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GoDominicanRepublic.com
Even before you set foot ashore, you realize how truly extraordinary Dominican Republic is. The arrival of the cruise ship to any of the three world-class harbors: Santo Domingo, La Romana or Samaná, is nothing short of spectacular, with views of the impressive mountain landscape, wonderful marine life and other splendid sights as you travel through. Sail to the Dominican Republic. The adventure of your dreams is closer than you think.
GET ACLOSERV I E W
1 2/21/11 6:14 PM
©2011 United States Virgin Islands Department of Tourism.
800.372.USVI
Head toward a cruise destination both you and your passengers will appreciate. The
four ports of the U.S. Virgin Islands offer well-established cruise destinations with newly
renovated and fully appointed facilities. Additionally, St. Croix offers highly efficient
bunkering services. Plus, our white sand beaches, turquoise waters and picturesque towns
offer all the island experiences your passengers are looking for. For more information on
the ports of the U.S. Virgin Islands, visit www.viport.com and www.wico-vi.com.
A GREAT CRUISE STARTS WITH A GREAT PORT.OR FOUR.
FREDERIKSTED
ST. CROIX
CROWN BAYST. THOMAS
WEST INDIAN COMPANYST. THOMAS
GALLOWS BAY DOCK
ST. CROIX
Second Quarter 2011 • Cruising Magazine 5
Micky ArisonChairman & CEOCarnival Corporation
Daniel J. HanrahanPresident & CEOCelebrity Cruises
Karl L. HolzPresidentDisney Cruise Line
Richard E. SassoPresident & CEOMSC Cruises (USA) Inc.
Kevin SheehanFCCA Chairman,CEONorwegian Cruise Line
Stephen A. NielsenVice President,Caribbean & Atlantic Shore OperationsPrincess Cruises
Omari BreakenridgeManager of Communications & Design
Terri CanniciDirector, Special Events
Adam CeseranoSenior Vice President
James KazakoffSenior Director, Event Operations
Jessica LalamaExecutive Assistant
George OrellanaResearch & Membership Coordinator
Justin PaigeCommunications & MarketingAdministrator
Michele M. PaigePresident
31 FCCA’s 17th Annual Gala Brings Together Key Cruise Industry Decision Makers
41 Alaska Cuts Controversial Tax to Regain Lost Cruise Tourism
44 Practice An Ounce Of Prevention: The Importance of Timely Claims Reporting
To Aon’s FCCA Global Tour Operator Liability Insurance Program
17 Where’s the Wow? Cruise lines seek shore excursions that will leave lasting impressions on guests.
23 Spotlight on the Cayman Islands
27 State of the Industry
36 Are We There Yet? Cruise lines are carving out new travel markets around the world.
Cayman Islands
7 President’s Letter
10 Cruise Industry News & Platinum Highlights
47 Faces in the Industry
48 Meetings and GreetingsWith the FCCA
CRUISINGTHE FLORIDA-CARIBBEAN CRUISE ASSOCIATION MAGAZINE
FLORIDA-CARIBBEANCRUISEASSOCIATION Second Quarter 2011
Florida-Caribbean Cruise Association (FCCA)11200 Pines Blvd., Suite 201, Pembroke Pines, FL 33026Phone: (954) 441-8881 • Fax: (954) 441-3171Website: www.f-cca.com • E-mail: info@f-cca.comCruising Magazine © 2011 ~ All Rights Reserved.Reproduction in whole or in part, in any form, electronic or otherwise, without written permission of the FCCA is prohibited.
To subscribe or change your address, please send requeststo info@f-cca.com
The information in this publication is provided "as is." FCCA and its Member Lines disclaim all representations and warranties, expressed or implied, with respect to any information,services, products and materials contained herein. FCCA and its Member Lines will in no event be liable for any damage or losses as a result of your use of this publication.
FCCA Member LinesAIDA Cruises • Azamara Club Cruises • Carnival Cruise Lines • Celebrity Cruises • Costa Cruise Lines • Cunard Line
Disney Cruise Line • Holland America Line • MSC Cruises (USA) Inc. • Norwegian Cruise Line P&O Cruises • Princess Cruises • Royal Caribbean International • Seabourn
FCCA Staff
Departments
Features
SpotlightCover ImageExecutive Committee
Photo credit: Cayman IslandsDepartment of Tourism
“We tend to forget that happiness doesn’t come as
a result of getting something we don’t have, but
rather of recognizing and appreciating what we do
have.” -Frederick Keonig
In times of economic strain, it becomes important to truly
appreciate what we have and to hold onto it. We must con-
stantly foster the business that we do have, and it certainly is
fortunate that we are in the cruise industry, which has proven
its hardiness through numerous hardships, most recently by
actually thriving and improving during the recession.
The cruise industry increased business for destinations,
ports, tour operators and many others throughout a time
when everyone else struggled, and we must be grateful for
what we have, but also prepared to expand and actively attract more business. Perhaps most importantly, we
can see a prime example of how important perseverance is and learn how to exhibit it.
Another good lesson to learn from the cruise industry is that adaptation and flexibility are essential to any good
business plan. And this is just as important in life as it is in business.
A few articles in this edition of Cruising will focus on this curriculum and show how the cruise industry has
benefited from movability into new markets, away from trouble and into the future, while maintaining the
business plan’s foundation of value for passengers.
It will tell how Governor Parnell and Alaska have worked with the cruise industry to regrow cruise tourism;
provide a glimpse into the profile of the current cruise passenger demographic; and give insight into cruising’s
emerging markets.
But we must remember that the cruise industry has persisted through myriad catastrophes, and we know that
it will continue to prosper despite the struggles. We will certainly benefit from its success, and it will give us
plenty to appreciate. In addition to giving us business, it will provide an example of how to do business and
make it easier to expand our companies and lives.
Those lessons are available in this edition of Cruising, so please read through and find something to inspire,
assist or interest you.
May your year move swiftly and come down lightly.
Respectfully yours,
Michele M. Paige
President, FCCA
Second Quarter 2011 • Cruising Magazine 7
Michele with Álvaro Uribe, former President ofColombia at the FCCA’s Central American Cruise
Conference in Honduras.
President’s Letter
Aruba Ports Authority Creating New
Opportunities for Cruise Industry
Development, Constructing New
Infrastructure and Expanding Website
Aruba is proud to announce that the
Aruba Ports Authority is ready to begin
the process of investing an estimated US
$35 million to move the current container
port in Oranjestad to their new Multi-
Cargo Sea Terminal at Barcadera. The
relocation of the container port opens up
new possibilities and opportunities to
further develop the island’s cruise indus-
try. The project is estimated to be fully
operational in about one and a half years
from the contract’s start.
Another of the latest government initia-
tives that are currently underway is the
Caribbean’s Longest Linear Park, which
is being constructed along the island’s
south-side and will include: pedestrian
areas and bike paths, restaurant terraces
and outdoor dining, walkways to connect
museums/cultural attractions and outdoor
areas to showcase local Aruban art.
Additionally, Aruba’s website,
www.aruba.com, has been expanded to
include updates for cruise visitors, including
destination wedding opportunities, resort
day passes, special discounts for crew mem-
bers and a welcome back program.
Belize—Mother Nature’s Best Kept
Secret—Has Something for Everyone
As the Caribbean gateway to Central
America, Belize is a tropical paradise that
features a range of thrilling adventures,
authentic cultural experiences, and
unparalleled land and water excursions.
Known as Mother Nature’s Best Kept
Secret, travelers are sure to be spoiled by
Belize’s welcoming spirit and stunning
natural wonders, such as lush jungles, the
second largest barrier reef in the world,
ancient Mayan ruins, pristine beaches,
picturesque cays and the most extensive
cave system in Central America.
Nestled between Guatemala and Mexico,
this English-speaking country offers unfor-
gettable underwater explorations (includ-
ing snorkeling, diving, and deep sea fish-
ing) and daring mainland excursions (such
as zip-lining, cave tubing, and jaguar-spot-
ting trips). So regardless of your prefer-
ence, Belize boasts countless options for
day trips that will make you crave a week-
long Belizean escape. For a full listing of
Belize’s sites, tours, and vacation offerings,
visit www.travelbelize.org.
Chukka’s Historic Falmouth Location
Is a Huge Success
Green Globe Certified Chukka Caribbean
Adventures opened its newest location at
Good Hope Estate near the historical Port
of Falmouth earlier this year.
Chukka at Good Hope serves Royal
Caribbean and all other cruise lines arriv-
ing in Jamaica at the new Port of
Falmouth in Trelawny, one of the oldest
and most significant towns and historic
sites in the Western hemisphere.
Chukka’s investment in the growth of
Falmouth, including employment of
about 120 citizens, has been of large
benefit to the town.
