Royal Caribbean Blog

Hours after the CDC announced it would end its ban on cruise ships, Royal Caribbean said it is "eager to welcome guests back onboard".

In a statement shared on social media, Royal Caribbean shared a brief message that it is ready to begin working on new protocols and trial sailings in order to be able to sail again.

"Today’s CDC announcement establishes a pathway for our ships to return to service. We’re eager to welcome guests back on board & will continue to work closely with both CDC & the Healthy Sail Panel to protect the health of our guests, our crew, & the communities where we sail."

"While we are eager to welcome our guests back on board, we have a lot to do between now and then, and we're committed to taking the time to do things right. This includes training our crew in new health and safety protocols and conducting a number of trial sailings to stress-test those protocols in real-world conditions."

"We will continue to work closely with both CDC and the Healthy Sail Panel as we make our plans, and we are confident in our ability to mitigate the risks of the pandemic and protect the health of our guests, our crew, and the communities where we sail."

Royal Caribbean has not announced any restart plans yet, nor which ships will sail first.

Work needed before cruises can restart

While the No Sail order may be gone, it will not be a free-for-all to restart sailings.

The CDC has added a great deal of restrictions on when and how cruises can restart, stipulating many new hurdles cruise lines must overcome in order for a cruise ship to be certified to sail again.

The terms of the Conditional Sailing Order are many, and include provisions for testing crew members and rigorous simulated cruises.

Test sailings will require the ship to test the efficacy of Royal Caribbean’s ability to mitigate the risks of COVID-19 onboard its cruise ship.

During the test cruise, the following activities must be simulated:

• embarkation and disembarkation procedures, including terminal check-in, 
• on board activities, including at dining and entertainment venues,
• private island shore excursions (if a port is visited)
• evacuation procedures,
• transfer of symptomatic passengers or crew, or those who test positive for SARSCoV-2, from cabins to isolation rooms,
• quarantine of all remaining passengers and non-essential crew, and
• other activities as may be listed in CDC technical instructions and orders.

The U.S. Centers for Disease Control (CDC) announced on Friday it will begin allowing cruise ships to restart cruises.

The CDC announced following the expiration of the No Sail order on October 31, the agency will take a "phased approach to resuming cruise ship operations in U.S. waters."

The Conditional Sailing Order for Cruise Ships will encompass a few phases:

1. Testing and additional safeguards for crew members
2. Simulated voyages to test cruise line ability to mitigate virus spread onboard
3. Phased return to cruise ship passenger voyages

These phases are subject to change based on public health considerations and cruise ship operator's demonstrated ability to mitigate COVID-19 risk.

In addition, the Conditional Sailing Order announced new requirements for initial phases relating to crew testing.

"The Centers for Disease Control and Prevention (CDC), a component of the U.S. Department of Health and Human Services (HHS), announces this framework for a phased resumption of cruise ship passenger operations. Considering the continued spread of COVID-19 worldwide and increased risk of COVID-19 on cruise ships, a careful approach is needed to safely resume cruise ship passenger operations. CDC is establishing requirements to mitigate the COVID-19 risk to passengers and crew, prevent the further spread of COVID-19 from cruise ships into U.S. communities, and protect public health and safety. After expiration of CDC’s No Sail Order (NSO) on October 31, 2020, CDC will take a phased approach to resuming cruise ship passenger operations in U.S. waters."

While the No Sail order expires on October 31, Royal Caribbean has already cancelled all of its sailings through November 30.

Ending the cruise ship ban

The announcement that the CDC will lift the cruise ship ban comes after 7 months of the No Sail order prohibiting cruise lines from operating in U.S. waters.

Royal Caribbean has been shutdown since mid-March, and the No Sail order has been a major obstacle to any restart plan in North America.

Royal Caribbean Group and Norwegian Cruise Line Holdings teamed up over the summer to come up with a comprehensive and multi-layered approach to allow cruise ships to operate safely, through the efforts of a blue ribbon panel of scientists.

The Healthy Sail Panel has developed its own set of 74 detailed steps to safeguard the health of guests, crew and communities.

Recommendations include testing, the use of face coverings, and enhanced sanitation procedures on ships and in terminals. 

Healthy Panel co-chair Governor Mike Leavitt, former U.S. Secretary of Health and Human Services, specified exactly how in-depth their recommendations go.

"This Panel undertook an ambitious, cross-disciplinary, public health examination to develop standards and guidelines that create the highest level of safety in the complex environment of a cruise ship. We studied the industry’s experiences combating the pandemic – and we then incorporated the many lessons learned and advances made by medicine and science over the past six months. The Panel’s recommendations are grounded in the best scientific and medical information available and are intended to meaningfully mitigate public health risks to those who sail."

When will Royal Caribbean restart cruises?

Royal Caribbean has not announced any firm restart plan yet, but it is clear based on comments from executives what to expect.

Just yesterday, Royal Caribbean Chairman and CEO Richard Fain shared details of the cruise line's general approach to restarting cruises during a call with investors.

