Carnival Cruise Line borrows Royal Caribbean’s controversial plan

In 2019, just before the Covid pandemic, Royal Caribbean completed a $250 million overhaul of its Perfect Day private island at CocoCay. At the time, it seemed like the move was made to give cruise line passengers the best possible private island experience.

Before the renovation of Perfect Day at CocoCay, private islands were essentially beach days. They had to be negotiated, and once they were there, other than bars, children’s play equipment and a barbecue lunch, the only thing to do was the beach.

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Royal Caribbean changed things up by investing in CocoCay. The cruise line has added a pier that can accommodate its two largest ships, as well as the largest pool in the Caribbean, a water park for an additional fee, a beach club for an additional fee, zip lines and a hot air balloon ride (both of which also cost extra).

This year, Royal Caribbean also added Hideaway Beach, an adults-only section of CocoCay for an additional fee. Passengers can still have a classic beach day if they choose, but they can also do much more, making Perfect Day at CocoCay more of an extension of their ships than just a beach day.

CocoCay’s expansion was part of a much larger strategy for the cruise line, and it appears that its main competitor, Carnival Cruise Line, is following the same plan.

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Royal Caribbean has a plan

Royal Caribbean only builds very large cruise ships. It has several ships on order for its largest class, the Icon class, and one new ship for its second largest class, the Oasis class. These ships cannot enter many smaller ports, and Royal Caribbean plans to build several CocoCay-style ports for them.

Royal Caribbean International CEO Jason Liberty explained the cruise line’s plans for private destinations during its second-quarter earnings call.

“We also continue to lead the leisure industry with new and exciting experiences on our ships and our portfolio of private destinations. Perfect Day at CocoCay continues to perform exceptionally well and we are approaching important milestones in the opening of the Royal Beach Club Paradise Island in 2025 and the Royal Beach Club Paradise Island. The beach club in Cozumel, Mexico will open in 2026,” he said. “This new experience gives us a unique opportunity to continue to take advantage of land-based alternatives.”

As part of its strategy to attract customers from theme parks and other land-based competitors, Royal Caribbean is also offering more short sailings stopping at CocoCay.

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He noted that the cruise line uses its newest Oasis-class ship, Utopia of the Seas, exclusively for 3-4-day Caribbean cruises.

“Our Caribbean short cruise product is an important entry point for cruise newcomers and new brands, with around 7-10 guests following these categories and always more targeted towards younger customers. Young consumers find this product particularly attractive. In fact, around 40% of guests who follow this demographic indicated they intend to book a short break within the next 12 months. What’s more, 90% of guests who travel on our short-term product plan to cruise again, with approximately half planning to return. for a longer cruise,” he added.

However, some of the cruise line’s existing customers don’t like this strategy, as they prefer classic 7-night cruises on the newest ships. Many consider the decision to debut Utopia with short cruises and move its predecessor Wonder of the Seas to 3-4-night cruises out of Miami in 2025 controversial.

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Carnival is betting on the Caribbean and short cruises

While Carnival has not decided to dedicate its newest ships to shorter Caribbean cruises stopping at private islands, it will increase the number of 3-, 4- and 5-night cruises. For the 2026 season, the cruise line will continue to operate short Carnival Conquest cruises to Miami, while Carnival Glory and Carnival Freedom will operate similar itineraries from Port Canaveral.

“Carnival has added additional three-, four- and five-night cruise options to some of the most popular destinations in the Bahamas,” the company said in a statement.

All of these sailings will stop at Celebration Key, Carnival’s new private destination that will clearly borrow heavily from what Royal Caribbean has built at CocoCay. The cruise line will also add a berth at Half Moon Cay, the current private island, to enhance the passenger experience.

“These cruises give our guests multiple opportunities to enjoy a vacation with all the vibrant onboard entertainment they know and love, as well as visits to the scenic ports of the Bahamas, including our flagship new destination Celebration Key,” said Carnival’s vice president of itinerary. Planning Fred Stein.

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Carnival also increased its planned number of sailings to Celebration Key from 400 to 500 for the 2025 season.

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