Ruth Haines
Huntsville International Airport has long been considered one of the most expensive airports in the United States. In 2013, the airport was ranked as the country's most expensive airport for three consecutive quarters, with fares averaging around $543 per passenger, according to a U.S. Department of Transportation report. Various factors have been attributed to the high cost of air travel in Huntsville, including the loss of low-cost carriers like AirTran, a high volume of business travellers, and last-minute booking practices. Despite efforts to encourage local residents to fly from Huntsville and initiatives to lower airfares, the airport has consistently retained its reputation for high prices.
| Characteristics | Values |
|---|---|
| Huntsville International Airport's ranking as the most expensive airport | Based on round-trip ticket fares, including additional taxes and fees for destinations within the U.S. |
| Average airfare | $522 in the third quarter of 2012, $528 in the first quarter of 2014, and $543 in 2013 |
| Average national airfare | $367 |
| Reasons for high cost | Loss of low-cost carrier AirTran in 2012, high proportion of business travelers (60%), last-minute bookings, and federal Airline Deregulation Act allowing airlines to charge market rates |
| Efforts to reduce costs | Huntsville Hot Ticket, airport email blasts, and the "I Fly HSV" marketing campaign |
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What You'll Learn
- Huntsville International Airport was the most expensive in the US for 6 consecutive quarters
- The airport's high fares discourage visitors and locals from flying
- Huntsville has a disproportionate number of business travellers
- The loss of low-cost carrier AirTran in 2012 drove up ticket costs
- Huntsville's airport launched a marketing campaign to encourage residents to fly locally
Huntsville International Airport was the most expensive in the US for 6 consecutive quarters
Huntsville International Airport was the most expensive airport in the US for six consecutive quarters. The airport's high fares discouraged visitors from flying in and locals from travelling out, with many opting to drive to nearby cities such as Nashville or Birmingham, which have low-cost carriers.
The airport's high prices were due to several factors. Firstly, Huntsville is a business market, and around 60% of its travellers are business travellers. Business travellers tend to book last minute, when prices skyrocket. Airlines can also charge whatever the market will bear under the federal Airline Deregulation Act. Additionally, in 2012, low-cost carrier AirTran left the Huntsville market after merging with Southwest Airlines, which opted not to remain in Huntsville.
In response to the high fares, the airport launched the "I Fly HSV" marketing campaign to encourage local residents to fly from Huntsville. The airport also recommended travellers use Huntsville Hot Ticket, a service that helps travellers find the best prices. Despite these efforts, Huntsville International Airport lost its place on the list of the top 100 most expensive airports in the US in 2014.
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The airport's high fares discourage visitors and locals from flying
The high airfares at Huntsville International Airport have long been a source of frustration for both residents and potential visitors to the area. With limited options and high costs, many are choosing to fly from alternative airports or simply drive to their destinations, which is having a knock-on effect on the local economy. The issue is a Catch-22 situation: the airport needs more passengers to attract more airlines and competitive pricing, but the current high fares are discouraging people from flying. This is a problem that needs addressing to ensure the airport's long-term viability and the region's connectivity.
Huntsville International Airport has often been criticized for its expensive airfares, which are, on average, significantly higher than those at other airports in the region. This price disparity has a very real impact on the number of people choosing to fly from the airport. Many locals are instead opting to drive further to use other airports, and potential visitors are put off by the additional travel costs, often choosing alternative destinations with better air connectivity. This is having a direct impact on the local economy, with businesses missing out on potential customers and the area becoming less attractive to tourists and investors.
The airport has struggled to attract a wider range of airlines, and with that, more competitive pricing. With a limited number of carriers serving the airport, there is little incentive to lower prices, and the existing airlines can maintain their higher fare structure. This is a common issue for smaller airports, and it often requires intervention and incentives to attract new carriers and increase competition, which ultimately benefits the consumer. Without this, the airport is at a standstill, and the high fares will continue to discourage people from flying.