The world-class tours have been very
well received by cruise passengers, with
thousands of Chukka tours sold between
Good Hope, Falmouth, Ocho Rios and
Rosehall Montego Bay.
To learn more about Chukka Caribbean
Adventures and the various tours offered,
visit www.chukkacaribbean.com.
Costa Maya–Home Port of the
Mayans
Do not miss the mysticism of 2012!
Come to Costa Maya and enjoy its natu-
ral beauty, its people, numerous activities
and great Mexican food while learning
more about the fascinating and enigmatic
Mayan culture.
After all, Costa Maya is the closest port
to visit several Mayan ruins and actually
resembles an ancient Mayan city.
In December 2012, the Mayan calendar
ends, and it begins a new cycle of renew-
al. Renew your spirit at Costa Maya!
Contact us: www.puertocostamaya.com
Facebook: CostaMayaMx
Twitter: @costamayamx
10 Cruising Magazine • Second Quarter 2011
Cruise Industry News & Platinum Highlights
Second Quarter 2011 • Cruising Magazine 11
Dolphin Cove Offers an Experience of
a Lifetime
Dolphin Cove, Jamaica’s # 1 attraction,
offers the experience of a lifetime—
swimming with beautiful bottlenose dol-
phins in a natural lagoon in the Caribbean
Sea. Guests can choose from two amaz-
ing activities: the Dolphin Encounter,
where guests can become friends with
these gentle creatures in knee high water,
or our ultimate Dolphin Swim, where
guests interact with one dolphin in deep
water; have the opportunity to feel the
thrill of a belly-to-belly ride; and maybe
even get a kiss or two.
Dolphin Cove has three main properties
located in Ocho Rios, Jamaica; Negril,
Jamaica; and West Bay, Grand Cayman.
Each park is surrounded by lush tropical
jungle and has natural lagoons located in
the warm Caribbean Sea and a friendly,
relaxed environment that will make any
visit unforgettable.
H.H.V. Whitchurch Grounds Its
Family Roots In Dominica’s Cruise
Industry
Acting as port agents and tour operators
for the numerous cruise lines calling to
Dominica, H.H.V. Whitchurch has pio-
neered cruise business in Dominica,
being founded in 1910 by Herbert Harry
Vivian Whitchurch, who went into busi-
ness as a commission, insurance, automo-
bile and ships agent and owned dealer-
ships in dry goods, groceries and fuel.
After Whitchurch’s death in 1946, the
company was passed on to one of his
daughters, who had married into the Aird
family, which still owns and manages the
private limited liability company today.
Though the portfolio has expanded greatly
since this transition, the company’s roots
still remain the same and help the compa-
ny continue its excellent customer ser-
vice, understanding of Dominica and
desire to help the country and its people.
Today, their multi-faceted portfolio
ranges from cruise ship agents, shore
excursions, shipping, duty-free shopping,
insurance, travel agency, money trans-
fers, etc., while operating alongside sister
companies Ground Handlers Limited and
Millennium Ventures Incorporated.
Dominican Republic Renews Its
Efforts in Cruise Development
As part of the strategies established by
the Minister of Tourism, Francisco Javier
Garcia, Cruise Director Orfila Salazar
recently visited the city of Miami. While
in Miami, Salazar met with executives
from various cruise lines and the FCCA
in order to provide them with updates and
news about the state of the cruise indus-
try in the Dominican Republic.
Participants who met with Salazar
offered recommendations for improve-
ment and expressed their satisfaction
with the creation of the Cruise
Department of the Ministry of Tourism
and the success of the cruise arrival oper-
ations in such a short time, especially at
the Samaná Port. In addition to sharing
Dominican Republic cruise develop-
ments, Salazar thanked the cruise line
executives for their high regard of
Dominican ports and the country’s rich
tourism assets that are delighting cruise
ship passengers.
Guadeloupe to Receive Calls from
Royal Caribbean
After holding a successful homeport
operation for Costa Cruises for 18 years,
the Guadeloupe Islands has received
more business with an inter-porting
agreement with Royal Caribbean
International.
During the winter of 2012/2013, the
Brilliance of the Seas will add the
Guadeloupe Islands as a new port for 23
calls. Pointe-à-Pitre will also be used for
partial turns for guests from France.
According to Josette Borel-Lincertin,
President of The Guadeloupe Islands
Tourist Board, “It’s a very important
issue for our Islands to host a ship from
Royal Caribbean International for partial
turns, and we believe it’s the beginning of
a successful story.”
It follows a strong marketing effort by the
Port Authority of Guadeloupe and the
Guadeloupe Islands Tourism Board, with
assistance by Florida-based adviser MAC
Maritime.
This led to a visit last year by a Florida-
Caribbean Cruise Association delegation
hosted by the Guadeloupe Port Authority
and the Guadeloupe Islands Tourist Board.
Honduras Honing Cruise Tourism
Growth
For the past several years, the Island of
Roatan has been one of the fastest grow-
ing cruise destinations in the Caribbean.
With two cruise ports—Port of Roatan &
Mahogany Bay—Roatan will surpass 1
million passengers in 2011.
Cruise Industry News & Platinum Highlights
In a joint effort with the island’s local
government authorities and its private
sector, the Honduras Tourism Board is in
the process of implementing projects
focused on the improvement of local com-
munity livelihoods through economic
development, conservation and enhance-
ment of natural resources in a way that
adds value to the destination, accommo-
dating and supporting the rapid growth it
is experiencing while passing some of the
growth’s benefits to the citizens.
The destination is also working towards
employment programs headed by the
FCCA and the Free Stay Caribbean pro-
gram for those who would like to return to
the island for an extended vacation.
For more information, contact Mario
Aguirre: 305-461-0611 or honduras-
tourism@aol.com
Margaritaville—Much More than a
Restaurant
On the beautiful Island of Cozumel, on
and over the turquoise crystal-clear
Caribbean waters of Mexico, you will
find one of Jimmy’s best locations yet!
Get onboard for a stunning view, the best
food, amazing cocktails and great snorke-
ling and swimming right from the deck.
And not just that! Margaritaville
Cozumel now has the only free water
park on the island!
There are three cruise terminals. If you
dock at Punta Langosta, it is 300 yards to
the led of the pier (south); if you dock at
the Mexico International Terminal or
Puerta Maya pier, it is 2 miles north.
If you own a boat or rent one, you can
step into your Margarita paradise straight
from the sea!
Margaritaville Cozumel Restaurant is the
place to be.
Martinique: An Incredible Diversity
In addition to its ubiquitous French flair,
Martinique stuns its visitors with its
incredible diversity, which is reflected in
every aspect of its heritage.
Regarding its physical features, the island
is endowed with an extraordinary biodi-
versity of over 3000 species of plants,
herbs and trees. It is indeed the paradise
of nature lovers, bird watchers, and hik-
ers due to its amazing contrasts ranging
from mountains, hills, rain forests and
breathtaking waterfalls to plains, man-
groves, valleys, etc. In less than three
miles as the crow flies, the rainfall can
drop from more than 320 inches to less
than 50 inches. Martinique’s coastline
offers a real festival of colors, from pitch-
black to white sand beaches.
In terms of intangible heritage, dozens of
rhythms and dances are found here,
which can be explained by a magic syn-
cretism brought about by African, Carib,
French and European influences. That
diversity is also wonderfully expressed in
our cuisine.
No wonder Martinique was named “Top
Caribbean Destination for Delectable
Dining of the Year 2009” by Caribbean
Travel + Life Magazine and “Top Caribbean
Destination” by About.com in 2010.
Saint Lucia Unveils Our Planet Centre
Saint Lucia recently unveiled a new state-
of-the-art and first-of-its-kind visitor
attraction, Our Planet Centre, designed to
tap into visitors’ environmental conserva-
tion interest in a fun, educational and inter-
active way. Opened June 2011, the multi-
million dollar Our Planet Centre exhibits
on-island conservation programs, as well
as technologically advanced exhibits, such
as the largest mirror-sphere in the world,
producing a giant kaleidoscopic display
for video screening; a hologram recorded
specifically for Saint Lucia by Prince
Charles; multiple touch screen displays; a
simulation hurricane room; as well as a
“NASA Room” designed specifically by
the NASA team to stream weather infor-
mation, including tracking earthquakes
and hurricanes. Our Planet Centre is
based on Castries Dock in the top two
floors of La Place, easily accessible to
cruise ship visitors, and all proceeds from
Our Planet will go to on-island environ-
mental projects.
St. Vincent & the Grenadines
Launches New Tourism Logo
A new St. Vincent & the Grenadines
(SVG) tourism logo was recently
launched at the Arnos Vale Sporting
Complex, St. Vincent. The new logo
encompasses the national colors, and the
iconic shape of a seagull’s wings forms
the “V” in St. Vincent.
