Air service is exceeding
expectations,still needs to work out a few issues
During a Newport-Astoria Airline Consortium teleconference meeting on May 29, SeaPort Airlines representatives reported that recently launched subsidized air service between the two coastal communities and Portland is exceeding expectations.
Representing Newport were Mayor Bill Bain, Airport Director Dennis Reno, City Councilor Mark McConnell and City Recorder Peggy Hawker.
The contract awarded to SeaPort anticipated an average of two passengers per flight, or a 22-percent load factor, within the first six months of operation. SeaPort’s planes have a nine-passenger capacity.
After only 10 weeks, however, Newport was averaging a 36-percent load, and Astoria 22 percent. Combined, the two communities averaged a 28-percent load factor.
All fares above the estimated 22 percent will extend the $4.5-million state and federal subsidy longer than the original two-year projection.
SeaPort Chief Executive Officer Kent Craford said he had even better numbers to report at June’s consortium meeting on Thursday.
“Newport passenger loads are almost half full after three months,” he said. “I’m incredibly pleased. Every week we’ve seen substantial growth. It’s far exceeded our expectations.”
The consortium expected heavier passenger loads during the summer, the area’s peak tourist season. During the spring, passengers from Newport have primarily been business travelers, Craford said.
“We’re getting a lot of business from Oregon State University, NOAA and people in the seafood industry,” he said. “We still haven’t hit the peak period.”
As of yet, no SeaPort flights have been cancelled due to equipment failure. That kind of record will inspire further confidence, Craford said.
“If you book a flight with us, you will go,” he said. “Reliability is probably the biggest difference between us and other airlines on the coast that failed in the past.
“Our aircraft and the instrumentation we carry are able to navigate most weather events that are unique to the coast.”
Newport has two round-trip flights scheduled every day, while Astoria has three. Reno said Newport has had at least three completely booked flights so far.
“Ridership is well above what we anticipated,” Reno said. “The airplane itself is superb. It’s an incredibly nice airplane, and there’s some comfort having two pilots.
“I don’t think anyone’s even thinking about [alternative airlines] anymore. This is a wonderful opportunity for our community and SeaPort seems to be doing a fine job.”
More progress reported
During the meeting, freight shipping was reported to be increasing. Rates have been lowered for promotion on coastal routes.
Marketing strategies were discussed. SeaPort is running local newspaper and radio advertisements. The News-Times is set to begin production of a quarterly seatback magazine for SeaPort aircraft.
“We’d like to see more local advertising,” Bain said. “There’s always going to be a need to look at everything critically and fine-tune the little things, but overall, we’re very satisfied. We were real surprised with the overall success of Newport.
“It’s a service that was needed, so much so, the economic downturn didn’t have much of an effect. Is it where it needs to be to carry itself? No, of course not. But it’s a pilot program. It’s a work in progress. We started from zero.”
Reno reported that two 4- by 8-foot SeaPort signs will be displayed at the airport’s entrance on U.S. Highway 101. Providing airports with kiosks listing transportation and lodging options was discussed.
SeaPort does not yet have an interline ticket and baggage agreement, a condition of its contract. Craford said progress is being made. Ticketing should be available through online travel agencies in the near future, which Craford said is the first step toward establishing interline agreements with other airlines.
Bain noted that statistics show another surprising trend. Of the Newport passengers flying to Portland, only 59 percent of them are using SeaPort’s courtesy van for transportation to connecting flights at PDX. The remaining 41 percent either use other transportation, reach their destination in Portland, or continue on to Seattle or Pendleton on SeaPort aircraft, which eliminates the need to ever pass through any airport security.
Both Newport and Astoria representatives say they would like to see some adjustments made to current flight schedules. Reno said he’s not convinced a morning flight is the best option for Newport.
“Within the next few weeks we’ll be able to evaluate the flight schedule,” he said. “The noon flight is doing really well.”
Port Commissioner Larry Pfund said one of Astoria’s scheduled flights only allows passengers about 45 minutes to connect with other flights at PDX.
“It’s built into the contract that we’ll reassess flight schedules,” Pfund said. “We’ll know more in mid-summer. We’re still in the process of building bridges. For instance, we’re coordinating with the military base.
“SeaPort needs clearance from federal agencies, and that involves a lot of red tape. It takes time. Military personnel have missed over 40 flights because we don’t have that clearance yet.”
Craford said that SeaPort just received the necessary military clearance.
“It will open up another marketing area for us,” he said. “The current schedules will be looked at this summer for changes in the fall.”
Should Astoria decide it could better support two flights a day rather than the three it has now, it would not be an easy adjustment to make, Craford said.
“In order to drop down to two flights in Astoria, it would require renegotiating our contract,” he said. “We’d be willing to look at it, but it would be a major event.”
Contact Kate Rowland at krowland60@verizon.net.
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