It is a common misconception that only business travelers are affected by high airfares. While they may be the primary users of the airport, leisure travelers also feel the impact. With limited and expensive flight options, families are less inclined to travel, and those that do are often faced with a significant extra cost, which can be a deciding factor when choosing a vacation destination. This has a flow-on effect to the local tourism industry, which misses out on potential visitors and the economic benefits they bring.
The issue of high airfares at Huntsville International Airport is a complex one, but it is clear that the current situation is unsustainable and is having a very real impact on the community. It is essential that steps are taken to address this issue and make air travel more accessible and affordable for all. Only then can the airport truly serve its purpose and benefit the region.
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Huntsville has a disproportionate number of business travellers
Huntsville International Airport has long been considered the most expensive airport in the United States. In 2014, it was named the most expensive airport in the country for the sixth consecutive quarter. However, it is important to note that Huntsville's ranking as the most expensive airport is based on specific factors and may not reflect the overall cost of air travel in the region.
One of the primary reasons for Huntsville's high airfare costs is the disproportionate number of business travellers who use the airport. According to airport officials, approximately three out of every five air passengers in Huntsville are business travellers. This is a significantly higher ratio compared to most other airports. Business travellers often book their flights at the last minute and tend to travel on weekdays, which are typically peak travel days. As a result, they end up paying higher prices for their tickets. Airlines can charge higher prices to business travellers, especially those travelling at the last minute, as they are often less price-sensitive and have more flexibility in their travel budgets.
The high volume of business travel to and from Huntsville can be attributed to the presence of various industries and government entities in the region. Huntsville is home to several major companies, including Toyota, Mazda, Polaris, Remington, and GE, which have attracted thousands of employees to the area. Additionally, government agencies such as the FBI have a significant presence in Huntsville, contributing to the high number of government and business travellers passing through the airport.
The loss of low-cost carriers at Huntsville International Airport has also contributed to the high airfare costs. In 2012, the low-cost carrier AirTran exited the Huntsville market after merging with Southwest Airlines, which opted not to serve the city. This reduced competition and gave remaining airlines less incentive to lower their prices. The absence of low-cost carriers means that travellers in Huntsville have fewer options for affordable air travel, driving up the overall cost of flying from the airport.
To address the issue of high airfare costs, the Huntsville International Airport has implemented several initiatives. The airport launched the "I Fly HSV" marketing campaign, targeting local families and business leaders to encourage them to choose Huntsville Airport for their travel needs. They have also introduced the Huntsville Hot Ticket service, which helps travellers find lower fares by comparing prices and booking in advance. Additionally, the airport has applied for grants to help attract new carriers and reduce startup costs for airlines operating at the airport, which could potentially increase competition and drive down prices.
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The loss of low-cost carrier AirTran in 2012 drove up ticket costs
The loss of AirTran as a low-cost carrier option at Huntsville International Airport in 2012 had a significant impact on ticket prices. AirTran provided a competitive alternative for passengers, offering lower fares and stimulating price competition among other airlines operating at the airport. With its departure, a major source of affordable air travel from Huntsville was eliminated. This reduced competition among airlines, allowing them to increase ticket prices without worrying about price wars with low-cost carriers like AirTran. The absence of a strong low-cost carrier presence at the airport empowers the remaining airlines to maintain higher prices without facing substantial pressure to lower their fares.
AirTran's exit from the market left a void that has not been adequately filled by other low-cost carriers. While some airlines have entered the market, they have not offered the same level of competition and fare flexibility that AirTran once provided. This has resulted in a less dynamic and competitive market, with higher prices becoming the norm. With a reduced number of carriers vying for passengers, there is less incentive to keep prices low, which disadvantages travelers seeking affordable options.
