In the serene, azure skies above the Hawaiian Islands, a fierce battle for air supremacy once raged. For decades, inter-island travel was largely the domain of two local giants: Hawaiian Airlines and Aloha Airlines. But in 2006, a new, aggressive contender descended upon the scene, promising ultra-low fares and shaking the very foundations of the Hawaiian aviation market. This was Go! Airlines, a subsidiary of Phoenix-based Mesa Airlines, and its arrival would prove to be a brief but utterly transformative, and ultimately destructive, force in the islands’ skies.
A Mainland Intruder: The Genesis of Go!
Go! Airlines was launched on June 9, 2006, by Mesa Air Group, Inc., a prominent U.S. regional airline operator known for its extensive code-share agreements with major mainline carriers on the mainland. Mesa’s CEO, Jonathan Ornstein, saw an opportunity to disrupt the lucrative, yet high-priced, Hawaiian inter-island market. At the time, fares between islands were considerably higher than equivalent distances on the mainland, and the market was ripe for a low-cost entrant.
Go!’s strategy was simple: offer rock-bottom fares to stimulate demand and capture market share. This aggressive pricing strategy was designed to break the duopoly held by Hawaiian and Aloha, which had long enjoyed comfortable pricing power. Go! promised fares as low as $19 one-way, a price point virtually unheard of in the islands, immediately sending shockwaves through the local aviation scene.
The airline operated under the FAA Part 121 certificate of Mesa Airlines, leveraging its parent company’s existing infrastructure, operational expertise, and purchasing power to minimize startup costs. This was a direct challenge, not just in terms of pricing, but also in bringing a mainland-style low-cost model to a unique, tight-knit island market.
Main Hubs: A Single Island Focus
Unlike large network carriers, Go! Airlines focused exclusively on inter-island travel within Hawaii. Its primary operational base and the central point of its limited network was Honolulu International Airport (HNL) on the island of O‘ahu. From HNL, Go! operated flights to the other major islands, connecting passengers to their destinations.
While HNL served as its de facto hub, Go! did not establish multiple large, complex hubs. Its operations were designed for high-frequency, short-hop flights between a handful of key airports, maximizing aircraft utilization on these specific routes.
The Fleet: Small Jets for Short Hops
Go! Airlines’ fleet was entirely composed of Bombardier CRJ-200 regional jets. These aircraft, typically configured for 50 passengers, were a departure from the larger Boeing 717s (operated by Hawaiian) and Boeing 737s (operated by Aloha) that dominated the inter-island market.
The choice of the CRJ-200 was strategic for a low-cost carrier:
- Lower Acquisition/Leasing Costs: CRJ-200s were readily available from Mesa’s existing fleet or the secondary market, reducing capital outlay.
- Lower Operating Costs per Aircraft: Smaller jets generally have lower fuel burn and maintenance costs per aircraft compared to larger mainline jets.
- Flexibility for High Frequency: Their smaller capacity allowed Go! to operate more frequent flights throughout the day, increasing options for travelers and potentially maximizing daily rotations.
However, the smaller size also had drawbacks. Passengers accustomed to the wider cabins and amenities of larger aircraft sometimes found the CRJ-200s less comfortable for the short but impactful inter-island flights. The limited cargo capacity of the CRJ-200 also put Go! at a disadvantage for freight, a significant part of the inter-island aviation business.
The Network: Connecting the Aloha State
Go! Airlines operated a focused network connecting Hawaii’s major islands:
- Honolulu (HNL), O‘ahu (primary base)
- Kahului (OGG), Maui
- Kona (KOA), Hawai‘i Island (Big Island)
- Hilo (ITO), Hawai‘i Island (Big Island)
- Lihue (LIH), Kaua‘i
These were the most popular and commercially viable inter-island routes, serving both leisure travelers and local residents commuting between islands. Go! aimed to offer a simple, direct, and frequent service on these high-demand routes, a quintessential point-to-point strategy tailored for the unique geography of Hawaii.
The Price War and Its Devastating Fallout
Go!’s aggressive pricing strategy immediately ignited a brutal price war that reshaped Hawaiian aviation. Fares plummeted across the board as Hawaiian and Aloha were forced to match Go!’s low prices to retain market share. While a boon for consumers, this was financially unsustainable for all carriers.
