Tom Stieghorst
Tom Stieghorst

*InsightThere’s a new name in ocean cruising, and that’s exciting. 

But is there really any need for another blue-water cruise line? And what does a river cruise company know about oceans, anyway?

Torstein Hagen, head of Viking River Cruises, is bringing his ideas to the high seas starting in May 2015. At the very least, Hagen brings a fresh perspective to the task. He’s a visionary who relies on his gut, but also a numbers guy who uses research to back his bets.

In 2015 Viking Cruises, as his company will now be named, will launch a 928-passenger, destination-oriented ship called the Viking Star. *TomStieghorst 

Which brings up the first question. Aren’t there several cruise lines out there offering the midsize, upscale cruise experience? Azamara Club Cruises and Oceania spring to mind. Crystal Cruises has two ships of about the same size.

Hagen’s rejoinder is that many of the small ships (i.e. between 500 and 1,000 passengers) currently sailing are more than a decade old. Only two new ships of that size have been built in ten years, he said.

The last new cruise line in the segment to start with new ships was Renaissance Cruises, in 1998, Hagen said.  So new and shiny will be one reason to look into Viking Cruises.

But what does Viking know about the business?  Here, Hagen points to the 35 river cruise ships now operated by Viking. The company expects to carry 250,000 passengers next year, with all of the marketing, management, sales, operating and financial infrastructure that implies.

Viking served six million meals last year, Hagen said.  That experience should carry over into ocean cruising, at least on the hotel side. Viking expects to outsource marine and technical operations, Hagen said.

And perhaps Viking’s biggest advantage in ocean cruising is a built-in passenger base. When it surveyed past guests, 84% said they would try a Viking ocean cruise if offered the chance.

Viking is growing very fast. In addition to its ocean ship, took delivery of 10 ships this year and has 12 more scheduled for 2014. But if it can manage the growth, Viking Cruises has a fighting chance of becoming a rare dual threat in the cruise business.
 

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