The day after Steve Orens returned to Los Angeles after the naming of the Seven Seas Splendor, the newest ship from Regent Seven Seas Cruises, he gathered his team of advisors at Plaza Travel to talk about a topic that came up often during the event: coronavirus.
Cruise lines have canceled sailings to Asia, where the outbreak began and has now spread to several countries, including Italy, Iran and the United States. A couple of ships have been denied entry into some ports, including the MSC Meraviglia, which was not allowed to dock in Jamaica and Grand Cayman last week after a crew member tested positive for type-A influenza.
Orens, who is president of Plaza Travel, said some of his 120 advisors have had cancellations, but that clients are booking a lot of cruises in the third quarter and fourth quarter of this year and in the beginning of next year.
Orens said he believed there is some media hype contributing to the worldwide panic. Each day, he sends advisors updates from the World Health Organization and the U.S. Centers for Disease Control and Prevention.
Advisors are seeking advice on how to deal with clients and vendors, he said.
"I've been urging them to be professional advisers for their clients and to not make it a personal situation," he said. "They're there to provide guidance and support and use the backbone of our network and relations to help people get the best they can."
Most people don't have travel insurance that enables them to cancel a trip for any reason, Orens said. He's told his advisors to suggest to those who have trips scheduled farther out into the year to hold off on canceling until they understand all the policies and have a better sense of how the ever-changing situation is unfolding.
"We're going to vendors and saying 'this is a worldwide issue. How flexible can you be?' Orens said. "I think the vendors and hoteliers are being a little more accommodating."
Some suppliers are relaxing deposit dates, change and cancellation fees. Norwegian Cruise Line, for instance, has temporarily changed some of its policies. Final payment for all June and July voyages will not be due until 90 days prior to sailing. Up until 60 days prior to sailing, guests will be able to transfer a reservation to any other cruise that departs on or before June 30 without penalty. If they choose not to sail, the name-change restriction on the cruise will be waived up to 45 days before departure.
"At times like this is when you really develop your best rapport with clients and with partners," Orens said. "You can show true partnership."
During a town hall meeting for advisors aboard the Seven Seas Splendor on Feb. 22, Frank Del Rio, CEO of parent company Norwegian Cruise Line Holdings, told advisors that they will be able to keep their commissions even if a guest cancels. That drew loud applause from the audience.
"Show of hands, who has seen their business improve over the last few weeks?" Del Rio asked the audience in the Constellation Theater.
The advisors laughed, and only one person raised his hand. "That's what I thought," Del Rio said.
Betsy Geiser, vice president of host agency Uniglobe Travel USA, said that the travel advisors her company works with are also trying to sort through suppler information about cancellations and policies.
"Clients are frightened to get stuck on a ship with the virus," she said.
"My feeling, as was Frank's, is that this will get worse before it gets better," she said. "We need to sit tight and ride the storm."