A new division of Royal Caribbean Cruises Ltd that aims at leading experimental online tour provider is Gobe.com. It is an exclusive digital platform for tours and travels. It covers more than 4000 curated tours in nearly 97 countries today, aiming at more than 30,000 tours by mid-2018. With all focus on being consumer centric their aims to provide an exemplary experience to their consumers. GoBe.com offers three approaches to book: assemble visits to notorious destinations; private trips; and tailor-made “travel manifestations” inaccessible anyplace else. Ventures are arranged by goal, intrigue and gathering necessities. There will be an “attendant” perspective to the administration that will modify programs for people. “GoBe is in talks with Marriott and other inn organizations to offer neighborhood encounters for visitors remaining at their inns. He cited Michael Finn, who heads Marriott Vacations Worldwide, as saying his organization “is anticipating working with GoBe.” From various research about done by the Boston Consulting Group demonstrating a huge undiscovered market, which is currently booked offline 80% of the time.  Cruise industry has only 3%-4% market penetration, tours and activities comprise 9%-10% of the total travel market. This can be a big move towards trapping this niche segment.

Gobe.com Segmentation Strategy

Royal Caribbean strategy is to target various segments of the market. Segmentation is additionally reflected in the new advertisements campaigns, which will highlight different promotions that are separated into target distinctive demographics including single mums, explorers, and couples. An example of such segmentation is attracting the younger generations and introducing them to their services. Considering research expecting to find the occasion inclinations among youthful has uncovered an expansion in the prominence of travels among youthful grown-up holidaymakers. The exploration was completed and discharged by www.bonvoyage.co.uk; the site surveyed a sum of 1,647 UK grown-ups matured 18-30 on their current occasion decisions. Of those addressed, 17% expressed that they had been on a journey occasion inside the previous five years. At the point when asked to pick the principle explanations behind what good reason booking another journey occasion requests to them, the best answers rose as takes after: The various activities offered on board (62%), The cash sparing and cost saving parts of a comprehensive journey (nourishment/drink/diversion and so on.) (54%), less stress to stress out and book outings (44%), the chance to visit different destinations in a single holidays (37%), more engaging than other options by existing companies (23%).

Royal Caribbean is planning to persuade more youngsters to change from Airbnb and bundle holidays with its most recent battle. There are various reasons our gatherings of people have changed. The product itself is more fun now. Before individuals would have gone for packaged deals however now individuals are thinking about the opportunity to travel more with a view to have more fun and participate in more activities on board. The brand’s voyage encounter has developed by including exercises, for example, 4×4 trips and kayaking, which enable it to target its competitors like Airbnb and those customers who always prefer packaged deals.

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Industry Competition

Royal Caribbean (RCL) is stretching in many domains with extending their cruise lines, and acquisitions. To increase their market share they need to have more partners associated with them. Not only this the presence of many competitors in this industry influences its various strategies.

There are number of competitors for Regal Caribbean (RCL). Their major rivals are Priceline Group, Carnival Corporation, Ctrip.com, Costa Cruises, Norwegian Cruise Line and Oceania Cruises. Interest for such exercises is affected by political and general monetary conditions. Organizations in this industry are dependent on customer discretionary spending. The major challenge for RCL is picking the correct way to proceed reasonable outcomes.

The competition strategies include cooperation and consolidation but these theoretical differentiations are characterized by smooth transitions. There is always a need of different strategies for different markets in cruise line industry. The basic distinction for various Strategies can be made according to two factors i.e. internal growth, between cruise lines and external growth collaborating with other companies. The different partnership involves working groups, mergers companies, etc.

Customer oriented strategies

Royal Caribbean (RCL) believes to have customer oriented strategies. These customer oriented strategies helps in various decision making for the overall organization. This can includes strategies like market segment oriented strategies, division of market into homogeneous subgroups. These help in identifying target groups, their needs and wants and thus they help to customize in various operational and marketing activities. The various factors involved are socio-demographic, behavior, geographic and geographical criteria, etc. Royal Caribbean (RCL) believes to deliver the maximum in every aspects to its customers.


Royal Caribbean (RCL) knows the importance of environmental safety and thus believes in giving back to nature as well as safeguarding society. The company uses various technology to protect environment as whole. Royal Caribbean ultimate goal is of leaving zero-carbon footprint though it seems very difficult for a 200,000-ton cruise ship to carry 5,000 guests across the ocean without leaving any carbon emissions. But Royal Caribbean (RCL) have made this possible by implementing various modern technologies company’s new highly efficient fuel cell, and the cruise line has a new an “air lubrication system”. They have also developed a system known as Star Trek-looking digital boards that allows the company to monitor the status of their running engines every six second anywhere around the globe. RCL will be trying to implement these technologies to its fleet in stages. They are hoping to implement all these environmental friendly strategy in it 50% of the fleet by 2019, with installations across all ships will be completed by end of 2019.


Political and Legal issues faced by Royal Caribbean (RCL)

The cruise industry as a whole faces many risks all around the world caused by uncertainty over trade, economic and foreign policies. There is no way of forecasting future but there are few concerns that can be identified like the new US security policies affecting immigration and other issues related to Mexico and Muslim countries.

The issues that would affect Royal Caribbean directly are related to currency rates exchange, and increased delay at ports affecting its efficiency. Change in rules related to Visa requirements will have impact on European itineraries, For instance Southampton serves as important port connecting European countries and other continents. Government regulations also affects Royal Caribbean business especially related to create alternative itineraries in case of Muslim tourism getting diverted to North America. Other issues faced by the company are related to Labor laws, minimum wage rate policies, and employee welfare practices.


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