Category Archives: Air Service Management

Community Air Service Performance

Community Air Service Performance – Who is Responsible?

Community Air Service Performance – Who is Responsible?
Hint: It’s Not the Airlines!

Community air service performance is critical for both communities and airlines. Communities want to keep up flight service, while airlines want increased profits from your community’s flight routes. Because airlines want to maximize profits, one would assume that airlines should bear most of the responsibility for improving your community air service performance, right?

Follow the Money – Airlines Are System-Focused
Airlines focus on maximizing system profit for their entire business and not on profits from specific markets. Most airlines do not advertise their air services to each community; rather they advertise at the national level to promote their overall quality and system offerings.

Airline System Profitability is More than the Sum of its Parts
Doesn’t every profitable air service market, add to overall airline system profitability? It depends. When an airline can show a solid profit on a specific route and provide passenger feed traffic revenue that helps all of its routes, that route service is very valuable to system profitability. Community air service performance that provides low feed traffic, however, is less valuable for airlines because it contributes little to all other system routes.

The Community Air Service Challenge
The current challenge for many communities is the availability of alternative airline routes that could offer major airlines both a profitable market route and more system profit. This could lure airlines to drop service to your community and move elsewhere.

Airlines are also attracted by incentives or airline risk abatements offered by other communities competing for airline service. Risk abatements also increase the profits of major airlines.
These two factors; alternative airline route options and many communities offering risk abatements, will prevent airlines from fully investing in marketing your community flights and improving your community air service performance.

My Community is an EAS Community.
Will this improve our chances of an airline putting more focus on our flights success?

Small subsidized EAS communities, often see more airline-initiated community advertising, support and development initiatives. Despite this enhanced airline support, community air service performance may still fall short of EAS subsidy qualification standards. If one airline serves many communities, then the overall quality of air support can suffer.

Your community cannot just rely on these airlines to meet the qualifications for EAS subsidy. Losing air service flights could mean the permanent loss of access to the air transportation system for your community. Airlines, however, can move the plane serving your community and will only lose a small fraction of their market when flights to your community are cancelled.

In short, airlines stay in business but your community will lose your airline service. Your community has the best chance for meeting EAS subsidy qualifications and retaining your subsidies and air service, if your community takes responsibility for community air service performance.

Recent actions like the EAS enforcement policy Docket OST-2014-0061 which came out on October 24, 2014, reaffirm the critical need to strengthen community air service performance. This new policy defines the future enforcement of the $200 maximum per passenger subsidy. Communities do not have much time to follow departmental standards. If a community still does not comply with standards by September 2016, it could lose its EAS subsidy status and most likely its air service.

The answer is clear. Each community needs to take on the responsibility for community air service performance. Communities need to invest in effective community air service support and development actions. The stakes are high for your communities.
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Community Flights is an air service support and development company that focus’ on community air service performance. www.communityflights.com provides more information about Community Flights approach, clients and experience. To find out more about Community Flights EAS Support and Development Programs Click Here for a short presentation

Support Airline Service

Support Airline Service: Use Highly Targeted Marketing

Support Airline Service: Use Highly Targeted Marketing
We Recommend Incorporating Data Analytics.

When you support airline service with highly targeted marketing you will improve your air traveler capture and your chances for air service success.

Typically your air traveler demographic and psychographic make-up is different from your drive guest so we recommend air guest specific marketing and using an excellent Data Analytics
program to drive your market support. Knowing your air passenger segments allows you to put the right message in front of the right passenger type at the right time via the right media. This maximizes air passenger capture and is the best way to support airline service.

Look at your current air passenger purchasing patterns and other facts to help you know what message will work with each passenger segment, and at what time via what media. If you truly want to effectively support airline service, invest in a Data Analytics program or provider to fine tune you air passenger targeting and messaging.

When you effectively support airline service you set your community up to compete successfully against other airports who are often vying for these same passengers. A your more likely to catch more fish using the right bait your also more likely to capture more passengers when you target your air service offerings and features through targeted messaging.

Community Flights has developed over 35 best practices and guiding principles for communities looking to improve their air service. The above is just a small sample of a complete guidebook of best practice.

If you’d like to receive the complete guidebook for FREE: Community Flights Air Service Development Best Practices and Guiding Principles, email: scott@communityflights.com and ask that we send the full guide.

