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Carnival Cruise Line

argumentative Essay
1465 words
1465 words
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External Environment: Carnival- Leisure/travel market of the tourism industry.
According to the Florida- Caribbean Cruise Association, cruise lines see an annual growth year after year. In 2012 the "occupancy percentage exceeded 102% [...] shows continued consumer interest in cruising and an industry where demand continues to outstrip supply" (Mena, 2013).
Political:
• There are efforts for increased regulation by members of the US Government.
Competition from other markets:
• This includes hotels, theme parks, casinos, attractions, essentially any Leisure travel on land that may be closer or more affordable than a cruise.
There are several economic Factors:
• Rising cost of new ship construction
• Rising cost of Flights- In order to go on a nice cruise vacation, consumers must live near a port destination or purchase airfare to travel to the port.
• Carnival targets price conscious consumers so rising fuel cost may also be a concern as this would directly affect airfare and cruise tickets.
• Oversea relationships with foreign countries and trade.
Industry- Cruise/ travel
In 2014 there are going to be 16 ships launching which is a $3.9 billion investment industry wide. Compared to 2013 which had 21.3 million cruisers 2014 is predicted to have 21.7 million despite negative publicity faced by the industry (Gerlak, 2014).
Client- Carnival Cruise Lines

Carnival was founded in 1978 with one small converted ocean liner named the "Mardi Gras". Since then Carnival has grown the image past that of party ships to disasters and is known as the fun ship by providing entertainment, luxury to popular vacation ports most popular being Caribbean at a value for the customers. The Carnival website is very interactive with photos sho...

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Soshkin, M. (2014, May 1). IBIS World Industry Report 48311- Ocean & Coastal Transportation in the US. Off-campus Access Login. Retrieved June 11, 2014, from http://clients1.ibisworld.com.proxy.library.georgetown.edu/reports/us/industry/majorcompanies.aspx?entid=1138#MP10472
Tuttle, B. (2013, May 28). Travelers Still Avoiding Carnival After ‘Poop Cruise’ | TIME.com. Business Money Travelers Still Avoiding Carnival after Poop Cruise Comments. Retrieved June 5, 2014, from http://business.time.com/2013/05/28/travelers-still-avoiding-carnival-after-poop-cruise/
Zmuda, N., & Parekh, R. (2013, September 28). Carnival Launches New Campaign to Lure Back Customers | CMO Strategy - Advertising Age. Advertising Age CMO Strategy RSS. Retrieved June 9, 2014, from http://adage.com/article/cmo-strategy/carnival-launches-campaign-lure-back-customers/244242/

In this essay, the author

  • Explains that the florida- caribbean cruise association's annual growth rate shows continued consumer interest in cruising and an industry where demand continues to outstrip supply.
  • Describes hotels, theme parks, casinos, attractions, essentially any leisure travel on land that may be closer or more affordable than a cruise.
  • Explains that consumers must live near a port destination or purchase airfare to travel to the port.
  • Explains that carnival targets price conscious consumers, so rising fuel costs could affect airfare and cruise tickets.
  • Predicts 16 ships will launch in 2014, which is a $3.9 billion investment industry wide, compared to 2013 which had 21.3 million cruisers.
  • Explains arnold donald believes the biggest problem is they haven't conveyed the true cruising experience; non-riders have a negative outlook on the cruise industry.
  • Describes the facebook campaign "share your memories" inviting passengers to share their most memorable photos and videos during their cruise vacations for a chance to be featured in an advertisement.
  • Analyzes the instagram- "moment tracker" campaign, which chose 10 instagram users to share their experiences aboard the carnival breeze.
  • Explains carnival has lost market share compared to 2011 when it was 52%. carnival and its subsidiaries remain at about 48%.
  • Analyzes how carnival is well positioned in market share compared to competitors, but in recent harris polls carnival has polled at the bottom of the list when it comes to consumer trust, purchase intent, and overall quality ratings.
  • Explains that allure of the sea, the most expensive cruise ship, can accommodate up to 6,300 passengers and 2,400 crew members.
  • Describes the allure's amenities, including a central park, zip line, sky diving, viewings of the tony award winning musical chicago, and starbucks at sea.
  • Opines that adding ships will increase royal caribbean's capacity by 3.5% per year on average from 2013 to 2017.
  • Explains dominate europe market, "pride of america" only ship that goes roundtrip to hawaii in industry.
  • Compares carnival and royal's fastest growing line (9.9 % a year next 5 years expected).
  • Describes passengers, health and safety boards, media, crew members, ship builders, legislators, industry leaders, potential customers.
  • Explains that carnival has been under scrutiny for recent incidents which has left the public to fear for their safety and comfort while on a cruise.
  • Opines that recent crises and negative media coverage has made many americans think twice about the crew, the leadership, ship safety and overall corporate practices.
  • Repositions carnival as being committed to an outstanding customer experience and adequate being a leader in cruise safety.
  • Argues that carnival can handle consumer safety, thus avoiding negative legislation before the summer recess in august 2014.
  • Recommends that corporate and cruise member employees increase their knowledge of safety procedures and customer relations by 45% before the end of 2014.
  • Cites chasmar, j. (2013, february 19). carnival triumph ‘hell cruise’ not so hellish after all: passenger.
  • Explains that carnival was founded in 1978 with one small converted ocean liner named the "mardi gras" and has grown the image past that of party ships to disasters and is known as the fun ship.
  • Describes the 'great vacation guarantee' as a simple and hassle-free promotion to bring those on-board who are unsure about cruising.
  • Explains that carnival cruises have seen constant annual growth until the 2012 sinking of the costa concordia off the coast of italy which killed 32 people.
  • Explains that carnival needs to cater to those who want to have the best possible experiences and adventures while traveling in a clean and courteous environment.
  • Explains that carnival and other cruise liners adopted a "bill of rights" in an attempt to guarantee safety and comfort of passengers.
  • Cites bachman, j., and brown, g. (2013, may 25). cruise passenger bill of rights introduced.
  • Cites davies, a. (2013, march 18). a photo history of carnival cruise ship disasters.
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