Vegas Buzz

Allegiant lends Monorail a hand

Beleagured transit system strikes discount-ticket deal with Vegas-based airline

By Ben Stephens

The Las Vegas Monorail began targeting potential riders in mid-air last month, when it struck a deal with Allegiant Airlines to offer ticket packages in-flight to Vegas-bound passengers. The struggling mass-transit system hopes the deal will increase its visibility to visitors.

Vegas-based airline Allegiant has been selling ticket packages for 20 percent less than passengers would pay at Monorail stations or via the Internet, Allegiant spokeswoman Tyri Squires says. "It's normally a $35 cost to the customer. We sell it for $28," she elaborated.

It did not cost the nearly decade-old airline much to offer packages of 10 one-way tickets, according to Squires. It's just another item offered to passengers through an in-flight magazine, food menu and a verbal pitch. The discount is also offered through four "partner properties": Harrah's Las Vegas Casino & Hotel, the Imperial Palace Hotel & Casino, the Flamingo Las Vegas and Bally's-Las Vegas.

Courtesy John Edward Linden Four Las Vegas casino-hotels are also making Monorail discounts to their guests. Courtesy Allegiant Airlines Vegas-bound passengers on Allegiant Air qualify for 20 percent discounts from the Las Vegas Monorail.

Squires said that, since the airline flies to many smaller cities and caters to people who may not be Las Vegas-literate, "it helps to have some first-hand knowledge." She likens it to a concierge service. "It's not a hard sell. You don't feel like you're being bombarded."

NEW OPPORTUNITIES

Allegiant was already offering Las Vegas souvenirs, show tickets, hotel packages and, says Squires, is always looking for new opportunities. Allegiant has 37 hotel partners whose packages it sells, as well as an agreement with Alamo Rent A Car. "We look at what's going to provide the best value for the customer and for the company," explained Squires.

Passengers who purchase the ticket packages receive a flyer they can redeem at any Monorail station. Squires says the 10-ride pass will be a test case and that the airline could open up to other Monorail packages in the future. "This seemed to be the ideal situation, but that doesn't mean we won't expand it in the future," she added.

Las Vegas Monorail spokeswoman Angela Torres says the ticket pricing is similar to the other discounted items offered on the flight menu. Torres could not say if ticket sales through Allegiant would result in any profit for the Monorail but "it is definitely going to increase awareness of the system." She says it is too early for any sales projections, too.

The main goal of the agreement "was to increase their distribution channels," Torres said. Prior to this deal, riders could purchase tickets only at Monorail terminals or online. "We're looking to become more retail and customer focused," she said of her employer. The Monorail is currently working with tour and travel companies on similar deals, Torres added, "but nothing I can disclose at this time."

QUESTIONS MANY, ANSWERS FEW

Torres and Squires both declined to say how much Allegiant is making on each ticket package it sells. Torres also wouldn't comment on other ticket-pricing inquiries: Wouldn't this in-flight price be more attractive to potential riders at the point of purchase, at the Monorail itself? And couldn't it be profitable to the Monorail when no middle man or partner property is taking a cut?

The latest ridership data, released in December, indicates the Monorail averaged 15,430 passenger per day for that month. Overall ridership in 2006 was 19,219 riders per day, 30 percent less than 2005, when the system carried an average of 28,122 riders daily.

No ridership data for 2007 will be released until next month. Earlier this month, the privately owned Monorail decided to publish its ridership numbers quarterly instead of the monthly numbers it had previously announced.

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