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Allegiant Air to suspend direct flights from Phoenix to Hawaii

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Grandpa +65

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Allegiant Air to suspend direct flights from Phoenix to Hawaii


Posted: Apr 03, 2013 8:13 AM MST Updated: Apr 03, 2013 9:34 AM MST

PHOENIX. Allegiant Air is set to suspend direct flights from Phoenix to Hawaii in August.

The suspension comes after officials found a dip in the demand for those flights, but they say that's a normal part of their business.

Officials say they cater to a leisure traveler and that market tends to have predictable seasonal fluctuation.

Allegiant, which flies out of Phoenix- Mesa Gateway Airport, normally sees a dip in vacation travel in September and October. A handful of routes are put on seasonal hiatus regularly or year-to-year.

Airline officials say they anticipate flights to Hawaii will be back for the holiday season, but they don't have a specific date yet.
Until August, Allegiant offers three flights a week from Phoenix to Hawaii.



http://www.myfoxphoenix.com/story/2...air-to-suspend-flights-from-phoenix-to-hawaii
 
Actually they are dropping a lot more than that, 7 of the 9 cities they serve.

There has never been an airline that succeeds in Hawaii as a low cost carrier, but a lot have tried and failed. My guess is people don't decide on a Hawaii vacation just because they can get a cheap ticket, they want to go there and may shop for lower fares, but cheap tickets don't create demand like they do to a closer vacation spot. I can see someone saying "Hey let's go to Vegas for the weekend because it's so cheap", not so much for Hawaii because even with cheap airfare it's not a inexpensive quickie vacation.
I know here in Hawaii they got a lot of bad press, part time FA's with no health care and maint. woes were played up more than their cheap tickets.

http://www.staradvertiser.com/s?action=login&f=y&id=201188191
 
Well that was quick..... The 2 -75's sat in remote more than they flew it seemed....

Agree with Dan, if you're coming to Hawaii for vacation it's usually for atleast a week. Unless ya stay at a hostel, you're gonna spend a fortune on hotels/vacation homes.... Saving an extra $50 bucks on a flight isn't nearly as critical.

This will make it hopefully that much easier for HA to introduce their NEO service... Hey lets take some a/c sooner... IMO:beer:
 
ETOPS was a bit harder than it looked. Southwest found that out also.

Doesn't have anything to do with ETOPS or on-time performance for that matter. Allegiant has been successful because they don't fly half empty airplanes at a loss! Like the majority of our markets, HI is seasonal, with the requisite pull down. I believe the last sentence of the article you quoted makes mention of that fact. Let's be honest, if it were AS you would probably be calling it a savvy business move.

I get it. You don't like the Allegiant experience, many don't! I drive right past Walmart to buy groceries at a store that charges me a 15% premium because I value an experience Walmart does not provide. It doesn't change the fact that the Walmart parking lot is full every single time I drive by.
 
Hawaii is not seasonal. There are periods of a few weeks from time to time that drop off (first 2 weeks of Dec for example), but it's a year round market with demand being pretty constant. Even Oct is very busy now and of course November is very strong. Last two weeks of Dec are the strongest of the year.
 
They said LAX was seasonal too....

They mean seasonal for the types of folks who will buy the packages & generate sufficient margins to make the flights worth doing.
 
Hawaii is not seasonal. There are periods of a few weeks from time to time that drop off (first 2 weeks of Dec for example), but it's a year round market with demand being pretty constant. Even Oct is very busy now and of course November is very strong. Last two weeks of Dec are the strongest of the year.

Yields are seasonal. Look at the ticket prices on your own airline! Allegiant is not dropping HI markets, they are learning how to be profitable in the HI market. Say what you will about the company but Allegiant has repeatedly proven they can make money, in non traditional markets, and I don't expect HI will be any different.
 
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These comments remind me of when Cramer said stay away from Allegiant stock because the Vegas housing market was bad.
 
I like the Hawaiian Airlines ad right above the article on the link. So much for 'unbiased' journalism...
And no; I don't work for Allegiant. -merely an observation.
 

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