Frontier's New Small-City Strategy Seems To Be Working—Here's Why

Discussion in 'Frontier Airlines | EarlyReturns' started by sobore, Aug 24, 2012.  |  Print Topic

  1. sobore
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    sobore Gold Member

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    http://www.cntraveler.com/daily-traveler/2012/08/frontier-airlines-airtran-small-cities-082312

    If you live in a small to medium-sized city in the U.S., you might have noticed a new airline showing up at your airport. Frontier Airlines has made a lot of changes in the last year, and part of its new plan involves service to smaller markets. This should be a very welcome change in cities that have been struggling to hold onto air service.

    People who know Frontier think of it primarily as an airline with a hub in Denver. Others may remember its short-lived, now-shuttered hub in Milwaukee that it inherited after a merger with Midwest Airlines. But Frontier is in the middle of a big change, much of it precipitated by the squeeze it was feeling in Denver. With United and Southwest providing heavy competition, low fares prevented Frontier from turning a profit. This year is a different story.

    Read More: http://www.cntraveler.com/daily-traveler/2012/08/frontier-airlines-airtran-small-cities-082312
     
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  2. uggboy
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    uggboy Gold Member

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    I'm glad that at least one airline, in our case Frontier has not forgotten the potential of smaller cities. Very interesting strategic read. Thanks for sharing on MP!:)
     
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  3. Mark
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    Mark Admin Staff Member

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    Article from earlier this year about Frontier and the HOM resident city: http://www.gazette.com/articles/colorado-137275-frontier-battle.html

    Frontier is now serving the HOM and the rest of Colorado Springs very well. They're definitely welcome here and it's good that this strategy is working because it sure makes for a better convenience at these modestly-sized airports.
     
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  4. Wandering Aramean
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    Wandering Aramean Gold Member

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    I love that we can conclude the approach is working based on the service being announced rather than waiting to see if they actually make any money doing it.
     
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  5. Mark
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    Mark Admin Staff Member

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    The article is lacking, but if the fully booked flights I've been ending up on (usually just shuttles to places nearby) are reflective of a majority of their others than I can't think the airline is doing too bad off. It's definitely a good market to take advantage of with Allegiant being rather restrictive and AirTran gone from smaller airports.

    We shall see.
     
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  6. servo

    servo Silver Member

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    Allegiant also sucks. Cheap, perhaps if you play their game - (i.e. go to an airport to buy the ticket - no seat selection, etc), but those old MD's just don't do it for me, and being cheap on Allegiant puts you in the back of the plane, where it's louder than some concerts I've been to. I've had an uneasy feeling about them recently.
     
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  7. Wandering Aramean
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    Wandering Aramean Gold Member

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    Filling a plane is easy. Filling it at a profitable price point is much more challenging.
     
  8. Mark
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    Mark Admin Staff Member

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    The Frontier turnaround has lead to pretty decent higher revenue and profits for Republic Airways Holdings over the past quarter, but who knows what will happen longterm.

    For more specific statistics I'll try to remember and look into it this evening.
     
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  9. DenverBrian
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    DenverBrian Silver Member

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    Evidently not all the small city strategy is working:

    http://www.bizjournals.com/denver/n...iness+Journal)&utm_content=Google+Feedfetcher


     
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  10. Mark
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    Mark Admin Staff Member

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    That's a risk with every new route they open up at smallish airports. I'm sure there will be a lot of trial and error.
     
  11. Wandering Aramean
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    Wandering Aramean Gold Member

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    It is a risk at all airports, not just small ones. Just ask Delta and their dart board route planning strategy.

    Again, claiming that this is working before they've actually produced any consistent, profitable numbers seems grossly premature.
     
  12. guberif

    guberif Silver Member

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    Those of us that are F9 frequent fliers (IMO) have seen an airline we loved now grasping at straws until a bigger airline can take them over. And I don't know who they'd be attractive to. Maybe AS, if it weren't for entirely non-compatible fleets. Jet Blue? I dunno. I just know that I plan on burning my Early Returns miles sooner rather than later...
     
  13. mrredskin
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    mrredskin Gold Member

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    they tried it with TYS, and it lasted all of 8-10 months. may reintroduce seasonal service again, but doubtful.
     

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