America West FlightFund (Pre-2005 US Airways merger) - Airline Innovator W. Douglas Parker:

Airline Innovator W. Douglas Parker:
CEO of America West

The Pied Piper of Better Biz Travel

The airline industry is notorious for playing follow-the-leader in ticket pricing, route strategy, cabin amenities and mileage benefits. But who’s the leader? In the past two years, Phoenix-based America West has led the pack more often than most of its competitors. And the Pied Piper pushing change is 41-year-old W. Douglas Parker, an alumnus of American and Northwest specializing in finance, who took charge as chairman and chief executive in September 2001, a month to remember in American history. In July, after 10 consecutive months in the red, his airline finally broke into the black, and a month later he surprised both major and discount airlines by announcing the December launch of nonstop transcon service between JFK and L.A. ($386 round-trip) and San Francisco ($352) on Airbus 319s.The eighth or ninth largest U.S. carrier by various measures, America West wants to put the financial turbulence of the past behind it and cruise along in a lean-and-clean-cut mode to better fit today’s tough times. Parker recently told reporter Paul Burnham Finney what his flight plan now looks like.

http://frequentflyer.oag.com/stories/09112003/f111601-1.asp

"It’s working well. For instance, we have a new market in Cancun, which is doing great.
"

Glad to hear that.

<font face="Verdana, Arial, Helvetica, sans-serif" size="2">DP: We think we’re selling the product. The $2 billion is only some 3% of the entire total revenue pie in the airline industry. It’s hard to get the kind of brand recognition people talk about. Our slogan “Low Fares and Bonus Miles” pretty much wraps it up.</font>

Where, oh where, have the bonus miles gone? I haven't seen any in awhile-- except the greatly reduced internet booking bonus and a retread of the 5k promo. On Alaska, I'm looking at bonuses of 40,000 and 100,000 in the next three months.

As for the product, I was fairly pleased with it. When they eliminated real meal service in F between PHX and key East Coast business destinations, they pretty much lost me.

<font face="Verdana, Arial, Helvetica, sans-serif" size="2">PBF: You’ve made more noise with your food service “Buy On Board” than any other innovation. How’s that working out?</font>

This must be an old interview, as this program has been on the shelf for months now.

<font face="Verdana, Arial, Helvetica, sans-serif" size="2">PBF: What about electronics in the sky? Digitizing cabins? With real-time TV like JetBlue offers?

DP: We’re studying it and talking to people about live TV. We think that’s a product that might make a difference in the flight you buy. The industry tries hard to find differentiating criteria like that—something that makes your airline better than a competitor’s.</font>

Uh-oh, I'm having flashbacks to that 1994/95 era equipment. You remember, the one where the vendor went out of business, leaving behind useless screens in all of the seatbacks?

<font face="Verdana, Arial, Helvetica, sans-serif" size="2">PBF: Who’s your toughest competitor?

DP: Southwest. In fact, it’s a fantastic competitor.</font>

I agree- they are a great competitor. In fact, I've shifted my SAN/LAX/LAS shorthaul business over to them. They have 1) much better schedules from PHX, 2) a frequent flyer program that is extraordinarily generous for short flights, and 3) often have better fares available.