$1 flights ground airline's system

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http://starbulletin.com/2007/06/12/news/story02.html

$1 flights ground airline's system
Stop-and-go traffic clogs go! Web site

By Dave Segal
dsegal@xxxxxxxxxxxxxxxx

Overwhelming response to the $1 fare sale by go! shut
down the interisland carrier's reservation system for
about eight hours yesterday -- just minutes after the
one-year anniversary sale had begun.

Prospective travelers flooded the airline's office
with phone calls and e-mails.

Go! -- a division of Phoenix-based Mesa Air Group --
responded by doubling the number of $1 fares to 2,000
and extending the 12-hour deadline another five hours
until midnight, or until all $1 fares were gone.

Hawaiian Airlines and Aloha Airlines declined to
match.

Go! said the shutdown occurred because its
booking-engine provider, Sabre, had not supplied
enough capacity to meet demand. The go! site generated
20,000 independent hits in the first hour.

It was a no-go for about eight hours yesterday as
frustrated airline passengers tried to take advantage
of 1,000 promotional $1 one-way tickets offered by
interisland carrier go!

Heavy volume triggered a server crash at go!'s
Internet booking-engine provider, Sabre, resulting in
all but a few passengers being shut out of the fares,
offered in conjunction with go!'s one-year
anniversary.

The go! Web site, www.iflygo.com, received 20,000
independent hits during the first hour and the go!
office was flooded with calls and e-mails "all day," a
go! spokesman said.

But shortly before 3 p.m., the reservation site began
functioning again, and would-be passengers were able
to snap up $1 tickets, the number of which the company
increased to 2,000 later in the day in light of the
inconvenience. The 12-hour deadline for purchasing $1
tickets, which were predominantly for travel on
Tuesday, Wednesday and Thursday, also was extended to
midnight last night -- or until a sell-out -- from the
original 7 p.m. deadline.

"The problem is that Sabre was not prepared," Jonathan
Ornstein, chairman and chief executive of go! parent
Mesa Air Group, said earlier in the day about the
shutdown. "The Sabre system effectively crashed with
all the interest. It's not that people aren't getting
the sale and it's slow; it's just down. While we're
delighted with the demand, we're not very happy with
our vendor and apologize for the inconvenience to
people."

Aloha Airlines and Hawaiian Airlines, both whom have
typically matched go!'s discount fares, stayed on the
sidelines.

Hawaiian declined to comment on the promotion but
Aloha went on the offensive.

"After a year of trying, this is clearly an act of a
desperate airline," Aloha spokesman Stu Glauberman
said. "We believe that the people of Hawaii will
recognize this for what it is and stay loyal to their
homegrown carriers."

Ornstein scoffed at Aloha's remarks.

"If this is desperate, I'd love to be as desperate as
Ryanair, which sells 20 percent of its seats for free
and is the most successful airline in the world," he
said. "You've got old, stodgy managements that don't
know how to react to a more vibrant and more creative
approach. The people in Hawaii have not forgotten the
days of the $100 fares before we got here and asking
for loyalty now rings hollow."

Aloha has alleged in a lawsuit against Mesa that the
Phoenix-based carrier is offering unrealistic fares to
drive Aloha out of business. Aloha also alleged that
Mesa has used proprietary information obtained as a
potential bidder during Aloha's bankruptcy. Hawaiian
has alleged the same proprietary violation in a
separate lawsuit against Mesa.

The last time a marketing move of this magnitude
occurred in the local airline market was last June,
when Aloha gave away 1,000 free round-trip tickets
rather than match go!'s $19 fare at the time. That
promotion attracted 1,600 people who waited in line at
the state's various airports.

"Aloha speaks with a forked tongue," Ornstein said.
"On one hand, when they do it, it's a good thing. When
we do it, it's a sign of desperation. The only
difference is we didn't make people wait in line at
the airport."

Joe Bock, chief marketing officer for go!, said the
crash of the reservation system was attributable to
GetThere, a brand of Sabre that handles go!'s
reservation system. Though go!'s home page was
accessible during the meltdown, users attempting to
book a flight received various error messages that
indicated the system was down. Eventually, GetThere
added more capacity to go!'s connection.

"We got about 100 e-mails and people calling wanting
to know what happened," Ornstein said. "We responded
to all of them within minutes and I actually spoke to
some customers today and everybody understood we had a
technology glitch. This was not clearly our preferred
course, but we just had to deal with it and we did it
as quickly as we could."

Separately, go! announced yesterday that it filled
63.3 percent of its seats in May, up from 62.8 percent
the previous month. The so-called load factor for go!
has remained in the low 60 percent range during the
last four months. The 57,935 passengers in May
represented go!'s highest number in 2007.




 
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