1. Training crew
2. A series of non-revenue sailings to rehearse and validate the new protocols
   1. This process will be carefully evaluated by independent outside observers
3. Restart of cruises with a ship or two at first, the more ships later in a "gradual and methodical way".

The first sailings will be short cruises at first, with limited destinations and controlled shore excursions.

Apart from cruises in the United States, Quantum of the Seas will begin cruises in December from Singapore and offer short cruises with no port stops.

Royal Caribbean Group Chief Financial Officer Jason Liberty also gave investors a preview of what it expects for cruises in Spring 2021 that largely mirror what Mr. Fain shared.

Mr. Liberty expects "a very limited initial return and a gradual ramp up during the first half of 2021."

Royal Caribbean anticipates short sailings the be the cornerstone of their return, and to offer these cruises from key drive markets in both the U.S. and Asia-Pacific regions.

Royal Caribbean has changed a rule about how guests can use their future cruise credits (FCC) to make it much easier if you have leftover credit.

If a guest uses their FCC for a sailing and has a leftover balance, they do not have to wait for the first sailing to complete before applying the remainder.

Prior to the change made this week by Royal Caribbean, guests had to wait until the first sailing was over before they could use any remainder credits from that voucher.

With this new change, Royal Caribbean allows guests to redeem a FCC on two active bookings.

Royal Caribbean alerted travel agents to this change this week:

"Enhancements have been made to the existing FCC process where any balance remaining on an FCC no longer has to await the return of the existing cruise vacation before applying the balance to a future/new reservation. That means the same FCC can now be redeemed on 2 active bookings! Once a portion of the FCC is applied to a reservation, the remaining balance FCC will be generated and, in turn, sent to your client for use as they wish. Please note that any FCC with a pending balance from the past few months will now be run through this process, with an anticipated completion date for all by end-of-October."

The old policy for only allowing an FCC to be used on one sailing at a time was a policy that originated well-before the current global cruise shutdown.

In fact, future cruise credits were fairly rare for guests to have before this year, but so many guests now have at least one FCC to use due to all the cancelled cruises in 2020.

Royal Caribbean has slowly changed some of the FCC rules because of all the cancelled cruises, including being able to use a FCC towards a deposit and even allowing guests to combine FCCs.

Future Cruise Credits are an option for guests who either choose to cancel their cruise up to 48 hours before the sail date via the Cruise with Confidence program, or have their cruise cancelled by Royal Caribbean. In either case, a voucher code is provided that can be redeemed for the value of the sailing.

When Royal Caribbean cancels the sailing, the Future Cruise Credit is worth 125% the value of the cruise fare that the guest paid.

Have more questions about a FCC? These stories will help:

• Royal Caribbean Future Cruise Credit: What you need to know
• Top ways you cannot use your Royal Caribbean future cruise credits
• What happens if I want to cancel my Royal Caribbean cruise?

Here is one last Odyssey of the Seas construction photo to share before the month of October ends.

Royal Caribbean's next new cruise ship is under construction in Hall 6 of Meyer Werft shipyard.

The photo was released by the Meyer Werft shipyard in Papenburg, Germany.

Odyssey of the Seas is scheduled to sail in Spring 2021, with newly added sailings in April from Southampton and Barcelona.

Once Odyssey completes these new sailings, she will spend her summer in Rome offering sailing Eastern Mediterranean cruises.

Finally, Odyssey will head to the United States for her North American debut in November 2021. There she will continue her inaugural year in Fort Lauderdale, FL with 8- and 6-night Caribbean itineraries.

Delivery still on schedule

Over the last few weeks, Royal Caribbean has confirmed that Odyssey of the Seas is on schedule for her 2021 delivery.

She was originally to debut in November 2020, but delays at the shipyard due to the global health crisis changed plans.

Nonetheless, her current delivery date appears to be accurate, as Royal Caribbean Group confirmed this week in its third quarter earnings report that Royal Caribbean Group has allocated funds for delivery of Odyssey of the Seas during the first quarter of 2021.

Some cruise fans have also noted the fact Royal Caribbean added earlier sailings from Southampton and Barcelona to be a positive sign that the ship is going to be delivered on time.

The Canadian Government has extended its cruise ship ban until February 28, 2021.

Canada's Minister of Transport, Marc Garneau, made the announcement it will continue banning cruise ships carrying more than 100 people from sailing in Canadian waters.

"As Canadians are doing their part to help reduce the spread of COVID-19, the Government of Canada is working hard to ensure Canada’s transportation system remains safe. The extension of these temporary measures for cruise ships and other passenger vessels in Canada reflects our ongoing work with all levels of government, transportation industry stakeholders, and Indigenous peoples to help ensure appropriate measures are in place."

Prior to today's announcement, Canada had closed off its borders to all cruise ships until October 31, 2020.

