Canada Jetlines, the most recent airline to enter the crowded area, is ready to take off

One other airline that hopes to threaten the nation’s Air Canada-WestJet duopoly will take its inaugural flight on Thursday.

Canada Jetlines, a brand new startup airline headquartered in Mississauga, Ont., plans to fly twice weekly from Toronto’s Pearson Worldwide Airport to Calgary Worldwide Airport.

The airline mentioned it would maintain a ribbon-cutting ceremony Thursday morning to mark the arrival of the primary flight in Calgary.

Canada Jetlines payments itself as an “all-Canadian, value-focused leisure service.” Whereas Toronto-Calgary is at present its solely scheduled route, the corporate’s flagship business providing, Duncan Bureau mentioned the airline plans to serve each home and cross-border leisure markets, together with flights to the Caribbean and the US.

The airline at present has one Airbus A320 and one other shall be added in December, with plans to develop the fleet to fifteen Airbus A320s at a charge of 5 plane per yr by 2025, the bureau mentioned.

Low-cost carriers are rising

Canada Jetlines is Canada’s newest, however not the primary, airline to go underneath as a result of pandemic.

Edmonton-based Flare Airways has been increasing aggressively over the previous yr and a half, and now serves 36 airports with 85 routes and a fleet of 18 plane.

Calgary-based Lynx, previously often known as Enerjet, launched final spring and on the time it hoped to function about 90 flights per week on 9 routes inside Canada.

WestJet additionally operates its personal subsidiary low-fare airline, Swoop, which launched in 2018 and serves locations in Canada, the US, Mexico and the Caribbean.

Whereas these opponents function underneath a low-cost, no-frills mannequin, Canada Jetlines goals to distinguish itself with service within the premium leisure market, the bureau mentioned.

He added that he was essential of the enterprise mannequin being utilized by so-called low-cost carriers reminiscent of Aptitude and Lynx.

“For those who’re charging a fare that is decrease than the price of parking your automotive on the airport, the economics do not work and it isn’t sustainable,” the bureau mentioned.

Deepest pockets

Canada Jetlines plans to supply clients a premium expertise that features departure occasions that go well with customers’ preferences over the pilot and 174 seats as an alternative of the usual 180 to supply extra consolation, the bureau mentioned.

On its web site, Canada Jetlines is promoting introductory fares beginning at $99 for a one-way journey between Calgary and Toronto for a restricted time.

For comparability, Aptitude gives one-way journeys from Calgary to Toronto for $49, the identical route begins at $99 on Lynx and you may fly from Edmonton to Toronto for $59 with Swoop, in accordance with firm web sites.

The pandemic within the mainstream airline business is making it potential for startup airways to accumulate parked and idle planes at good costs, mentioned Rick Erickson, an unbiased aviation analyst primarily based in Calgary.

Such is the case for Canada Jetlines, because the pandemic paved the way in which for the airline to rent accessible expertise and purchase plane at low value.

“I believe those that survive would be the ones with the deepest pockets. It often takes 18 to 24 months for brand spanking new airways to begin making a revenue, so with all these new gamers coming into the market, the query is ‘Who has the deepest pockets and who has the perfect marketing strategy?’ “Sure?” Erickson mentioned.

The bureau mentioned Canada Jetlines plans to supply service to the U.S. throughout the subsequent three months, although no official supply and dates have but to be introduced.

Canada Jetlines is an unbiased airline that’s publicly traded on the NEO alternate.

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