US Airways - Caribbean & Latin America
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US Airways - Caribbean & Latin America
Here is some interesting news...AlecJamer
US Airways - Caribbean & Latin America
Since July, US Airways' conference room and phone lines have been abuzz, as executives have plotted every step of the carrier's expansion from Fort Lauderdale to the Caribbean and Latin America. When flights begin this weekend, it will be the culmination of months of work involving hundreds of employees plus airport and government officials. ''When we pluck Fort Lauderdale out of the air and have to do everything right from scratch, it's like starting a new airline,'' said Doug Leo, US Airways' vice president of sales, distribution and international. With its expansion, US Airways' flights at Fort Lauderdale will rise from 27 daily in November, when it last made a major schedule change, to 44 daily by the end of this month, said airline spokeswoman Amy Kudwa. The airline will connect passengers from 12 U.S. cities through Fort Lauderdale to nine destinations in the Caribbean and Latin America.
That took a lot of planning. Weekly Wednesday morning meetings have mulled sales and marketing strategy. Friday teleconferences have worked out each detail at foreign destinations, from hooking up computer lines to leasing ticket counter space. Spanish-speaking staffers have been called into service virtually everywhere that customers contact the airline. And bilingual signs are going up in various airports -- all part of what the airline calls its ''Spanishification'' process.
''I'm really pushing from this office to make sure US Airways does not forget about the international side of the business and the international point of view,'' said Eric Mathieu, managing director of the Caribbean and Latin America, who is based in Miami. Unlike its Caribbean and Latin service from other U.S. gateways, which typically carry 80 to 90 percent U.S. vacationers, two-thirds of the passengers to and from Fort Lauderdale are expected to be travelers visiting friends and family. That requires a shift in sales and marketing efforts -- and a language change to Spanish -- to target a different set of customers, Leo said.
FIRST FLIGHTS For Fort Lauderdale-Hollywood, the added service also represents various firsts: the airport's first flights to and from Guatemala City, Panama City, San Salvador and San Jose, Costa Rica. ''Certainly, we're excited about it, because over the years, [Fort Lauderdale-Hollywood] has been primarily a domestic airport,'' said Ed Nelson, Fort Lauderdale-Hollywood's director of air service development. ``It will help the international growth to have Latin American service, and Latin America is a market for the region, not just for Dade County.''
To accommodate hundreds more passengers a day, Fort Lauderdale-Hollywood has expanded its federal inspection area, while the Transportation Security Administration has created new security checkpoint lanes. With its new flights, US Airways is also doubling its staff in Fort Lauderdale, adding more than 100 employees, including baggage handlers, customer service personnel and mechanics, said Chuck Allen, director of corporate affairs. As part of the change, the airline is moving its maintenance operation from Miami to Fort Lauderdale and is expanding it.
Overall, about 40 of the new employees will be new hires, with the rest transferred, Allen said. The airline has also hired 23 people in its new foreign destinations to handle the stations and sales efforts, Mathieu said. And it contracted Siboney USA, a Miami-based advertising agency, to handle Spanish language advertising, he said. Beyond the logistics, the new service also requires training in cross-cultural understanding. Travelers visiting family in Latin America will tend to carry more baggage, for example, and will want to speak their native language.
BANKRUPTCY US Airways, which is trying to emerge from Chapter 11 by the end of June as a leaner, lower cost carrier, has been expanding in the Caribbean and Latin America for the past three years. Now, it is trying to distinguish itself with service from Fort Lauderdale rather than Miami, where American Airlines dominates the market. ''Fort Lauderdale gives us the opportunity to differentiate ourselves,'' Leo said. ``And for travelers, the airport is easier to navigate -- it's not as big or unwieldy as Miami.''
The migration of Hispanics northward, outside of Miami-Dade, also played into the decision, Allen said. But competition from low-cost carriers in Fort Lauderdale is heating up. Spirit Airlines is adding service to various destinations and JetBlue Airways is also expected to eventually add Caribbean destinations. ''It's going to become a very competitive gateway because other airlines are doing it,'' said airline analyst Ray Neidl, with Calyon Securities.
``If you have a low enough cost structure, it works.'' So far, planes from Fort Lauderdale in February are expected to run slightly more than half full, or at a normal rate for the industry for the month, Leo said. In March, planes are expected to be more than 70 or 80 percent full, he said. The goal is for the Caribbean and Latin American flights to break even in the first year of operation, he said.
START ANEW US Airways has pulled through a series of bankruptcy hurdles in January, and now has contracts approved from all of its labor groups. That timing has helped bookings, Leo said. ''Today, our challenges are the basic challenges of opening a new market,'' he said, ``and a little less affected by the lingering challenges of Chapter 11.''
Latin America and Europe are hot for the airlines. Soon, they will flood both markets sufficiently so that everybody loses money, there, too.
In the mean time, enjoy the competition!