The new logo symbolizes SVG as a multi-
dimensional experience for visitors. They
are free as an all-pervasive bird, with 32
12 Cruising Magazine • Second Quarter 2011
Cruise Industry News & Platinum Highlights
Second Quarter 2011 • Cruising Magazine 13
islands & cays to explore, each with its own
character. The seagull is in flight, connoting
the freedom to experience and explore all
the destination has to offer.
“Our 32 islands not only offer guests an
incredible variety of experiences, but
they do so with their own unique flavor
and beauty – from the black sand beach-
es of St. Vincent to the multi-hued blues
of the waters surrounding the Tobago
Cays,” said Hon. Saboto Caesar, Minister
of Tourism for SVG. “For eco-tourists,
those interested in aquatic pastimes, wed-
dings and even those who just want to
getaway and relax, SVG offers both
quantity and quality. Our new brand iden-
tity is one of the many ways in which we
will convey just how unique our country
really has emerged.”
Bermello Ajamil & Partners, Inc.
Selected As Architectural Consultant
for Terminals 2, 19, 21 And 26 at Port
Everglades
Bermello Ajamil & Partners, Inc. has
been selected by Port Everglades to revi-
talize Cruise Terminals 2, 19, 21, and 26
to accommodate the current needs of the
Port, Carnival Corporation and Customs
and Border Protection (CBP). Once com-
pleted, these terminals will provide
improved security screening for passen-
gers and baggage, new check-in and pas-
senger waiting areas, concourse improve-
ments, and an improved ground trans-
portation area, as well as new exterior
canopies that are designed to provide
shelter for passengers loading and
unloading at curbside. Bermello Ajamil
& Partners, Inc. is providing architectural
design, planning and construction admin-
istration services.
Bermello Ajamil & Partners, Inc. has
worked extensively with Carnival
Corporation and its brand personnel on this
project, as well as the successful delivery
of several other cruise terminals.
Carnival's Port Canaveral embarka-
tion team earns top honors for the
sixth time in 13 years
Port Canaveral has once again earned top
honors in the company's annual guest
comment card survey, which ranks
embarkation personnel from the lines' 12
year-round homeports in a variety of ser-
vice- and process-related categories.
This marks the sixth time that Carnival's
Port Canaveral team has earned the
award in the past 13 years.
Under the direction of Guest Logistics
Manager Maritza Ferry, the 135-member
team was recognized for their outstand-
ing professionalism, enthusiasm, and
friendliness while assisting guests
embarking on the two Carnival ships that
sail from Port Canaveral year-round.
Carnival is the largest cruise operator
from Port Canaveral, with the 2,052-pas-
senger Carnival Sensation offering three-
and four-day Bahamas cruises and the
3,646-passenger Carnival Dream sailing
seven-day Caribbean departures.
“For Port Canaveral to be named
Carnival's 'Embarkation Port of the Year'
six times in 13 years is a testament to the
commitment to superior service of this
hard-working group and the spirit of
cooperation that exists between our guest
logistics team and the port's operations
personnel,” said Milly Martin, senior
director of guest logistics for Carnival
Cruise Lines. “Congratulations to
Maritza and the entire Port Canaveral
team for this well-deserved honor.”
Port of Houston Cruise Terminal
Ready to Serve
Passenger comfort and travel-friendly
amenities abound at the Port of Houston
Authority’s gleaming Bayport Cruise
Terminal. Featuring the most modern
facilities, the terminal on Galveston
Bay’s western shores is near fine restau-
rants and hotels and has easy access to
Houston’s major airports.
Arriving passengers find parking imme-
diately adjacent the terminal. Covered
walkways connect to bus and private pas-
senger drop-offs and taxi stands. Once
inside the roomy 96,000-square-foot
building, passengers get a first-rate expe-
rience. The design allows cheery natural
light in, and ample security stations
reduce wait times while overhead plasma
screens display important passenger
information.
The state-of-the-art cruise terminal has
been tested, too. The facility was pressed
into service after Hurricane Ike, when it
was tapped as the temporary home for
two Carnival Cruise Lines ships for
almost two months. The terminal easily
proved up to the task.
Port of Progreso, Gateway to the
Mayan World
Cruise Industry News & Platinum Highlights
The Port is strategically located in the
Yucatan Peninsula, which offers plenty of
fun and services to make your stay a
unique experience. It is your starting point
to the Mayan World, a major attraction for
visitors in search of nature, folklore and a
culinary experience.
Progreso’s cruise terminal specializes in
cruise ships and ferries, covers 13.6 acres,
has two docks and the capacity to serve
two fourth-generation mega cruise ships
simultaneously. The north and south piers
are 984 feet long, with a 30-foot draft, and
also have a 590-foot long, 23-foot draft
dock to receive ferries.
The passenger terminal has immigration
offices, stores, bars, pool, playing area,
duty-free shop, public telephone service,
drinking water supply for the ships,
ecological treatment for organic-inorgan-
ic-dangerous waste, anti-fire system,
bunker, car rental, mooring, and continu-
ous free transportation for passengers and
crew, terminal-city-terminal.
JAXPORT Cruise Terminal: Home
Port for the Carnival Fascination
Carnival Cruise Lines offers passenger
cruise service from Jacksonville, Florida
to the Bahamas aboard the 2,052-passen-
ger Carnival Fascination.
The ship offers four-day cruises to
Freeport and Nassau and five-day cruises
to Half Moon Cay/Key West and Nassau.
All cruises sail from the temporary JAX-
PORT Cruise Terminal, located in North
Jacksonville, and passengers are served
by an award-winning embarkation team.
More than 173,000 passengers sailed on
cruises departing from JAXPORT in
2010, and Carnival and its customers con-
sistently give JAXPORT high marks for
quality assurance and customer service.
Each voyage averaged 112 percent occu-
pancy. JAXPORT’s passengers are also
able to take advantage of the terminal’s
proximity to world-class golf, beaches
and historic sites.
JAXPORT recently welcomed the terminal’s
one-millionth cruise passenger, and 2011 is
shaping up as another successful year.
Puerto de Guaymas Ready to Receive
Passengers
Puerto de Guaymas, the destination of the
Sea of Cortez, is ready to welcome
tourists from all over the world with a
new state-of-the-art cruise international
center featuring a Santa Fe style.
The international cruise center of Puerto
de Guaymas has magnificent facilities,
including 16 commercial shops, and it
offers regional arts, like Sonora Tribe´s
Artisans and the famous Cortez Pearls.
This marvelous place on earth, at the
depths of the sea, offers the most beauti-
ful marine fauna, exotic flora and beauti-
ful sunsets in the world.
Port of Los Angeles’s Upgrades,
Renovations and Innovations
Over the last year, the Port of Los Angeles
has spent millions of dollars upgrading the
World Cruise Center. Improvements
include glass-enclosed gangways and a
remodel of the cruise terminal that includes
new audio/video systems, seating and a
reconfiguration of the parking lot for easier
access and departure.
Additionally, the Port has installed a one-
megawatt solar panel installation atop the
World Cruise Center and recently became
the first port in the world to provide shore-
side electric power (Alternative Maritime
Power) to three separate cruise lines.
Carnival Breeze to Sail from Miami
Beginning in 2012
The Port of Miami is looking forward to
welcoming Carnival Cruise Lines’
newest ship, the Carnival Breeze, in the
fall of 2012, with itineraries featuring
year-round, six- and eight-day cruises to
Caribbean destinations.
The 3,690-passenger Carnival Breeze
will be the sixth Carnival ship homeported
in Miami. Collectively, these vessels are
expected to carry roughly one million
guests annually – the most of any
Carnival homeport.
“We are thrilled that Carnival’s newest
ship is joining our fleet,” said Bill
Johnson, Director of the Port of Miami.
“The Carnival Breeze adds to an already
distinguished fleet that includes some of
the most modern and exciting ships on
the seas today.”
Carnival, which invented modern day
cruising 40 years ago in Miami, is head-
quartered there and is the largest line
operating from the port.
14 Cruising Magazine • Second Quarter 2011
Cruise Industry News & Platinum Highlights
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www.lesilesdeguadeloupe.com
Twist down a mountain on a bob-
sled. Soar through the canopy on
a zip line. Plunge into the
turquoise ocean and run across the
white sand beaches on horseback.
Swim with stingrays or dolphins while
taking in the scenery.
“Those are some shore excursions
that have the ‘wow’ factor,” says
Amilcar Cascais, vice president of
tour operations for Carnival Cruise
Lines and chairman of FCCA’s
Shore Excursion Committee. “They
are unique in the Caribbean. They
let you experience destinations in
exciting and new ways. If you want
to do them again, you have to go
back to the destination.”