Scott Stewart is the principle of Community Flights; an air service support, development and management company. Community Flights works with communities, organizations or businesses on leveraging the great economic asset that air service is for economic gain. Scott formed Community Flights in January 2013 to help mobilize community support efforts and guide clients in bridging the “air service understanding gap” with the airlines to create an airline and community win-win air service support and performance environment. You can find more info about Community Flights at www.communityflights.com. Contact Scott Stewart directly at scott@communityflights.com

Community Air Strategy

Community Air Strategy Should be Based on Reliable Data, Not Your Gut

Community Air Strategy Should be Based on Reliable Data
Do Not Determine Air Strategy by Your Gut

Community Air Strategy needs consistency with your target airlines. Airlines make decisions based on reliable data and they expect their partners to do the same. You need to speak the airlines language which is data driven. You will not convince the airlines to add air service or capacity without reliable analysis supporting your proposal.

Community Air Strategy should not be driven by your gut or the gut of a member or members of your board or community. Community Air Strategy decisions should ignore anecdotal information. Too often a personal bias can inflate the demand for one destination or another and could drive you to choosing the wrong airline to the wrong destination for your air service.

Community air strategy should a) use reliable and pertinent data, b) have professional analysis of the data  and c) ignore all non-data supported assumptions and arguments which can mislead the community into air service errors.

Let your gut do the job intended, the storage and processing of food. Drive your Community Air Strategy with valid data that has been expertly analyzed.

Community Flights has developed over 35 best practices and guiding principles for communities looking to improve their air service. The above is just a small sample of a complete guidebook of best practice.

If you’d like to receive the complete guidebook for FREE: Community Flights Air Service Development Best Practices and Guiding Principles, email: scott@communityflights.com and ask that we send the full guide.

Scott Stewart is the principle of Community Flights; an air service support, development and management company. Community Flights works with communities, organizations or businesses on leveraging the great economic asset that air service is for economic gain. Scott formed Community Flights in January 2013 to help mobilize community support efforts and guide clients in bridging the “air service understanding gap” with the airlines to create an airline and community win-win air service support and performance environment. You can find more info about Community Flights at www.communityflights.com. Contact Scott Stewart directly at scott@communityflights.com

Air Service Choices

Air Service Choices Should be Prioritized by “Best Spend” and “Greatest Return on Investment” Principles

Air Service Choices Should be Prioritized by Best Spend and Greatest Return on Investment Principles

Prioritize air service choices by set standards of “Best Spend” and “Greatest Return on Investment”. This will help your community air service succeed. Starting with the best opportunities (the center of the bulls-eye), and slowly moving out to riskier options will lead to better risk management and overall program stability.

You must remember that air service that is more successful requires less funding support. This air service is easier for a community to sustain. You should set as a priority choosing air service where there is a high passenger demand over aspirational service where you hope to develop a market. Once you’ve exhausted the markets that are most likely to self-support themselves, you can then look to develop market demand in new markets.

When you don’t prioritize your air service choices effectively, you can damage you ability to maximize air service to your community. It can lead to service not being self-sustaining or exhausting your funding sources. Your air service choices can then impede your ability to execute on other air service opportunities. Many airlines require community partners in supporting air service, which requires funding. Without sufficient community funding in today’s airline industry, opportunities are non-existent or can often become unrealized. Airlines often move on to other opportunities in other communities where the funding is present.

When you prioritize your air service choices wisely you can put your air service program on a firm foundation today and into the future.

Community Flights has developed over 35 best practices and guiding principles for communities looking to improve their air service. The above is just a small sample of a complete guidebook of best practice.

If you’d like to receive the complete guidebook for FREE: Community Flights Air Service Development Best Practices and Guiding Principles, email: scott@communityflights.com and ask that we send the full guide.

Scott Stewart is the principle of Community Flights; an air service support, development and management company. Community Flights works with communities, organizations or businesses on leveraging the great economic asset that air service is for economic gain. Scott formed Community Flights in January 2013 to help mobilize community support efforts and guide clients in bridging the “air service understanding gap” with the airlines to create an airline and community win-win air service support and performance environment. You can find more info about Community Flights at www.communityflights.com. Contact Scott Stewart directly at scott@communityflights.com

Passenger Demand

Passenger Demand Should Drive Air Service Decisions

Passenger Demand Should Drive Air Service Decisions
Act Strategically…Not from Your Gut

Passenger demand should drive air service decisions. While this sounds so logical that it shouldn’t even be stated you’d be surprised by how many communities will make decisions by their gut or even a misplaced sense of logic.

