Os fr With airline tickets on the rise, travelers can still get a good deal. HMHF owners Mike and Ron Fayne. JENNIFER FINER JEWISH NEWS INTERN idnie Herold prefers to travel on charter flights for one rea- son: They are cheaper. Twice a year, this West Bloomfield resident takes a charter to Las Vegas to play in a card tournament. Her most recent trip, last Septem- ber, cost $269 round-trip. At the time, commercial flights from Detroit to Las Vegas were more than $400. Mrs. Herold is one of millions of passengers who annually fly with charter airlines. Not only are these flights less expensive, but they have overcome prob- lems of the past, markedly im- proving their on-time records in recent years. Tour operators like Hamilton, Miller, Hudson & Fayne, one of the nation's largest travel man- agement companies, have seen business soar as passengers dis- cover charters. Working with travel agencies, EINIEF offers charter flights and package tours that can include lodging costs and airport trans- fer fees. They serviced 350,000 passengers last year and char- tered 51 different flights a week. "Over the years, people have looked at charters as an alter- native to travel that for some reason was negative. Now peo- ple are realizing the value and credibility in them," said Michael Fayne, president and co-founder of HMHF. Mr. Fayne and his brother Ron established HMHF after winning a package trip to Spain for selling real estate. The broth- ers decided it would be profitable to package and sell trips, simi- lar to what they won, to travel agencies. The Faynes began by ar- ranging student tours around the country. The idea of pack- age tours caught on, and HM=HF was established in 1970. Ron Cockburn, a sales man- ager with Keytours, a Windsor- based tour operator that does business in the Detroit area, agrees that charters have over- come past stereotypes. Edward Singer, owner of Ed Singer Junkets, in Berkley, is a licensed junket representative, which means he works for the casinos by bringing gamblers to destinations like T as Vegas, At- lantic City and Nassau. Mr. Singer, who often books his customers on charter flights, said the advantage to commer- cial airlines is when a plane is delayed or canceled, commercial airlines have more planes at their disposal. "Charters have really gotten much better," said Mr. Singer, who uses HMHF, Keytours and Travel Charter, a Troy-based charter wholesaler that offers travel packages to Europe and vacation destinations outside "People are realizing the value and credibility of charters." Michael Fayne the United States. "These air- lines don't want to be an incon- venience to people because it's their reputation that suffers. Most people don't realize the charter wholesale companies lease the planes; they don't fly them." HMHF uses commercial and charter airlines such as Leisure Air and Sun Country. Keytours and Travel Charter send their passengers on American Trans Air. Travel Charter also employs commercial airlines. Spirit Airlines, Inc., a Detroit- based air carrier which was orig- inally conceived as a tour operator under the name Char- ter One, acquired a fleet of air- craft and recently became a scheduled air carrier. Now, the airline goes to Flori- da and offers packages to At- lantic City, including casino day trips. Tour operators agree compe- tition in the Detroit market is fierce and meeting consumer de- mand can be challenging. "Everyone is really cost-con- scious so we have to keep our price as low as possible but still make money. We are very aware of what other operators are do- ing," Mr. Cockburn said "For ex- ample, people who go to Vegas are so cost-conscious that if there is a $5 difference in price be- tween packages, that makes all the difference." Mr. Fayne said the way HMIFIF competes in the market is not only through selling trips to standard charter destinations like Florida, Las Vegas, and Mexico but offering a variety of creative packages. HMHF offers day trips to destinations like At- lantic City, the Bahamas or New York for a shopping excursion. "We try to do things we think are fun and that people will buy," Mr. Fayne said. "I think the most rewarding thing is just to think about the fact that we cre- ated this business. When I go to the airport and see all the bags with our luggage tags, it's very exciting." The economic outlook has a significant effect on the travel business. Mr. Cockburn said when the economy is bad, Key- tours books fewer trips. Mr. Fayne said a bad economy is beneficial for RMHF because he believes people still travel but look for alternative ways to do it. Other trends those in the trav- el business have noticed include more last-minute travel plans and shorter but more frequent vacations. Can tour operators continue to make travel plans at a dis- count and still make a profit? Ac- cording to Mr. Fayne, they can. "The future looks bright as long as the scheduled airlines choose to make a profit and we will continue to be an alterna- tive for people who want to spend less. Because we serve such a small market, we are not a threat to the scheduled air- lines," he said. ❑