Royal Caribbean had no cruises visiting Canada between October and February, due to a combination of already cancelled cruises and the fact ships do not sail to Canada in the winter months.

Canada's ban on cruise ships was initially announced on March 19, 2020, and extended on May 30, 2020.

Will there be Alaska cruises in 2021?

While the extension of the ban has no short-term effect on Royal Caribbean cruises, the bigger question is will Canada allow cruise ships to visit in summer 2021.

The ban of cruise ships in Canadian waters makes operating cruises to Alaska or New England effectively impossible because U.S. cabotage laws require foreign-flagged vessels leaving from a U.S. port of call to first call on a "distant foreign port" before returning to the United States.

Along with the No Sail order in the United States, Royal Caribbean was unable to offer cruises to Alaska in 2020, but a ban from Canada would prevent any Alaska cruises from operating.

Those who do not comply with the prohibition could be subject to penalties: $5,000 per day for individuals and $25,000 per day for corporations.

There are two primary ports Royal Caribbean relies on for its Canadian cruises: Vancouver and Victoria.

Vancouver is where Radiance of the Seas and Serenade of the Seas homeport during the season, while Victoria is a port of call for cruises out of Seattle.

Without access to Canadian ports, it is impossible for Royal Caribbean to operate any cruises, since even sailings beginning in the United States require a foreign port stop at some point in order to be in compliance with U.S. laws.

Royal Caribbean could still sell a cruise ship during its shutdown, assuming it makes financial sense.

During an earnings call with Wall Street analysts on Thursday, Royal Caribbean Group executive vice president and Chief Financial Officer Jason Liberty spoke on the topic of supply growth, and what Royal Caribbean might do with existing and new vessels.

Mr. Liberty noted that Royal Caribbean Group would sell about one to two ships in a typical year, but with everything changing this year, anything is possible.

"We're being very opportunistic about the situation," Mr. Liberty said on the topic of selling or scrapping ships. 

In terms of when it makes sense to sell, it sounds like only if a particular cruise ship "does not fit strategically" within the brand would they then look at options.

New cruise ship capacity

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Selling or scrapping a ship may also come to offset new ships joining the fleet.

Right now, Royal Caribbean expects its cruise ships on order to continue ahead, although "delayed by probably eight to 10 months", according to Mr. Liberty.

Nonetheless, new ships growth will continue.

"I think we do expect that will be slower newbuild growth probably towards the latter part of four or five years from now....I think we expect to continue to try to come online."

Royal Caribbean International has a few ships on order, including Odyssey of the Seas and Wonder of the Seas.  Both ships have been delayed, but will debut in 2021 and 2022 respectively.

No change in Royal Caribbean's ship selling strategy

Today's comments on Royal Caribbean having no firm plans to sell any ships continues the company's general strategy since cruises shutdown in March.

In August, Mr. Liberty said Royal Caribbean Group was still evaluating options in selling ships, but had nothing firm to announce.

"This time we are evaluating opportunities to to sell ships or to take other actions with ships."

"We're valuating all all options, but of course, we've put a lot of money into these ships. These ships do exceptionally well, and so it's a difficult decision to depart with ship because they generate so much cash."

Why scrap or sell a ship?

The question of if Royal Caribbean will sell more ships or not is partly based in finances, and partly due to what competitors have been doing.

Carnival Corporation has been far more aggressive in selling ships of its brands, having announced a total of 18 cruise ships across its brands will be sold soon (if not already).

Royal Caribbean Group chose to scrap its fleet of Pullmantur Cruises ships, including the former Monarch and Sovereign of the Seas, when that cruise line went into bankruptcy.

Besides getting rid of ships and the overhead they bring, new cruise ships tend to break-even with less guests and are more efficient with generating onboard revenue.

Royal Caribbean International President and CEO Michael Bayley spoke about demand the cruise line is seeing for cruises during a call with Wall Street analysts.

One question raised was if Royal Caribbean will have to wait for them to prove cruises can sail safely before substantial demand returns.

Mr. Bayley talked about the pent-up demand customers have, even before the cruise line is ready to restart.

Surprised by the level of demand

A great example of this demand comes from the newly added Quantum of the Seas cruises from Singapore, which will begin in December.

Despite the fact Quantum will offer cruises to no where, with no port stops at all, demand has been very strong.

"We were really quite surprised by the level of demand that came into the product of the winter season that we've got it open," Mr. Bayley shared during the call with investors.

"Within the first two weeks, we had literally the triple demand that we were expecting at rates above what we were expecting."

In addition to Singapore, Mr. Bayley said despite COVID increases in Europe, "there is demand in the marketplace and it's coming quite naturally."

A look at the American cruise market

Mr. Bayley also touched upon demand for cruises in the American cruise market, which he sees tied to how Americans feel about the nature of the pandemic.

Royal Caribbean is conducting a great deal of market research to get a sense of what consumers are thinking.

"About three or four months ago, most people believed that COVID would be kind of moving behind us by the end of 2020. Of course, that shifted now. And the belief from most consumers is that as you move through '21, COVID will move behind us with vaccine, therapeutics, etc."