It is less costly and easier to succeed when new air service market decisions are driven on historical passenger demand. This also lowers the airline’s risk.There are many data sources on air service traffic that can be used to aid you in your decision. Communities and airports would be wise to use this data. Why guess on passenger interest when you can know this interest. To use this air data most effectively in identifying the best air service acquisition options you may want to engage a consultant who has knowledge in interpreting the data accurately. This cost will be a good one because it improves your chances of long-term success of your air program.

Passenger demand should drive air service decisions. It is much more costly to successfully support markets when you have to create new demand. In some cases, particularly for tourism dominant leisure markets, you may have to do some market development in any potential acquired air market. In these cases we recommend coming out with a strong destination brand and knowing well what target customers your tourism community fits and will be appealing to. Knowing this will help you to find and rank the target air service markets to pursue acquiring service to.

When you know that passenger demand should drive your air service decisions you will save air service development funds and help give yourself the best chance for air service success.

Community Flights has developed over 35 best practices and guiding principles for communities looking to improve their air service. The above is just a small sample of a complete guidebook of best practice.

If you’d like to receive the complete guidebook for FREE: Community Flights Air Service Development Best Practices and Guiding Principles, email: scott@communityflights.com and ask that we send the full guide.

Scott Stewart is the principle of Community Flights; an air service support, development and management company. Community Flights works with communities, organizations or businesses on leveraging the great economic asset that air service is for economic gain. Scott formed Community Flights in January 2013 to help mobilize community support efforts and guide clients in bridging the “air service understanding gap” with the airlines to create an airline and community win-win air service support and performance environment. You can find more info about Community Flights at www.communityflights.com. Contact Scott Stewart directly at scott@communityflights.com

Beat Air Service Competition – You’ll Fly Higher!

Beat Air Service  Competition – You’ll Fly Higher!
First Steps: Maximize your current flight load factors and revenue

Beat air service competition – You’ll Fly Higher! Community Flights has a successful record helping communities increase flight load factors and flight revenues, the first critical step to sustaining or acquiring air service.  You must pursue supporting your community air service to do better than other communities air service.

Beat Air Service Competition

Beat Air Service Competition with Community Flights

You likely won’t fly higher nor beat air service competition, if your efforts to grow your air service skip the critical first step of insuring your incumbent air service is healthy and profitable for the airlines. Going after more air service when you current air service is not capturing strong passenger occupancy or producing strong airline revenues will likely be a wasted effort.

As a business…would you go to great cost to bring a pricey to run plane to a community where there is a big question whether its current air service is profitable?

No. You have bosses and shareholders to answer to.

You’d ask yourself: If this new market failed, how would I explain why I went into this market knowing its current air service was unprofitable or had a questionable air service performance.

If your current flight and flight revenue performance is less than strong:   Can you really expect to get more flights from the airlines?

If you want to fly higher and beat air service competition, focus on producing a highly successful incumbent air service – before approaching an airline to add flights.

By the way…it’s not just about performing strongly with incumbent service but also about performing better comparatively to the many communities out there wanting more air service. We can’t say it enough…in today’s shrinking domestic US airline market you need to beat air service competition if you hope to expand your air service.

Community Air Service acquisition is a highly competitive effort.

Community Flights Air Passenger Capture Efforts…
Will help place your community so that you are beating your air service competition.

If you’d like to see your community maximize your air service flight performance and improve your chances for air service growth, give us a call. We’ll tell you how Community Flights can improve your air service performance. This will typically help create air service growth opportunities as well as drive up the economic activity stimulated by your airport!

Beat Air Service Competition

Beat Air Service Competition with Community Flights

Community Flights helps communities to beat air service competition.

Community Flights
Telluride, Colorado 81435
scott@communityflights.com
970-759-3559

Sample Community Air Service Website    

Grow community air service sustainably

Grow Community Air Service Sustainably

Grow Community Air Service Sustainably
Be Cautious with your Air Service Growth

Grow community air service sustainably and you will see long-term air service benefits.

Fight against the want and sometimes community pressure, to grow community air service too quickly. If there is a chance you will overreach and be unsuccessful with new air service or this new air service damage incumbent service, you should err on the side of caution.

There are multiple benefits to your community when you grow community air service sustainably. Consistent growth vs. inconsistent air service development builds airline trust and reduces airline risk. This creates more growth opportunities for your community and saves on the long-term air service investment needed.

