1 00:00:00,000 --> 00:00:02,040 Welcome to Cruise News, your daily 2 00:00:02,040 --> 00:00:03,680 update on everything happening at 3 00:00:03,680 --> 00:00:06,339 sea. Visit cruisenews .io to see 4 00:00:06,339 --> 00:00:08,000 today's stories and sign up for 5 00:00:08,000 --> 00:00:10,720 email alerts. So imagine your next 6 00:00:10,720 --> 00:00:12,919 vacation. Are you, you know, sitting 7 00:00:12,919 --> 00:00:15,140 in this silent kid -free sanctuary 8 00:00:15,140 --> 00:00:17,339 just sipping complimentary champagne? 9 00:00:17,539 --> 00:00:19,140 Sounds pretty nice. Right. Or are 10 00:00:19,140 --> 00:00:22,019 you maybe watching acrobats dive 11 00:00:22,019 --> 00:00:24,100 into a pool next to a robotic bartender 12 00:00:24,100 --> 00:00:26,559 alongside, like, 7 ,000 other people 13 00:00:26,559 --> 00:00:27,719 also sounds like a good time just 14 00:00:27,719 --> 00:00:29,719 just a very different vibe exactly 15 00:00:29,719 --> 00:00:32,380 Because today our reporting is looking 16 00:00:32,380 --> 00:00:34,140 really closely at how cruise lines 17 00:00:34,140 --> 00:00:36,780 are basically fundamentally reshaping 18 00:00:36,780 --> 00:00:39,000 the passenger experience for 2026 19 00:00:39,000 --> 00:00:41,340 and 2027 We're seeing this massive 20 00:00:41,340 --> 00:00:43,039 shift in how these vacations are 21 00:00:43,039 --> 00:00:44,579 packaged and priced. Yeah, the whole 22 00:00:44,579 --> 00:00:48,109 industry is going through this this 23 00:00:48,109 --> 00:00:49,609 structural restructuring, I guess 24 00:00:49,609 --> 00:00:51,149 you could call it. And we're tracking 25 00:00:51,149 --> 00:00:52,649 a really clear through line today. 26 00:00:53,170 --> 00:00:54,850 So we'll start with the macro forces, 27 00:00:55,030 --> 00:00:56,670 right? Like how global geopolitics 28 00:00:56,670 --> 00:00:58,789 are forcing companies to, you know, 29 00:00:59,229 --> 00:01:00,530 completely rethink their pricing 30 00:01:00,530 --> 00:01:02,509 to deal with the friction of just 31 00:01:02,509 --> 00:01:03,530 getting you to the port. Which is 32 00:01:03,530 --> 00:01:05,030 a huge headache right now. Right. 33 00:01:05,120 --> 00:01:07,099 And then from there, we'll look 34 00:01:07,099 --> 00:01:08,459 at how ships are getting incredibly 35 00:01:08,459 --> 00:01:10,579 strict about curating who is actually 36 00:01:10,579 --> 00:01:13,500 allowed to sail specifically this 37 00:01:13,500 --> 00:01:15,760 huge adults -only movement. Yeah, 38 00:01:16,019 --> 00:01:17,700 that one is fascinating. It is. 39 00:01:17,840 --> 00:01:18,959 And finally, we'll sort of flip 40 00:01:18,959 --> 00:01:20,579 to the exact opposite end of the 41 00:01:20,579 --> 00:01:22,840 spectrum and look at these massive 42 00:01:22,840 --> 00:01:25,719 branded entertainment hubs that 43 00:01:25,719 --> 00:01:27,340 the mainstream lines are building. 44 00:01:27,659 --> 00:01:29,420 to just dazzle whoever steps aboard. 45 00:01:29,760 --> 00:01:31,480 Yeah, so before anyone can even 46 00:01:31,480 --> 00:01:34,040 start deciding between a quiet luxury 47 00:01:34,040 --> 00:01:35,680 sailing or a floating theme park, 48 00:01:35,980 --> 00:01:37,359 you have to navigate the reality 49 00:01:37,359 --> 00:01:38,939 of actually paying for the trip. 50 00:01:39,420 --> 00:01:41,540 Exactly. The budget. Right. And 51 00:01:41,540 --> 00:01:43,439 budgeting for a vacation a year 52 00:01:43,439 --> 00:01:45,980 or two out right now is, well, it's 53 00:01:45,980 --> 00:01:47,620 really complicated by a global energy 54 00:01:47,620 --> 00:01:49,079 market. So before you even get on 55 00:01:49,079 --> 00:01:50,260 the ship, you have to get there. 