"You very much see a correlation between what people are believing and how they're booking."

To that point, the data shows Royal Caribbean that people want to vacation again once things start to settle down.

"We kind of see that in the booking behavior out of the American market for our products through '21, with a particular emphasis on Summer 21, " Mr. Bayley described. "It feels and it looks as if customers are thinking this is going to be behind us and we're going to have a summer vacation."

Of course, the No Sail order looms large in the United States, and while a lifting of that prohibition would be helpful for bookings, Mr. Bayley believes ultimately consumers want to see cruises begin before booking in large numbers.

"I do believe that if there is a change in the No Sail order and a pathway is created for the safe return to cruising, there will be an uptick in demand. But I think people will naturally wait and see."

During Royal Caribbean Group's third quarter earnings call with investors on Thursday, the company provided a preview of what its early return to service might look like.

While Royal Caribbean is very cautious about expectations related to restarting, but it did provide more insight into its plans for a very limited initial return.

Jason T. Liberty, executive vice president and CFO, spoke on restart plans during his opening statement, "The situation regarding our return to service is fluid, but we are currently planning for a very limited initial return and a gradual ramp up during the first half of 2021."

Mr. Liberty emphasized that the first cruises back will be focused on short sailings, "Deployment of spring is expected to be highly focused on short sailings from key drive markets in both the U.S. and Asia-Pacific regions."

Typically, "key drive markets" references cruises that depart from ports where most of the customers can drive to the cruise ship, as opposed to guests who fly to their cruise ship.

In addition, the first sailings will be highly focused on Perfect Day at CocoCay.

"We will also make the most out of our incredible private destination in the Bahamas. Perfect Day at CocoCay."

Cruises restarting will be slow

Royal Caribbean Group Chairman and CEO Richard Fain reiterated the restart plans that have been the plan for months, with a slow and methodical restart.

Mr. Fain spoke of the work the Healthy Sail Panel has done to provide a roadmap for cruises to restart, "the panel has recommended that this process be carefully evaluated by independent outside observers and we will do that.

"And then only on a ship or two it first and in a gradual and methodical way, we expect to start sailing again."

"There'll be short cruises at first with limited destinations and controlled shore excursions. But as we learn and as the science continues to improve, we will expand."

A scientific approach to cruising safely

Prior to cruises starting again, Mr. Fain reminded investors that they intend to test out their new protocols with a series of test sailings.

"We propose to start slowly by training our crew and embarking on a series of non-revenue trial sailings, where we can rehearse and validate the new protocols."

Mr. Fain was confident that the Healthy Sail Panel recommendations can serve as a foundation for a gradual and methodical, healthy return to service.

"We intend to make our ships and environment a bubble, if you will, that presents less risk of transmission than our guests would find on land."

If all of this sounds frustrating, Mr. Fain remains optimistic about the future, "I am optimistic that we will soon have a path that we all see as a pathway back to resuming operations. It will be slower than I would wish, but faster than many are assuming."

Announcement coming soon?

While Royal Caribbean Group executives were hesitant to provide any insight into what the CDC might do, travel advisors are being told to expect a change.

In an email to travel advisors sent on Thursday morning, Royal Caribbean told travel agents to expect something "very soon".

Very soon – potentially as early as next week - we’ll be announcing our return to service. 

Royal Caribbean Group reported a $1.3 billion loss for the third quarter of 2020 as part of its financial results, and also provided a business update.

The cruise company is still in the midst of a global shutdown due to the health crisis. While limited cruise operations outside of the U.S. have been able to restart with its TUI cruises and Hapag Lloyd brands, the company is still dealing with being mostly shutdown.

Royal Caribbean highlighted the fact Quantum of the Seas will be able to restart operations in Singapore in December after receiving approval to sail from the Singaporean Government.

These initial cruises will most likely take place with reduced guest occupancy, modified itineraries and enhanced health protocols developed in collaboration with governments and health authorities.

In addition to the financial results, Royal Caribbean Group provided a business update to investors.

Healthy Sail Panel recommendations

Royal Caribbean's blue ribbon panel of health experts submitted 74 recommendations for how cruise ships could safely operate.

On September 21, 2020, the HSP submitted its recommendations to the Centers for Disease Control and Prevention (CDC) in response to a CDC request for public comment that will be used to inform future public health guidance and preventative measures relating to travel on cruise ships. 

"The work of the Healthy Sail Panel has been thorough and comprehensive. We are grateful for its enormous dedication and passion, which has resulted in what has quickly become the seminal document in this arena. We are also grateful for the time the CDC and their observers have spent on this important topic with the Healthy Sail Panel," said Richard D. Fain, Chairman and CEO. "We understand the importance of getting this right and are preparing to put these plans to the test with a gradual and methodical return to service in the near future."

Cash on hand

In order to remain operational throughout the shutdown, Royal Caribbean Group made additional moves to bolster its financial situation.