When you grow community air service too quickly every air service market failure puts doubt about whether your community can be a profitable market. Airline doubt makes your community look risky and the level of incentives or revenue guarantees to capture the air service increases. Over time, this can increase the level of community investment needed to improve your air service or put up a big road block to capturing any new air service.

Community Flights has developed over 35 best practices and guiding principles for communities looking to improve their air service. The above is just a small sample of a complete guidebook of best practice.

If you’d like to receive the complete guidebook for FREE: Community Flights Air Service Development Best Practices and Guiding Principles, email: scott@communityflights.com and ask that we send the full guide.

Scott Stewart is the principle of Community Flights; an air service support, development and management company. Community Flights works with communities, organizations or businesses on leveraging the great economic asset that air service is for economic gain. Scott formed Community Flights in January 2013 to help mobilize community support efforts and guide clients in bridging the “air service understanding gap” with the airlines to create an airline and community win-win air service support and performance environment. You can find more info about Community Flights at www.communityflights.com. Contact Scott Stewart directly at scott@communityflights.com .

Strong Current Air Service

Strong Current Air Service: Where Air Service Acquisition Should Start

Strong Current Air Service: Where Air Service Acquisition Should Start
To Gain New Air Service Your Incumbent Air Service Needs to Work!

Strong current air service. If your community doesn’t have strong current air service knowing this can help turn your focus to supporting your community flights. This the best community first step to gaining new air service in this situation. If you pursue new air service while your incumbent air service is doing less than well, or you can’t answer the question: “Do we have strong current air service,” you are jumping the shark and hurting not only this near-term effort but damaging your long-term community air service development prospects.

The question “Do we have strong current air service,” is likely to get a positive response if your community is acting more like Yakima, Washington and Gunnison, Colorado and not Klamath Falls, Oregon. It means you’re proactively focusing on increasing community awareness and engagement with your current incumbent air service instead of prematurely pursuing new air service acquisition.

When Yakima answered the “Do we have strong current air service” question a year ago they started a community awareness program (Fly YKM Campaign) that focused on building-up usage of its current flights. Yakima flights had produced a 59% load factor. Through the FLY YKM efforts over the past year load factor increased to 73%. From recent discussions with Alaska Airlines, Yakima appears close to regaining some air service it lost over the last few years.

Gunnison, Colorado also answered the “Do we have strong current air service” question by focusing on air service support. Gunnison has highly seasonal air service that had seen many years of capacity decreases. Last winter Gunnison began a Fly GUC campaign as well as initiating other programs like the Gunnison Airfare Club that put local traveler attention on the local flights in a positive way. The winter 20122013 load factor of 62% increased to 72% in winter 20132014 leading to an air seat capacity increase of about 5% for this coming winter 20142015. This defies a trend of over 6 years of consistent capacity decreases at Gunnison due to low load factor and revenue performance.

Klamath Falls, Oregon had seen a consistent decline in capacity the last three years from about 64,000 seats to 42,000 seats until this June 2014 when air service on United ceased altogether. Klamath Falls appears to not have asked the question “Do we have strong current air service”. Their decline followed many years of low load factors below 70% which also had a declining trend over these years. The focus for this community for most of this decline period was on getting new flights and not focusing on making the flights they had work first – through community flight support and awareness campaigns. They did eventually start these support efforts but unfortunately for Klamath Falls the flight support efforts began only months before they lost all their commercial air service. Klamath Falls, by not asking and answering the question “Do we have strong current air service”,  focused their efforts on attracting new flights instead of putting more support into the flights they had. They lost their commercial air service.

Asking and answering honestly “Do we have strong current air service” is a critical first question to ask so you can appropriately direct your focus to new air service pursuit or current air service support. For communities not performing well, if you focus first on driving comparatively strong air service performance with your incumbent air service you can then later acquire new air service.

Almost every community recognizes the economic benefits that come with good air service access. Profitability of your air service alone isn’t the magic bullet for capturing new flights. Recognizing the competitive nature of the many communities wanting new air service and insuring that your community air service portfolio is strong comparatively will help make sure you win out over competing communities for new flights.

If you invest in supporting your current air service and don’t take this for granted you will likely end up doing well with your air service. When you out compete most other communities then you will be able to answer “Do we have strong current air service” in a positive way.

Community Flights has developed over 35 best practices and guiding principles for communities looking to improve their air service. The above is just a small sample of a complete guidebook of best practice.

