4 hours ago - Business

Royal Caribbean expands loyalty push with new credit cards

Kelly Tyko

Three large cruise ships sail the calm blue sea at sunset, with an orange sky and distant islands on the horizon; one is named "Icon of the Seas". — Royal Caribbean Group is expanding its loyalty push with new credit cards spanning its cruise brands. Photo: Courtesy of Royal Caribbean Group

Royal Caribbean Group is rolling out new credit cards as cruise lines adopt airline-style loyalty tactics to keep travelers spending between trips.

Why it matters: Repeat customers drive the cruise business — and rising costs are pushing companies to keep them engaged year-round.

Driving the news: The Miami-based company said Tuesday it's rolling out two new credit cards with Bank of America — what it calls the cruise industry's first tri-branded credit cards, including a no-fee option and a $99-a-year version with higher rewards and added perks.

The cards — Royal ONE and Royal ONE Plus — allow travelers to earn points on everyday spending as well as cruises, and redeem them across Royal Caribbean, Celebrity Cruises and Silversea.
Perks include onboard credits, priority boarding and annual cruise discounts for frequent spenders.

The big picture: Airlines and hotel chains have long relied on co-branded credit cards to drive loyalty and generate billions in high-margin revenue. Cruise companies are trying to build similar ecosystems.

Royal Caribbean Group, whose stock has surged in recent years and is now worth more than its biggest rivals combined, is leading that push.

Between the lines: The credit cards build on the recent loyalty changes, including an updated program that lets travelers use points across its three brands and also match status between them.

The bottom line: Loyalty is becoming a bigger battleground for cruise companies.

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Royal Caribbean expands loyalty push with new credit cards

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