Had cruise customer call me yesterday, to say, that when
they were searching online, for a hotel to stay at, night prior to their Land
Tour package (with a cruise), they saw a price of $ 75; then when they looked
at their specific date, it jumped to $150.
Often, when areas have a high tourist season, rates most
often go up during that time. I can not
say, that I agree, that rates should automatically go up, just because there’s
a car show or a race or something specifically going on in a town, that will
pull folks in. Yet, I do understand,
based on supply and demand, as properties or hotels or package begin selling
out, that rates go up.
Here’s a different way to look at it. If a package or property, like a hotel, has a
certain value to it, but during certain seasons or weeks, no one is interested
in traveling or going there, I can understand, lowering the price on this
property or package, to entice folks to buy anyway !
Alaska is a good example of this. Yesterday, I looked at my weather apt on my
phone and saw -9 degrees in Anchorage. I’m
thinking to myself, “yeah, I’m glad I’m not considering going up there right
now”. So at this time of weather, it’s
easy to understand that the hotel may not be able to lure folks in
traveling. So why not offer some savings
to those folks who will; who are enticed by a savings; who may not travel
otherwise; who are actually helping to
put a little money in the pocket of that hotel or package.
The cruise business is the same way. A balcony cabin might fare at $1500-1900
pp. During heavy travel seasons, like Summer
or Christmas, the cruise lines can easily sell this price. But during other seasons, when teachers or
kids are in school, or when business do not allow vacation time, the cruise
lines still need to sell this space.
That’s when you see sales or discounted pricing by the cruise lines.
So in general, it’s not about raising the rate during peak
season; it’s about lowering the value or rate during times when others are not able to travel, in hopes of enticing those folks, who can
either go any time, who love a “sale”, or could not afford to go during the heavy
traveled times.
Here’s some additional cruise insight:
The cruise lines run reports to see how well certain dates
or “selling”. They have it all mapped out, to know, how many cabins they need
to have sold by a certain time frame. When a specific date or several dates are not
at the level they want sold, that’s when they put out a sale; of course,
sometimes, they do offer sales for across the board (all sailings during a
certain period); and other times, those savings are only given to specific
folks like seniors, military, or folks who live in a certain state, or only
past guest.
Know, that if the date you want to travel is selling well, you
may not ever see your date on sale. And
even though you wish to have the best savings, it’s not really worth, putting
off to the last minute, in hopes of the rate going down.
The smart thing to do is buy early; and when I say early, I
am talking 1 year to 15 months from sailing.
In many cases, the early birds and the late comers who get the best
rates; and the early birds are the ones who get the best cabins. The only way to get a great cabin location
when buying last minute, is if someone who bought early, decides to cancel.
Know, that in many cases, up till final payment, if the rate
goes down, you can most often have it.
You just watch your sailing and you call your agent and let them know
what you saw and allow them in reaching out to get this for you. So it’s a win-win to buy early.
On the other hand, what you can not usually have in a sale
is if they are offering amenities. So if
they come out with a sale that offers onboard credit, then this would not be
most likely applicable to you, if you already bought. I can understand wishing you will get the
best offer and that $50 for the cabin may look good, I do ! But once you buy, you need to forget any
sales offering amenities and only focus in watching your rate.
It’s not any different than going to the department store,
and seeing your dress now 50% off or spend $50 and get another $ 10 off. If you really wanted that dress, if you wait, it may sell out and may
never have that change of going on sale.
Know that agents do not get these reports to see how well a
sailing is selling. However, an agent
can look at the cruise lines group space; when high amenities are still being
offered to groups, then the space is wide open; however, if there are no
amenities or amenities are minimal, it’s a good insight in knowing, that the
space is selling right on schedule or almost sold out ! Heed to an agents word, if she shares this
insight with you or lets you know that she/he only sees one or 2 cabins left
(when 7 cabins are seen by an agent, then there could be even more).
One last concept on hotels.
I was told once, when in Seattle, by a hotel, that the closer to the
date, the rates will go up. This is
supply and demand. So remember, book
your hotel packages early !
Isn’t it time you booked your 2013 Alaska cruise and tour
package ! Many cruise tour packages are
already, literally, sold out ! Don’t
wait another day. Make your plans today. Before the New Year
(January is peak season for folks buying their 2013 vacation;
beat the crowd; buy when your agent has more fee time; except, December is
already proving to be a breaking record month in planning 2013 vacations; I’ve
in sold dates for 2014) !