of Shore Excursions Ellen Lynch Director, Shore Excursions Holland - PowerPoint PPT Presentation

The Competitive Environment of Shore Excursions Ellen Lynch Director, Shore Excursions Holland America Line Seabourn

Cruising Australia – 1987! Through excellence, we create once-in-a-lifetime experiences every time. - Holland America Line mission statement

 HAL/SBN brand overview  Market changes  What are we doing about the change  How does it impact you?

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Itinerary Planning PROFITABILITY

Our Commitment to Cruising Australia Darwin Sherrard Island Port Douglas 2013/ 2014/ Yorkey’s Knob Cairns 14 15 Townsville Hamilton HAL: Island Exmouth Oosterdam, Volendam Ports 17 18 Brisbane Calls 43 55 Geraldton Freemantle SBN: Bunbury Esperance Sydney Port Lincoln Adelaide Sojourn, Odyssey Eden Albany Kangaroo Penneshaw Island Ports 17 “17” Melbourne Geelong Calls 31 TBA Burnie Bold: HAL&SBN 2013/14/15 Port Arthur Ital: HAL in 2014/15 Hobart Red: SBN only

Guest Mix for 2012 HAL Australia Voyages 0% 20% 40% AUSTRALIA UNITED STATES CANADA GREAT BRITAIN NEW ZEALAND GERMANY (Deutschland) NETHERLANDS JAPAN OTHER

HAL 2012 Australian Trade Overview USA C ANADA A USTRALIA N ETHERLANDS G ERMANY G REAT B RITAIN N EW Z EALAND # of Guests 6,511 1,786 7,071 1,102 286 404 561 Total OBR $ pPCD Bar Beauty and Massage Communication Miscellaneous Photo Retail Shop Shore Excursions 21% 25% 36% % OBR 46% 52% $ pPCD 59% 61% 22% by 24% Category 13% 6% 2% 4% 10% 3% 13% 12% 17% 16% 6% 13% 9% 3% 3% 5% 3% 4% 6% 2% 3% 2% 7% 8% 3% 8% 6% 4% 10% 3% 4% 29% 5% 24% 5% 23% 21% 20% 11% 9%

What do guests buy?  Varies by… – Itinerary – Length of cruise – Ship class – Brand – Time of year – Nationality – Trends

Tour Development Know the guest Tour Mix • Classics, i.e. city tours  International/Domestic • Unique/exclusive  Independent groups  Local, i.e. food, family,  Back to Back cruisers customs - “insider  Cruise Price information”  Physically Challenged  Soft adventure  Repeat guests  Must do experiences  All price points Itinerary Price ceiling  Avoid redundancies  Not if the guest perceives  Know competing port value options → Tour prices $27 $11,499 pp → Duration 45 min. 8 days! → 0 39 Tours per port Longest 1 day tour 18 hours

What are we looking for?  Local and international appeal  Guides, guides, guides  It’s all about the delivery –  Quality transportation  Brand specific/exclusivity  Flexibility – we’re not easy to work with!

The Collections of Holland America • Exclusive • Seven Wonders • Been there done • Socially & • Private transport • First class style environmentally of the World that? • Car, minivan, significant • Smaller groups • Other national • Designed for boat, floatplane, Excursions treasures repeat guests etc. • ‘Feel good’ or • Tours that make • Beyond the well • Guest ‘altruistic” you go “Wow” known attractions customizes their experience • Marine itinerary Protected Areas

Uniquely Seabourn  Exclusive experiences  Expectations are high  Private Arrangements – Dedicated Private Arrangements Coordinator – Uncompromising service – Customized itineraries

Independent Attractions  Package attractions  Maximize time ashore  We work hard to sell our tours!

Challenges  Changing demographic  Multi-language guests  Independent travelers  Safety  Insurance  Pricing – GST – Foreign exchange – Require net rates/volume  External Competition

External Competition Embedded Sales Automation Programs Guests Booking Directly w/ Tour Operators Internet Competitors Guests Selling to Guests Shore Independent Tour Companies Excursion Groups Going Direct Guests Choosing Alternatives Travel Agents Booking Directly for Guests Guests Booking Through Online Consolidators

Pre-cruise Emails/Blasts  eBrochures  Print brochures  Shore Excursion Call Center  Website  Groups sales  Social Media  Sales Force  Analytics team 

Website  Videos Shorex  Port   32% more likely to book after viewing  Website redesign  Value message – why buy from us?

Shore Excursions – Online Reviews Past guest reviews provide authenticity to the shore excursion program

Shorex Promotional Emails 1. Increase prebooked participation and demand 2. Mitigate erosion of our sales 3. Currently blasted in North America “New promo code capability”

Shore Excursion Call Center  15 person shore excursion call center  100K+ calls annually  Alternative to the website  Agents can upsell  North American/Australian/Dutch toll free lines - Australia since February 2013

Group Shore Excursion Website  Online requests  Custom, exclusive transport  Group tours visible only to the group

Social Media Facebook, Twitter, YouTube & Pinterest

Onboard  Tour Talks  Tour videos  Order Forms  Vendor Rack Cards  Flyers  iPads  Shore Excursion Desk  Port Lecturer

iPads  Mobile Shorex POS System  Photos sell tours!  Flexible selling – We go to the guests Guest Name Itinerary Current Shorex booked

Onboard Guest App – coming soon!  Pre cruise/cruise  Guests control schedule  Purchasing

To summarize……

 Flexibility  Test new ideas  Leverage technology  Listen to our guests  Know our guest  Listen to our partners  Communicate our message