The impact of AirTran's departure was also felt in the reduction of flight options for passengers. With fewer airlines operating at the airport, the number of direct flights and overall seat availability decreased. This decrease in supply further contributed to the increase in ticket prices. Reduced flight options meant that travelers had fewer choices, and the airlines could command higher prices due to the decreased competition. This decrease in supply, coupled with steady or increasing demand, created an environment where airlines could maximize their revenue by charging higher fares.
Additionally, the absence of a strong low-cost carrier presence can deter potential travelers who are price-conscious. With fewer affordable options, some passengers may opt for alternative means of transportation or choose to depart from other nearby airports that offer lower fares. This further reduces the passenger volume at Huntsville International Airport, impacting its overall competitiveness and attractiveness to other low-cost carriers that might consider serving the market.
To mitigate these challenges, it is important for the airport to actively attract other low-cost carriers or encourage existing airlines to offer more competitive fares. Promoting healthy competition among airlines can help drive down prices and restore Huntsville International Airport as a convenient and affordable travel hub for the region. This may involve negotiating with airlines, offering incentives, and advocating for policies that support increased competition and consumer choice.
Addressing the loss of low-cost carrier options is crucial for ensuring that air travel remains accessible and affordable for the community that Huntsville International Airport serves. By understanding the impact of AirTran's departure and taking proactive steps to enhance competition, the airport can work towards reversing the trend of increasing ticket prices and better serve the needs of its passengers.
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Huntsville's airport launched a marketing campaign to encourage residents to fly locally
Huntsville International Airport has long been considered the most expensive airport in the United States. In 2014, it was ranked the most expensive airport in the country for the sixth consecutive quarter. The airport's high fares have been a source of concern for locals, with many opting to drive to nearby cities like Nashville or Birmingham, which offer lower-cost alternatives.
In response to this, Huntsville International Airport launched the "I Fly HSV" marketing campaign in mid-January. This $313,000 initiative aimed to encourage residents to fly locally by showcasing what local families and business leaders valued about their community airport. The campaign utilized TV, billboard, and radio advertisements to reach an 18-county area. Additionally, an #IFlyHSV social media contest was introduced, inviting Huntsville travelers to share their photos and videos via public social media accounts or email. The winners of the contest would receive a $500 airline ticket voucher to be used at the Huntsville airport.
The airport's marketing director, Barbie Peek, emphasized that passenger traffic had been increasing, particularly during the summer months when leisure travel is more common. Despite this, the airport has faced criticism for its high prices, with residents expressing disappointment and suggesting that their money could be better spent elsewhere.
Huntsville's high airfares can be attributed to several factors. Firstly, the airport has a high volume of business travelers who tend to book last-minute flights, which airlines can charge a premium for under the federal Airline Deregulation Act. Additionally, the loss of low-cost carrier AirTran in 2012 after its merger with Southwest Airlines contributed to the increase in average ticket prices.
To address the issue of high fares, the airport has implemented strategies such as Huntsville Hot Ticket, a service that helps travelers find better deals by booking in advance and being flexible with their travel dates. The airport has also applied for a $1.5 million grant to assist new and existing carriers in reducing startup costs, which could potentially lead to lower fares for passengers.
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Frequently asked questions
Huntsville International Airport is considered a business market, and because businesses and government personnel are able to pay for the more expensive flights, airlines have an incentive to keep them high.
Huntsville has a disproportionate number of business travellers who tend to book flights at the last minute, which causes prices to skyrocket.
The airport recommends booking in advance and being flexible with travel times. Tools like Huntsville Hot Ticket can help travellers find lower fares.
Huntsville's status as the most expensive airport may be due in part to the absence of low-cost carriers. AirTran, a low-cost provider, left the Huntsville market in 2012, driving up average ticket costs.
Huntsville International Airport has higher fares than airports in Cincinnati, Houston, Washington, and Savannah, Georgia. While passenger traffic increased by 6.2% in March compared to March 2013, the airport has also experienced a drop in passenger volume of over 16% since 2012.
