Branson Shares Its Ground Handling Secrets
RENO – Now in its fourth year of providing ground support services, the Springfield-Branson National Airport generates about $500,000 in annual revenue.
Airport Director Gary Cyr in a presentation at the annual meeting of the Airports Council International-North America said that the Branson airport now has a 20 percent profit margin on the service.
Branson was one of the first airports to get into the ground handling business. About 50 people attended the session to learn Cyr's secrets. Following the lead of Branson, several airports have since begun offering ground services as a lure to new carriers.
The airport provides above and below the wing services on five of the 11 daily airline flights. Comair uses the airport staff for inside and outside the terminal and it also provides baggage handling for SkyWest.
In addition, it provides all ground services, including customer service, for Allegiant Air. The leisure carrier does not have single employee in Branson, he noted.
On the daily basis, the airport staff handles 13 flights plus charter operations. Due to the six colleges in the area and the tourism industry, Cyr said there are 80 to 100 charter flights through his airport each year.
Branson was forced into the ground handling business when the airlines walked away from the airport in 2002. Someone was needed to continue to handle the charter flights, he said.
The airport, which also functions as the fixed-base operation for general aviation, has been selling fuel since 1947. Cyr noted that there wasn’t a private third-party company to provide the services to the airlines or charter operations. Even as United, American Eagle and Northwest has added flights to Branson, a private operator has yet to express interest in ground handling.
Branson was able to recruit Comair to the airport because of its ground handling services, he said.
When it began its ground handling services, Cyr said the airport hoped it would break even. It viewed the services as a potential loss leader because it would help retain or secure the charter flights and new air service.
The airport did not invest in new ground services equipment, but instead sought out used equipment. It has only purchased two new pieces of equipment since it started the service.
The airport now employees 20 service agents, three lead agents and a manger. The manager and lead agents all have airline experience. Many of the service agents are college students working part-time. The starting salary for an agent is $8-an-hour.
Cyr termed the pay rates for his staff as "too reasonable for some" and noted that unions are not strong in his area of Missouri.
Branson charges $150 to turn around Comair's 50-seat regional jet and $700 to handle Allegiant's MD-80s. The basic charge includes landing fee and gate usage, Cyr explained. Any additional service for the carriers is priced a la carte.