56 00:01:50,340 --> 00:01:51,920 Yeah. That's the real friction point 57 00:01:51,920 --> 00:01:53,859 right now. Consumer hesitation is 58 00:01:53,859 --> 00:01:55,079 probably the biggest hurdle for 59 00:01:55,079 --> 00:01:56,920 the industry because the cost of 60 00:01:56,920 --> 00:01:58,659 just getting to the gangway is it's 61 00:01:58,659 --> 00:02:00,000 fluctuating wildly. Completely. 62 00:02:00,439 --> 00:02:02,180 Which is largely driven by fuel 63 00:02:02,180 --> 00:02:04,920 cost uncertainty. Which brings us 64 00:02:04,920 --> 00:02:06,099 to some pretty interesting reporting 65 00:02:06,099 --> 00:02:08,120 out of Europe. Right. The CFC announcement. 66 00:02:08,280 --> 00:02:10,300 Yeah. So the French cruise line 67 00:02:10,300 --> 00:02:12,000 company, Francais d 'Equazier or 68 00:02:12,000 --> 00:02:14,340 CFC, they just made this big public 69 00:02:14,340 --> 00:02:15,979 announcement that they are completely 70 00:02:15,979 --> 00:02:19,300 freezing their 2026 and 2027 pricing. 71 00:02:19,300 --> 00:02:21,219 Wow. Yeah, they're holding their 72 00:02:21,219 --> 00:02:23,020 fares and their itineraries entirely 73 00:02:23,020 --> 00:02:25,860 steady all the way through March 74 00:02:25,860 --> 00:02:27,979 2027. Which is a huge commitment. 75 00:02:28,400 --> 00:02:30,939 And the president of CFC, Mélise 76 00:02:30,939 --> 00:02:33,330 Pirro -Guibert, she put out a statement 77 00:02:33,330 --> 00:02:35,050 basically framing this as a direct 78 00:02:35,050 --> 00:02:36,669 response to reassure passengers. 79 00:02:36,750 --> 00:02:38,490 Right, giving them some stability. 80 00:02:38,669 --> 00:02:40,330 Exactly. She explicitly pointed 81 00:02:40,330 --> 00:02:42,909 to how airfares are gradually increasing 82 00:02:42,909 --> 00:02:44,270 because of, you know, the ongoing 83 00:02:44,270 --> 00:02:45,509 conflict in the Middle East and 84 00:02:45,509 --> 00:02:47,770 that fuel uncertainty. Yeah. So 85 00:02:47,770 --> 00:02:49,430 CFC wants to guarantee that their 86 00:02:49,430 --> 00:02:51,110 pricing policy won't be touched. 87 00:02:51,449 --> 00:02:53,469 No price hikes, no itinerary modifications 88 00:02:53,469 --> 00:02:55,189 due to that geopolitical friction. 89 00:02:55,330 --> 00:02:56,990 And honestly, the context here is 90 00:02:56,990 --> 00:02:58,449 something that I think every traveler 91 00:02:58,449 --> 00:03:00,449 is feeling because fuel price volatility 92 00:03:00,449 --> 00:03:02,389 is just unavoidable. Oh, totally. 93 00:03:02,610 --> 00:03:04,189 I mean, just look at how, you know, 94 00:03:04,349 --> 00:03:06,250 gas prices jumped literally overnight 95 00:03:06,250 --> 00:03:08,030 following the U .S. bombing of Iran. 96 00:03:08,449 --> 00:03:10,270 That kind of thing instantly injects 97 00:03:10,270 --> 00:03:11,509 all this fresh uncertainty into 98 00:03:11,509 --> 00:03:13,270 the energy markets. Right. And that 99 00:03:13,270 --> 00:03:14,729 bleeds straight into your household 100 00:03:14,729 --> 00:03:16,669 travel budget. Exactly. So looking 101 00:03:16,669 --> 00:03:18,330 at what CFC is doing here, holding 102 00:03:18,330 --> 00:03:21,030 their fares flat through 2027, it 103 00:03:21,030 --> 00:03:23,819 honestly feels a bit like... Like 104 00:03:23,819 --> 00:03:25,360 locking in a fixed rate mortgage 105 00:03:25,360 --> 00:03:26,580 while the housing market around 106 00:03:26,580 --> 00:03:28,120 you is just going totally crazy. 107 00:03:28,319 --> 00:03:29,280 That's a really good way to put 108 00:03:29,280 --> 00:03:31,379 it. But I do have to ask, is a frozen 109 00:03:31,379 --> 00:03:33,620 cruise fare actually enough to protect 110 00:03:33,620 --> 00:03:36,500 a traveler's budget? Or is it maybe 111 00:03:36,500 --> 00:03:38,180 like a bit of a distraction from 112 00:03:38,180 --> 00:03:39,979 the real budget buster, which is 113 00:03:39,979 --> 00:03:41,620 volatile international airfare? 