The price war, coupled with other factors, hit Aloha Airlines particularly hard. Aloha, already struggling with legacy costs and pension obligations, was ill-equipped to withstand the sustained pressure of drastically reduced fares. In March 2008, after 61 years of service, Aloha Airlines ceased all passenger operations and filed for bankruptcy, a direct consequence of the intense competition Go! had introduced. This event remains a highly controversial aspect of Go!’s legacy, with many in Hawaii blaming the mainland upstart for the demise of a beloved local institution.
But the price war didn’t just affect Aloha. Hawaiian Airlines, a much larger and more financially robust carrier, also felt the pinch but managed to weather the storm by leveraging its strong loyalty program, superior comfort (with its Boeing 717s), and broader network. Hawaiian responded by implementing its own deeply discounted fares and actively campaigning against Go!, often appealing to local sentiment.
Controversies and Operational Challenges
Go!’s tenure in Hawaii was plagued by controversy and operational issues:
- Pilot Poaching Allegations: Soon after Go! launched, Hawaiian Airlines accused Mesa Airlines of illegally obtaining confidential proprietary and trade secret information, specifically regarding pilot training and seniority lists. Hawaiian alleged that Mesa used this information to poach pilots, causing significant disruptions to Hawaiian’s operations. This led to a high-profile lawsuit, which Mesa eventually settled in 2009 by paying Hawaiian Airlines $52.5 million. The lawsuit severely damaged Go!’s public image in Hawaii.
- Safety Concerns: While Go! maintained its FAA operating certificate, there were public concerns raised about its safety record and maintenance practices, often fueled by its competitors and local media. These concerns, though often unproven, added to the public’s distrust.
- Customer Service Issues: Like many ultra-low-cost carriers, Go! sometimes faced criticism for its basic service, limited amenities, and handling of operational disruptions.
- Fuel Price Volatility: The airline operated during a period of fluctuating and often rising fuel prices, which significantly impacted its profitability, especially given its low-fare strategy.
- High Operating Costs in Hawaii: Despite its low-cost model, operating in Hawaii carried inherent higher costs for fuel, labor, and airport fees compared to many mainland operations, eroding its already thin margins.
The Eventual Demise: Fuel Costs and a Change in Strategy
Despite being a catalyst for Aloha’s demise, Go! itself never achieved sustained profitability in the Hawaiian market. The fierce competition it created, combined with the rising cost of fuel and the negative public perception from the pilot poaching lawsuit, continuously hampered its financial performance.
In April 2014, after eight years of operation, Mesa Air Group announced that Go! Airlines would cease all flights on April 1, 2014. The official reason cited was the desire to “concentrate its resources on its now growing mainland operations and minimize its exposure to ‘at risk’ flying.” Mesa’s CEO Jonathan Ornstein also specifically mentioned the long-term increase in the cost of fuel, which had “more than doubled since go! began service and has caused sustained profitability to be elusive.”
The remaining aircraft in Go!’s fleet, the CRJ-200s, were subsequently redeployed to support Mesa’s mainland regional contracts with major U.S. carriers. This decision marked the end of an ambitious, yet ultimately unsuccessful, attempt to revolutionize inter-island air travel in Hawaii.
A Lasting Impact
The story of Go! Airlines is a fascinating case study in airline economics and market disruption. While its individual venture failed, its impact on the Hawaiian aviation market was profound and lasting:
- Fare Restructuring: Go! permanently reset the expectations for inter-island airfares. Even today, despite the consolidation, fares remain significantly lower than they were prior to Go!’s entry.
- Consolidation: Go!’s aggressive strategy directly contributed to the demise of Aloha Airlines, leaving Hawaiian Airlines as the dominant inter-island carrier and signaling a broader trend of consolidation in the U.S. airline industry.
- Market Lessons: The experience highlighted the unique challenges and sensitivities of operating in a niche market like Hawaii, where local loyalty and public perception can be as crucial as price.
Go! Airlines, the little CRJ operator that dared to challenge the Hawaiian giants, flew for a relatively short time. Yet, its turbulent journey left an undeniable mark, forever changing the dynamics of inter-island air travel and serving as a powerful reminder of the intense competition and inherent risks in the airline business.
Keyword: DeadAirlines