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Carnival Cruise Lines1Deborah Leek-NunooCarnival Cruise LinesApril 21, 2013Carnival Cruise Lines2AbstractCarnival Cruise Lines is a leader in contemporary cruising and operates 24 ships designed to provide fun and memorable vacation experiences at an outstanding value. Carnival Cruise Lines, which celebrated its 40 anniversary in 2012, is one of the most recognizable brands in the cruise business and carried over 4 million passengers in 2012, the most of any individual cruise brand. Carnival Cruise Lines has a broad appeal to families, couples, singles and seniors and carried more than 710,000 children in 2012. One common denominator among its guests is their desire for a truly fun and memorable vacation experience.
Carnival Cruise Lines3How did Carnival Cruise Lines management build the line into the dominant brand in the industry?Carnival Cruise Lines was formed in 1971 by cruise industry pioneer Ted Arison, when he purchased an ocean liner from Canadian pacific Empress Lines for 6.5 million. He then name it Mardi Gras to make the cruise ship attractive and seem like it would be a fun party.For Arison’s dream to come true he knew that he would have to think of a upbeat and up to date ideas to bring passengers aboard, so he invested in casinos, nightclubs, and other types of entertaining activities to add to the cruise experience. So, Arison decided to change core marketing aspects by targeting young first time cruise passengers, and using multimedia advertising which established a “Fun Ship”. The “Fun Ship” is still the marketing strategy used to bring customers aboard today. Carnival was able to achieve their success by targeting younger first time passengers. In 1987, Carnival deemed their marketing strategy true when the customer profile revealed that 30 percent of the passengers were between the ages of 25 and 39 and had a household income of $25,000 to $50,000. Arison’s wanted to offer a product that was price comparable to land base vacation packages sold by travel agents. Carnival’s package included activities, entertainment and meals which were often priced below resorts or theme parks.