114 00:03:41,919 --> 00:03:43,659 Well, I wouldn't call it a distraction. 115 00:03:43,840 --> 00:03:45,300 It's actually a really substantial 116 00:03:45,300 --> 00:03:46,979 financial commitment from the cruise 117 00:03:46,979 --> 00:03:48,580 line. Because, I mean, you have 118 00:03:48,580 --> 00:03:49,860 to remember the underlying mechanics 119 00:03:49,860 --> 00:03:52,680 here. Ships. consume just staggering 120 00:03:52,680 --> 00:03:54,620 amounts of fuel. Oh, yeah, true. 121 00:03:54,800 --> 00:03:57,240 So when oil spikes, a crude line's 122 00:03:57,240 --> 00:03:58,800 operating expenses just skyrocket. 123 00:03:59,400 --> 00:04:01,259 Usually the industry either hedges 124 00:04:01,259 --> 00:04:03,460 fuel costs or they just pass that 125 00:04:03,460 --> 00:04:04,879 volatility straight on to you, the 126 00:04:04,879 --> 00:04:06,300 consumer. Right, through higher 127 00:04:06,300 --> 00:04:07,900 base rates or those annoying fuel 128 00:04:07,900 --> 00:04:09,719 surcharging. Exactly. So for CFC 129 00:04:09,719 --> 00:04:12,340 to absorb that potential shock themselves 130 00:04:12,340 --> 00:04:14,620 and promise not to pass it on through 131 00:04:14,620 --> 00:04:17,220 early 2027, that's a very real benefit. 132 00:04:17,360 --> 00:04:19,410 OK. That makes sense. But, you know, 133 00:04:19,589 --> 00:04:20,829 the caveat you brought up is definitely 134 00:04:20,829 --> 00:04:22,990 the crucial part. The total door 135 00:04:22,990 --> 00:04:25,009 to door cost of a vacation is what 136 00:04:25,009 --> 00:04:26,790 actually matters, right? That's 137 00:04:26,790 --> 00:04:28,689 what heavily depends on flight volatility. 138 00:04:29,230 --> 00:04:30,810 Because if your cruise fare is locked 139 00:04:30,810 --> 00:04:32,730 at, say, two thousand dollars, but 140 00:04:32,730 --> 00:04:34,149 then the flight to actually get 141 00:04:34,149 --> 00:04:35,550 to the embarkation port suddenly 142 00:04:35,550 --> 00:04:37,470 doubles in price, your overall budget 143 00:04:37,470 --> 00:04:39,470 is totally blown anyway. Precisely. 144 00:04:39,470 --> 00:04:41,670 And that's why our reporting is 145 00:04:41,670 --> 00:04:43,509 also highlighting this really practical 146 00:04:43,509 --> 00:04:45,550 advice from travel expert Scott 147 00:04:45,550 --> 00:04:47,699 Lara over at Cruise Genius. Yeah, 148 00:04:47,879 --> 00:04:49,959 his take on this was super interesting. 149 00:04:50,199 --> 00:04:51,899 He makes the definitive point that 150 00:04:51,899 --> 00:04:53,860 airfare is the true variable here 151 00:04:53,860 --> 00:04:56,019 because airline pricing algorithms, 152 00:04:56,019 --> 00:04:58,939 they react to short -term oil spikes 153 00:04:58,939 --> 00:05:00,980 way faster than a scheduled cruise 154 00:05:00,980 --> 00:05:02,800 fare does. So what's his actual 155 00:05:02,800 --> 00:05:04,240 strategy for dealing with that? 156 00:05:04,319 --> 00:05:06,180 Because he's actively advising travelers 157 00:05:06,180 --> 00:05:08,550 to... to hold off on buying flights 158 00:05:08,550 --> 00:05:10,209 for like a month or two, right? 159 00:05:10,329 --> 00:05:12,430 Yeah, exactly. The logic there is 160 00:05:12,430 --> 00:05:14,290 that if you let the immediate shock 161 00:05:14,290 --> 00:05:16,290 waves of a geopolitical event sort 162 00:05:16,290 --> 00:05:18,610 of settle, it might allow oil prices 163 00:05:18,610 --> 00:05:20,610 to ease up a bit. And that gives 164 00:05:20,610 --> 00:05:22,209 the airline algorithms a chance 165 00:05:22,209 --> 00:05:24,250 to recalibrate downward. Got it. 166 00:05:24,439 --> 00:05:26,480 But he also drew a really sharp 167 00:05:26,480 --> 00:05:28,220 line depending on where you're actually 168 00:05:28,220 --> 00:05:30,800 flying, didn't he? He did. The destination 169 00:05:30,800 --> 00:05:32,860 really dictates your exposure here. 170 00:05:33,399 --> 00:05:34,500 Lara warns that if you're looking 171 00:05:34,500 --> 00:05:36,540 at long -haul flights, so say you're 172 00:05:36,540 --> 00:05:38,060 heading over to Munich or Frankfurt 173 00:05:38,060 --> 00:05:40,519 to catch a European sailing, those 174 00:05:40,519 --> 00:05:42,939 are highly sensitive to fuel loads. 