12-30-2016, 04:54 AM
The real reason why inter-island competition is doomed to failure is airline miles. If one has 20,000 Hawaiian Airline miles they aren't going to fly on another airline for a fare that's $10 cheaper, and it's difficult for a new airline that nobody trusts is going to be around in two years to attract people to their new airline miles program with no credit card backing to earn miles by shopping.
There is an easy solution of course, Island Air could become a "mileage partner" with another airline. Alaska makes a lot of sense, they just merged with Virgin so they have two airlines in the Hawaiian market already. Plus their credit card is much better than Hawaiian's. And they have decades of experience marketing puddle jumper routes.
There is an easy solution of course, Island Air could become a "mileage partner" with another airline. Alaska makes a lot of sense, they just merged with Virgin so they have two airlines in the Hawaiian market already. Plus their credit card is much better than Hawaiian's. And they have decades of experience marketing puddle jumper routes.