Carnival Corporation takes lead on social impact travel with Fathom brand
Carnival Corporation’s Fathom brand aims to make good on an emerging social impact travel market and change the conversation concerning the cruise industry
A record 23 million passengers are expected to take a cruise in the next 12 months, and, as the numbers continue to pile up, the industry’s influence on the world economy, as well the communities in which it operates, will continue to grow. According to figures compiled by the Cruise Lines International Association, the industry contributed $117bn to the global economy in 2013 and supported 900,000 jobs: but more important than its size is the industry’s social and environmental contributions.
The New Economy spoke to Arnold Donald, CEO of Carnival Corporation, the world’s largest cruise company, and Tara Russell, President of Fathom and Global Impact Lead for Carnival Corporation, about the industry’s evolution and the role of social impact travel for the future.
“Attracting new cruisers to our industry is the next big opportunity for all of us”, said Donald. “Our chief competition is land-based vacations, so, as we better communicate our overall value, we can convince more new cruisers to vacation with us and exceed their expectations when they are on board.
$117bn
Contribution of the cruise industry to the global economy, 2013
900K
Jobs supported by the cruise industry in 2013
“Obviously, it is important for us to build a base of followers for the future. Millennials are now at that moment in their life when they’re making the decisions on where to go and how to vacation. If you look across our brands, particularly Carnival, about one out of every four people is a Millennial. The category has a need for exploration, knowledge, learning and adventure – we offer all of those… and at a great value in a convenient way.”
In catering to this emphasis on social and environmental development, particularly among Millennials, Carnival Corporation has introduced a new brand called Fathom: a different kind of cruise that combines one’s love of travel with one’s desire to make a difference.
“You haven’t seen anything yet like what’s to come”, said Donald. “This is the greatest industry in the world. Who else brings together families and friends to have such a great time at such a tremendous value?”
The Fathom brand
Millennials care about the impact of travel and tourism on society and the environment, and, in catering to this segment, the Fathom brand takes the expertise and resources of the world’s largest travel and leisure company, and channels them towards a sustainable end. By partnering with social enterprises and local organisations, Fathom can more easily bring sustainable benefits to the community, and in doing so underline the strength and depth of its commitments to corporate social responsibility.
By building long-term relationships both with local enterprises and the community, the benefits extend far beyond Fathom’s involvement and on to future generations. More than that, this commitment acknowledges the responsibility of the industry to protect and preserve the communities in which it operates. Being of the opinion that its reputation rests on sustainability and transparency, Carnival Corporation has done a great deal to pursue aggressive energy reduction and conservation initiatives, and reinforce its credentials as a valuable corporate citizen.
Fathom is due to set sail in April next year. Passengers will be able to choose from a range of social impact activities and experiences on shore and on board.
“Fathom will cater to a growing market of consumers who want to have a positive impact on people’s lives, and aren’t always sure where to begin”, said Donald. “We believe travel is a meaningful way to allow for personal growth while making purposeful and engaging contributions to the world.”
In realising this vision, Carnival brought in the non-traditional social entrepreneur Tara Russell, founder and chairman of Create Common Good, to work on the design and business model for Fathom, starting in 2013. “We created Fathom to meet the real hunger in the world for purpose, while at the same time tackling profound social issues through a sustainable business model”, she said. “We harness the assets and resources of the world’s largest travel and leisure company, and combine them with the talents and hearts of those working in social enterprises around the world.”
A growing market
The Puerto Plata region of the Dominican Republic is to become the company’s first partner destination, and those at Carnival are optimistic about expanding the benefits to the Carnival family. “Importantly, from a pure business perspective, Fathom generates a totally different conversation around cruising, stimulating greater demand for cruising in general”, said Donald.
On top of the brand’s on shore activities, the on board experience is focused on the social impact travel market and includes specialised, purposeful retail options and amenities, culturally and geographically relevant music and films, as well as Caribbean-inspired Dominican- and Cuban-themed menu options. Special on board programming will be designed specifically for Fathom travellers. Activities will range from an inspirational orientation, impact and casual fun education activities, to brief volunteer activity training sessions for some on-ground activities, and from conversational Spanish activities to personal enrichment. While docked in the Dominican Republic, the Fathom ship will serve as a comfortable, convenient home base for its travellers.
“Technically, Fathom is more than just a cruise; it’s a travel experience”, said Donald. “It’s very different from what people normally think of; like I said, there’s no casino on board, there’s no Broadway shows, the dining will be different – still fine dining, excellent dining and excellent food – there will be fun on board and all that, but the entertainment orientation is very different.”
Fathom has identified a sizable and growing market of potential social impact travellers – with an estimated one million in North America alone to add to the millions more seeking service-orientated travel experiences. Fathom will attract a significant and growing segment of travellers who have never before cruised, and cater to the next generation of travellers.
Russell said: “During the past 10 years, in countless conversations I have had with people eager to serve others and make meaningful societal contributions, there has been a common theme: people struggle to know where they fit in and often people have challenges finding trusted, easy ways to make a difference. Fathom exists to address this desire and to create an enduring, life-changing impact, both in the communities where Fathom operates, and in the lives of the travellers who embark on one of our journeys, allowing for unique impact experiences before, during and after the trip.
“With Fathom, we are building one-of-a-kind, collaborative community, social impact models and experiences, and a solid network of reputable local and global NGO partnerships that, once established, can be considered for replication across global regions and company brands. As Fathom grows and evolves, we will continue exploring additional Fathom destinations and experiences and identify powerful brand partnerships we can establish, both within the Carnival Corporate family, and also more broadly outside the corporation with other like-minded impact brands. In addition, we will evaluate these unique Fathom assets to determine which models can be scaled across other Carnival brands as a way to bring new experiences to existing cruise line guests.”