175 00:05:43,240 --> 00:05:45,019 So those prices are almost certainly 176 00:05:45,019 --> 00:05:47,439 going up. Right. But by contrast, 177 00:05:47,519 --> 00:05:49,180 if you're flying domestic or just 178 00:05:49,180 --> 00:05:50,759 shorter routes like heading to Chicago 179 00:05:50,759 --> 00:05:53,139 or flying down to Cancun, he predicts 180 00:05:53,139 --> 00:05:54,279 those fares will probably remain 181 00:05:54,279 --> 00:05:56,500 relatively stable. OK. So a lot 182 00:05:56,500 --> 00:05:58,139 less pressure in the near term for 183 00:05:58,139 --> 00:06:00,990 shorter hops. Exactly. But. Regardless 184 00:06:00,990 --> 00:06:02,290 of whether you're flying to Florida 185 00:06:02,290 --> 00:06:04,370 or Frankfurt, Laura's strongest 186 00:06:04,370 --> 00:06:05,970 recommendation right now is the 187 00:06:05,970 --> 00:06:08,209 absolute necessity of travel insurance. 188 00:06:08,370 --> 00:06:10,329 Oh, 100%. And he isn't just talking 189 00:06:10,329 --> 00:06:11,430 about, you know, getting your money 190 00:06:11,430 --> 00:06:12,689 back if you catch a cold before 191 00:06:12,689 --> 00:06:14,850 the trip. No, not at all. He's pointing 192 00:06:14,850 --> 00:06:17,649 out the very real logistical nightmare 193 00:06:17,649 --> 00:06:20,050 of getting stranded. You know, travelers 194 00:06:20,050 --> 00:06:22,350 literally getting stuck in international 195 00:06:22,350 --> 00:06:24,430 airports due to these fast moving 196 00:06:24,430 --> 00:06:25,810 geopolitical disruptions. Which 197 00:06:25,810 --> 00:06:28,819 is terrifying. It is. Travel insurance 198 00:06:28,819 --> 00:06:30,759 gives you that peace of mind. It's 199 00:06:30,759 --> 00:06:32,519 shifted from just being this optional 200 00:06:32,519 --> 00:06:35,439 add -on to basically a mandatory 201 00:06:35,439 --> 00:06:36,980 part of your baseline budget. Right, 202 00:06:36,980 --> 00:06:38,259 it gives you that logistical cover 203 00:06:38,259 --> 00:06:40,000 if airspace suddenly closes while 204 00:06:40,000 --> 00:06:41,699 you're in transit. Exactly. So, 205 00:06:41,959 --> 00:06:43,439 okay, once a traveler actually navigates 206 00:06:43,439 --> 00:06:44,759 all those financial hurdles right, 207 00:06:45,120 --> 00:06:46,800 they lock in the budget, they secure 208 00:06:46,800 --> 00:06:48,439 the flight, they get on the ship, 209 00:06:49,019 --> 00:06:52,819 the next huge shift for 2026 is 210 00:06:52,819 --> 00:06:54,839 strictly defining who they're going 211 00:06:54,839 --> 00:06:56,339 to be sharing that vacation with. 212 00:06:56,420 --> 00:06:58,350 Yes. The curation of the cried. 213 00:06:58,769 --> 00:06:59,790 This is becoming one of the most 214 00:06:59,790 --> 00:07:01,170 competitive battlegrounds in the 215 00:07:01,170 --> 00:07:02,589 whole industry right now. It really 216 00:07:02,589 --> 00:07:04,310 is. And Oceana Cruises is making 217 00:07:04,310 --> 00:07:06,389 a sweeping play here. They're launching 218 00:07:06,389 --> 00:07:08,009 this massive campaign called The 219 00:07:08,009 --> 00:07:09,509 Joy of Traveling Well. Right. It's 220 00:07:09,509 --> 00:07:11,610 rolling out across TV, digital on 221 00:07:11,610 --> 00:07:13,589 board touch points. But it's paired 222 00:07:13,589 --> 00:07:16,550 with this honestly