Celebrity Millennium mechanical issue cost about $13 million in ticket revenue

English: The Celebrity Millennium cruiseship d...

English: The Celebrity Millennium cruiseship docked in Nassau, Bahamas (Photo credit: Wikipedia)

After the recent mechanical issues with the Celebrity Millennium, Royal Caribbean Cruises Ltd., which owns Celebrity Cruises, announced Tuesday the cancellation of the remainder of the ship’s seven-night cruise to Alaska and four additional cruises, when a faulty propulsion caused the return to port in Ketchikan on August 18. At the time, about 2,200 guests and nearly 960 crew members were on-board. The company will offer full refunds to all passengers who have been stuck in Ketchikan and also to guests booked on the other canceled sailings, as well as a certificate for a future cruise.

Lost revenue will show in many forms, including costly repairs of the vessel and lost on-board revenue. Based on actual ticket pricing, Cruise Market Watch estimates lost ticket revenue of $13,851,093:

Sail date

Ticket Revenue

8/16/2013

 $ 3,058,593

8/23/2013

 $ 2,908,601

8/30/2013

 $ 2,555,152

9/6/2013

 $ 2,512,067

9/13/2013

 $ 2,816,680
 Total  $ 13,851,093

Only time will tell if the unknown variable of customer sentiment will correlate to an additional effect on incremental sales, but our guess is that even naysayers would have a difficult time saying no to a $31.76 dollar/day 16 day cruise to Southern Europe on board of the Carnival Sunshine, which according to our database is the cheapest inside cabin on a per passenger per day basis that you could book.  Happy sailing!

1 Comment

Trackbacks/Pingbacks