Case study # 4 Cruise Ships – Not Just For Grandma and Grandpa Anymore
Dec 31, 2015
Ha Phuoc VuM997Z244
Nguyen Tran Thao BienM997Z213
Bui Duy DucM997Z202
Patlada Sae-Ching (Nan)M997Z240
Nuntanut Sae-Ching (Vee)M997Z236
Thai Luong ThuM997Z221
Group 6 Members
Outline Introduction
The History Of The Cruise Line Industry Types of Cruise Ship
Consumer behavior analysis Culture factor Social Factors Personal Factors
4P’s in marketing
Conclusion
The History Of The Cruise Line Industry
• Ever since the creation of
human, we have been
fascinated with our seas and
oceans. Used primarily to
explore new lands, then for the
transportation of cargo as our
world began to become
industrialized and started to
trade with foreign lands.
• With industry came wealth with
people wishing to spend their
disposable income to pursue
more adventurous forms of
vacation and excitement. Our
instinct to visit parts of the world
only read about from these
explorers of the past was now a
reality once again.
The History Of The Cruise Line Industry
• In 1818 the Black Ball Line operating
out of New York was the first shipping
company to offer a scheduled
passenger service from the United
States to England. Trade and leisure
expanded together, which fuelled
through demand the manufacture of
larger, more luxurious ships such as
the Titanic which has its own unique
history all to itself.
The History Of The Cruise Line Industry
• The 1st and 2nd world wars seen the
current cruise ships of the time
commandeered as troop carriers and
after the wars as transportation for the
displaced refugees seeking a new life
in foreign lands. The industry
recovered quickly as the US
government heavily subsidized the
building of cruise ships with the view to
possible redeployment in the events of
future world conflict.
The History Of The Cruise Line Industry
• Although huge breakthroughs within the aviation industry
dented the surge in transatlantic journeys the 1960’s
witnessed the beginning of the modern cruise ships. People
wanted to relive the glory years of the past and could now
have short vacation cruises by connecting from the now readily
available flights on offer. You could actually argue the
breakthroughs in aviation have recreated and rekindled the
cruise line industry of today.
The History Of The Cruise Line Industry
• With fantastic luxury and top class entertainment onboard,
today’s cruises have seen the voyage itself being the
attraction rather than the geographic cruise destinations.
Gone are the days of catering for the elite, this industry is
geared up for the masses and is now one of the fastest
growing sectors of the travel industry.
Types of Cruise Ship
Types of cruise ships and recreational vessels designed to satisfy the most
varied preferences and expectations.
Mainstreams Cruise Ship
Mega Cruise Ship
Small Cruise Ship
Ocean Cruise Ship
Luxury Cruise Ship
Adventure Cruise Ship
Expedition Cruise Ship
River Cruise Ship
Culture Culture is the most important factor determinine desires and
behavior of a person.
A modern culture, tourism is known as a form of
entertainment and discovery necessary to satisfy the
demands of people in the society.
People travel because of the passion, hobbies, the overall
impact of culture, not just because they are rich.
Branches of culture
Each culture has its smaller branches culture
make more peculiar characteristics of the
extent of social integration for its members.
People who is interested in the trip
cruises
The Social class
High society
Middle class
Lower social class
The potential customers are often people from the middle class and high society class
The Social class (cont’d) High class customers with premium price
Advanced services
Long distances
Large vessels with modern and luxurious equipments
Middle class customers with cheaper price
The vessels with smaller size
Short distances
Casual services
Social Factors
+ Family
Youth atmosphere (fun youth
counselor).
Public facilities for family
(extensive pool, nursery room)
Kids programs (infants/toddler
group care)
Social Factors (cont’d)
Active sport facilities (ice
skating, basketball court,
mini golf, rock wall climbing)
Economic price
i.e. Royal Caribbean
International, Carnival Cruise
Line, Disney Cruise Line
Personal Factors
Singles : want to have non –
stop entertainment
Younger couples : enjoy
sports and educational
activities
Honeymooners : romantic
atmosphere
Personal Factors
Families with young
children : large and
multifunction room
suites, supervised
activities
Elderly peoples :
sedate vacation
Product
• Improve physical facilities
Design much bigger and steadier ship
Provide many facilities such as casinos, shopping
arcades, theaters, health spa, internet access, etc.
Product
• Provide various type of cruise in order to meet demand of each
lifestyle group.
Contemporary/Resort class
3-7 days with casual environment.
Organized activities and sports.
Provide both sit-down and buffet style meals.
Product
Premium
7 days or longer with premium quality.
Offer more space per passenger
Offer many facilities such as theaters, cigar
bars, etc.
Premium food and beverage.
Product Luxury
Greater food and beverage
Greater entertainment options
Luxurious accommodations
Exclusive
Yacht-like environment
Only 100-200 passengers
Great service
Price
• Offer wide range of prices to suit with each social groups.
Shorter and cheaper cruises for price-sensitive
customers.
Premium quality with high price for well-to-do people.
Place
• Locate ships in more ports around the world to draw
passengers from a wider geographic such as Alaska, Asia,
Caribbean, Europe, etc.
Promotion
• Offer discount to past customers in order to generate
repeat business.
• Free cruises coupon booklets for onboard purchases such
as drink purchases, spa usage, etc.
• Provide travel insurance with no extra charges.
• Carnival will be the exclusive cruise line advertiser during
the 2010 Winter Olympic Games.