The “wow” factor is what cruise plan-
ners are looking for as they pinpoint
attractions and develop shore excur-
sions that hold appeal for large numbers
of diverse cruise passengers.
The task can be daunting in a seemingly
homogenous region such as the palm-
studded Caribbean, but homing in on
popular excursions is well worth the
effort for lines that develop creative,
unusual land programs with an indis-
putable “wow” factor.
But what is “wow,” and where do you
find it? The best place for cruise lines to
look is the most obvious—among the
people with whom they work.
“Ask the crew,” advises Larry Stauffer,
manager of port adventures for Disney
Cruise Line. “Then get out there and see
what’s happening in your operation.”
For Cascais, “Our onboard managers
are my eyes. They speak to the tour
operators, test new excursions, and
provide feedback to us.”
“If you really want to wow visitors,
give them something interesting and
unique that your destination has to
offer,” tells Joanne Salzedo, director of
land operations, Norwegian Cruise
Line. She advises to appeal to features
that are truly different and destination-
specific instead of creating cookie-cut-
ter tours that are meant to appeal to the
masses and take the destination’s
role/allure out of the tour.
Rather, she believes that small, intimate
tours provide much more of this “wow”
factor for the family and friends who
partake in them and then continue to
talk about and relive their adventures
onboard and back at home. This lasting
experience not only serves as a positive
for a specific tour; it acts as publicity
for the destination.
“Wow” tours tend to be tailor made, not
“one size fits all,” so it’s essential to
know your audience. As cruise demo-
graphics change, so do the sorts of tours
that lines market to passengers.
Where’sthe Wow?
Second Quarter 2011 • Cruising Magazine 17
By Jeffrey Laign
Cruise lines seek shore excursions that will leave lasting impressions on guests.
18 Cruising Magazine • Second Quarter 2011
The geriatric snoozer in a deck chair no
longer typifies the average cruiser.
He’s been replaced by active seniors,
younger couples with kids and multi-
generational families. The task for
cruise lines is to come up with excur-
sions that appeal to a variety of inter-
ests, tastes and activity levels. The
“wow” factor, in other words.
Patrick Schneider, director of shore
explorations, Royal Caribbean Cruises
Ltd., stresses appealing to this wide
range of demographics: “The tour
offerings that leave the most lasting
impact are the ones that resonate the
best, which is completely dependent on
the type of guest you are talking about.
It could be a simple sightseeing tour if
the guest is interested in history; a hik-
ing tour for naturalists; or a cooking
tour for foodies; some are looking for
animal encounters; others seek adven-
ture; and some just want to take
pictures from scenic viewpoints. The
one constant is that the tour has to know
its market and whom they have on their
tour. Above all, a guest must be fully
engaged and entertained.”
Schneider also addresses the destina-
tion’s role in providing the “wow” fac-
tor and giving the best experience in
the destination and the best chance to
return passengers as stay-over guests:
“From a cruise ship guest perspective,
the WOW factor is something that
happens when they walk off the gang-
way. If they are greeted by screaming
taxi drivers hustling them for a fare,
their first impression will taint their
trip; if they are greeted by tourist repre-
sentatives that are smiling and offering
them assistance, they will have a better
experience.”
And he echoes the importance of pro-
viding this wowing experience for
bringing guests back and providing
publicity: “The tours that show off a
beautiful, safe destination, and one
where they find people friendly, will
determine if they want to come back.
The wow factor does not just have
guests coming back as stay-overs; it
provides an exponential equation. You
have the guests that think it is a great
place and might return for vacation, but
more importantly and profitably, they
tell their friends that aren’t cruisers
about it. As the destination continually
receives good feedback from the
guests, the travel agents notice. Then
they start booking more vacations
there, and then they also start booking
more cruises that go there, which starts
to draw more calls to the destination.”
Memorable shore excursions come in a
variety of packages, but they should all
endeavor to make a lasting impression,
planners say. Excursions should offer
cruisers an opportunity to pursue a
favorite interest or activity in a different
setting, try something new, satisfy a
lifelong curiosity, encounter nature,
reach a higher level of intellectual or
spiritual growth and even indulge in
fantasies.
Adventure ToursOne of the best-selling excursions in
the Caribbean allows guests to experi-
ence first-hand what the America’s Cup
12 Metre Regatta is like while sailing
onboard a multi-million dollar sail boat.
Along with providing an action-filled
tour and a chance to see a professional
crew in action and even grind a winch
or trim a sail yourself, it supplies a
memory that will never fade.
At the new Mahogany Bay Cruise
Center on the Honduran island of
Roatan, just getting from the ship to the
beach is an adventure. Passengers are
strapped into the Magical Flying Beach
Chair for a six-minute ride across nearly
1,200 feet of suspended cables,
enjoying lush views until they reach
the shore.
Nature EncountersAs consumers go “green,” many look
for activities that get them closer to
nature. Jungle treks, glacier walks and
dolphin encounters make for popular
excursions.
On Grand Turk, Carnival Cruise Lines’
“Dolphin Swim, Stingray Interaction and
Turtle Farm” excursion introduces par-
ticipants to a trio of fascinating creatures.
“Families especially gravitate to that
sort of tour,” Cascais says. “They create
lifetime family memories. People come
back to the ships saying, ‘Wow, that
was fantastic!’”
Cultural AttractionsWith its new Falmouth Cruise
Terminal, Royal Caribbean is looking
to market the Jamaican port as the
“Colonial Williamsburg of the
Caribbean,” replete with golden beach-
es, Georgian architecture, lush gardens,
historic tours, and a “village” of unique
boutiques and cozy restaurants.
Unique ExperiencesYou’ve always wanted to spend an
afternoon zipping over hill and dale on
an all-terrain vehicle or slicing up a bay
on a wave runner. But let’s face it;
you’re never going to shell out the cash
to buy a toy like that back home. Cruise
passengers can try out a sporty vehicle
on a shore excursion. If they’re not into
horsepower, they can check out the
horses. Several lines offer unforgettable
horseback excursions along picturesque
beaches. Best of all, you don’t have to
take the horse home with you.
Sporting ChancesThose who choose the right cruise
itinerary can golf at some of the most
famous courses in the world. Or they
can get their game on beneath the
waves with a scuba, snuba or snorkel-
ing excursion.
Tasty TreksShore excursions provide an appetiz-
ing opportunity to discover local
cuisines and culinary traditions. Food,
folklore and fun comprise Celebrity
Cruises’ “Caribbean Cooks” tour in San
Juan. Hungry participants can also
enjoy the “Culinary Delights of
Curacao Workshop.”
Exclusive ExcursionsAs cruise travelers become more
sophisticated, many are looking for a
shore excursion component they can
tag as “exclusive.” Holland America
Line offers the Signature Collection for
independent touring in private vehicles
and the Medallion Collection for elite
activities. Other lines create custom,
private tours for guests looking for a
unique experience.
“Sometimes the destinations them-
selves are as marketable as the excur-
sions offered in a port,” Cascais says.
“The Panama Canal, for example, is a
‘wow’ experience.”
So is the Yucatan’s ancient Mayan city
of Chichen Itza. “It’s one of the won-
ders of the world, and no cruiser to the
Mexican Riviera should miss it,” shares
Cascais.
But many destinations may be sitting
on a gold mine and not know it.
Planners’ advice to tourist boards and
tour operators is to take stock of what
you have and make the most of it.
“You don’t have to have a Chichen Itza
to have a ‘wow’ shore excursion,”
Cascais says. “You just have to be a
good story teller—and every destina-
tion has a good story to tell. Determine
what is indigenous and unique to your
destination. Then tell your story to
cruise passengers. Make them say,
‘What an experience! Wow!’”
Second Quarter 2011 • Cruising Magazine 19
A WORLD AWAY. JUST ONE HOUR FROM MIAMI.
VISIT WWW.CAYMANKIND.COM// /GRAND CAYMAN LITTLE CAYMANCAYMAN BRAC/
WELCOME TO A PEOPLE, A PLACE AND AN APPROACH TO LIFE THAT ARE AS UNIQUE AS THEY ARE UNIVERSAL.TO LIFE THAT ARE AS UNIQUE AS THEY ARE UNIVERSAL.
Voted the top travel destination in
the Caribbean by TripAdvisor’s
travelers, the Cayman Islands
promises an escape like no other. World
renowned for its beautiful beaches,
stunning underwater scenery, amazing
attractions, and distinctive charm, the
Cayman Islands offers all the ingredi-
ents for the perfect day.
Activities On landGuests need look no further than the
vibrant port capital of George Town,
where they can wander through the
Caymanian craft fair and bustling
streets and experience Caymanian cul-
ture at the Cayman Islands National
Museum and the National Gallery.