Since the last earnings call, Royal Caribbean Group has taken further actions to enhance its liquidity, preserve cash and obtain additional financing. 

• $700M increase in liquidity through a 12-month commitment for a senior guaranteed 364-day facility
• Approximate $1.15 billion increase in liquidity through a combination of a convertible bond issuance and a common stock public offering

The current cash burn is on average in the range of approximately $250 million to $290 million per month during a prolonged suspension of operations. This range includes all interest expenses, ongoing ship operating expenses, administrative expenses, hedging costs, expected necessary capital expenditures (net of committed financings in the case of newbuilds) and excludes cash refunds of customer deposits, commissions, debt obligations and cash inflows from new and existing bookings. 

Cash burn will increase once cruises are able to start up again as a result of:

• Bringing ships out of their various levels of layup
• Returning the crew to the vessels
• Taking the necessary steps to ensure compliance with the recommended protocols
• Restarts sales and marketing activities

Jason T. Liberty, executive vice president and CFO said, "We are optimistic that with the gradual resumption of cruise operations, our cash flow from operations will sequentially improve, driven by an increase in the inflow of customer deposits."

As of September 30, 2020, the Company had liquidity of approximately $3.7 billion, including $3.0 billion in cash and cash equivalents and a $0.7 billion commitment from the 364-day facility, compared to $4.1 billion as of June 30, 2020.

The total cash spend for the third quarter was approximately $1.1 billion, mainly driven by ship operating expenses. 

Odyssey of the Seas

For those wondering about the fate of Royal Caribbean's next new cruise ship, Odyssey of the Seas is very much on the radar.

Royal Caribbean Group has allocated funds for delivery of Odyssey of the Seas during the first quarter of 2021.

2021 Bookings

Booking activity for the first half of 2021 is aligned with the Company's anticipated staggered resumption of cruises.

The cumulative booked position for sailings in the second half of 2021 is within historical ranges with prices that are down slightly year-over-year when including the negative yield impact of bookings made with future cruise credits ("FCCs") and about flat when excluding them. 

Since Royal Caribbean Group's last business update, more than 65% of the 2021 bookings are new and the rest are due to the redemption of FCCs and the Lift & Shift program. 

As of September 30, 2020, the Company had $1.8 billion in customer deposits of which approximately 50% are FCCs and $180 million correspond to fourth quarter 2020 sailings.

Approximately 50% of the guests booked on cancelled sailings have requested cash refunds.

Everyone wants to save money on a cruise, so here are all of the easy ways to save money on your Royal Caribbean vacation.

While you might not be able to utilize all 45 tips for one cruise, a great many of these can be combined to help bring down the overall cost.

These are tried and true money saving secrets that will hopefully work for you as well!

Book with a travel agent

The easiest way to make certain you have the best price on your cruise fare is to use a travel agent.

I recommend everyone use one, because you only stand to benefit from using a travel agent.

Travel agents provide great service to folks looking to take a Royal Caribbean cruise because they are keyed in on the latest promotions and they can be your best advocate for finding promotions that help you, not just the day you book but every day until final payment.

A good travel agent will be able to assist with the booking process, and give you every single permutation of pricing to figure out which itinerary, stateroom or promotion makes the most sense for you.  I cannot count the time I have saved by having the travel agent jump through the proverbial hoops for me to figure out what is the best deal for my family.

The reality is you only stand to benefit from using a good travel agent, both in convenience and time saved.

Book as early as you can for lower rates

The earlier you book your Royal Caribbean cruise, the better the price in the long run.

Generally speaking, prices tend to be lowest when sailings go on sale. As more people book a given sailing, prices tend to rise because there is less inventory available and prices go up.

Your best bet is to book early and place a deposit on a sailing that can lock in that price until your final payment date.  This not only gives you the lowest possible price, it also gives you the most time to make payments on the cruise.  Plus, that deposit is fully refundable if you happen to change your mind later.

If you cannot book two years in advance, that is okay too.  They key is not to wait, but instead book a cruise as early as you can.

Look for pre-cruise deals

In the months leading up to your cruise, Royal Caribbean will offer pre-cruise discounts on things like shore excursions, drink packages, wifi and more.

Every so often, there is a new sale that you can find by logging into Royal Caribbean's cruise planner site and checking if the price has changed.

These sales occur fairly regularly, and I always post about them here on the site as a reminder as well.

You can re-price pre-cruise purchases

If you buy a drink package or excursion before your cruise and next week, month or year it drops in price, you can re-price it easily.

If you spot a better discount on something you already pre-purchased, you should be able to cancel the purchase and then re-purchase the same item under this promotion.

Bring your own wine onboard

Did you know that Royal Caribbean allows its guests to bring a limited quantity of wine on a cruise?

Guests may bring up to two bottles of wine per stateroom on embarkation day. Each bottle of wine may be up to 750ml in size. 

