Carnival Cruises sinks again
Carnival Cruises (CCL) is having one fiasco after another. I had just about talked my wife into an ocean cruise when the Costa Concordia owned by Carnival hit the rocks and sank on January 13th. I was watching the news on January 24th just as divers pulled another missing body from the wreckage. I could hear the postman's truck coming down the street and went to get my mail.
To my surprise there was a joint mailing from Carnival Cruises (CCL) and American Express (AXP) offering me a $100 on board credit if I would book a cruise on the already sunk Costa Concordia. I called the 800 number on the offer to give them my opinion that it was not only in poor taste but a marketing blunder by them for not pulling a mailing weeks after the ship had sunk.
To my surprise instead of getting an apology and maybe a offering of a discount on another cruise - which is what I would have done if I managed the call center - the phone rep started ripping me a new one. When I voiced that I thought she was out of line and asked to speak to a supervisor she really let loose on me again and hung up on me.
I was stunned! Here was an opportunity to perform damage control and market to a potential customer another cruise and they chose to blow it by attacking me.
I wasn't a new customer. Last summer my mother and I took a very enjoyable 14 day cruise to Alaska on the Holland America ship called the Amsterdam and thought the $12,000 total we spent on the cruise was a great value.
Enough about how poorly Carnival is handling this disaster let's look at the numbers. They tell me more than just the ship has hit the rocks:
Barchart technical indicators:
1 - 96% Barchart technical sell signal
2 - Trend Spotter sell signal
3 - Below it's 20, 50 and 100 day moving average
4 - 35.44% off its previous 1 year high
5 - Relative strength Index 41.15% and sinking
6 - Recently traded at 30.79 which is below its 50 day moving average of 32.73