monumental operational 223 00:07:16,550 --> 00:07:19,029 shift. Oceana is transitioning to 224 00:07:19,029 --> 00:07:21,550 an entirely adults only 18 plus 225 00:07:21,550 --> 00:07:23,930 fleet for any bookings made after 226 00:07:23,930 --> 00:07:26,370 January 7th, 2026. It's a huge move. 227 00:07:26,540 --> 00:07:28,639 And the rationale, according to 228 00:07:28,639 --> 00:07:30,199 Jason Montague as their chief luxury 229 00:07:30,199 --> 00:07:31,740 officer, it comes straight from 230 00:07:31,740 --> 00:07:33,019 guest feedback. What do the guests 231 00:07:33,019 --> 00:07:34,490 say? Basically, they're demanding 232 00:07:34,490 --> 00:07:37,069 a calmer environment. Montague said, 233 00:07:37,370 --> 00:07:39,029 guests want the freedom to explore 234 00:07:39,029 --> 00:07:40,850 at your own pace. And you really 235 00:07:40,850 --> 00:07:42,709 only get that guaranteed tranquility 236 00:07:42,709 --> 00:07:44,149 when you restrict the demographics. 237 00:07:44,629 --> 00:07:46,589 But wait, the entire fleet. I mean, 238 00:07:46,589 --> 00:07:48,050 it's one thing to launch a brand 239 00:07:48,050 --> 00:07:50,189 new adult only concept from scratch, 240 00:07:50,350 --> 00:07:52,189 but retrofitting an entire legacy 241 00:07:52,189 --> 00:07:53,810 brand to just start turning away 242 00:07:53,810 --> 00:07:55,990 families. That feels like a massive 243 00:07:55,990 --> 00:07:57,490 shift. It definitely is. It's like 244 00:07:57,490 --> 00:07:59,350 they're operating these ships less 245 00:07:59,350 --> 00:08:01,389 like public parks where everyone 246 00:08:01,389 --> 00:08:04,100 is welcome. And way more like these 247 00:08:04,100 --> 00:08:06,579 exclusive bouncer guarded boutique 248 00:08:06,579 --> 00:08:08,160 hotels. That's exactly the vibe 249 00:08:08,160 --> 00:08:09,660 they're going for. They are heavily 250 00:08:09,660 --> 00:08:12,000 leaning into exclusivity to justify 251 00:08:12,000 --> 00:08:14,259 a premium product. Ocean is building 252 00:08:14,259 --> 00:08:16,699 this new 18 plus identity around 253 00:08:16,699 --> 00:08:18,620 four main pillars. Okay. What are 254 00:08:18,620 --> 00:08:20,160 they? So it's immersive itineraries, 255 00:08:20,519 --> 00:08:22,560 intimate ships, genuine hospitality, 256 00:08:22,980 --> 00:08:24,420 and what they call the finest cuisine 257 00:08:24,420 --> 00:08:26,480 at sea. Okay. And to reinforce that 258 00:08:26,480 --> 00:08:28,560 whole boutique hotel feel, they're 259 00:08:28,560 --> 00:08:30,019 also rolling out that your world 260 00:08:30,019 --> 00:08:32,279 included bundle, right? Yes. The 261 00:08:32,279 --> 00:08:34,360 bundling is key here. So the base 262 00:08:34,360 --> 00:08:36,120 fare now includes Starlake Wi -Fi, 263 00:08:36,759 --> 00:08:38,559 all your shipboard gratuities, laundry 264 00:08:38,559 --> 00:08:40,639 services, and gourmet specialty 265 00:08:40,639 --> 00:08:42,899 dining. Wow. Laundry's huge. It 266 00:08:42,899 --> 00:08:44,899 really is. And on top of that, guests 267 00:08:44,899 --> 00:08:46,539 get a choice. You can either take 268 00:08:46,539 --> 00:08:47,860 a shore excursion credit, which 269 00:08:47,860 --> 00:08:49,639 applies to over 8 ,000 tools globally, 270 00:08:50,080 --> 00:08:51,720 or you can opt for free wine and 271 00:08:51,720 --> 00:08:53,450 beer during lunch and dinner. So 272 00:08:53,450 --> 00:08:54,750 they're essentially just removing 273 00:08:54,750 --> 00:08:57,070 all the friction of constant upcharges. 