With 'push' digital marketing, cruise brands need to pro-actively send out digital communications, advertising messages, blogs, to ensure messages and information are received easily, without the prospect actively having to seek them.”
“When I worked with the Kuoni team, helping them to create their cruise programme, I was really impressed at how they had a created a virtual team to handle social media - certain members of staff from across the business had volunteered to own a social media channel to monitor and contribute. This was a superbly cost-effective way of keeping their social media strategy local and relevant and their costs down.”
“With my Azamara hat on, I’m gradually getting to meet all the members of our distribution. It’s been six years since I was last on the supplier side, and the biggest shift I’ve noticed is how in the cruise sector, travel agents are asking for contributions towards PPC terms. I can understand why; however in some cases, I fear that neither party truly knows the benefits, ROI or pitfalls of doing that, and that an annual digital plan would be better.”
“Don’t get me wrong... Azamara is not yet a shining beacon of Azamazing digital marketing - we have a website in desperate need of a refurbishment, and this is currently underway. We are also reviewing our digital marketing strategy.”
“But Azamara is in fantastic shape - seven awards in the Cruise Critic small ship category is proof of that - and as part of our digital strategy we have a robust social campaign, which includes Larry Pimentel, our chief executive, as our main tweeter, a dedicated social team, and an industry first with a chief blogging officer.”
“In closing, I would counsel any member of the agency community to start by taking baby steps, and understanding what digital marketing works best for them in the cruise arena, and is most cost-effective.”
“What’s clear is that your customer’s shopping habits are changing and their desire for content is growing, and if you don’t place those habits and desires at the heart of your digital marketing then they may choose to shop elsewhere,” he concluded.
Costa Serena to become third Costa ship to be based year round in China
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- Written by Kari Reinikainen Kari Reinikainen
- Category: Top Headlines Top Headlines
- Published: 12 May 2014 12 May 2014
Carnival Corporation & plc, the world's largest cruise company, says that the 114,000 gross ton Costa Serena of its Costa Crociere unit in Italy will deploy year-round in China next year, making Carnival the first global cruise company with four ships based in China, the world's fastest-growing cruise market, which is likely to become the number two source market by 2017.
Carnival will also have the 116,000 gross ton Sapphire Princess of its Princess Cruises brand in the country on a seasonal basis, capitalising on growing consumer demand that is expected to make the country the second largest cruise market in the world by 2017. Costa Serena will be based in Shanghai in April 2015, where it will join Costa Victoria and Costa Atlantica, both already deployed in China. The move will increase Costa's overall capacity in Asia by 74%.
The news comes soon after Royal Caribbean Cruises Ltd (RCCL), the world's second largest cruise shipping group, said its Royal Caribbean International brand would base the 167,800 gross ton Quantum of the Seas in China from autumn of next year. Star Cruises, which is part of the Genting Hong Kong group, has two 150,000 gross ton newbuildings on order at the Meyer Werft in Germany that will also target Asian passengers and based in the region.
The Costa expansion builds on eight years of successful operations in China and Carnival's surging momentum as the largest operator in the country. In addition to Costa Serena, another Carnival brand, Princess Cruises, will homeport out of Shanghai starting May 21 through Sept. 3, 2014, with Sapphire Princess, providing another unique cruising experience for Chinese travelers. Adding a third ship based in China this year increases Carnival's total 2014 capacity in the country by 66% . "In 2015, with four ships based in China for the first time, Carnival's industry-leading capacity is expected to jump 140% over a two-year period," Carnival said.
"Carnival Corporation (& plc) has for years recognized that Chinese travelers would love the cruising experience, and that is why Costa Cruises was the first global cruise line to commit to sailing from China back in 2006," said Carnival Corporation & plc CEO Arnold Donald.
"We have never been more committed to China as a market of great strategic importance for our company, and with today's news we will be the only global cruise company to have four ships operating out of China. More than that, as the world's largest cruise company with a portfolio of 10 of the world's most celebrated cruise lines, we are very well positioned to continue working with government officials in China to help the country meet its goal of becoming one of the most important cruise markets in the world."
Donald added, "Today's news is another big step in that direction. Chinese travelers love sailing on Costa's Victoria and Atlantica, and we are confident they will also love sailing on Costa Serena and Sapphire Princess. Our team is passionate about delivering a unique experience designed to exceed the expectations of every guest who boards one of our ships."
Michael Thamm, CEO of Costa Group, said of today's expansion announcement: "Costa Serena's arrival in China is a monumental occasion for our company, and we're proud to be the first global cruise line to have three ships based in China. As we execute our strategy to accelerate growth in China, which has great market potential, we have the benefit of eight years of experience in China to not only help guide our expansion, but also to find unique ways to surprise and delight our guests as more travelers in China experience 'Italy at Sea' with Costa."
Carnival is investing significantly in China as well as in Asia to take advantage of strong growth opportunities across the region. In addition to investments in China, Carnival is concentrating on growth efforts in Japan, Singapore, Hong Kong, Taiwan and Korea to maintain and expand its leadership position in Asia. Highlights of Carnival's strong momentum and leadership in the region include:
Viking Ocean Cruises names second and third ships Viking Sea and Viking Sky
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- Written by Kari Reinikainen Kari Reinikainen
- Category: Top Headlines Top Headlines
- Published: 11 May 2014 11 May 2014
Viking Ocean Cruises, the deep sea cruise operator associated with Vking River cruises, says it has named its second and third ship Viking Sea and Viking Sky, respectively.
“With demand far outpacing availability on Viking Star, we are pleased to announce itineraries for Viking Sea and Viking Sky. More ships mean more possibilities—and we have taken advantage of that by offering exciting new cruises exploring the British Isles, the Baltic, Southern Europe and the Mediterranean—including a new cruise to the North Cape,” the company said in a statement.
“In true Viking style, each of these carefully designed itineraries gets your clients closer to key attractions and introduces them to local people, cultures and traditions they cannot experience with larger ships,” Viking stated.
The ships are on order at Fincantieri in Italy. The 47,000 shiops will have 944 lower berths and deliverieswill start next year,when Viking Star will launch the operations of the company.
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