Cruise Lines Are Increasing On-Board Fees Because They Can’t Raise Fares
Photo Credit: A dog sled team driven by Maliko Ubl from the TEMSCO Helicopters Mendenhall Glacier Dog Sledding Tours and Alaska Icefield Expeditions welcomes the “Ruby Princess” to the port of Juneau during its maiden voyage in Southeast Alaska. Princess Cruises
Skift Take
Some lines call them service fees. Others call them gratuities. But one thing is for sure: cruise lines generate income by charging daily fees that aren't included in initial cruise fares. It's unclear whether the money is actually going to those who serve passengers, or represents a growing source of ancillary income to offset other costs. For now, we'll call this phenomenon hate sailing.
Cruising is cheap, at least that's what cruise lines tell customers in their marketing and advertising.
But cruise lines are raising daily service fees and gratuities, inflating the price of cruising for groups and those traveling with children.
Princess Cruises, a Carnival Corp. brand, is the latest to jump on the bandwagon. On Jan. 1, 2016, the cruise line will raise the daily gratuity rate for most passengers to from $11.50 to $12.95. For those staying in suites, the fee will jump from $12 to $13.95.
If you're footing the bill for a family of five staying in a suite, this adds up to a $472.50 charge in gratuity at the end of your sailing.
"We adjusted the gratuity rate to be comparable to cruise industry standards," said a Princess spokesperson. "The increase underlines ou
