SFGate: Travelers rate JetBlue as the No. 1 airline/Annual survey finds low-cost carriers are favored by passengers

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Tuesday, April 6, 2004 (SF Chronicle)
Travelers rate JetBlue as the No. 1 airline/Annual survey finds low-cost ca=
rriers are favored by passengers
David Armstrong, Chronicle Staff Writer


   Low-fare airlines aren't just the cheapest carriers in the air anymore --
they're the best in the business, according to a prominent annual survey,
released Monday, that showed low-fare upstart JetBlue as No. 1.
   The Airline Quality Ratings, compiled by Wichita State University busine=
ss
Professor Dean Headley and Wichita State Aviation Institute Professor
Brent Bowen, showed low-fare carriers taking three of the top four places
in the 14-airline survey for 2003. Alaska Airlines finished second, with
low-fare pioneer Southwest Airlines third and low-fare America West
Airlines fourth.
   Traditional carriers such as United Airlines (ninth place), American
Airlines (11th) and Delta Air Lines (12th) finished near the bottom.
   United, the dominant carrier at San Francisco International Airport,
slipped a spot from last year's eighth-place showing. United had a
slightly lower on-time performance, the study says, although it cut the
number of reported customer complaints in half in 2003 over 2002.
   The Airline Quality Ratings, released annually for the past 13 years,
assess airlines that carry at least 1 percent of U.S. domestic passengers
and rank them according to 15 criteria. Included are on-time arrival and
departure, baggage handling, staff courtesy and the number of customer
complaints. The statistics come from commercial airline reports to the
U.S. Department of Transportation.
   JetBlue, which recently became the largest carrier at New York's JFK
International Airport, has won customers since it took to the air three
years ago by installing leather seats, seatback TVs with DirecTV programs
and reveling in a stylish, big-city image.
   Last year's winner, US Airways, ranked highest while it was striving to
emerge from Chapter 11 bankruptcy protection, which it has since done.
This year, it dropped to fifth in the rankings.
   JetBlue's prominence at JFK and, now, atop the consumer ratings
demonstrates a major shift in commercial aviation, air-travel experts
said.
   "The low-cost carriers have continued to improve their performances. It's
a different world today," said Kevin Mitchell, chairman of the Business
Travel Coalition, a national organization of corporate travel planners.
   Low-fare airlines used to have old equipment, but their growing market
share -- from 4 percent in 1991 to 25 percent today -- has enabled them to
buy new airplanes and spiff up service, Mitchell said.
   Also, he said, their management "has been focused like a laser" on
customer service, while management at larger airlines has been distracted.
   The low-fare carriers, he said, have fielded increasingly confident, wel=
l-
trained and highly motivated staffs, which helps lift their customer
satisfaction numbers.
   David Stempler, president of the Air Travelers Association, said the
latest study results have tracked a shift in consumer preference, although
the shift away from traditional carriers is far from complete.
   The main influences on air passenger behavior, Stempler said, are "price,
schedule convenience (both time of day and destinations) and
frequent-flier relationships, with miles as the tie-breaker."
   Large-scale carriers still have advantages over low-cost competitors,
thanks to their established frequent-flier programs and global networks,
he said.
   Nevertheless, Stempler said, "JetBlue has managed to capture the holy
grail of aviation: low fares and high service. It used to be that low
fares and minimal service went together."
   "Right now," he said, "people like the package of services they're seein=
g"
on low-fare leaders such as JetBlue, America West and Southwest.

Airline quality ratings
   1. JetBlue
   2. Alaska
   3. Southwest
   4. America West
   5. US Airways
   6. Northwest
   7. Continental
   8. Air Tran
   9. United
   10. ATA
   Source: Wichita State University using U.S. Department of Transportation
statistics
   E-mail David Armstrong at davidarmstrong@xxxxxxxxxxxxxxxx --------------=
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Copyright 2004 SF Chronicle

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