Do not put the wine in the luggage you hand over to the porters on embarkation day.

You can bring soda and water onboard

In addition to wine, you can also bring non-alcoholic beverages onboard on the first day as well.

Small quantities of non-alcoholic beverages can be brought in a carry-on or hand luggage onboard only on boarding day. 

Specifically, non-alcoholic beverages brought onboard may not exceed 12 standard (17 oz) cans, bottles or cartons per stateroom. Distilled water or specialized beverages such as, milk for medical purposes, dietary or infant use, are permitted.

Don't buy WiFi on the first day

A great way to shave off the cost of a WiFi package is to skip buying it on the first day.

Your first day on a cruise is busy, and you are in port for most of the day, where your cell phone works normally.

If you can go without WiFi until midnight (or later) on day 2 of the cruise, you will not have to pay for the first day and only pay pro-rated amount for the rest of the sailing.

Dining packages will save you money

If you want to enjoy some specialty restaurants without paying full price, invest in a dining package.

Royal Caribbean's dining packages provide a set amount of specialty restaurants at a fraction of the list price to dine there.  Quite often, a dining package can knock as much as half off the regular per person price.

Purchase this before your cruise and make reservations on embarkation day.

Look for residency discounts

Before you book a cruise, ask your travel agent if there are any special rates for residents of your state.

You would be surprised how many residency deals there are, and not just for states that have cruise ships sailing from them.

Royal Caribbean regularly targets different areas of the United States and the world with special rates.

Crown and Anchor discounts available for balcony rooms

Once you hit Platinum in Crown and Anchor Society, you automatically qualify for a balcony stateroom discount on every cruise.

The exact balcony discount rate depends on your status level in Crown and Anchor Society, and it goes up with each tier you reach.

Before you assume that balcony or suite is too expensive, make sure you include your balcony discount.

Extra onboard credit for rebooking onboard

Royal Caribbean's Next Cruise program rewards guests that book another Royal Caribbean cruise while onboard their current cruise.

Essentially, booking another Royal Caribbean cruise onboard with Next Cruise gets you free onboard credit for doing so. 

Unlimited drink packages have the potential to save money

You will save much more money by not buying any alcoholic drinks on your cruise, but since so many do enjoy cocktails, beers and other beverages during the cruise, the best way to savor these within a budget is to buy a drink package.

If you buy a drink package in the months leading up to your cruise, you can lock in a lower price compared to what it costs onboard, and you will spread out the total cost of the cruise.  A drink package purchase requires full payment up front, so that means it could be on a different credit card billing cycle from your cruise fare.

There is no question a drink package has the potential to save money, it just relies on you to take full advantage of what the drink package offers.

Discounts sometimes available for certain occupations

Royal Caribbean regularly offers discounts to guests who have certain jobs, including active or retired military, teachers, police officers and more.

Among the many available discounts, there can be special rates reserved for certain vocations, so be sure to let your travel agent know what you do for a living, and if you are active or retired military.

Casino offers special rates

If you have gambled enough on Royal Caribbean cruise ships in the past, you might qualify for incredibly cheap fares or even free cruises.

Just like land casinos, Casino Royale offers special offers to entice gamblers back onboard and low cruise fares and complimentary sailings are one of those perks.

Royal Caribbean credit card can rack up discounted fares

Just like an airline branded credit card, Royal Caribbean's credit card is aimed at cruise line loyalists who want to earn rewards for a cruise vacation.

By using the Royal Caribbean credit card you can earn discounts or even a free cruise from everyday purchases.

Pre-pay gratuities

Pre-paying gratuities allows you to lock in the current gratuity rate, as well as assist in budgeting the total vacation cost by having part of the cost be paid at different times.

Every so often, Royal Caribbean adjusts the gratuity rate, but if you have opted to prepay, you will be grandfathered into the old rate.

Look for drink specials onboard

When looking at Royal Caribbean drink prices, many guests base their math of whether a drink package makes sense off the regular price for drinks, but in reality, there are drink specials all around the ship that bring that price down.

One of the best ways to get a deal on a cocktail is to order the drink of the day.  The drink of the day is a select cocktail that changes every day, which has about a 20% discount on it and is available from most bars onboard.  You can just ask the bartender or waiter what the drink of the day is and take advantage of those savings.

In addition, individual ships will run their own bar specials, like 2 for 1 deals, drink combo deals and other happy hour discounts.  The exact details of a drink special will vary from ship to ship, and sailing to sailing, but it is important to understand that they exist.  

To find drink specials, consult the Cruise Compass for some advertised deals, as well as walk around bars and look for posted signs.

Book spa treatments on port days

Fans of spa services will find port days to have the best deals.

The spa usually offers the best deals on port days to attract guests to book services because everyone is off the ship.  Check the daily spa specials on your port day to see what's available.

Put your phone into airplane mode

If you leave your cellphone active while on a cruise ship, it can connect to the ship's cell phone antenna while at sea, or to a local network at one of the ports you are visiting. Nearly every cell phone plan calls this "roaming", and that means you pay a hefty price for placing calls, sending texts and using data.

