A new Canadian airline is opening a ultra-low-fare corridor between Toronto and both New York and Chicago with fares starting at $84
The Windy City and the Big Apple are being nibbled at by Flair Airlines.
The ultra-cheap Canadian airline will start flying from Toronto to New York flights City and Chicago in 2022, as well as other locations south of the border. Beginning about $84 one-way, flights to New York are expected to take off on April 7 and flights to Chicago on May 17.
Flair’s entry point into New York City will be John F. Kennedy International Airport, providing an alternative to the area’s LaGuardia and Newark Liberty International Airports, which are preferred by Canadian carriers. Beginning on April 7, there will be twice-weekly flights from Toronto Pearson International to Kennedy International, increasing to four times weekly service on May 16.
Flair will utilise O’Hare International Airport in Chicago rather than Midway International Airport to benefit from O’Hare’s wider runways, which may be able to offer longer flights to distant locations in the future. Initially, there will be three flights each week to Chicago.
A potential fare war leading to lower ticket prices
One of the most well-liked US vacation spots for Canadians is New York City, which attracts a lot of both business and leisure travellers.
Garth Lund, Flair’s chief commercial officer, told Insider of New York City, “It’s crucial for us to service there.” “Given the magnitude of the people alone, it is a sizable market. It should be in high demand since it’s a wonderful location for tourists.”
However, Flair has selected a market in New York where there are plenty of rivals. Air Canada, WestJet, American Airlines, and Delta Air Lines are direct competitors on the Toronto-New York route alone. Porter Airlines and United Airlines also provide service on the route from neighbouring Newark.
There is a lot of capacity in the market currently, but Flair will essentially be the sole low-cost carrier, according to Lund. We aim to increase demand by taking advantage of cheap prices and making travel accessible for those who previously would not have been able to.
The main Canadian airline in New York and Chicago, Air Canada, may take significant action to defend its very profitable transborder flights, and Flair might initiate a rate war that results in cheaper tickets.
Regarding rivals on the road, Lund stated, “They could slash flares.” “But given their larger cost base, I believe it can only be a temporary solution for them. They just cannot continue to exist at the lower fare levels.”
Given the hefty taxes imposed on overseas flights, Flair will depend on customers buying tax-free ancillaries since margins may be narrow. According to Lund’s experience, even on the shorter trips, passengers still want to buy a bag, request priority boarding, and maybe even pay for a seat.
More access to Canadian cities for Americans, and vice versa
During the COVID-19 pandemic, Flair will expand to nine new US cities, including New York and Chicago. Toronto may just be the beginning for Flair in each of these cities. According to Lund, the airline may soon establish connections between the two cities and its other Canadian hubs, especially Vancouver, Ottawa, and Edmonton.
A negative PCR test conducted within 72 hours of a flight headed for Canada is one of the COVID-19 entry criteria for Americans with vaccinations entering Canada.
The new flights to New York and Chicago will be flown by Flair’s brand-new Boeing 737 Max aircraft. In addition to being able to buy food and beverages, passengers will be able to use the Flair In-Flight App on their smartphones to play games and watch video.
Low cost doesn’t always imply cheap, according to Lund. “We want our consumers to have a positive experience,”
