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The new Gran Colombia de Aviación airline, GCA, had to face a turbulent start, as a few months after starting operations in the country, the pandemic arose that forced the airports to close and leave the planes on the ground.
But this did not stop the company that today resumes operations from Cali, connecting it with Barranquilla, in a first route to which others will be added in the coming days.
Andrés Felipe Botero, manager of this airline whose investor is a Venezuelan businessman, says that in recent months they have prepared with security protocols and that they start with the expectation of being an alternative to connect passengers from the southwestern part of the country with destinations on the Atlantic Coast and eastern Colombia.
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When was Gran Colombia de Aviación Airlines born?
It was founded in August 2017. Initially, it was thought to have the city of Ibagué as a base of operations, but due to a commercial strategy of the company it was considered that the best decision was to move the base of operations to Cali and we operate at the Alfonso Bonilla airport Aragon.
We have a single shareholder, who is Jorge Áñez Dagger, also the owner of the Venezuelan Avior, who has been for more than 25 years, and who is passionate about the country and has made an immense investment in Colombia to put the airline into operation.
After more than two years of certification, we obtained the operating permit on November 26 of last year and made our first flight on November 29 between Cali-Cartagena. Later, we quickly incorporated additional routes to Barranquilla and Cartagena-Bucaramanga, and during the months of December and January we had a good load factor, but unfortunately the pandemic arrived.
Did you think about changing your plans when, a few months after starting, you have to stop operations due to the closure of the airports?
This is an unusual and unfortunate situation that no one can control or make specific projections. When in March the total cessation of national and international operations was decreed, we initially thought it would be for a month, and then the issue was postponed month by month.
Despite the pressure and constantly talking to the Civil Aeronautics and the Government, only until this month was the sale of tickets allowed. The effects are devastating because maintaining a company that is generating zero revenue in six months is very difficult.
However, on the part of the shareholders and the board of directors, a very great effort was made and, despite the situation, they managed to keep the airline afloat and reactivate us now.
What did they do during these months, what happened to the employees?
We currently have 101 employees. At the beginning of the pandemic there were 115 of us and we did not fire any of us, those who have left left for different reasons. But based on the legal provisions, we suspended the employment contracts because, in the event of force majeure, it was impossible to sustain the payments for an indeterminate time because there was no specific reactivation date.
During this time, the ground and on-board personnel were trained in biosafety protocols, the spaces were adapted, protection implements were acquired, in general, to get the company ready to start flying.
What routes do you start with today?
It’s a big bet and we are ready to start flying. Taking into account the contraction of the market and the current situation that is being seen in the country, we want to start with an operation adjusted to the market, we will fly Monday and Friday on the routes Cali-Barranquilla-Cali, there are two weekly frequencies, in principle , and as of October 15 we hope to incorporate other routes that have already been authorized by Aerocivil such as Cali-Cartagena, Cali-San Andrés and Cali-Bucaramanga.
You are a small airline, it is an ambitious bet to compete in this business …
If you look at the market figures in Colombia before the pandemic, you can see that it was clearly growing. Avianca has 51% and there is still a lot to take from and we are committed to connecting the southwest with the east and north of the country without going through Bogotá and that is what generates advantages for the passenger because they will not lose connection time and will have some Affordable and competitive rates.
In Colombia there is a lot of market to be exploited and explored and that can be seen with the growth that existed before the pandemic and with the appearance of several airlines such as Viva Air and us.
With which fleet does the operation start?
The company operates Boing 737-400 aircraft, which have capacity for 144 passengers, 12 in a plus cabin and 132 in an economy cabin.
We have a diversification with an offer of services adjusted to the needs of the passengers, with four rates that allow to travel with ease and tranquility. If you travel light, if you want to travel with luggage, if you want business class, our idea is to break the air market scheme and avoid the passenger having to have so many inconveniences when changing their tickets, we want to be more flexible and friendly with the passengers.
How competitive are the rates?
We started with a mini fare of $ 139,800 each way on the Cali-Barranquilla route or $ 250.00 round trip. But we are very flexible, depending on the way the passenger wants to travel.
We launched the ‘Wings to Hope’ campaign, which invites travelers to fly where their dreams take them, and encourage the reunion that they have surely been waiting for several months.
We also offer the possibility of reserving and paying for the ticket 72 hours before the flight departs.
What is the growth outlook for GCA Airlines?
To have a point of equilibrium we have to have a minimum occupancy of 65%, that is to say that we have to have about 70 passengers on each flight to get ahead and we bet to overcome that. We hope that from the announcements of the National Government the market will react and we will begin to see very soon the occupancy rates that we had before the pandemic.
By 2021 we expect to have four aircraft and reach some 200 monthly frequencies on direct flights from Cali.
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