Celebrity Cruises has announced some changes to its payment schedules. This adjustment includes only sailings of 15 nights or more and those headed to the Galapagos. The new terms, which take effect from January 30, 2024, involve an earlier final payment date for these specific voyages.
Adjusted Payment Schedules for Extended and Galapagos Sailings
As of January 30, 2024, Celebrity Cruises has revised the final payment dates for two categories of sailings. For cruises lasting 15 nights or more, excluding those to the Galapagos, the final payment will now be due 120 days before sailing, the former deadline was 90 days before sailing.
In the case of Galapagos sailings, final payment is required 150 days before departure, adjusted from the previous 120-day deadline. The new policy will apply to cruises that sail in July 2024 and beyond. However, reservations made before the introduction of these changes will maintain their original payment terms.
Besides the Galapagos cruises onboard Celebrity Flora, Celebrity Xpedition, and Celebrity Xploration, the cruises that have been affected by the new payment change consist of seventeen 15-day or longer cruises between April 2024 and April 2026.
The list includes a variety of cruises to the Pacific Ocean, transatlantic and transpacific cruises, Panama Canal Cruises, and Australia cruises onboard Celebrity Edge, Celebrity Summit, Celebrity Solstice, Celebrity Constellation, Celebrity Ascent, and Celebrity Equinox.
New Policy Could Scare Away Guests
The change in payment schedule could have a wide range of impacts on guests booking cruises. This may affect those who prefer last-minute planning or those who rely on staggered payments over time.
The new policy could also pressure guests into making decisions earlier, scaring away those who are hesitant to lock in a cruise this far in advance. Don’t forget that if a cruise is cancelled by the guest before the final payment date, they may usually do so with little to no financial penalty.
Once the final payment date has passed, cancellation fees tend to increase significantly. The closer the cancellation is to the departure date, the higher the fee, often resulting in a substantial portion of the cruise fare being non-refundable.
Why Did Celebrity Cruises Change Payment Dates?
Celebrity Cruises, part of the Royal Caribbean Group, did not explain the policy change. However, cruise lines often change their terms and conditions based on economic factors, or operational reasons.
It could be that Celebrity Cruises has seen a decline in interest in longer cruises and Galapagos Cruises. The cruises to the Galapagos Islands have been under strain since the unrest in Ecuador.
Due to the size of the expedition ships, accommodating 100 guests onboard Celebrity Flora, 48 guests onboard Celebrity Xpedition, and just 16 guests onboard Celebrity Xploration, and the nature of longer cruises and unique destinations like the Galapagos, means the cruise line has to go through extensive planning and allocation of resources. Knowing exactly how many guests will be onboard as early as possible will make operational planning easier.
On top of that, the Galapagos cruises are often combined with extensive Pre- and/or Post-Cruise Packages that bring guests to destinations such as Quito, Lima, Cuzco, the Sacred Valley, and Machu Picchu. These packages include air transfers, five-star accommodations, and tours. By implementing an earlier payment schedule, the cruise line reduces the financial and operational risks.
The shift to earlier payment deadlines also helps improve the cruise line’s cash flow and reduce the financial risk for the cruise line. In the event of cancellations, there is additional time to resell cabins.
Factors such as global economic conditions, travel trends, and challenges like the COVID-19 pandemic (which caused a huge amount of policy changes) continuously influence policy changes in cruise lines. Adapting strategies to respond to these external influences is a near-constant requirement.
