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Apr17
Charlotte Excited About JetBlues Arrival in July
JetBlue's decision to begin four daily flights between Charlotte and New York City's John F. Kennedy International Airport is good news for Charlotte, says Peter Schwarz, professor of economics at UNC Charlotte.

air-jetbluetail.jpg The airline, which will start service here July 12, is offering introductory one-way fares of $69.

"I've never seen fares like this," Schwarz says. "JetBlue has a very good reputation as an airline for people who like to fly" on short notice.

Jerry Orr, aviation director at Charlotte/Douglas International Airport, agrees. "One of our most frequent questions is, 'When are we going to get more competition?'" he says. "This is definitely quality competition."

Nevertheless, some business executives are skeptical about the new service's usefulness.

Steve DeCarlo, president and chief executive of SouthPark-based American Wholesale Insurance Group, says JFK isn't much of a draw for business travelers, who prefer New York's LaGuardia Airport for its quick access to Manhattan.

 


But JFK provides other advantages, Schwarz says. "It offers the largest international connections with a variety of airlines to Europe. That could be a side that could really benefit Charlotte."

US Airways, which operates its largest hub here, has twice cut prices for flights out of Charlotte since its merger with America West Holdings Corp. in September. Now that JetBlue is expanding into the Queen City, the carrier is considering further fare reductions, says Phil Gee, US Airways spokesman.

"Anytime competition comes in, it generally benefits the customer," he says.

Mike McGuire, Carolinas managing partner of accounting firm Grant Thornton, says if JetBlue's online booking is simple and last-minute seat pricing is fair, he'll be interested in booking with the airline. But "if they have the 'open-seating' model, I am not very interested in it, other than in a real pinch."

McGuire would like to see an airline with the destinations and service of US Airways, but at a lower cost. "If other competitors, like ATA, can come in, then I'm all for it," he says. "I think competition would make US Airways' pricing better."

But JetBlue's presence in Charlotte might mean other low-cost carriers, such as Southwest Airlines Co., will look elsewhere to expand, Schwarz says. "I think it's good news, of course," he says of JetBlue's decision. "The only reason it's not great is it means it's less likely we'll get Southwest."

Charlotte Business Journal

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Though JetBlue is offering introductory fares of $69 to JFK, these prices will probably jump slightly after JetBlue establishes a good client base.  The airline reported their first loss last quarter and has scaled back expansion plans in order to help keep costs under control.  The airline has also said that they will be looking for routes where there is little competition and higher fares. 



1 Comments/Trackbacks




It's cool that JetBlue is coming to Charlotte for certain ... as far as the $140 RT to JFK, Continental offers $100 RT to Newark out of GSO fairly regularly.

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