If you’d like to receive the complete guidebook for FREE: Community Flights Air Service Development Best Practices and Guiding Principles, email: scott@communityflights.com and ask that we send the full guide.

Scott Stewart is the principle of Community Flights; an air service support, development and management company. Community Flights works with communities, organizations or businesses on leveraging the great economic asset that air service is for economic gain. Scott formed Community Flights in January 2013 to help mobilize community support efforts and guide clients in bridging the “air service understanding gap” with the airlines to create an airline and community win-win air service support and performance environment. You can find more info about Community Flights at www.communityflights.com. Contact Scott Stewart directly at scott@communityflights.com .

 

Understand How Air Service Choices Impact Funding Efforts

Understand How Air Service Choices Impact Funding Efforts

Understand How Air Service Choices Impact Funding Efforts
Avoid choices that don’t drive self-sustaining Air Service funding

Air service choices impact funding efforts. When you understand how air service choices impact funding efforts you can build a program over time that is solid and self-sustaining. We think you should ask some of the following questions when considering your air service choices:

> Do you have the funding to support both the new and incumbent air service successfully?

> Will the extra guest capture you forecast with your air market decisions, offer sustainable or better funding? Can you keep up or grow air service in the longer term?

Recommendation: Avoid air service choices that may meet lesser priority goals and don’t drive self-sustaining funding. This can reduce overall air program funding. It can also often lead to long-term air service capacity reductions.

When you don’t understand how air service choices impact funding efforts, bad choices can cost your community. Your air program funds can decrease limiting future growth potential.

When you don’t understand how air service choices impact funding efforts, you can mistakenly select air service that meets only the needs of the few. Because this doesn’t follow market principles, the air service choice will ultimately be unsustainable and fail.

Community Flights has developed over 35 best practices and guiding principles for communities looking to improve their air service. The above is just a small sample of a complete guidebook of best practice.

If you’d like to receive the complete guidebook for FREE: Community Flights Air Service Development Best Practices and Guiding Principles, email: scott@communityflights.com and ask that we send the full guide.

Scott Stewart is the principle of Community Flights; an air service support, development and management company. Community Flights works with communities, organizations or businesses on leveraging the great economic asset that air service is for economic gain. Scott formed Community Flights in January 2013 to help mobilize community support efforts and guide clients in bridging the “air service understanding gap” with the airlines to create an airline and community win-win air service support and performance environment. You can find more info about Community Flights at www.communityflights.com. Contact Scott Stewart directly at scott@communityflights.com .

Respect Airline Staff Time Challenges

Respect Airline Staff Time Challenges: Get Airline Response

Respect Airline Staff Time Challenges: Get Airline Response
Your Community is Only One of Hundreds They Serve!

Respect airline staff time challenges or you could find the airline slow to react to your community support requests. Failure to respect airline staff time challenges will get your emails redirected to their spam box and your calls unreturned. Critical coordination needed for the success of your air flight investment will not occur if you do not respect their time. Further, you could put at risk the success and continuation of your air service.

If you don’t understand that each airline analyst deals with close to 100 markets you are missing a key point. You do not respect airline staff time challenges if oftentimes you are treating them as the library of congress or a professor – they are not their to educate you or your community, they are their to do their jobs in helping their airline to higher profitability.

If instead you do come in with a clear and quick agenda for your meetings and do all you can to reduce the impact of the community on the various airline analysts time, you will avoid the spam box they will answer your calls! You’ve shown you respect the airline staff time challenges. The various airline analysts and other staff are the gatekeepers to coordinating well with the airlines which can help drive your flights to greatest performance and success.

Community Flights has developed over 35 best practices and guiding principles for communities looking to improve their air service. The above is just a small sample of a complete guidebook of best practice.

If you’d like to receive the complete guidebook for FREE: Community Flights Air Service Development Best Practices and Guiding Principles, email: scott@communityflights.com and ask that we send the full guide.

Scott Stewart is the principle of Community Flights; an air service support, development and management company. Community Flights works with communities, organizations or businesses on leveraging the great economic asset that air service is for economic gain. Scott formed Community Flights in January 2013 to help mobilize community support efforts and guide clients in bridging the “air service understanding gap” with the airlines to create an airline and community win-win air service support and performance environment. You can find more info about Community Flights at www.communityflights.com. Contact Scott Stewart directly at scott@communityflights.com .