274 00:08:57,490 --> 00:08:58,809 Exactly. Which appeals heavily to 275 00:08:58,809 --> 00:09:01,629 that luxury demographic. And industry 276 00:09:01,629 --> 00:09:03,789 data completely backs up why Oceania 277 00:09:03,789 --> 00:09:06,309 is pivoting so hard. The adult -only 278 00:09:06,309 --> 00:09:07,990 travel market is projected to nearly 279 00:09:07,990 --> 00:09:09,830 double. It's expected to go from 280 00:09:09,830 --> 00:09:13,710 $9 .2 billion in 2024 to $18 .1 281 00:09:13,710 --> 00:09:16,259 billion by 2033. That is wild. And 282 00:09:16,259 --> 00:09:17,519 I mean, we're seeing that momentum 283 00:09:17,519 --> 00:09:19,399 validated right now by Virgin Voyages. 284 00:09:19,539 --> 00:09:20,679 Our reporting shows they just had 285 00:09:20,679 --> 00:09:22,320 a record -breaking wave season. 286 00:09:22,480 --> 00:09:25,559 Yeah. And their CEO, Nirmal Sabarmuttu, 287 00:09:25,860 --> 00:09:27,000 reported that their revenue jumped 288 00:09:27,000 --> 00:09:29,759 by 30%. 30%. Yeah. And he specifically 289 00:09:29,759 --> 00:09:31,360 said that kid -free travel is, quote, 290 00:09:31,659 --> 00:09:33,519 not a niche category. It's a movement. 291 00:09:33,940 --> 00:09:35,340 A move. OK, but let me push back 292 00:09:35,340 --> 00:09:36,440 on that a little bit. Because if 293 00:09:36,440 --> 00:09:37,500 you look at the mainstream lines, 294 00:09:37,700 --> 00:09:39,480 they're mostly just like... carving 295 00:09:39,480 --> 00:09:41,659 out little adult spaces. You know, 296 00:09:41,840 --> 00:09:43,500 Royal Caribbean has the solarium, 297 00:09:43,720 --> 00:09:46,600 NCL has Spice H2O, Carnival is doing 298 00:09:46,600 --> 00:09:49,519 like... three specific adult -only 299 00:09:49,519 --> 00:09:51,659 sailings in 2026? They're dipping 300 00:09:51,659 --> 00:09:53,360 their toes in. Right. But then you 301 00:09:53,360 --> 00:09:55,320 have P &O Cruises, who is actually 302 00:09:55,320 --> 00:09:57,259 reverting the Aurora and the Arcadia 303 00:09:57,259 --> 00:09:59,320 back to family -friendly ships in 304 00:09:59,320 --> 00:10:02,059 December 2026. Right. So if Virgin's 305 00:10:02,059 --> 00:10:04,279 CEO says this is a movement, but 306 00:10:04,279 --> 00:10:06,159 P &O is literally retreating from 307 00:10:06,159 --> 00:10:08,279 it, isn't an entire adults -only 308 00:10:08,279 --> 00:10:10,120 fleet a massive financial gamble 309 00:10:10,120 --> 00:10:12,539 for Oceania? It's a gamble, sure, 310 00:10:12,539 --> 00:10:14,299 but it's a very calculated risk. 311 00:10:14,340 --> 00:10:15,960 It really just comes down to the 312 00:10:15,960 --> 00:10:17,620 classic tension between volume versus 313 00:10:17,620 --> 00:10:19,700 yield. Explain that. Well, Pino 314 00:10:19,700 --> 00:10:21,340 reverting those ships shows that 315 00:10:21,340 --> 00:10:22,700 filling a vessel week after week 316 00:10:22,700 --> 00:10:24,320 is sometimes a lot easier when you 317 00:10:24,320 --> 00:10:25,820 welcome multi -generational families, 318 00:10:26,320 --> 00:10:27,360 because a family might book three 319 00:10:27,360 --> 00:10:29,580 or four cabins at once. Right. So 320 00:10:29,580 --> 00:10:31,679 Pino is chasing volume. Oceania, 321 00:10:31,700 --> 00:10:33,820 on the other hand, is chasing yield. 322 00:10:34,519 --> 00:10:36,659 They're betting. that this bundled 323 00:10:36,659 --> 00:10:39,419 luxury and a guaranteed quiet atmosphere 324 00:10:39,419 --> 00:10:41,740 will command such premium loyalty 325 00:10:41,740 --> 00:10:43,320 that they don't need to fill as 326 00:10:43,320 --> 00:10:45,139 many raw cabins. Because the adults 327 00:10:45,139 --> 00:10:46,779 booking them are paying a much higher 328 00:10:46,779 --> 00:10:49,279 premium upfront. Exactly. OK, well, 329 00:10:49,279 --> 00:10:50,940 that brings us to the exact opposite 330 00:10:50,940 --> 00:10:53,340 philosophy, because while the luxury 331 00:10:53,340 --> 00:10:55,179 lines are, you know, kicking the 332 00:10:55,179 --> 00:10:57,200 kids off and focusing on quiet immersion, 333 00:10:57,759 --> 00:10:59,340 the mainstream mega ships are looking 334 00:10:59,340 --> 00:11:01,419 at the exact same market and doing 335 00:11:01,419 --> 00:11:03,000 something totally different for 336 00:11:03,000 --> 00:11:04,759 2026. Oh, completely different. 