Visitors can also head to nearby sophis-
ticated and cosmopolitan Camana Bay
for world-class shopping, live music,
and delicious food. Lilly Pulitzer,
Island Company, Frosted Robin
Cupcakes, and Caribbean-fusion
restaurant Ortanique by celebrated
Miami Chef Cindy Hutson are among
the boutiques and restaurants that call
Camana Bay home.
For visitors looking to lounge on a
beach and enjoy the Caribbean sun and
sand, the white sand and turquoise
waters of Seven Mile Beach are fre-
quently recognized as the best in the
Caribbean. Enjoy a relaxed lunch at
Hemingway’s or an indulgent afternoon
at Silver Rain, a La Prairie Spa at The
Ritz-Carlton, Grand Cayman.
For those inspired to explore the island,
guests can swim with the stingrays,
horseback ride along a sun-drenched
coast, sail around the island on
Cayman’s famous pirate ship, the Jolly
Roger, catch a bird’s eye view of the
island by helicopter, or meander
through the picturesque Queen
Elizabeth II Botanic Park.
Traverse the island to delve into the
past and discover the birthplace of
democracy in the Cayman Islands, his-
toric home Pedro St James, which
offers striking ocean views for miles.
Or explore 750 acres of untouched for-
est, along the Mastic Trail, some of the
last remaining examples of the
Caribbean’s dry, subtropical, semi-
deciduous dry overgrowth. The Queen
Elizabeth II Botanic Park boasts some
of the Caribbean’s most beautiful
grounds, with a colored floral garden, a
woodland trail, an orchid path, and the
Blue Iguana habitat, home to the endan-
gered Blue Iguana. The Blue Iguana
Recovery Program was founded to
bring back the Blue Iguana from the
brink of extinction. Today, guests can
join a Blue Iguana Safari at 11AM daily
to learn about these creatures and the
initiatives that are being undertaken to
save them.
For a more active beachside visit,
guests can spend the day at Rum Point,
a peaceful retreat across the island,
where cocktails and watersports
abound.
The Cayman Islands is not just a desti-
nation of beauty and history for adults;
it is also a dream playground for chil-
dren of all ages. Families will have
amazing experiences touring the
Cayman Turtle Farm, where they will
see turtles in every stage of growth,
swimming with tropical fish at the
Boatswain’s snorkel Lagoon, admiring
birds from across the Caribbean in the
Caribbean Aviary, and studying the
sharks and barracudas in Predator’s
Reef. Seven Mile Beach, with its pris-
tine waters, promises entertainment for
Second Quarter 2011 • Cruising Magazine 23
Spotlight on the Cayman Islands
Information and images provided by: Cayman Islands Department of Tourism
the whole family with a variety of
watersports, from snorkeling to kayak-
ing. For the more adventurous, Stingray
City, where visitors can swim, feed, and
even kiss a stingray, is always a
favorite.
Families will also enjoy following in
the footsteps of the National
Geographic Hands-On Explorer
Challenge, an annual children’s com-
petition whose winners enjoy an amaz-
ing field trip to explore the world won-
ders of the wild. In 2011, children from
across the United States delved deeply
into Cayman’s natural culture, with
amazing experiences that are unique to
the Cayman Islands, including subma-
rine tours through the vast coral
canyons and brilliant tropical fish of
Cayman’s National Marine Park at 100
feet, snorkeling trips to some of the
island’s top sites, introductions to the
rare Blue Iguana at the Queen
Elizabeth II Botanic Park, and visits to
Stingray City. These experiences are
now available for your family to enjoy
on your own.
WatersportsDeemed the birthplace of Scuba div-
ing, the meticulously preserved natural
wonders of the Cayman Islands evoke
a sense of awe in leisure explorers as
well as active adventurers. Strict envi-
ronmental regulations have maintained
a pristine playground for diving,
snorkeling, sailing, and kayaking,
while bringing guests in contact with
extraordinary wildlife.
As seen by all the world, Cayman’s
newest diving and snorkeling site, the
ex-USS Kittiwake, was sunk off the
coast of Seven Mile Beach in January
2011, after seven years in planning.
Kittiwake attracts divers from around
the world to explore the former subma-
rine rescue ship inside and out and dis-
cover the critters that now call the
wreck home. Other dive highlights
include Big Tunnels, Tarpon Alley, Big
Pinnacle, and Mermaid Point.
Those looking to learn how to dive can
take a resort course at any number of
resorts along scenic Seven Mile Beach.
Guests will also enjoy snorkeling in
clear Caribbean waters, kite boarding
and parasailing along Grand Cayman’s
breezy coast, as well as paddleboard-
ing, kayaking and sailing.
DiningGrand Cayman is widely considered
the culinary capital of the Caribbean.
An eclectic array of fine culinary
options abound with more than 150
restaurants, allowing visitors to choose
from chic, five-star dining or a more
casual venue on the beach, from tradi-
tional Caymanian seafood and
Caribbean fare to Thai, Italian, and
New World cuisine. Gourmets will love
the farm-to-table fare at Michael’s
Genuine Food & Drink by Miami-
based Chef Michael Schwartz, the
casual atmosphere at island favorite
Calypso Grill, the delicious Italian at
the Caribbean Club’s sophisticated
restaurant Luca, and Miss Vivine’s
home-style Caymanian dining.
Internationally renowned Chef Eric
Ripert offers the epicurean Blue by Eric
Ripert at The Ritz-Carlton, Grand
Cayman, while Pappagallo’s and Rum
Point Restaurant promises a casual and
family-friendly vibe.
If you are looking to enjoy a tropical
drink on the water edge, the Cracked
Conch is the place to be. For a chic
cocktail, Osetra Bay is an intimate and
sophisticated scene on a quiet bay, while
Tiki Beach offers a lively venue conve-
niently located on Seven Mile Beach.
Local favorite Calico Jack’s is the per-
fect choice for a cool drink paired with
a beautiful day on the beach.
With sandy white beaches, swaying
palm trees that beckon visitors to
relax, and an average year-round
temperature of 82°F, the Cayman
Islands is an irresistible stop on your
Caribbean cruise escape. To learn
more and book your Cayman Islands
trip, visit www.caymankind.com.
24 Cruising Magazine • Second Quarter 2011
The annual “State of the Industry” panel at this year’sCruise Shipping Miami in Miami Beach did not tellall good news. The economic woes, soaring gas
prices and looming ECA regulations all present problems,but the panel reminded us that the cruise industry continuedto be profitable in the recent recession and can expect toperpetuate this success and turn some light on in the not sobright future.
This is possible because the cruise industry benefits fromhaving a movable commodity; has multiple untapped andlucrative markets to penetrate (along with a growing mainmarket); is able to easily enter the best markets because oftheir movability; constantly improves its products (ships,infrastructure, ports, etc.); and continues to offer unrivaledvalue for passengers, despite rising operational costs.
“Moveable assets have helped us survive,” told DanHanrahan, CEO of Celebrity Cruises.
This feature allows the lines to avoid civil unrest, e.g. Egyptand Libya, and natural disaster. But perhaps its greatest assetis the ability to move to the most profitable markets. The cur-rent new market that is drawing the most attention is Europe.As said by Pierfrancesco Vago, worldwide CEO of MSCCruises, “The Old World is the New World for cruising.”
European capacity will rise 23 percent this year. Europe is thefastest growing cruise market globally, as seen by its 163 per-cent increase of passengers in the past decade.
“Our current level of five million European cruisers wasachieved in North America in 1997, so in many ways we cansay that Europe is becoming the new Caribbean as a destina-tion of choice,” said Vago, who also tells of the extra traveltime that the European demographic has, with 34 vacationdays, opposed to the average of 9 days in America.
Other markets on the upswing include Australia and SouthAmerica. Asia also presents a growth market with largepotential, as do Africa and the Middle East. And Alaska isregaining ships since instituting legislation to reduce theirhead tax. The industry has become more global since emergingfrom the recession and could be better for the wear.
Kevin Sheehan, CEO of Norwegian Cruise Line and FCCAchairman, surmised it well when he said, “It’s not just aboutwhat you can do, but where you can do it.”
Adam Goldstein, president and CEO of Royal CaribbeanInternational, also shed some light on the importance thatglobalization is having on the industry—of the cruise indus-try’s advantage of being able to source the international fieldfrom afar and of the necessity for the authorities of the up andcoming cruise destinations to improve their infrastructureand prepare themselves for the arrival of the new fleet ofships that have recently come into the market or will soonmake their way.
As Vago also pointed out, the public perception is starting toimprove abroad, as seen in the European market: “In Europe,
Second Quarter 2011 • Cruising Magazine 27
Port of Miami
28 Cruising Magazine • Second Quarter 2011
the perception that cruising is expensive and only for old people has changed.”
