Company Profile for Royal Caribbean Cruises Ltd (RCL)

Royal Caribbean Cruises Ltd. is a global cruise company operating a fleet of vessels in the cruise vacation industry. The Company operates through brands which primarily serve the contemporary, premium and deluxe segments of the cruise vacation industry, which also includes the budget and luxury segments.

Address:
Royal Caribbean Cruises Ltd 1050 Caribbean Way Miami, FL 33132 United States Phone: 1-305-539-6000 Fax: 1-305-374-7354

HIERACHY

Richard Fain Chairman

Luis Leon CFO, Executive VP

Vikki Freed Sr. VP, Treasurer

Adam Goldstein President and CEO

Royal Caribbean International is the second largest cruise company in the world with 29 cruise ships and 60,590 berths. Royal Caribbean has 5 different Classes of ships. Freedom Class Voyager Class Radiance Class Vision Class Sovereign Class

Within this category is our Central Park View and Boardwalk View staterooms, comprising of:
-View of the ocean Central Park or Boardwalk -Two Twin beds or one Queen-size bed -TV and telephone -Refrigerator or minibar -Private bathroom with shower

-Vanity area
-Hair-dryer -Room service available 24 hours a day

Enjoy a hassle free day where everything is organized for you.

The tours our operated independently at each destination.

Theres just no better way to start off married life than a Royal Caribbean cruise. . After all the build-up to the big day, you can relax and just enjoy spending time with each other.

-The DreamWorks parades are not to be missed and feature characters such as Shrek, Marty and the penguins of Madagascar.
-Your trip will be an unforgettable memory for your children when they get to meet some of their favorite movie characters. Get the whole family to pose for photos with Shrek, Fiona, and Po from Kung Fu Panda, or join them on a colorful parade around the deck. -They could even join you at the dinner table! You can also see their films on the big screen in amazing 3D, or if you want some quiet time back in your stateroom.

The Cruise industry is the most exciting vacation category in the US and Canada with an average rate growth far greater than any other category. Since 1980, the cruise industry has had an average annual growth rate of 8.4%. Approximately 71new ships have been to be added to the North American fleet from 2001 through 2010. Cruise industrys greatest growth category has been the 2-5 days category.

BUT

ONLY 15% of the US population, has EVER Taken a CRUISE !!

YEAR 1995 2005 2011

% US Cruisers

11

15

Market shares of cruise line organizations. (2011)

Strongest brands in the cruise line business. (2011)

RCI for Customers:

RCI wants to measure value in order to examine the consumer engagement levels. Therefore, value to consumers is usually a combination of different touch points that cruise line organizations measure in order to improve their service.

Important touch points in delivering consumer value.

TARGET MARKET STATEMENT:

Marketing Policies:
-Royal Caribbean Brand: The Royal
Caribbean is an established global brand, putting them second in its market.

-Pricing: The cost is affordable, ranging from

$699.00 - $1,500.00 per person, which includes sea travel, accommodations, meals and entertainment, not including flight.

-Sales Objective. Focus on European and Asian

market

-Positioning Strategy: RCI wants the target

audience to view the Royal Caribbean Cruise Line as an affordable way to make your dream vacation become a reality.

SO Strategies Increase promotions that focus on the many amenities & products RC has (S6, S8, O2) Expand RCs presence into Europe (O7, S5, S2) Increase promotions & marketing in North America specifically (O3, O2, S8, S6) Look into possible acquisitions & alliances to enter into European market (O7, S4, S8)

WO Strategies Increase promotions & marketing to people who have never cruised to generate more revenue (W2, O2, O3, O1) Offer budget cruises to price-sensitive cruisers (W3, O3, O1) Offer cruises that are catered specifically to families (W3, O1, O5)

ST Strategies

WT Strategies Use fuel swap agreements to reduce costs (T3, W2, W4) Sell old ships that are not as fuel efficient (W4, T3) Start reporting financial data by cruise line/segment to use for evaluation to strengthen RC against competition (W1, T6)

Obtain ships that are efficient to save money on fuel (S5, T3)
Make cruisers aware that in 2004 only 1% of cruisers were affected by nor virus & the precautions RC uses (T2, S5) Offer discounts when people less likely to cruise (T4, T1, S3) Promote various marketing alliances & products available on cruises to gain a competitive advantage & to make up for increased taxes (T6, T5, S6, S8)

BCG Matrix
The leading cruise line in terms of market share is Carnival Cruises with about 51.6% share. Data based on average annual growth rate of about 8.5%

RCI carries about 32.6% of cruise line market share around 25.6% of which comes from Royal Caribbeans ships and the other 7% coming from Celebrity Cruises.

IFE
Key Internal Factors Weights 0.0 to 1.0 Internal Strengths Increase net revenue yields Revenues growing Capital expansion of celebrity cruise line Expanding passenger capacity deal signing with Finland's Kvaerner-Masa to build bigger Ultra Voyager ships with capacity of 3,600 0.03 Using latest information technology software to manage operations 0.1 Internal Weaknesses During 2009-2010 RCI experienced weaker margins due to pricing pressure caused by weak US economy, traveler safety concerns, and increasing capacity Net Income falling Higher marketing costs due to reduced demand because of weak economy and ongoing conflict in the Middle East RCI financed recent shop acquisitions by issuing debt Highly leveraged with LT Debt-to-Equity ratio of 1.31 Totals 4 0.4 3 0.09 0.07 0.2 0.2 3 3 4 0.21 0.6 0.8 Rating 1 to 4 Weighted Score

0.1 0.05 0.05 0.1 0.1 1

2 1 2 2 2

0.2 0.05 0.1 0.2 0.2 2.85

Strategy #1 Increase European Presence We hope to increase revenues by at least 50% in the European segment - if we add 2 more ships to the European fleet this should not be a problem. Strategy #2 Customer Segmentation and Targeted Marketing/Advertising With this strategy we hope to get a better feel for where our money and customers are coming from, to be better able to evaluate our effectiveness. We wish to increase our revenues by 10% per segment using increased marketing efforts. Strategy #3 Increased Marketing for Celebrity Cruises We wish to increase Celebritys market share by at least 3% (they are currently around 7%). This strategy will increase popularity of Celebrity Cruises and aid in the eventual expansion of the line.

Alluring WORLD!
-Royal Reunions -. -REST & RELAXATION -ACTION & ADVENTURE -DINING OPTIONS -KIDS & FAMILIES -ENTERTAINMENT & SHOPPING

AWARDS and ACHIEVMENTS:

2011,2010,2009. Globe Awards - Best Cruise Company

2009 Gold Best Feature Placement-Consumer Newspaper USA Today article Gold Best Feature Placement-Consumer Magazine TIME magazine article .

Customer Choice Award -Readers Choice Platinum List (2010) Best Cruise Line in the Whole World -Voyager Magazine (2009)

RCI and Technology

Its Not Only about the Beauty, Entertainment, excursions etc. but also about TECHNOLOGICAL advancements.

RCI and INDIA

One MAN, you think, who could bring RCI to INDIA????

For any Further, cruising ADVENTURE, visit to the nearest operator!

Tirun, Travel Marketing, GF-3, Shail, near Navrangpura Telephone Exchange, Ellis Bridge, Ahmedabad 380006 Make a Call @ 079-2640-2001 2640 2003

Thank YOU!

-Khushali

-Abhishek
-Anubhav

-Chetan A
-Vaibhav