Carnival cruises seem to be getting more and more alcoholic in the era of the pandemic.
Passengers are spending proportionately more on alcohol, gambling, spa treatments and other onboard purchases, executives said in the company’s latest earnings call.
This bolstered Carnival’s non-ticketing revenue per guest, although travel and capacity remain limited due to the coronavirus.
Onboard income has been a source of growth for cruise lines for several years, but the era of the pandemic has seen these expenses increase in importance.
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Investors will be watching to see if the leap in this business is sustainable.
Carnival, whose namesake line was marketed as “Fun Ships”, attributes the increase in part to bundled packages such as beverage packages purchased when booking trips.
Many passengers are also teeming with credits accumulated from canceled cruises during the Covid-19 pandemic, when the industry was completely sidelined for more than a year.
Packages, including those for internet access, allow customers to spend more for free once on board, CFO David Bernstein said on a September 24 earnings call.
“When people get on board, they really have a new wallet,” he said. “It gives more incentive to spend on board altogether. “