To avoid this mistake, simply put your phone into airplane mode once you get onboard on the first day. Airplane mode will disable your phone's antenna and prevent it from connecting to any network.

You can still use apps and other functions of your phone while in airplane mode, including connecting to WiFi. 

Ask for no souvenir cup

One way to cut down the cost on those tasty cocktails is to skip the souvenir cup.

Often a waiter will walk around the pool deck with a great looking drink in a souvenir cup, but if you ask for the same drink in a plastic cup, the price of the drink will go down.

Book a cruise during less-busy months

Royal Caribbean offers cruises throughout the year, but there are certainly times of the year when cruising is more in-demand than other times. 

If you can, consider taking a Royal Caribbean cruise when most schools are in session because these are the times of year when you will be able to net some super savings.

The best months for the lowest fares include

• January (except New Years)
• February (except Presidents Week)
• First two weeks of March
• October
• November (except Thanksgiving)
• First two weeks of December

Book a cruise on older ships

When you watch any of Royal Caribbean's television commercials, you will see scenes from their Quantum and Oasis class ships and they are absolutely amazing experiences, but they also come with premium pricing.

To save money, book a cruise on an older ship instead.

I know it sounds like with an older ship they will not have all the whizz-bang features of the new ships, but Royal Caribbean has spent millions of dollars in upgrading these ships and I would not hesitate to cruise on them.

Take advantage of Kids Sail Free offer

A great money-saving promotion for families it the Kids Sail Free deals.

During select times of the year, Royal Caribbean offers third and fourth passenger fare for kids 12 years old and under staying in the same room as their parents.  

The "catch" is there are lot of blackout dates, primarily around school holidays and breaks.  If you can manage to book a cruise while Kids Sail Free is offered, it can represent tremendous savings.

Book a guarantee stateroom

If you do not care which specific room assignment you get, a guarantee stateroom can shave off hundreds of dollars from your cruise.

A guarantee stateroom is when Royal Caribbean gives you a discount on a particular category of rooms in exchange for giving up the ability to choose your exact room.

The exact discount you can expect for opting for a guarantee room depends on the sailing.

Repeat cruisers get onboard discounts

After just one Royal Caribbean cruise, you can expect a list of onboard discounts available to use on every sailing.

These discounts are provided by the Crown and Anchor Society, and it includes discounts on drinks, internet, laundry and more.

The exact discounts vary from tier to tier of the customer loyalty program. As you move up each tier, the discounts get more lucrative.

Look for a sheet in your stateroom with the exact discounts available.

Don't book too many shore excursions

While there are tours available in every port you will visit, you do not necessarily need to book a tour in order to see the sights.

In Europe in particular, it is easy to visit the biggest attractions on your own by walking or relying on public transportation.

This can be much less expensive than touring with a group on an organized tour, and maybe more enjoyable, too.

Bring every toiletry that you might need

While Royal Caribbean sells most toiletry item you might need onboard its ships, it will cost much more than buying it at your local store.

To avoid overpaying for toothpaste, sun screen or medicine, be sure to bring more than enough of it all to ensure you do not run out.

Avoid double tipping

If you order a beer or alcoholic beverage, Royal Caribbean will automatically add a gratuity to your bill, so unless you really loved the bartender or waiter, don't tip them twice.

Often guests don't really read the receipt and are so accustomed to adding a tip that they don't realize gratuity has been automatically applied to the bill. 

Ask for specialty restaurant specials onboard

If you see a waiter walking around the ship asking if you want to dine at their specialty restaurant, ask if there is any special price they can offer.

When the restaurant sends someone around to drum up business, it is usually a sign they want to fill spots, and (nicely) asking for a discount is not unusual.

You may need to commit to a reservation that day to get the deal, but it is a great way to sweeten the deal.

Senior Citizen discount

Are you over 55 years old? You may qualify for a special discount!

Guests who are 55 years or older can qualify for reduced rates, so you will need to contact Royal Caribbean or your travel agent to inquire about exact rates.

Look for the drink card

Have you heard about something where you can pre-purchase 10 drinks for a set price? Usually the price is somewhere between $75-85 and you can share the drink card with anyone you want. That means a $12 cocktail would cost you really about $7.50-$8.50 each with the drink card.

The "catch" with the drink cards is you cannot pre-purchase them for your cruise, and there are no guarantees they will be available on any particular sailing.  Generally, it will be offered on the third to fifth day of a 7 night cruise.

If the drink card is available, it usually becomes available around half way through your sailing, so on a 7-night cruise, it might show up on day 3 or 4.  

Again, there is no means of which to know if a drink card will be available on your cruise with any kind of certainty.

Take advantage of free drinks

Believe it or not, there are ways to get free drinks on your Royal Caribbean cruise.  Granted, there is no way to effectively drink all day like this, but any free drinks you can get are less drinks you have to buy!

