Posted by: cruise2 | 9 October, 2010

Each Additional New Cabin Can Generate $100,000 A Year

Image via Wikipedia

by Mark Tre

As an executive of the Freeport’s’ Grand Bahama Shipyard told Seatrade Cruise Review recently, for the extra cabins it has been adding to Holland America Line’s Statendam and Rotterdam class ships, the potential revenue to the line is in the order of $100,000 annually per cabin. This will be true of course for every double-occupancy cabin that can generate $1,000 per passenger per week. And if less, there is still the onboard spend generated by increasing passenger numbers.

MS Oosterdam at San Diego port.
This applies equally well of course to newbuildings. Let’s have a look for a start at the latest generation of Holland America cruise ships. On its most recent Panamax platform, the line has slowly added extra cabins to each ship since Zuiderdam and Oosterdam of 2002 and 2003, so that the latest pair, Eurodam and Nieuw Amsterdam (which even has an extra cabin over her sister) have more than 125 cabins more, which has unfortunately resulted in a squared off profile aft where once were tiered decks.
The progression has been as follows:

Over at sister company Cunard Line, with its longer Queens on a similar platform, this month’s Queen Elizabeth will have thirty-nine more cabins than her near-sister Queen Victoria of 2007, and once more a square stern than should produce almost $4 million more a year rather than the more appealing tiered decks of Queen Victoria.
The comparison between these two sisters follows:

Equally, Norwegian Cruise Line has been incrementally increasing the passenger capacities of its new ships as they have been produced for the past decade, adding another 111 cabins between its Norwegian Star of 2001 and Norwegian Jade in 2008.

These are just three examples of lines maximizing their passenger cabin count on a single platform but there are many more examples of existing ships having further cabins added to increase revenue potential.

In particular Holland America has been replacing swimming pools with cabin spaces below, even if they are inside cabins.

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