The price is about to rise for some travellers who want to vacation on the high seas. Carnival Cruise Lines, one of the world’s largest cruise companies, will introduce dynamic pricing for certain onboard packages starting on Dec. 1. The cruise line announced the introduction of dynamic pricing in a news release about its new packaging framework, called FunPacks. The company called the new structure its “largest offering of packages tailored to different vacation styles.” However, the prices for certain onboard packages are up in the air. The statement read. “Carnival will also introduce dynamic pricing for beverage packages and Wi-Fi plans,” the company said. “Pricing will vary based on sailing length, itinerary and season.” Carnival said the new dynamic pricing model will apply to Wi-Fi and beverage plans in bundled FunPacks and those purchased on their own. What is dynamic pricing? Also known as surge pricing, dynamic pricing is a strategy where businesses push up prices at times of high demand. This is commonly seen in airline ticket prices and hotel room rates during holiday seasons, as well as Uber surge pricing during peak hours. According to a 2024 report written by Kate Gibson for Harvard Business School, “Dynamic pricing is a strategy that bases products or services’ prices on evolving market trends.” Dynamic pricing has frustrated customers in the past. Recent examples include music fans hoping to score a concert ticket, only to find the prices had been hiked due to high demand. In this case, it may be cruise ship passengers sinking deeper into their wallets to maximize Carnival Cruise Lines’ revenues. In an email to CTV News, a representative from Carnival said dynamic pricing for individual beverage and Wi-Fi packages “allows us to better align pricing with the type of cruise a guest books while providing greater flexibility and reflecting seasonal demand.” “Importantly, once a guest purchases a package, their confirmed price is locked in and will not change even if pricing is adjusted later,” the statement read. With files from CTV News’ Elianna Lev