One of the best ways to get free drinks is by being a Crown and Anchor Society member.  Diamond level and above members are eligible for three free beverages per evening from 4:30 to 8:00pm, in addition to the unlimited complimentary beverages in the Diamond Lounge during those hours.

All Crown and Anchor Society members will have special coupons pre-loaded on their SeaPass account that provide deals like Buy One, Get one beer, wine or soda by the glass.  In addition, Royal Caribbean holds Crown and Anchor Society events onboard for members, with complimentary cocktails served.

Free champagne can also be found at select events, including art auctions, Captain's Welcome and during holiday celebrations.

Free onboard credit if you own Royal Caribbean stock

If you own at least 100 shares of Royal Caribbean Group stock (RCL), you can get extra onboard credit.

You could get up to $250 in onboard credit by being a shareholder, so be sure to take advantage of this offer if you qualify.

Last minute deals

While I always advocate booking a cruise as far in advance as possible, last minute deals are possible.

Around 60 days before the cruise departs, you can look to see what availability and pricing is present.  Around this time, cruisers whose plans have changed have already canceled, cruise lines have a good read on passenger load, and last-minute deals begin to emerge. The reductions may or may not continue as the sailing date draws closer.

Ask your travel agent for "Going, Going, Gone" rates as another way to quickly identify discounted sailings that are coming up.

Wave Season deals

The cruise industry has the most offers in the early part of the year, known as Wave Season.

Between January and March, cruise lines tend to roll out their best deals of the year in an effort to set up bookings for the rest of the year.

It is always a good idea to track the new offers during Wave Season to see if there are any particularly good deals to jump on and book.

Avoid laundry costs by packing enough clothes

Since Royal Caribbean does not offer self-service laundry, the only laundry options you have will cost you extra.

Your best bet is to pack enough clothing to avoid having to send any laundry out during your cruise. Planning ahead with extra outfits can ensure you do not have to spend more on getting clothes cleaned.

You might also consider buying single-use detergent packs so you can wash small garments in your stateroom bathroom sink.

Cabin upgrades for less

One way you might be able to get a stateroom upgrade for less is to bid for it.

The Royal Up program allows guests to place bids for a stateroom upgrade in the weeks leading up to their cruise.

This is a blind stateroom upgrade bidding program, where close to your sail date you can let Royal Caribbean know how much you would be willing to pay if an upgrade situation presented itself.

Bring your own snorkel equipment

One of the most popular Caribbean shore excursions is to go snorkeling, and bringing your own equipment would not only save you money on an excursion, but allow you to use it in more than one port.

There are no restrictions on using your own snorkel equipment, even Royal Caribbean's private destinations of Perfect Day at CocoCay or Labadee.

Note that if you don't have your own snorkel vest, you will be required to rent one while snorkeling at its private destinations. 

Keep checking prices after you book

After you book your cruise, you can take advantage of price drops all the way up until your final payment date.

If you spot a better price for the same room category and sailing you are on, have your travel agent reprice the cruise to get the lower rate.

Being able to reprice is not available in all countries (such as the United Kingdom or Australia), but for guests in the United States or Canada, it is a great way to get the best price.

Repositioning cruises tend to be the best values

If you want to pay the least per night on your cruise, you should consider an "open-jaw sailing".

Transatlantic, transpacific and cruises that begin in one port and end in another port tend to be priced very reasonably, and are usually longer sailings too. With less stops in port towns and cities, these ocean cruises are often a cheaper options.

Set up a group for your friends and family

If your group of friends or family will need 8 cabins or more, you should talk to a travel agent about setting up a group with Royal Caribbean.

Royal Caribbean rewards groups of people that book together with the same agency.  By setting up a group, the tour operator (whoever is in charge of the group) can get money back from the cruise line that could mean a big discount, or even a free cabin.

There are lots of perks for having a group, but speak to a travel agent before anyone books a room.

Group discounts

Even if you are not traveling with a group of people, group discounts can be available to just about anyone.

When a travel agency sets up a group, they get to lock in the pricing and often travel agents have access to group rates across their network consortium.

Being booked in a group does not require you to spend anytime with others in the group, it is just a discount that could save you a lot of money.

Shop around for travel insurance

Royal Caribbean offers its own travel insurance, but you should look at prices from other travel insurance providers to find the best blend of benefits and price.

Third party travel insurance providers are plentiful, and prices can vary considerably.

Ask for free seasickness medicine

While you should be prepared and have some seasickness medicine just in case, if you happen to forget it, you can get it for free from the cruise line.

If you are not feeling well, Guest Services and/or the medical center is usually happy to provide complimentary over the counter seasickness medicine to anyone that asks.

Ask others to share taxis

When in port, if you see other cruise guests waiting for a taxi, ask if you can share a ride with them.

If both of your groups can fit into a single taxi, you can split the cost of the cab and save money compared to getting a private ride.  Plus, you might make new friends!