- Terminal First Phase 16,000 SF
- Terminal Second Phase
- Terminal Today
Cost Effective
Capital Costs – Build Incrementally avoiding high debt service.
Operating Costs – Too often, ARFF and LEO costs are the Tail that wags the Dog!
Take a look at your competitor’s FAA Form 127. Examine the detailed data. Do your Proforma conservatively.
For Punta Gorda Airport we found a benchmark study of 14 air carrier airports which showed average revenue of about six dollars per enplanement. We assumed revenue of $4.50 per enplanement for our proforma. Based on that projected revenue we developed a not to exceed expense budget.
Until we received the first month’s revenue figures, we were nervous. However, it worked out well.
A quote attributed to Peter F Drucker states “In every success story, you will find someone who has made a courageous decision”.I would change it to “prudent and courageous ” in that quote.
what basis to COMPETE?
Location:
Are you in a location to serve as a secondary airport for a Metropolitan area?
Or are you located near a resort area?
Cost:
Can you deliver a Cost Per Enplanement lower than a competing airport?
The Advantage for an airline to add service at another location and in the same market, is increased market share, but keep in mind the airline’s additional station costs for the same market so keep the CPE much lower than other airport.
At Punta Gorda Airport we had Fort Myers Airport 35 minutes south of us and Sarasota Airport 45 minutes north of us. So, the only basis we could compete was cost.
For the first four years of airline service at Punta Gorda we did not have an Air Traffic Control Tower! With the net revenues from the Airline Cost Center matched by grant funding we constructed an ATCT. This facility is funded through the FAA Contract Tower program.
For several years Punta Gorda Airport utilized firefighting equipment provided by the County from an off-airport location until we were able to fund construction of facilities on the airport.
Starting off slowly, then Major Growth
Turned the Airport Around!
Look at Revenue versus Cost
As Revenue grows it Overcomes Fixed Costs
Aviation Related Revenue Becoming Majority of Revenue
Operating Expenses Profile different from Most Air Carrier Airports
The Real Money Maker!
Also a Great Money Maker