BusinessTN

Airport officials work to make the skies over Chattanooga a friendlier place to fly

In 1971, more than 280,000 travelers boarded airplanes at the Chattanooga Metropolitan Airport. Last year, that number was about 237,000.

While the numbers have fluctuated from a high of 311,204 in 1993 to a low of 183,393 in 1982, the last few years have been particularly discouraging for airport officials.

Boardings have dropped every year since 1999, and the airport’s reputation for mediocre service and high fares has driven more than 55% of fliers from the area to other airports in the region.

“Many [flyers] have been more than twice-burned by canceled and delayed flights, missed connections, and outrageously disparate fares,” reports a strategic plan released by the airport in October.

Suzanne Kent, co-owner of Uniglobe Discovery Travel in Chattanooga, says many of her customers want to use the local airport, but don’t want to pay higher fares and don’t trust Delta-owned Atlantic Southeast Airlines, which has a reputation for sketchy performance. (As recently as 2000, the airport had an on-time performance of just 58% on its Chattanooga-Atlanta flights.)

“Atlanta is always less expensive,” Kent says. “And many times people will not use ASA because of their track record.” Many of Kent’s customers pay $6 a day to park their cars at the airport in Atlanta, or use the Express Shuttle service, which runs vans between Chatta- nooga and the Atlanta and Nashville airports 15 times a day.

Jon Woodward and his wife started Express Shuttle in 1995 with five vans making seven daily trips to Atlanta. Their fleet has grown to 15 vans and a Town Car. Express Shuttle customers are motivated by lower prices in Nashville and Atlanta and the ease of connections from those airports.

“Price is a huge consideration,” Woodward says. “And you can connect to almost anyplace you want to go from Nashville or Atlanta.”

In April 2003, a study showed Chattanooga’s airport loses 56% of its potential traffic, mostly to Atlanta’s Hartsfield-Jackson International Airport. Officials say the airport loses about $1.2 million a year in revenue because of the leakage The study estimates about 678,000 people fly from the area annually, but the city’s airport is serving only 44% of them.

Chattanooga airport leaders are trying hard to reverse this trend, pursuing more nonstop flights, pressuring airlines for lower fares and more reliable service and going straight to their customers in a bid to win their business.

“We’re recruiting passengers, trying to get them back on the planes,” says Dan Jacobson, chairman of the Chattanooga Airport Authority.

The airport’s strategic plan unveiled in October calls for lower fares and more reliable service to help increase passengers to 500,000 by 2008.

There have been some encouraging signs. In May 2003, the airport scored a nonstop flight to New York City. Though initially only about 30% of the seats were filled and there was talk the city might lose the flight, promotional price breaks and the holiday travel season had up to 65% of the seats full in December. A second flight to the city began in April.

The same month, the airport secured a nonstop flight to Washington expected to begin this summer. Airport leaders are now pursuing a nonstop to Dallas-Fort Worth, which they’ve sought unsuccessfully in the past.

New York, Washington and Dallas are among the top destination of fliers who travel to other airports, says Mike Landguth, the Chattanooga airport’s interim president. Landguth fills the vacancy left by former president Mark VanLoh, who stepped down in February after two-and-a-half years on the job. A four-member search committee has been charged with finding a new leader for the airport, but hasn’t established a solid timeline for the process.

Meanwhile, Landguth, the airport’s second-in-charge since 1999, has implemented a plan he calls “Let’s Go” to woo the business travelers who make up roughly 70% of the airport’s users.

The program scored an early victory when business leaders from nine companies got in touch with Landguth to complain about the local fare to Cincinnati. A seven-day advance ticket to the city was $794 out of the Chattanooga airport, but cost about $300 from Atlanta or Nashville.

Armed with the information, Land- guth went to Delta Air Lines representatives and showed them how much business the price was costing them. Delta officials came back a few days later with a $278 fare.

Landguth says local businesspeople have welcomed the chance to talk directly with airport leaders about their needs. “We’re getting a really warm reception—people want to be part of the process,” Landguth says.