It is hard to think cruising does not offer immense value,which continues despite growing costs and is one of the fea-tures that has always attracted passengers. Jan Swartz, exec-utive vice president of sales, marketing and customer servicefor Princess Cruises and Cunard Line and marketing com-mittee chairwoman for CLIA, reminded us of this when shepointed out that cruising can offer up to a 40-50 percent sav-ings over land-based vacations.
Gerry Cahill, CEO of Carnival Cruise Line, also stressed theimportance of value when sharing that this was the reason whythe cruise industry was able to survive during the recession.“Consumers changed quickly and…went totally to value.”
When focusing on this aspect, Cahill told how the lines areable to allocate operational costs to maintain passengers’value, despite rising costs, when he said, “Customers willcontinue to focus on value. We have not cut back on ourproduct, but have reallocated our marketing spending, andautomation has helped us reduce our operating expenses.”
And this is why in a time of turmoil, cruise lines were actu-ally able to advance. As Swartz highlighted, “We upgradedour product at a time when people least expected it.”
Luckily, much potential growth is still possible over the 15million that cruised last year; the American market still pre-sents plenty of room for future cruisers over the 3.1 percentof the American population that cruised during 2010. Thereis already a projected increase of 6.5 percent total passengergrowth for this year.
There is also a large market of Baby Boomers, who have a lotof wealth, are living longer and better and are likely to travelwith their time and wealth. Stein Kruse, president and CEOof Holland America Line referred to this crucial demographicwhen he said that cruising’s “best days are ahead.”
Another growing market is that of first-time cruisers (whichsaw an increase this year with ticket prices anywhere from10-15 percent lower than 2010) and additional drive-to ports.Cahill revealed the upside of the downturned prices for 2011:“The lower pricing had a silver lining: we were able to intro-duce new people to cruising.”
And Swartz focused on the importance of this market, shar-ing that first-time cruisers are loyal to cruising by citing astudy from the global market research firm TNS, whichreported that cruise passengers have the highest commitmentto their chosen form of travel, compared to consumers of anyother product or service.
The appeal of cruising to various markets because of itsvalue and numerous types of travel and options of onboardamenities helps account for the over 100 percent berth occupancy (based on double occupancy capacity figures factored in with additional berths).
Though ship orders have started to slow (which should begood for the industry as cabin prices slowly increase), therehas been a large influx of feature-rich ships over the yearsthat are sailing the seas or being finished in the yard. AsRichard Sasso, president and CEO of MSC Cruises USA,shared, 118 new ships have been built over the last 10 years,with an average of 7.4% annual growth in passengers.Hanrahan likened these ships to floating travel cities whendiscussing the new technology and incredible facilitiesonboard—apropos when considering the boardwalks, gar-dens, bowling alleys, ice skating rinks, etc. In addition to thenew and future builds, many lines have revived and recreat-ed other ships in their fleets through renovation.
Besides making the onboard experience as appealing, excit-ing and/or relaxing as possible, cruise lines have also workedto improve passengers’ land-stay, and many new opportuni-ties are open now that the industry is more global.
Additionally, the ports are able to change with the times andaccommodate growth for the cruise industry, which greatlyhelps the cruise industry, especially during tough times. Agood example of this is Port Canaveral’s millions of dollarsin expenditures to make room for the new Disney Dream andthe $42 million loan signed in December to develop a newcruise terminal and cargo facilities in a time when manyother companies had to scale business back.
These are just a few ways how and reasons why the cruiseindustry will continue to thrive in even the toughest circum-stances. The industry has shown its resiliency in the hardestof times—from the Iranian revolution and oil crisis of the1980’s to 9/11 and soaring gas prices—and has proven that itis a safe bet to get through even the most trying hardships.The industry will find a way to navigate around the loomingthreats of rising gas prices and ECA regulations.
This is mostly because of the demand that the industry creates by offering multiple destinations for a better valuethan land-stay vacations onboard a number of new andupdated feature-rich ships, and its movability allows forescaping potential trouble and penetrating new markets,which have grown even more lucrative and popular. Even thecurrent successful market comes with an expected 6.5 per-cent increase of passenger growth and presents a significantportion of people who have yet to cruise, along with manypotential markets, like Baby Boomers. Indeed, Mr. Krusewas right; cruising’s best days are ahead.
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For the 17th straight year, decision makers from theCaribbean and Latin America gathered with the cruiseindustry’s top-level executives, presidents and CEO’s
for the cruise industry’s signature social event: The AnnualFCCA Gala Dinner, held on March 17 at the Miami BeachConvention Center.
The event once again brought tourism and government offi-cials, industry suppliers and private stakeholders together withcruise executives for this unique event (part social gathering,part networking session), which continued to provide guestswith opportunities to dine and interact with the industry’sdecision makers.
This year’s Gala, co-sponsored by Port Everglades and thePort of Miami, featured a new venue, but a familiar one—theMiami Beach Convention Center, also the home of the CruiseShipping Miami conference, which was in session during theweek leading up to the event.
The Gala featured all of the elements that have established thegathering as the cruise industry’s premier social event. Guestsenjoyed a lively, extended cocktail reception that ran one hourand a half and allowed for the attendees to mix and minglewhile talking business or pleasure with the prominent crowd.There was also a silent art auction prior to dinner, where guestscould bid on 100 pieces of art donated by Park West Galleries.
The auction raised over $25,000, with the proceeds to bedonated to the FCCA Foundation, a nonprofit, charitableorganization founded in 1993 to fund Caribbean and LatinAmerican humanitarian projects. Each year, the Foundationprovides a mechanism through which the cruise industry supports various humanitarian causes. The Foundation hasbenefited hundreds of thousands of citizens, providing morethan $3 million for charities and humanitarian causesthroughout the two regions.
In one of these philanthropic projects, the Holiday GiftProject program, the FCCA partners with Caribbean andLatin American destinations each year to provide gifts to over
7,000 children living in foster homes and institutions. Thegifts are delivered aboard FCCA Member Line vessels call-ing at the destinations, and the children also enjoy a holidayparty in their honor.
As always, the event of the evening was the FCCA GalaDinner Extravaganza. Here, attendees took their seats, whichthey had purchased beforehand when selecting a cruise exec-utive, president or CEO of their choice, as these were thetable hosts for the night, available for hours of conversationwith attendees about their companies and industry.
As usual, the Gala was synonymous with first-class cuisine.Dinner started with jumbo lump crabmeat, marinated cucum-ber, Campari tomato, Haricot Vert Mustard Vinaigrette andAnnatto Oil. The entrée consisted of toasted, lightly breadedchicken breast stuffed with roasted peppers, spinach, andsmoked mozzarella, along with roasted cream, jumbo aspara-gus and orange cauliflower. Dessert featured a Caribbean trioof banana-coconut crunch, rum-grilled pineapple with mintand guava cheese cake. A vegetarian fare was also available.
“The annual Gala is the cruise industry’s premier social gath-ering, but it is really so much more than that,” said MichelePaige, president of FCCA. “The Gala is a unique forum forthe exchange of ideas and information, which is crucial toour mutual growth and success in these challenging times.”
Gala attendees confirmed that the event not only provided anentertaining and enjoyable evening, but it also was invaluablein terms of connecting with key stakeholders. Participants ofthis event had a chance to establish relationships or reac-quaint themselves with some of the industry’s most promi-nent decision makers. The Gala is designed to let the partici-pants and the executives, presidents and CEO’s forge or foster worthwhile business relationships, learn about theinner-workings or latest trends of the industry, collaboratewith to cultivate ideas or get feet in the door, all while enjoy-ing good food, conversation, cocktails and art. And benefit-ting a cause as great as the FCCA Foundation is alwaysimportant enough in itself.
Second Quarter 2011 • Cruising Magazine 31
FCCA’s 17th Annual Gala
Brings Together Key Cruise Industry Decision Makers
32 Cruising Magazine • Second Quarter 2011
2011 FCCA Foundation �
Second Quarter 2011 • Cruising Magazine 33
� Gala Dinner Extravaganza
Bring It On! We Can Handle It.
For information contact Ricky W. Kunz, Vice President Origination
713-670-2400 | www.portofhouston.com
Not that long ago, a cruise
vacation for many Americans
consisted of carved coconuts
and piña coladas under a palm tree.
Today the Caribbean remains a favorite
destination for the North American
market, but just as many sophisticated
cruisers are choosing exotic locales
once considered all but unreachable.
How are cruise lines bringing the
“boom” back to the Caribbean Basin?
They’re carving out new markets from
which to mine Caribbean cruisers.
“Brazilians. Costa Ricans. Panamanians.
The southern Caribbean works very
well for the Latin American market,”
says John Tercek, vice president of
commercial development for Royal
Caribbean Cruises Ltd.
At the same time, lines are identifying
emerging markets around the globe,
introducing increasingly adventurous
North Americans to dream destinations
and novice local explorers to the
pleasures of cruising.
