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Image Source: Vancouver Sun |
According to statistics released by Bellingham International Airport, passengers travelling through the airport in the first half of 2015 dropped by 14.5% compared to the same period last year.
At the end of 2014, Bellingham Airport suffered its first annual decline in passengers in more than a decade. The airport, which is a hub of Las Vegas based ultra-low cost carrier, Allegiant Air, typically attracts thousands of Canadian travellers each year in search of a bargain airfare to destinations such as Los Angeles, San Francisco, Phoenix, and Las Vegas. It is believed that more than half of the passengers travelling through the airport are Canadian.
At the end of 2014, Bellingham Airport suffered its first annual decline in passengers in more than a decade. The airport, which is a hub of Las Vegas based ultra-low cost carrier, Allegiant Air, typically attracts thousands of Canadian travellers each year in search of a bargain airfare to destinations such as Los Angeles, San Francisco, Phoenix, and Las Vegas. It is believed that more than half of the passengers travelling through the airport are Canadian.
In an interview with Business in Vancouver, Bellingham Airport officials revealed that the drop in passenger traffic for June was the steepest decline seen so far this year. According to airport statistics, the passenger count was down 30.6% in June 2015 compared to June 2014.
"There's definitely a relationship between the Canadian dollar exchange rate and the number of passengers who fly out of here," said Mike Hogan, Public Affairs Administration for Bellingham International Airport. "But, there's other factors too. There's also consolidation in the airline industry."
It has also not helped that flights have been gradually reduced from Bellingham International Airport in recent years. Allegiant Air cancelled their direct flights from Bellingham to Hawaii, while Frontier Airlines decided to discontinue its seasonal service to Denver this year. The only other carrier to operate from the airport is Alaska Airlines.
In an interview with News1130, Claire Newell of Travel Best Bets indicated that Canadians are now flying from Canadian Airports or postponing their trips. "They're really taking a look at comparing apples to apples when it comes to pricing and factoring in the US dollar, the hassle of crossing the border, and dealing with those line ups," said Newell. "It is coming into play and there are so many fewer Canadians crossing the border to fly."
The news is good for Canadian airports, which are now seeing an increase in passenger traffic. As of July 2015, Vancouver International Airport reported a 5.3 percent increase in passengers for the year to date. July alone saw an increase of 5.6 percent over the previous year.
The significant drop in passengers at Bellingham comes after millions of dollars were invested to renovate and expand the Bellingham International Airport to accommodate the rising number of travellers. "It's a real shame for the Bellingham Airport because they have put such a huge amount of money into the airport," added Newell. "But I don't see this lasting forever. As the dollar goes up and down, the number of visitors leaving out of Bellingham Airport does the same."
Meanwhile, Bellingham International Airport has devised a plan to increase the attractiveness of the airport in spite of the low Canadian dollar. The airport plans to reduce its daily parking rates when demand is low to try and stimulate business.
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