337 00:11:04,909 --> 00:11:06,850 They are building massive, loud, 338 00:11:07,230 --> 00:11:08,889 IP -driven entertainment districts 339 00:11:08,889 --> 00:11:11,029 to specifically capture those multi 340 00:11:11,029 --> 00:11:13,009 -generational crowds. Yeah, the 341 00:11:13,009 --> 00:11:14,350 scale of this is just hard to wrap 342 00:11:14,350 --> 00:11:15,710 your head around. Royal Caribbean 343 00:11:15,710 --> 00:11:17,549 is debuting America's Got Talent 344 00:11:17,549 --> 00:11:19,570 Live on their new ship, The Legend 345 00:11:19,570 --> 00:11:22,470 of the Seas, in August 2026. Right. 346 00:11:22,710 --> 00:11:24,049 They partnered with Freenantal for 347 00:11:24,049 --> 00:11:26,279 this. Erica Gadecki, their EVP, 348 00:11:26,600 --> 00:11:28,019 is basically translating the whole 349 00:11:28,019 --> 00:11:30,100 TV franchise into a rotating live 350 00:11:30,100 --> 00:11:31,399 experience for the Royal Theatre. 351 00:11:31,580 --> 00:11:34,059 Yeah, musicians, magicians, acrobats, 352 00:11:34,120 --> 00:11:36,200 the whole deal. And Christine Coachman 353 00:11:36,200 --> 00:11:38,100 from Royal Caribbean said this is 354 00:11:38,100 --> 00:11:39,899 all about redefining live entertainment 355 00:11:39,899 --> 00:11:41,179 at sea. Well, they definitely have 356 00:11:41,179 --> 00:11:43,279 the space for it. The Legend of 357 00:11:43,279 --> 00:11:45,399 the Seas is the third icon class 358 00:11:45,399 --> 00:11:49,139 ship. It's 250 ,800 gross tones. 359 00:11:49,320 --> 00:11:50,559 Which is just staggering. It holds 360 00:11:50,559 --> 00:11:54,039 up to 7 ,600 guests. And it's currently 361 00:11:54,039 --> 00:11:55,639 being outfitted over in Finland. 362 00:11:56,299 --> 00:11:57,879 But America's Got Talent is just 363 00:11:57,879 --> 00:11:59,519 one piece of this. Oh, yeah. It's 364 00:11:59,519 --> 00:12:01,000 just the tip of the iceberg. Because 365 00:12:01,000 --> 00:12:02,580 when you have 7 ,600 people on board, 366 00:12:02,679 --> 00:12:04,460 you need engineered crowd control. 367 00:12:04,720 --> 00:12:06,070 You have to spread them out. Right. 368 00:12:06,190 --> 00:12:08,190 So they also have a full stage production 369 00:12:08,190 --> 00:12:10,330 of Roald Dahl's Charlie and the 370 00:12:10,330 --> 00:12:11,830 Chocolate Factory. Yep. They have 371 00:12:11,830 --> 00:12:13,629 the Aqua Theater with high divers 372 00:12:13,629 --> 00:12:16,190 and literally robots. Robots. Yeah. 373 00:12:16,309 --> 00:12:17,809 Plus Absolute Zero, which is the 374 00:12:17,809 --> 00:12:20,110 largest ice arena at sea. And then 375 00:12:20,110 --> 00:12:21,490 this whole nightlife ecosystem, 376 00:12:21,789 --> 00:12:23,929 the Hollywood Lensumper Club, dueling 377 00:12:23,929 --> 00:12:26,690 pianos, a jazz venue called Luz. 378 00:12:27,169 --> 00:12:28,889 It's sensory overload by design. 379 00:12:29,149 --> 00:12:30,690 And their deployment strategy for 380 00:12:30,690 --> 00:12:32,330 it is super calculated too. It debuts 381 00:12:32,330 --> 00:12:34,929 in July, 2026 doing Western Mediterranean 382 00:12:34,929 --> 00:12:37,230 routes. So Barcelona, Rome, Marseille. 