Like mass media, cruising has become
a global industry, and the implications
for lines are enormous.
“When certain countries become more
prosperous, they have certain needs to
fulfill before they think about vaca-
tions,” says Giora Israel, senior vice
president for port and destination
development at Carnival Corp. & plc.
“The first thing the Chinese do is buy a
washing machine, and then maybe a
TV. Only after they have taken care of
those other needs do they begin to think
about travel.”
A lot of folks in a lot of countries are
thinking about travel now, and cruise
ships are pulling into ports all over the
world, more than ready to provide it.
Asia/PacificAlthough it comprises only a fraction
of the world cruise market, the
Asia/Pacific region is growing by leaps
and bounds. Last year, by industry esti-
mates, Asian cruise passenger numbers
rose by 40 percent, to 1.5 million.
Princess Cruises deploys ships in Asia,
and Costa Cruises moved in a few years
ago to tap the potentially huge Chinese
consumer travel market. Costa home
ports on the China mainland and offers
a number of itineraries, including
Japan-Korea. Now it has opened a
Hong Kong to Taiwan route as well.
“This new measure will reinforce Hong
36 Cruising Magazine • Second Quarter 2011
Are We There Yet?Cruise lines are carving out newtravel markets around the world.
By Jeffrey Laign
MSC Musica in Venice.
Kong’s position as a regional cruise
hub,” says Margaret Fong, Hong Kong
commissioner for tourism.
Disney Cruise Line also has indicated
that it might make sense to test Asian
waters. Disney, for example, could
offer land-sea vacations with Hong
Kong Disneyland or Shanghai
Disneyland, which is in planning
stages.
Carnival, meanwhile, is getting in on
the action next fall when it bases
Carnival Spirit in Sydney to operate a
schedule of eight- to 12-day Australia
voyages to the Pacific Islands.
South AmericaFor Tercek, “Latin America is more of a
front-burner market. There is an emerg-
ing middle-class market in many coun-
tries in South America, and we are
doing a very good job of finding those
customers and delivering to them.”
South America also works, he says,
because the continent is closer to already
established cruising zones, enabling
cruise ships to work more effectively.
In addition, as Holland America Line
and others have noted, South America
is of growing interest to North
American cruisers. Especially popular,
says Tercek, is the coast of Argentina.
And, as Israel says, Brazil is expanding
exponentially. “There were always some
cruises here, but as the economy has
improved, cruising has expanded. This
winter there are 20 cruise ships in South
America, serving mostly South Americans.
Ten years ago there were only five.”
Africa/Middle EastDubai is another cruise-driven hot spot.
“Costa was the first cruise line to home
port in Dubai, beginning in 2006,” says
Maurice Zarmati, Costa’s president and
CEO. “We’ve increased our capacity
there year after year, and we’ve seen
competitors follow suit.”
Tunisia also opened up in recent
months, a highlight of Disney’s eastern
Mediterranean itineraries. Political
unrest in Tunisia, Egypt, Jordan and
other regional countries has disrupted
those routes for now, but the area will
stabilize and continue to grow, Tercek
thinks.
In the meantime, he notes, cruise lines
can adjust to geo-political trends by re-
routing ships, something that resorts
and other land-based attractions are
unable to do.
EuropeIn the so-called glory days of cruising,
roughly the 1930s through the 1950s, a
cruise ship was the only way to get to
Europe. These days travelers are choosing
cruises as the best way to see the continent.
“European cruising isn’t just doing
well, it’s doing phenomenally well,”
notes Rick Sasso, president of MSC
Cruises USA, whose company is rapidly
expanding in Europe.
The Mediterranean—branded by some
analysts as the “new Caribbean”—long
has been of interest to cruisers, espe-
cially those with an appreciation of his-
tory and culture.
“But the Baltics region has become a
hot destination for many Americans in
recent years,” says Israel. “It’s one of
the most exciting cruise products we
have. In seven days you can see things
Second Quarter 2011 • Cruising Magazine 37
Costa Deliziosa naming ceremony at the official opening of the Dubai Cruise terminal.
Royal Caribbean calls at Falmouth Harbour, Jamaica.
you won’t see anywhere else, from
Helsinki to St. Petersburg.”
CaribbeanThe islands may have lost just a bit of
their glimmer for cruisers who have
“been there and done that.” But the
FCCA Shore Excursions Committee,
chaired by Amilcar Cascais, vice presi-
dent, tour operations, Carnival Cruise
Lines, is working with the destinations
for a number of ways to polish the
brass, including developing new attrac-
tions and updating infrastructure. The
cruise lines’ efforts to improve this
infrastructure don’t just benefit the
lines’ interests and their passengers;
they increase the offerings and capabil-
ities of the destinations, allowing them
to grow as tourism destinations and
providing a substantial economic
increase.
The 10,000-square-foot Grand Turk
Cruise Center, for example, opened in
the Turks and Caicos Islands in 2006
and included a 13-acre Welcome Center
with shops, restaurants, and an expan-
sive recreation area. Carnival, which
created this $50 million development,
reported that the inaugural season far
exceeded expectations, with 136 cruise
ship calls and 295,000 passengers.
On the southwest coast of Roatan,
another project of Carnival Corp., in
conjunction with Roatan businessman
Jerry Hynds—the new Mahogany Bay
Cruise Center—features a two-berth
terminal and a 20-acre area providing
shopping and transportation for tours.
The new facility is expected to see 200
annual ship calls and more than
500,000 passengers.
And Jamaica’s new Falmouth Cruise
Terminal is setting up an array of attrac-
tive features: sun-kissed beaches,
Georgian architectures, blooming gardens
and a “village” of boutique shops and
restaurants. This joint project of Royal
Caribbean and Jamaica will bring mega-
ship capabilities and passenger loads,
most notably the 5,400 passengers aboard
the Oasis of the Seas during its Western
Caribbean itinerary, to Falmouth. But the
infrastructure developments will not only
serve the cruise passengers; the improve-
ments are expected to attract visitors of all
sorts, along with locals, and help
Falmouth become a tourism hot spot.
Royal Caribbean President Adam
Goldstein shares, “As far as I know, our
Falmouth project has been the largest
infrastructure development project in
the Caribbean basin in recent years.”
Eventually, the United States will lift a
half-century-long ban on leisure travel
to Cuba. We’ll then likely see yet
another Caribbean boom. As Royal
Caribbean President Adam Goldstein
puts it: “We know there is great enthu-
siasm amongst travel agents and con-
sumers about the prospect of visiting
Cuba on a cruise.”
In the meantime, cruise executives say
that they’ll continue to develop markets
around the globe, identifying destina-
tions that appeal not only to savvy
North Americans, but also to first-time
cruisers in other lands.
The world has grown smaller in recent
decades, thanks, in large part, to cruis-
ing. Today you can cruise to exotic
lands once considered unreachable. On
the other hand, as the French would say,
the more things change, the more they
stay the same. After all these years,
cruising still is the best way for every-one to see the world.
38 Cruising Magazine • Second Quarter 2011
Cunard’s newest ocean liner, Queen Elizabeth, arriving in Sydney Harbour following her larger sister, Queen Mary 2.
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In 2006, Alaskan voters supported
a tax bill that was imposed on
cruise ships. The law included a
$46 per passenger head tax, a corpo-
rate income tax a 33% tax on gam-
bling income, an additional $4 per
passenger for a state-employed Ocean
Ranger to cruise onboard ships to
“observe health, safety and wastewa-
ter treatment and discharge opera-
tions onboard the ships while in
Alaskan waters,”
The corporate tax compelled the cruise
lines to file a lawsuit against the legali-
ty of the legislation, as it singled out the
cruise lines, and the lines argued that a
corporate tax cannot target just one
industry.
As the lines began to have trouble
charging a competitive fare because of
the increase in costs, and the demand
started to dry up in 2008 in the wake of
a downturned economy, the cruise
industry had no other option than
beginning to pull out ships in favor of
more profitable markets.
Alaska saw an overall decrease in 2010
of more than 10% of cruise capacity
from 2009, with a loss of more than $25
million of revenue in Juneau alone, as
lines like Carnival, Royal Caribbean,
Norwegian Cruise Line, Princess and
Holland America began to reposition
their ships serving Alaska.
A further decline came in the past
2011 season, with a loss of three more
ships and about 142,000 passengers
over the season.
The lines cited the growing taxes and
regulation when deciding to pull their
ships, saying that Alaska had become a
less profitable place to operate and that
they could make more money
elsewhere, thus reminding destinations
that no place is irreplaceable and that
cruise lines will go where it is the most
fiscally viable.
The decrease in cruise tourism and fear
of a further fall and possible total col-
lapse was quite a damper on an Alaskan
economy reliant on tourism, a major
industry that represents $3.4 billion and
40,000 jobs.
