Business Intelligence
February 01, 2011
Keep Greater Richmond a Competitive Market for Airfares
It sometimes takes the threat of loss to make us truly value the important assets of our region. The risk of losing competitive airfares due to the lack of business travel on AirTran and JetBlue is one of those times.
That’s why, in an effort to steer Richmond business passengers toward low-cost carriers, the Greater Richmond Chamber has launched the Save Low Fares campaign. The campaign theme, “Fly on AirTran and JetBlue or say goodbye to low fares,” gets right to the point. If Richmond fails to support low cost carriers now and in the near future, there will be no second chance.
The campaign includes PR and advertising in TV, newspaper, radio and online. Plus, Chamber representatives are making presentations weekly to area business groups, and company leaders are communicating to their employees the importance of flying on AirTran and JetBlue and encouraging them to fly those two carriers whenever possible.
With airfares at roughly 5% below the national average, Richmond International Airport currently is a cost-friendly airport for business travel. For the last five years, RIC travelers have enjoyed flying from Richmond to New York for as little as $387 in walk-up fares---while the same trip may cost travelers at airports without competition upwards of $1,000.
The key to low fares lies in the age-old concept of business competition. As long-time Richmond travelers know, flying out of RIC wasn’t always the best value. At one point, Richmonders endured the 3rd highest domestic airfares in the country. Since 2005, however, the arrival of low-fare carriers such as AirTran and JetBlue has made flying out of Richmond a relative bargain, as other carriers were forced to lower their fares. As a result of this newly competitive environment, Richmond flyers save an estimated $80 million a year in ticket costs.
For the first time in five years, however, the savings Richmonders have come to expect are becoming threatened. Fewer travellers are flying with low-cost carriers, and, as a result, air fares are on the rise again. After JetBlue discontinued service to JFK in November, walk-up fares to New York have increased more than 230%!
Richmond can still be a winner in low fare air service. Last fall, Southwest Airlines announced plans to acquire AirTran. Southwest is evaluating AirTran’s performance to determine the number of flights in RIC. To encourage a greater Southwest presence, Richmond needs to show its support for AirTran now. The arrival of Southwest has the potential to bring more savings on more flights to more destinations for Richmond travelers. This equates to greater economic development by making Richmond more attractive for tourists and businesses.
We need everyone to participate in this effort because it impacts all of us. You can do your part by flying on AirTran and JetBlue now, and joining the Greater Richmond Chamber and GRPVA in protecting one of the Richmond Region’s greatest assets—competitive airfares.
To learn more about how YOU can save low fares in Richmond, visit savelowfares.com.
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Greater Richmond Partnership, Inc.
The Greater Richmond Partnership is a public-private economic development agency committed to helping to grow the Greater Richmond economy through the attraction of high quality jobs and new capital investment, the retention of existing businesses, and the continued improvement of the region's business climate.