We interviewed Sonia López Corrales, Senior Manager Business Development at Norwegian Cruise Line in Spain and Portugal.
- 2023 has been a good year overall for cruises, has it been for Norwegian Cruise Line?
Yes, it definitely has been. Despite all the remaining challenges, we can confidently say that we have made significant progress toward a full recovery from the pandemic. Around the world, as well as in Spain and Portugal, we are seeing strong demand from NCL cruise customers and for our Freestyle Cruising product, which offers our guests the opportunity to create their most personalized vacation on board our fleet.
With our full fleet of ships sailing to over 400 destinations worldwide and having taken delivery of our newest ship, the Norwegian Viva, last August, we had an incredible product offering and were able to meet this global demand, resulting in 2023 becoming a milestone year for our entire organization.
We successfully converted demand into bookings at a premium price point and increased occupancy to 102.9% across all three NCLH brands, generating total revenues of $8.5 billion, up 32% compared to the same period in 2019, raising total revenue per passenger per day by 18%, all while reducing our cruise ship operating costs.
- He has been with the company for over 14 years. How has he seen the company evolve over these years?
I have been with the company for almost 15 years and have been fortunate enough to witness the development of the Spanish market, how NCL has adapted to the Spanish guest, and how Spanish guests have come to know and love the product we offer, with the innovative Freestyle Cruising that we love so much and that fits so well with our character.
One of the things that impresses me most is that we constantly strive for excellence, learn from customer experience, and always seek to put the customer at the center of the cruise experience.
That philosophy is something that defines us and that we know our guests appreciate. And the best is always yet to come. I arrived a year before the Norwegian Epic opened, and now that we're eagerly awaiting the Norwegian Aqua, I can only look back and feel incredibly proud of our journey and so excited for our next chapter.
- You are also responsible for the Portuguese market. What does Portugal need to succeed in the cruise industry?
Portugal is an emerging market for NCL, and I wouldn't say it lacks anything to become a successful cruise market. Even so, there are certain aspects we must consider when analyzing the Portuguese market and its potential.
In general, it must be said that, despite being a great seafaring nation, awareness of cruises as a type of vacation is relatively low. To date, most Portuguese still opt for land-based holidays. However, it is clear that cruises offer several advantages compared to land-based vacations. For example, cruises offer excellent value for money, as the price of an NCL cruise already includes accommodation, meals in the main dining rooms, snack bars, and buffets, Broadway and West End-style entertainment, numerous onboard activities, as well as taxes and fees. Furthermore, cruises are an easy way to discover and explore several destinations in a single trip from the comfort of a large floating hotel.
Over the years, we have observed steady market growth. Given that the Portuguese market is not as mature in terms of cruising as other markets such as Spain, Germany, or the UK, most of our Portuguese customers are still new to NCL and potentially haven't sailed with other cruise lines before booking their NCL cruise. Many of our Portuguese guests are Baby Boomers and Generation X, traveling with their families, and tend to book last-minute holidays with an average booking window of 4.9 months. From a destination perspective, the Portuguese prefer to sail in European waters, ideally embarking and/or disembarking in Lisbon to minimize travel time.
From my perspective, there is significant potential in the Portuguese market, which is supported by our market growth and past guest data. However, there is still much educational work to be done, both by NCL and other cruise lines. For our part, we need to inform our Portuguese travel partners and customers that NCL offers a cruise experience in the upper segment of the overall market, in addition to operating many cruises beyond European waters that appeal to the Portuguese, and that it is important to plan a cruise as early as possible, as these holidays tend to be booked before others.
- After so many years with the same cruise based in Barcelona, they decided to switch to other cruises and longer itineraries. What does NCL have to offer the Spanish market this season?
I know personally that the Norwegian Epic and its 7-day Western Mediterranean itineraries departing from Barcelona have been incredibly popular with our Spanish guests, but after more than ten years, a refreshing change was more than necessary. I am delighted that the Norwegian Escape is returning to the Mediterranean this summer season and will be homeported in Barcelona on May 5, 2024. The Norwegian Escape will be our only Breakaway-Plus Class ship in Europe, sailing 9- or 10-day round-trip Western Mediterranean cruises from Barcelona, as well as 10- and 11-day open-port cruises from Barcelona to Trieste (Venice), Italy, calling at sun-drenched ports in France, Italy, Greece, and Croatia.
The Norwegian Escape not only offers itineraries that fulfill the vacation dreams of Spanish guests, but also provides a top-tier family experience that far surpasses what our Spanish guests are accustomed to finding on the Norwegian Epic.” The Norwegian Escape offers a total of 15 dining options, with Bayamo by Ocean Blue and Food Republic as new additions for Spanish guests, 19 bars and lounges, world-class entertainment with the Choir of Man, as well as many family activities, including the Aqua Racer Freefall Slide and a ropes course.
