It will be interesting to see if/how NW reacts this time around....
Air Azul likely to take off, some say
Officials: Airline has edge to do well in Lansing
Jeremy W. Steele • [email protected] • From Lansing State Journal
The last time a low-cost airline flew a route between Lansing and Washington, D.C., market leader Northwest Airlines launched a competing flight.
Within 6 months, Independence Air was gone from Lansing's airport and another year later, Northwest eliminated its D.C. route.
But officials think different industry dynamics give startup carrier Air Azul a better chance of success.
The carrier on Friday announced plans to launch two nonstop routes, from Capital Region International Airport to Baltimore-Washington International Thurgood Marshall Airport and from Lansing to Newark Liberty International Airport in New Jersey.
Airport officials say the routes fill a significant void in service for the region.
"Washington, D.C., is our No. 1 requested destination," said Robert Selig, executive director of the Capital Region Airport Authority, which owns and operates the Lansing airport. "New York City is probably our No. 2 travel destination."
St. Petersburg, Fla.-based Air Azul plans to charter 162-seat Boeing 737-800 jets for the flights, which begin June 2. It hired St. Paul, Minn.-based Sun Country Airlines to fly Tuesday, Thursday and Sunday routes.
Air Azul is offering an introductory fare of $59 each way for the routes. Regular one-way fares are likely to range between $59 and $79 normally, officials said, with economy class seats not likely to be above $199. Business class seats are likely to be from $199 to $249 each way.
Selig said being a chartered service gives Air Azul an advantage over Independence, which was a traditional fixed-route carrier that ended up bankrupt.
"Northwest or Delta have not shown the interest in competing against that kind of operation," Selig said of charters.
Atlanta-based Delta Air Lines Inc. acquired Northwest on Oct. 29. Delta officials did not return a call seeking comment.
Air Azul President Trevor Sadler said Lansing is a good market for his company.
Cuts by other carriers have left the airport underserved, he said, and it's a capital city with a built-in demand for service to the nation's capital.
"Lansing is one of the markets that ideally fits our plans," he said.
Depending on the success of the new routes, Sadler said Lansing fits with plans to eventually launch charter service to tourist destinations in Florida or Mexico and the Caribbean. It also might support fixed-schedule service to Cincinnati, he said.
Air Azul flies nine-seat turboprops between Nashville International Airport and Lake Cumberland Regional Airport in Somerset, Ky.
But Sadler said there's always a risk that a major carrier could add flights to try to drive his airline out.
If that happens, he said it will be up to flyers to keep competition in the market.
"Consumers are much more aware of predatory actions taking place and are more willing to support the little guy," he said.
Unlike low-cost carrier Allegiant Air, which left Lansing for Grand Rapids earlier this year, Air Azul plans to offer business class seats and corporate flying programs.
Allegiant, which operated routes from Lansing to the St. Petersburg and Orlando areas, focused primarily on the leisure market.
The lack of nonstop service leads many Michigan State University employees to drive to Detroit Metro Airport to catch flights to Washington, said Debbie Gulliver, the university's travel manager. Air Azul flights could make it easier for them to fly from Lansing.
"That's our No. 1 destination," she said. "We're excited about that."