Perks, status matches, family ties: How cruise brand loyalty is evolving

24.06.2024 - 22:09 / travelweekly.com / Cruise Line

It's difficult to persuade Kelly Brewer's clients to try another cruise line once they've racked up loyalty status points with a particular brand.

The Arkansas-based owner of a Cruise Planners franchise and a top producer for Carnival Cruise Line said her clients have little interest in trying out another contemporary line or upgrading to a premium one once they achieve Carnival Gold status after 25 days of cruising.

When she suggests moving those clients to Royal Caribbean International or Princess Cruises, "most of the time they won't, even if the rate is similar, because of the loyalty status with Carnival," Brewer said. "So many passengers on Carnival will proudly display their gold, platinum and diamond status. They act like it's some type of royalty to reach diamond."

• On the Record: Royal Caribbean Group CEO Jason Liberty

Whether driven by bragging rights or unlocking special perks, loyalty programs have long enticed consumers to maintain brand loyalty.

And some cruise lines have recently gotten more creative, offering status-matching programs that recognize travelers for their dedication, even if it's to other brands.

The moves come as loyalty programs undergo an evolution, said Jeff Zotara, chief marketing officer of Arrivia (No. 18 on Travel Weekly's Power List), a travel tech company that provides travel loyalty, booking and marketing solutions to companies like American Express and Marriott Vacation Club.

Loyalty program development is currently at an all-time high, he said, as businesses focus on increasing customer lifetime value.

"Back in 2021, brands were all about customer acquisition. How do we get more and more and more and more clients? Now that has shifted to, how do we keep these clients for a longer period of time and create longer lifetime value?" Zotara said.

At the same time, ongoing concerns about inflation have travelers hunting for value, he added.

Within the cruise industry, loyalty program perks vary but often include free WiFi, a drink on the house, discounted spa treatments and priority boarding, with sweeter perks coming at higher status levels. Some include exclusive experiences like receptions for guests who have reached specific tiers.

Each line awards loyalty status to their guests differently. Some are tallied by the number of cruises they have taken or the number of days they have sailed with the line. Others are based on a system that awards points for certain purchases, such as larger cabin categories.

Royal Caribbean Group this year leaned into that renewed consumer interest in loyalty programs to try to keep its cruisers in the family.

Starting in May, it launched a loyalty status match program that transfers a guest's highest status tier on either