Norwegian Cruise Line Holdings (NCLH) plans to spend around $5 billion on new ships and refurbishments for its two most upscale brands over the next five years, a larger investment than any other cruise company is making in the luxury space in that time span, said CEO Harry Sommer.
It's a level of spending, he said, that calls for additional resources.
"With that type of investment and the financial goals and the guest-experiences goals that we set out to accomplish, it was very important for us to have an executive on the team that was fully devoted to the space," Sommer said.
That person is former Regent Seven Seas Cruises president Jason Montague, who NCLH appointed to the newly created position of chief luxury officer, overseeing both the Regent and Oceania brands.
Montague's role puts him back in charge at Regent and gives him oversight of Oceania, which he helped launch in 2002.
"Obviously, I have a very intimate knowledge of both brands," Montague said. "Some of the same team members are all the way back from the very beginning with Oceania and we came together at Regent, so I know the team very well. I'm going to be diving in headfirst."
Sommer said that Montague was a logical choice given how instrumental he's been for both lines, as president of Regent for six years and president and COO of Oceania for two. Sommer and Montague also worked together at Prestige Cruise Holdings, Regent and Oceania's parent company prior to its acquisition by NCLH in 2014.
Montague will be responsible for the entire brand experience for both Oceania and Regent when he steps into the role on Feb. 17. (Oceania president Frank A. Del Rio will report to Montague.)
The most important of his responsibilities will be ship design and development, Sommer said, but Montague will also focus on deployment, the onboard experience and the customer journey through marketing and bookings.
Sommer expects Oceania and Regent to debut five new ships between now and 2029. The first of these will be the Oceania Allura, which will launch in July in the Mediterranean. After that, both brands will debut larger ship classes, making them more efficient to run and offering better returns, he said.
Oceania's next class of ships, internally referred to as "Project Quattro," will be slightly larger than their predecessors, Sommer said. The additional size will offer Oceania more room for new guest experiences, largely regarding food and public spaces, he added. The first ship is expected around 2027.
Regent's next class will be significantly larger and carry more passengers, offer a larger space ratio, experiment with new restaurant venues and have slightly larger public spaces, Sommer said. The line plans to build two of those ships by 2029.
NCLH plans to refurbish the Oceania Marina in 2026 and the Oceania Riviera in 2027. The refurbs will add concepts that have been successful on the Vista, like its bakery. The company will also refurbish Regent's Seven Seas Mariner this year and Seven Seas Voyager in 2026.
"The industry has evolved over the last five, 10 years, so it's always good to take a fresh look and to look at how we chart the course going forward," Montague said.
Reaction from travel advisors
Carlos Edery, CEO and co-founder of North Miami Beach, Fla.-based Luxury Cruise Connections, said he was intrigued by Sommer's move to appoint a chief luxury officer to oversee the brands. He expects Montague to bring better alignment and synergy to Oceania and Regent while preserving their unique identities.
"I can see this leadership shuffle signaling a push for even stronger differentiation and innovation to attract new guests while enhancing the experience for returning ones," Edery said. "Jason's expertise and vision could help further solidify their positioning in the competitive luxury cruise market."
Montague also has a record of balancing innovations with a focus on what made Regent special for its repeat guests, Edery added.
Lainey Melnick, owner of a Dream Vacations in Austin, Texas, said she is encouraged that NCLH is bringing back a seasoned cruise veteran.
"It bodes well for my luxury clientele that they are listening to the market and bringing on new ships, refurbishments and investing in the future of luxury travel. My clients have loved the new Regent ships, and as more travelers are experimenting as aspirational luxury clients, this is a great opportunity to convert them," she said.
While Melnick is happy to see Montague return, she said she is sorry about the departure of current Regent president Andrea DeMarco, who will step down March 4 after helping with the transition.