Royal Caribbean Cruise Lines 2012 Annual Report Download - page 21

17
PART I
Enhance Our Technological Capabilities
The need to develop and use innovative technology
is increasingly important. To this end, technology is
a pervasive part of virtually every business process
we use in order to support our strategic focus and
provide a quality experience to our customers before,
during and after their cruise. Moreover, as the use
of our various websites and social media platforms
continue to increase along with the increasing use
of technology onboard our ships by both our guests
and crew, we continually need to upgrade our sys-
tems, infrastructure and technologies to facilitate this
growth. To further our customer-centricity, during
2013, we intend to continue to improve our customer
experiences online through the launch of a new digital
platform which will include among other improve-
ments, revamped websites, new vacation packaging
capabilities, support of mobile applications and
increased bandwidth onboard our ships helping our
guests remain well-connected while at sea. Active
engagement in social media channels is also an inte-
gral part of our marketing strategy and a part of
our broader consumer engagement strategy and
relationship management platform.
To support our strategic focus on improving revenue
yields, during 2012, we began to implement new
capabilities to improve our revenue management sys-
tems and decision support processes in advance of
our WAVE season (traditionally the first two months
of the year where cruise lines experience dispropor-
tionately higher volume cruise sales). In 2013, we will
continue to build on this new platform and introduce
new price optimization tools and promotion manage-
ment capabilities in our reservations system.
As part of the Royal Caribbean International and
Celebrity Cruises revitalization programs, we have
incorporated many of the technological innovations
from the Oasis-class ships and Solstice-class ships,
respectively, across our fleet. In addition, to position
ourselves for the future, we have embarked on several
multi-year information technology strategic initiatives
to ensure that we can continue to innovate and respond
to the ever increasing expectations of our guests in a
scalable and cost effective manner.
Travel Agency Support and Direct Business
Travel agencies continue to be the primary source of
ticket sales for our ships. We believe in the value of
this distribution channel and invest heavily in main-
taining strong relationships with our travel partners.
To accomplish this goal, we seek to ensure that our
commission rates and incentive structures remain
competitive with the marketplace. We also provide
brand dedicated sales representatives who assist
our travel partners through a number of platforms,
including trained customer service representatives,
call centers and online training tools.
To support our direct sales initiatives, we have estab-
lished a Consumer Outreach department which allows
consumers 24 hour access to our certified vacation
planners, group vacation planners and customer ser-
vice agents in our call centers throughout the world.
In addition, we maintain and invest in our websites,
including mobile applications and mobile websites,
which allow guests to directly plan, book and custom-
ize their cruise, as well as encourage guests to book
their next cruise vacations onboard our ships.
GUEST SERVICES
We offer to handle virtually all travel aspects related
to guest reservations and transportation, including
arranging guest pre- and post-hotel stay arrange-
ments and air transportation.
Royal Caribbean International, Celebrity Cruises and
Azamara Club Cruises offer rewards to their guests
through their loyalty programs, Crown & Anchor
Society, Captain’s Club and Le Club Voyage, respec-
tively, to encourage repeat business. Crown & Anchor
Society has over 7.2 million members worldwide.
Captain’s Club and Le Club Voyage have 2.0 million
members combined worldwide. Members are typically
eligible to enroll in these complimentary programs
after one sailing and earn increasing membership sta-
tus by accumulating cruise points or credits, depend-
ing on the brand, which may be redeemed on future
sailings. Members are awarded points or credits in
proportion to the number of cruise days and state-
room category. The loyalty programs provide certain
tiers of membership benefits which can be redeemed
by guests after accumulating the number of cruise
points or credits specified for each tier. In addition,
upon achieving a certain level of cruise points or
credits, members benefit from reciprocal membership
benefits across all of our loyalty programs. Examples
of the rewards available under our loyalty programs
include, but are not limited to, priority ship embarka-
tion, priority waitlist for shore excursions, complimen-
tary laundry service, complimentary internet, booklets
with onboard discount offers, upgraded bathroom
amenities, private seating on the pool deck, ship tours
and, in the case of our most loyal guests who have
achieved the highest levels of cruise points or credits,
complimentary cruises. We regularly work to enhance
each of our loyalty programs by adding new features
and amenities in order to reward our repeat guests.
OPERATIONS
Cruise Ships and Itineraries
As of December 31, 2012, our brands, including our
50% joint venture TUI Cruises, operate 41 ships with a
selection of worldwide itineraries ranging from two to
18 nights that call on approximately 455 destinations.