New kid in sky soars through Caribbean By Linda Hutchinson-Jafar (Trinidad Guardian) Caribbean Star, the newest airline in the Caribbean seems determined to have its way in capturing a sizeable chunk of the market from regional competitors. Just 18 months old, the airline boasts about the growth in business, for instance, recording a 200 per cent increase for both January and February over the same period last year. By July, it hopes to be in a comfortable cash-flow position. Caribbean Star began operations in October 2000, servicing Antigua, St Kitts and Grenada. By the end of April, it will be doing business in 14 Caribbean islands. The airline is owned by American business magnate and neutralised Antiguan citizen, R Allen Stanford. After more than a decade of being actively involved in developing successful businesses throughout the Caribbean and around the world, Stanford saw a great opportunity and need for greater competition and a higher level of service in the region, thus giving rise to Caribbean Star Airlines Ltd. President and Chief Executive Officer of Caribbean Star, Paul Moreira said the airline was able to expand rapidly because of its business plan. He said with the exception of LIAT and BWIA and Air Jamaica, the average Caribbean airline usually exist for eight months. "We're continuing to grow because our business model is very, very different from the others before," said Moreira. He also credits Stanford for his commitment and his love for the Caribbean. "For too many years, the Caribbean people and the tourism product has been held hostage by certain operators who are either providing poor service or extremely expensive fares and they didn't allow for a stimulation of business or tourism, the engine of our economy," said the Portugese national. "Our business model is to give the consumer and tourism product an option and a choice which unfortunately we didn't have in the past." He said it was unfortunate that the regional carriers end up merging together and creating alliances and thereby setting the schedule and pricing while the consumer is left without a choice. "In most parts of the world, that's not allowed," he said adding that Governments in other countries have in fact intervened when major carriers seek alliances which have the effect of taking away the edge of competition. Moreira, who was previously the CEO and President of Air Jamaica Express said the business model of Caribbean Star is very dynamic, putting the interest of Caribbean nationals and tourist at the heart of it. He said a tourist arriving from the United Kingdom, traveling from Barbados to St Vincent sees the short hop-over flight as part of his experience. "And if that experience on that carrier is substandard, the service in terms of reliability, in terms of product, the aircraft is old, that's the sort of memory he will have." Moreira also said that most carriers have a business model that takes wealth away from the Caribbean. He said the business model of Caribbean Star is to bring wealth into the Caribbean by bringing more people to the islands. "In turn we all win, the economy improves, there's more jobs and in turn people will want to travel more inter-regionally." Always challenging itself, the airline boasts of having an excellent on-time performance in excess of 90 per cent, way above the industry standard of 68 per cent. The airline actually promises to give free flights to passengers if the planes do not depart on time. So far, the airline has given free tickets to about two per cent of its customers. Caribbean Star also has multilateral agreements with airlines such as Air Canada, British Airways, Virgin Airlines, US Air, Air Jamaica and American Airlines to allow for seamless regional connections. Late last year, Caribbean Star applied for a licence to provide service on the Trinidad and Tobago airbridge. The airline already provides a twice-daily service to Tobago, seven days a week from international flights arriving in Barbados. "We have received very, very positive response particularly from the public and some government agencies and we look towards providing service in that market once our application is approved," said Moreira. "Again our goal is strictly to provide the consumer with a choice and provide them with a better service product that they're not accustomed to right now," he said. The next big market and challenge for Caribbean Star is the US market. According to Moreira, Stanford has another company called Caribbean Star Inc airline which he wants to put into service towards the end of the year. "That will provide a link between the US market that is crucial to our tourism product in the Caribbean. That's the next big step for us and we will be announcing some alliances with international carriers and that again is to enhance the tourism product to allow more people to enjoy the Caribbean islands." A tall order, but one which Moreira believes is not too difficult to achieve. The owner of Roger's Trinbago Site: Roj (Roger James) *************************************************** escape email mailto:ejames@escape.ca Trinbago site: http://www.tntisland.com CBSC Website http://www.tntisland.com/caribbeansocabrassconnection/ The Trinbago Site of the Week: (HCL) http://www.hcltt.com/ (HCL Group of Companies) courtesy of Roj Trinbago Website & TnT Web Directory Roj's Trinbago Website: http://www.tntisland.com TnT Web Directory: http://search.co.tt *********************************************************