DENVER-
One-way fares on some flights from Denver dropped up to $50 after Southwest Airlines starting flying from the city in January, something the Dallas-based discount carrier calls the "Southwest effect."
"Once Southwest comes in with lower fares, it brings the average down a bit," airline spokeswoman Whitney Eichinger said.
United Airlines and Frontier Airlines, the No. 1 and 2 airlines at Denver International Airport measured by passenger numbers, matched Southwest's initial fares.
The average one-way fare from Denver to Phoenix fell to $96 from $146 in the first quarter from a year earlier, according to the U.S. Bureau of Transportation Statistics.
The average for Denver-Chicago Midway one-way fares fell by $23 to $107, and Denver-Las Vegas one-way fares fell by $34 to $93, the bureau reported.
"How much of that is attributable to Southwest, we just don't know," DIA spokesman Chuck Cannon said. "Obviously, though, they've had a very positive effect here."
United and Frontier also increased capacity on flights to cities served by Southwest, leading to an increase in passenger numbers.
"Bring me low fares, and they will come," said Tom Parsons, publisher of Bestfares.com, which offers information on inexpensive fares. "It's going to help your tourism."
Mike Boyd, an Evergreen-based aviation consultant, said Southwest's long-term success in Denver depends on building a local base of passengers, and not just persuading people from other cities to fly there.
"Ultimately they will have to take more market share from United and Frontier. There's going to be a shootout here, and at some point someone is going to get wounded, if not killed," he said.
The fare cuts in Denver contrast with the national picture. Many airlines have raised ticket prices because of higher fuel costs. Southwest said this month it plans to raise fares by $3 or $10 for one-way trips.
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