Inspired by airlines that have long since found success tapping into the ultra low cost model already in major cities around the globe, 91大黄鸭-based Flair Airlines has plans to change the aviation industry in this country鈥攁nd they鈥檙e looking for support from the Okanagan to do it.
鈥淲e are asking 91大黄鸭 to rally,鈥� said Jim Scott, president and Chief Executive Officer of Flair Airline.
Not too many small communities get an airline based in their town, said Scott, who added that he hopes the community arrives at the conclusion that Flair is the only way to fly out of the Okanagan.
The airline, which currently flies out of 91大黄鸭 on daily trips to Edmonton and four days a week to Vancouver, offers cheap fares but few frills.
鈥淭here are no lounges, no giveaways鈥攜ou buy a seat and a seat belt and everything else costs money,鈥� said Scott. 鈥淲e have extra leg room at the front, and vendors with brand name products you can buy鈥ut the base price is very low.鈥�
Research has found that it鈥檚 just what Milennials are looking for.
鈥淎s long as they have their device, a seat and it鈥檚 cheap and on time they鈥檙e happy,鈥� he said.
To meet shifting expectations for communication, Flair Airlines website and apps are under construction. They will offer a new level of connectivity. And in the next six months they鈥檙e working on lowering their prices, so when a competitor tries to enter their corner of the market, they will be ready.
鈥淗ow all airlines work is, if you want to fill extra seats you lower your price,鈥� he said.
If we go into the market and we lower our prices they will put some inventory in, but they won鈥檛 put the whole plane at that rate. They look very competitive, but it鈥檚 called yielding up. What you get from the customer increases as there is less capacity on the airplane. We always want to ride below what they are charging鈥攖hat鈥檚 our mantra.鈥�
They also want to offer that low price-point with the best customer service.
鈥淚f they do price match, we want to have such great customer service that (people) choose our brand,鈥� he said.
鈥淲e have a young team that鈥檚 used to doing charters鈥hese are not the people who have long since decided they don鈥檛 want the job but they are stuck in it.鈥�
Once the customer loyalty has been built the sky is the limit for the airline, as has been shown in other areas.
In Asia ultra low cost flying went from a very small percentage of the aviation industry to almost 50 per cent, and in Europe it鈥檚 been going for years. The US has three low cost airlines.
鈥淚n a healthy market, 15 per cent of your flying should be at a discount, but if it鈥檚 not, a certain number of people (because of) price barrier will not fly,鈥� he said. 鈥淚n Canada that鈥檚 estimated to be 10 million trips per year that are not being flown. That means there鈥檚 a market for an airline with at least 60 jets across Canada, to service that market and that鈥檚 what our intent is.鈥�
That ambition should also aid 91大黄鸭, he said, comparing it to Vegas.
It鈥檚 one of the few locations in North America where people want to go for a mini break, due to its reliable weather.
鈥淚f you have low prices how do you stimulate the market and have a market that can be stimulated?鈥� he said, noting 91大黄鸭 is a market that can be stimulated and if it is, it鈥檚 bound to help the job market.
鈥淔or every 1,000 passengers who come in it creates 3.3 jobs,鈥� said Scott. 鈥淓very plane that touches down is a job creator. We would like to draw people in from the US. There are 300 million people down there and with the US exchange 鈥� there鈥檚 skiing and the sun. Good value for them.鈥�
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