383 00:12:37,389 --> 00:12:40,669 And then in November, 2026, it repositions 384 00:12:40,669 --> 00:12:42,590 to Fort Lauderdale for Caribbean 385 00:12:42,590 --> 00:12:45,950 sailings to Aruba. Curacao and Perfect 386 00:12:45,950 --> 00:12:47,570 Day at Coco K. Honestly, looking 387 00:12:47,570 --> 00:12:49,350 at the sheer density of the stuff, 388 00:12:49,549 --> 00:12:50,909 it's like they picked up the Las 389 00:12:50,909 --> 00:12:52,330 Vegas strip and just dropped it 390 00:12:52,330 --> 00:12:53,870 on top of a two hundred and fifty 391 00:12:53,870 --> 00:12:55,809 thousand ton hole. That's exactly 392 00:12:55,809 --> 00:12:57,730 what it is. But with all these global 393 00:12:57,730 --> 00:13:00,269 TV franchises and massive West End 394 00:13:00,269 --> 00:13:02,409 style productions, are these mega 395 00:13:02,409 --> 00:13:04,210 ships even competing with other 396 00:13:04,210 --> 00:13:05,669 cruise lines anymore or are they 397 00:13:05,669 --> 00:13:07,769 directly taking on land based mega 398 00:13:07,769 --> 00:13:09,129 resorts? They are absolutely taking 399 00:13:09,129 --> 00:13:10,429 on the land based resorts. That's 400 00:13:10,429 --> 00:13:12,330 the whole strategy. But using globally 401 00:13:12,330 --> 00:13:14,639 recognized brands like H. or the 402 00:13:14,639 --> 00:13:17,279 Roald Dahl catalog, they severely 403 00:13:17,279 --> 00:13:18,840 lower the barrier to entry for first 404 00:13:18,840 --> 00:13:20,259 -time cruisers. How does that lower 405 00:13:20,259 --> 00:13:21,600 the barrier? Because it creates 406 00:13:21,600 --> 00:13:23,480 instant familiarity. If you've never 407 00:13:23,480 --> 00:13:25,200 cruised before, you might be worried 408 00:13:25,200 --> 00:13:27,139 about feeling trapped at sea. But 409 00:13:27,139 --> 00:13:28,480 if you know and love America's Got 410 00:13:28,480 --> 00:13:31,100 Talent, that IP bridges the gap. 411 00:13:31,279 --> 00:13:33,120 the ship itself becomes the primary 412 00:13:33,120 --> 00:13:35,059 destination. Oh, I see. So it totally 413 00:13:35,059 --> 00:13:36,779 differentiates them from the intimate 414 00:13:36,779 --> 00:13:38,440 destination focus of a line like 415 00:13:38,440 --> 00:13:40,500 Oceania. Exactly. The mainstream 416 00:13:40,500 --> 00:13:41,899 lines are basically saying, hey, 417 00:13:42,120 --> 00:13:43,139 you don't need to fly to a resort 418 00:13:43,139 --> 00:13:45,059 in Vegas. We build it right here 419 00:13:45,059 --> 00:13:46,460 and we'll sail it around the Caribbean 420 00:13:46,460 --> 00:13:48,440 for you. Wow. OK, so we're really 421 00:13:48,440 --> 00:13:50,340 looking at two entirely different 422 00:13:50,340 --> 00:13:51,919 universes of vacationing here. We 423 00:13:51,919 --> 00:13:53,340 are. And I think that's the big 424 00:13:53,340 --> 00:13:54,539 takeaway from all this reporting. 425 00:13:55,159 --> 00:13:57,750 The cruise industry. of 2026 and 426 00:13:57,750 --> 00:14:00,049 2027 is fundamentally splitting 427 00:14:00,049 --> 00:14:01,710 into two distinct philosophies. 428 00:14:01,789 --> 00:14:03,549 You're either booking passage on 429 00:14:03,549 --> 00:14:05,830 this massive floating city packed 430 00:14:05,830 --> 00:14:08,429 with global TV franchises and 7000 431 00:14:08,429 --> 00:14:10,929 of your neighbors. Right. Or you're 432 00:14:10,929 --> 00:14:12,990 paying a real premium for a highly 433 00:14:12,990 --> 00:14:15,889 curated kid free sanctuary. The 434 00:14:15,889 --> 00:14:17,750 middle ground is just disappearing. 435 00:14:18,110 --> 00:14:19,210 But, you know, whichever one you 436 00:14:19,210 --> 00:14:20,370 choose, you still have to navigate 437 00:14:20,370 --> 00:14:22,929 the volatile geopolitics and airfare 438 00:14:22,929 --> 00:14:24,429 just to get to the port. Which is 439 00:14:24,429 --> 00:14:25,950 the real trick, right? Exactly. 440 00:14:26,269 --> 00:14:27,669 Well thanks for listening to Cruise 441 00:14:27,669 --> 00:14:29,970 News. Visit CruiseNews .io to catch 442 00:14:29,970 --> 00:14:31,450 up on the latest updates and sign 443 00:14:31,450 --> 00:14:32,789 up for free email alerts.