Governor Parnell was aware of the
impact, and he began to enact legisla-
tion to lower the taxes after meeting
with cruise line representatives at this
year’s Cruise Shipping Miami. Upon
submitting the first amended legisla-
tion, Parnell said, “Alaska’s tourism
head tax structure must be modified to
grow our Alaska businesses...
Declining visitor numbers and dollars
have been felt throughout the state. We
must do more to make Alaska a more
affordable destination for travelers and
create jobs for Alaskans.”
The tax cut—approved by the Alaskan
Senate on April 14th, currently making
its way through the House and planned
to go into effect in October of this
Second Quarter 2011 • Cruising Magazine 41
Alaska Cuts Controversial Tax to Regain Lost Cruise Tourism
year—lowers the $46 per passenger
head tax by 25% to $34.60, with addi-
tional offsets for ships stopping at
Juneau and/or Ketchikan to recuperate
their local head taxes of $8 and $7,
respectively, but cruise lines hope to
avoid charging passengers the addition-
al $7, $8 or $15 in the first place.
In addition to relieving some of the
market’s strain and making Alaska a bit
more profitable for cruise ships, the
lowered tax also led the cruise lines to
drop their lawsuit (though the corporate
income tax deemed illegal is still in
place, as are the gambling tax and the
charge for state-employed Ocean
Rangers).
As an example of the effect of the tax
cut, it can be helpful to look at the
Golden Princess going round-trip to
Juneau, Skagway, Ketchikan and
Victoria Island, British Colombia. In
2010, the taxes and fees came to
$135.57 per person, but would fall to
$109.19 after the new legislation is
enacted—an applied difference of
$26.38 per passenger.
As a reward for the good faith shown
by Governor Parnell and the capability
to price Alaskan cruises more competi-
tively, the lines will begin to rebuild
capacity.
Stein Kruse, president and CEO of
Holland America Line, recognized the
efforts of Governor Parnell, saying, “You
are seeing our response, bringing passen-
gers back in 2012. It shows the partner-
ship that can exist between private indus-
try and government can really work.”
Unfortunately, Alaska’s cruise tourism
will still be down 16-17 percent this
year, as itineraries are booked far in
advance. For example, Alaska’s 2010
deployment decisions were made in
2008.
Still, Governor Parnell was correct in
saying that, “Alaska is on the right
course.” There is already an expected
60,000-passenger increase for 2012
between Holland America and Princess
Cruises, with more to likely follow.
The relationship between Alaska and
the cruise lines is on path to being
repaired, and it is certainly an important
time to be working together with the
looming ECA regulations that could put
a further strain on Alaska’s cruising
market.
When two entities are willing to work
together, solutions can always be
found, and Governor Parnell has shown
that he and Alaska are willing to partner
with the cruise lines to find mutually
beneficial resolutions.
42 Cruising Magazine • Second Quarter 2011
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The expression “An ounce of prevention is worth a pound of
cure” has been around for centuries, and it is good advice for
tour operators navigating the claim reporting process in the
FCCA’s Tour Operator Insurance Program.
The best way to help reduce insurance rates for the FCCA Tour
Operator Program is to improve the program’s loss experience.
Participating tour operators can work to this end by prevent-
ing accidents from happening in the first place. However,
after an accident occurs, the simplest way to help protect
your operation, and the FCCA program, is to report the inci-
dent promptly.
The discussion that follows provides a generic overview of the
tour operator’s responsibilities as it pertains to claim reporting.
We also recommend that each operator review their Chartis
policy for the specifics of what is required in the event of a
claim or a circumstance that may give rise to a claim.
The FCCA Tour Operator policy is a contract that creates
obligations for both the insured operator and Chartis. One of
the critical obligations of the operator is the duty to report
claims or circumstances that may give rise to a claim in a
timely manner.
As such, it is important for participating operators to fully
understand how timely claim reporting can impact coverage.
Generally speaking, the FCCA Tour Operator policy lan-
guage requires claims to be reported as soon as practicable,
which would likely be interpreted by a court to mean: “as
soon as a reasonable person would have been able to notify
the insurer.”
Failure to report incidents promptly can impact the ability of
insurers to investigate a proper defense for the operator.
When an extended amount of time passes from the date of
incident or injury, eyewitnesses are less likely to remember
the incident, physical evidence is lost, and an investigation
becomes difficult to conduct. Prompt claim reporting can
result in faster and better resolution of the claim.
Engaging Chartis early on in the process also allows for both
the operator and Chartis to establish a relationship with the
injured parties. This helps to assure them that their incident is
being handled properly, decreasing the likelihood they seek
the assistance of an attorney for help with the claim process.
There are several steps a tour operator can take to ensure
prompt reporting of incidents to Chartis:
1. Designate a management-level person responsible for
reporting all claims. Information provided to this person
should include all details requested in the FCCA Claim
Reporting Guidelines kit. Details requested include:
• Nature of the incident;
• Who was injured;
• How the injury happened;
• When and where the injury happened;
• Account of incident by the excursion leader (employee/
contractor) operating the tour at time of incident;
• Who witnessed the incident or injury;
• Witness statements taken at the time of the incident;
• Whether the incident was reported to the cruise line, by
whom and when;
• Status of the accident investigation report (when should
Chartis expect a completed accident report).
2. Provide annual training for tour guides and all team
members that come in contact with guests on topics such as:
safety & accident prevention, investigation procedures, and
claim reporting
3. Include insurance claim reporting as part of your new hire ori-
entation for all employees that come in contact with guests.
In summary, prompt reporting of all incidents to Chartis is one
important key to efficiently managing the overall FCCA insurance
costs. This translates to decreased policy premiums over time.
For additional information on the FCCA Global Tour OperatorProgram or to request a copy of the FCCA Claim ReportingGuidelines, contact Aon Risk Solutions - Hellen.Mena@aon.com
44 Cruising Magazine • Second Quarter 2011
The Importance of Timely Claims Reporting to Aon’s FCCA Global Tour Operator Liability Insurance Program
PRACTICE AN OUNCE OF PREVENTION
Ana Lucia Archbold – Manager, Staff administration, Carnival Cruise Lines
Ana Lucia Archbold hails from San Andres Island in Colombia—a coral island in the
Caribbean Sea. In 1984, many of the islanders began working for Carnival Cruise Lines and
would come back to the island with tales of fun at sea. Back then, Ana worked for the
Columbian government’s department of immigration at the airport and was ready for a change.
So in 1995, she decided to follow their lead and set sail as crew onboard Carnival Tropical with
the ambition to provide a better life for herself and her son. In the 16 years since, Ana has
worked on 13 Carnival ships.
Ana loves the international feeling on board a cruise ship and how the unique experience
allows her to meet so many different people from all around the world and meanwhile learn
about other cultures, too.
The overall experience has made Ana an enthusiastic advocate for the cruise-crew lifestyle, claiming it helps her to be a
better person because she is always striving to provide excellent service on board that exceeds her guests’ expectations.
Thanks so much, Ana, and keep up the hard work!
Colombia
Faces In The Industry
48 Cruising Magazine • Second Quarter 2011
(Left to right) Carlos Jauregui, General Director for the API Ensenada (Ensenada Port); Juan Tintos,Secretary of Tourism - Baja California; Michele M. Paige, FCCA; Jose G. Osuna Millan, Baja California
State Governor; Amilcar Cascais, Vice President - Tour Operations, Carnival Cruise Lines; MichaelRonan, Vice President - Government Relations, Royal Caribbean Cruises Ltd; Silvia Hernandez, FCCA
Mexico Representative; Rita Vandergaw, Director of Marketing - Port of San Diego.
FCCA Delegation meets with Mark Gsellman, Sr. Vice President and General Manager - Marine& Water Park Operation, Atlantis, Paradise Island (right) and Henry Bain, Director Sales &
Marketing Marine & Water Park Operations, Atlantis, Paradise Island (3rd from right)
C A R N I VA L D R E A M | C A R N I VA L S E N S AT I O N | D I S N E Y M A G I C | D I S N E Y D R E A M | N O R W E G I A N S U N R O YA L C A R I B B E A N F R E E D O M O F T H E S E A S | R O YA L C A R I B B E A N M O N A R C H O F T H E S E A S
( C A R N I VA L E C S TA S Y, N O V E M B E R 2 0 1 1 | D I S N E Y FA N TA S Y, A P R I L 2 0 1 2 )
© Disney
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© Universal Orlando Resort
Once upon a time perhaps, vacationers had simple wants. Good food, sun by the pool, an evening show…
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Once upon a time perhaps, vacationers had simple wants. Good food, sun by the pool, an evening show…
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For additional information, contact Cruise Development at 321.783.7831, extension 253.
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