St Maarten might add another low-cost carrier service between St. Maarten and the United States, JetBlue Airways. According to sources of the Daily Herald, negotiations about the daily service from New York are in the final stages.
Update: JetBlue expands in the Caribbean
JetBlue Airways is a American low-cost airline. The airline began operations in 2001 and mainly serves destinations in the United States, along with flights to the Caribbean, the Bahamas, Bermuda, and Mexico.
According to the Daily Herald, attracting low cost carriers has been a goal of Commissioner Roy Marlin, who just completed his first 100 days with his new portfolios of Tourism and Finance.
Pointing to JetBlue, Marlin says Aruba attracted JetBlue a year ago and has seen fares to the destination become competitive and seating capacity increase.
However, if you are European, don't pack your bags just yet. For Europeans used to low cost carriers like Ryanair, with ticket prices starting at zero or close to nothing (plus airport taxes), the JetBlue pricing is not too impressive. According to the Daily Herald, the cost of a round trip ticket St Maarten - New York is expected to be about US $350. Moreover, the article doesn't state if the quoted prices are with or without airport taxes (if not, add another 100 bucks.)
For our American and Caribbean readers I need to explain that the controversial Ryanair (similar to its American counterpart Southwest Airlines) and the low European airfares are a result of the deregulation of the air industry in Europe in 1997. However, despite the free airline tickets, Ryanair has evolved into one of the world's most profitable airlines, running at remarkable margins. These prices are possible because the airline has, among many things been successful in partnering up in joint ventures with the destinations.
According to the Daily Herald, JetBlue seems to be using a similar strategy. One important point of the negotiations, according to the Herald, was marketing funds for the flights. The island is expected to contribute to a joint marketing venture to help fill seats and strengthen the flights.
Low-cost carrier Spirit Airlines began thrice-weekly service from Fort Lauderdale to St. Maarten in April, becoming the first major US low-cost carrier to fly here. I am not sure what their pricing is but when I checked a random return ticket in November it totalled to $298 round trip, including taxes, for the 2,5 hour flight.
Anyway, when it comes to prices and competition, more airlines is better then less. Unless the US airlines will be carteling up on prices, two new airlines should impact the prices over the next year to come.
PS. Please don't comment on the lousy Ryanair service. You know the old saying "you get what you pay for"? Service is not part of the Ryanair overall strategy. Plus, I recently flew to the US with the full price airline American Airlines, and the service was dreadfully bad, the staff outright hostile and there was no food on a very long flight. Americans would say, so what, it's been like this for a long time, but for us Europeans only being used to being abused by the low cost airlines, this was a shocker.
Submitted by daphne on Wed, 2007-10-10 13:41.
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