Updated: Wednesday, 20 Apr 2011, 9:52 PM CDT
Published : Wednesday, 20 Apr 2011, 9:49 PM CDT
MEMPHIS, Tenn. - Memphis International has gained a reputation as one of the most over priced airports in the country, and many travelers agree. But the airport explains higher prices are just a small price to pay for what the entire region gets in return.
In Brief:
-New York Times article ranks MEM as 2nd most expensive mid-sized airport
-Many Memphis travelers fly out of Little Rock and Nashville
-MEM CEO says more expensive flights are a trade-off for Delta, FedEx hubs
-Southwest may carry some flights out of MEM after AirTran merger
Costs Sending Memphis Flyers Elsewhere
Is the cost of a flight out of Memphis International Airport price gouging or worth the cost?
A quick search on travel websites reveals that Memphis is about 100 to 200 dollars more than our neighbors Little Rock and Nashville, and frequent travelers have taken note.
New York Times blogger Nate Silver, a popular blogger known for crunching numbers, analyzed prices and said Memphis ranks second on the list of most overpriced mid-size airports. According to Silver, travelers pay about $99 too much.
Frequent flyer Steve White said when he travels for pleasure, he flies out of Little Rock or Nashville. "With a family of four, if you're saving 200-300 dollars a ticket, to fly out of these cities is absolutely worth it."
Larry Cox, CEO of Memphis International, doesn't fault families for choosing other airports. He said Memphis is geared toward business travelers. "My job is to protect the economy in Memphis, and so by having an airline hub and a FedEx cargo hub, our economy runs off that," he said.
Central Hubs a Trade-Off
According to Cox, FedEx and other big businesses rely on Delta for non-stop and international flights to get employees around the world. Delta's hub here dominates the market and drives up prices.
"On the one hand our fares are higher, and on the other we have non-stop flights to 90 cities and international destinations, none of which we would have," Cox said. "It's a balancing act."
Jake Winn says it's worth the cost. He is a frequent international traveler willing to pay a small price for convenience. "It might cost me 100 or 200 dollars cheaper to fly out of somewhere like Chicago, but for me it's not worth it to drive that far, I'd rather fly from here and be done with it," he said.
Memphis has 250 non-stop flights a day, but rising fuel prices means Delta will cut back to 172 daily flights by the fall.
Silver highlighted Delta's dominance for overpriced flights; likewise, White would like other options, especially for business travel. "I think its bad for the city of Memphis; it's known on the internet, it gives Memphis a black eye."
The airport disagrees. Cox said paying more for a flight is actually driving the economy for the entire region and is essential for FedEx. "If the Delta Hub should ever go away, then we'll have about 50 flights a day," he said. "That could have a very bad effect on economic development and job growth here."
Larry Cox said the key to landing a cheap flight out of Memphis is planning ahead and be willing to have a layover. He also hinted at the possibility of a few Southwest flights being added after the merger with AirTran is complete.