Holland America Line this month began offering a fare that includes shore excursions, beverages, specialty dining and WiFi. Called the Have It All package, Holland America says its value of $99 per guest, per day for a seven-day cruise represents a 50% savings on what those amenities would cost at retail. News editor Johanna Jainchill spoke with Holland America president Gus Antorcha about the premium cruise segment shift toward more inclusivity and why travel advisors embrace the change.
Gus Antorcha
Q: What made you decide to launch this package now?
A: We've done promotions on and off with the components of Have It All, and we felt it was right for us to put together a package that was available all the time versus just promotionally. We did pretty extensive research with past guests and with the trade. Both were really positive around the idea of a consistent package. It comes down to simplifying the purchase around the vacation. People just want clarity and feeling that everything that they want to do onboard is covered. This gives guests certainty around what the cruise will include and what the cruise will cost. I think that's what's appealing. They don't have to think about it again. You pay upfront so you can forget about it and enjoy the cruise.
Q: This seems to be happening more in the premium segment. Celebrity recently launched an more inclusive base fare.
A: Everyone's had versions of this, either promotionally or always available. Celebrity did a push last year and we heard from the trade that that was well-received from their agents and from guests. Princess has Princess Plus, which they launched a little over a year ago, and Viking has a version of this. The premium lines have moved in this direction. It's important we listen to our guests and to our trade partners and respond. It becomes significantly easier to communicate and to convey the message that if this package is right for you, you can always buy it. We're doing it as a reaction to how the market has shifted. If you're listening to the trade and to your guests, it's very, very clear from the research we've done that a large portion of our guests want a package like this.
Q: If your research overwhelmingly shows people want this, why continue to offer the base fare without inclusions?
A: Choice matters. Even though we expect a significant portion of the guests to purchase this package we still think choice is important. There are some guests that won't find all the elements as appealing. They may love retail and spa and so this doesn't quite resonate with that group. We tried to put together, based on consumer research, the package that resonated with the majority of guests. So you see some differences in our package versus Celebrity's, Princess' and some of the others.
Q: What makes your package different?
A: The biggest difference was that the most highly sought-after element was shore excursions. So having that as part of the package is important, and I can see why. We focus a lot on our itinerary and our shore excursions product and so it makes sense to me that that is something sought after as far as a component in the package for our guests. [Celebrity's base fare includes drinks, WiFi and gratuities with the option to upgrade to a base fare that includes shore excursions].
Q: What has the reaction been from travel advisors?
A: For the trade it's a great product because the entire package plus the base fare is commissionable. This is a great way to support the trade, as well. And they're confident that they're selling something of value to their clients, something 50% off retail. So they can be comfortable as well that this is a great deal. We spoke to the trade. And it's great that they make a higher commission, but at the end, they're trying to figure out what their clients want. And the feedback from their clients was absolutely that having these elements as part of a fare is something they want. Which is the same we heard from our past guests.