In addition to the Norwegian Escape, eight other ships will sail European waters this summer season offering 7- to 14-day voyages around the continent, including the Eastern Mediterranean, the Greek Islands, the Adriatic and the Baltic, and as far north as Europe.
In addition, we've observed strong interest from Spanish customers in Caribbean cruises. Next winter, NCL cruises in the region will depart from eight homeports, including Miami, Florida; Panama City (Fuerte Amador), Panama; and San Juan, Puerto Rico. Many of these ports are easily accessible via direct flights from Spain. Norwegian Viva and Norwegian Prima, the two newest ships in our fleet, spend their winters in the Caribbean, taking guests on stunning itineraries to the region's most sought-after destinations, such as Cozumel, Mexico; Roatán (Bay Islands), Honduras; Bridgetown, Barbados; Castries, St. Lucia; and Philipsburg, St. Maarten.
- The company's latest ships represent a change in design and size. The Norwegian Prima's itinerary was recently recognized with an Excellence Award. Have you noticed the positive reception?
Absolutely. And we're thrilled with the feedback we've received from guests and our partners about the Norwegian Prima and the Norwegian Viva, the first two ships in our innovative Prima Class.
After building our Breakaway-Plus Class with approximately 4,000 guests, we decided against building larger ships like our competitors. We took a step back, assessed our fleet, and made the conscious decision to commission and build slightly smaller vessels that would give each guest the space and opportunity to create their most personalized vacation. Our Prima Class has enhanced the onboard experience for our guests and represents the pinnacle of our Freestyle Cruising philosophy, which empowers every guest with maximum freedom and flexibility.
Overall, our customers praise the spaciousness of our Prima Class ships, which offer up to 36% more space per passenger compared to other contemporary cruise lines, the incredible onboard experiences, from West End and Broadway-caliber entertainment to activities like the Drop, the first dry free-fall waterslide at sea, as well as the service that puts them first, with both ships having a crew-to-passenger ratio of 2.06, meaning one crew member serves every two guests.
Furthermore, our Spanish guests consistently highlight the ship's thoughtful design and praise the fact that Norwegian Prima and Norwegian Viva offer them individual vacation options: Most of our Spanish guests travel with their families, so they appreciate that each family member can find something to do on board. For example, parents can relax at the Mandara Spa or the Vibe Beach Club, while their children can meet new friends at our Splash Academy or Entourage and enjoy a variety of activities such as Bull's Eye, Tee Time, or the unique three-level race tracks at sea.
- For those traveling further afield, what are the most innovative or surprising proposals/itineraries? What sets your company apart from others?
For more than 55 years, NCL has revolutionized the cruise industry on numerous occasions. We continue to foster this tradition not only on board our award-winning fleet, but also in our itineraries.
With our rollout now open for sale, we have intentionally reimagined our itineraries and increased their duration, reduced the number of days at sea wherever possible, improved port time and the number of destinations our fleet of 19 ships calls at, including many exotic locations in Africa, Asia, South America, the Caribbean or the Pacific.
It's difficult to single out one itinerary in particular, as we have so many excellent options on our itinerary list. Asia has become a trendy destination in recent years, and I believe NCL's regional deployment offers a wide variety of destinations and ports to suit every type of traveler. This coming fall and winter, the Norwegian Spirit will sail a selection of open-bridge voyages from Tokyo (Japan) or Seoul (Incheon) (Korea), taking guests on a journey through the cultural and historical heritage of these modern countries with stops in Kyoto (Kobe), Kagoshima, and Shimizu, the gateway to Mount Fuji.
Guests interested in the diversity and beauty of Southeast Asia can embark on multiple cruises aboard the Norwegian Sky departing from Singapore; Taipei (Keelung), Taiwan; and Manila, Philippines. On these itineraries, guests can explore once-in-a-lifetime destinations such as Ho Chi Minh City (Phu My), Vietnam; Kuala Lumpur (Port Klang), Malaysia; Colombo, Sri Lanka; or Goa (Mormugao), India.
- What are your predictions for the year 2024?
It looks like 2024 will continue the winning streak. NCL entered the year with an unprecedented booking position and pricing for voyages departing this year. We are still in the Wave season, and both demand and booking volume have been very strong, with many Spanish guests already booking their holidays with NCL.
Although we started the year with strong momentum, there is still availability for NCL cruises throughout the year. I encourage all potential customers interested in sailing with NCL later this year to book as soon as possible to avoid missing out.
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