We’re on board Carnival Liberty all this week reporting on the implementation of Carnival Cruise Line’s new Funship 2.0 initiative, a $500 million project that promised to transform the line’s onboard experience when it was announced in October.
The cruise industry is maturing. It’s a process not unlike any other industry that has a track record of being wildly popular to the point where it can really do no wrong. On the way up, demand far outpaces supply and there is more than enough business for all the players. Far-sighted innovators and industry leaders focus on simple principles that promote a unified message and capture the imagination of the world. Think Ford, Bell, Gates and Jobs.
Normally, at some point, the industry peaks, activity levels off and companies in it for the long haul focus on refining their product in a way that will respect the past, encourage growth and plan for the future.
Major cruise lines are doing just that and more right now, trying to fuel further expansion but break with tradition, propelling the industry to new heights with momentum normally only seen on the way up.
Royal Caribbean’s Royal Advantage program promises to position the second-largest cruise line in the world toward a bright future, bringing many features made popular by their largest-in-the-world Oasis-class vessels to older ships in the fleet.
During scheduled dry-dock periods, times when ships go in for routine maintenance not possible during normal operation, the line is adding features such as trendy dining venues, bonus entertainment options, up-to-date onboard programming and the latest technology from flat-screen TV’s that replace old tube sets to Apple iPads not even dreamed of when the ships were originally built.
That’s a smart move.
Looking beyond hardware upgrades, based on the industry foundation that they themselves laid decades ago, Carnival Cruise Lines has successfully begun rolling out their FunShip 2.0 initiative which is right now in the process of setting yet another industry standard that will charge growth well into the future.
To get to the heart of the matter, what we’re finding on board Carnival Liberty this week is that the end result of FunShip 2.0 is much more than the sum of its parts.
Getting all the attention is Food Network star Guy Fieri’s influence with Guy’s Burger Joint, bringing a quirky, current and popular influence to the cruise line’s culinary lineup. Funnyman George Lopez resonates with a wide spectrum of current and potential Carnival guests, as does Miami Heat song master DJ Erie who brings the crank that winds the clock and promises to turn Carnival music into the sounds of today, ticking along well into the future. Big name Broadway producers with a proven track record promise to bump up in-house entertainment as opposed to buying it off the street as other lines have.
But more importantly, the spirit, drive and ambition that went into bringing those brands on board has weaved its way through the Carnival organization like a virus. A good virus.
One that is reminiscent of the direct and easy-to-understand mantra brought to the table by Bob Dickinson, the company’s original driving force of 30+ years. His message was clear. “We are the FunShips”, and anyone who ever sailed on a Carnival ship knew exactly what he meant. Way more than a slogan, it was a way of life that the line delivered consistently from day to day, ship to ship and sailing to sailing for decades. It represented the relentless pursuit of creating a fun vacation, orchestrated to enable vacationers to leave it all behind, have a good time and return to “real life” refreshed, relaxed, renewed and if they really bought into the whole thing, a bit changed.
Current Carnival leader Gerry Cahill carries a similar torch through a very different battlefield. His clear message, that Carnival is “committed to providing an unforgettable vacation” is also simple when written. But in a much more complex marketplace battered by challenging economic conditions, an ever-growing number of choices for vacation dollars and a more discerning traveler, understanding and communicating the task at hand has never been more critical.
Wisely, Cahill keeps it simple too promoting the notion that “We’re not into nickel and diming our guests” with more than just words.
Of all the benefits to guests that the Funship 2.0 initiative brings, not one represents an extra charge to guests
That’s huge at a time when competitor lines are adding Band-Aid style features targeted to meet an immediate demand for an additional fee to guests. Demand may very well support those up-charge features today, but what about tomorrow? What happens when what they are doing and collecting a fee for today becomes commonplace later? What do they do for an encore? It’s a short-term plan that will have a painful resolution when long term problems are eventually faced.
Carnival has wisely chosen to go a different route, bringing on board trusted, popular and respected brands that fit well like Fieri, Lopez and Erie as a start. We’re seeing much of that in action on Carnival Liberty this week with real guest reaction tagging the plan a success.
But the nagging question that keeps rolling around and is not part of any press release, commercial or video remains: How do they pay for it?
Surely the big brands did not lend their name for free. Certainly they must be able to plan a return on the $500 million investment that Funship 2.0 represents.
Looking to the future and supported by back-office superstars from within and outside the organization, Carnival is making some very wise core decisions. This is no gamble but a carefully crafted plan that addresses real-life guest expectations; the heart of what Carnival has done for years.
In a media briefing on board Carnival Liberty, Lania Rittenhouse, Carnival’s Vice President of Product Development, talking about how decisions were made about each element of the FunShip 2.0 initiative, summed it all up:
“Our mission statement is to consistently deliver fun, memorable vacations at a great value. Every time we thought of a concept and looked at what was going to be in this space we had to look at:
Was it fun?
Was it going to be memorable?
Was it a great value?”
That trio of criteria that must be answered to move forward with any program will pay for every bit of Funship 2.0 and then some. Its what brought them here and what will propel them into the future. How exactly it will all play out is a closely guarded secret that few are privy to.
One thing we can count on, it should be “fun” to watch.
