Jetstar Japan announced (13-Aug-2013) it transported its two millionth passenger on 12-Aug-2013, 58 weeks after launching operations in Jul-2012 and expects to handle its three millionth passenger “hopefully after several months”, according to CEO Miyuki Suzuki. Ms Suzuki noted the carrier’s two millionth passenger achievement was the fastest among its domestic LCC rivals. The carrier also reported average load factor of 72% including a 93% load in Jul-2013. As previously reported, Jetstar Japan transported its first millionth passenger on 22-Mar-2013 and in its first year of operation transported 1.6 million passengers. The LCC operates a fleet of 13 aircraft at present with plans to expand to 24 aircraft. [more - original PR - Japanese]
Jetstar Japan transports two millionth pax, fastest achievement among domestic competitors
You may also be interested in the following articles...
China-Japan aviation: LCCs Peach, Jetstar Japan gain traffic rights, raising overcapacity concerns
Jetstar Japan and Peach Aviation have received air traffic rights for China which, if utilised, would grow the Japanese LCC footprint in China – Japan's largest visitor source market. Spring Japan became the first Japanese LCC to serve China in Feb-2016. The absence of Japanese LCCs in China may seem surprising, but there are regulatory hurdles, market access questions and conservatism at Japanese LCCs. AirAsia Japan, launching in 2017, will likely leverage the group's China experience; it is the largest non-greater China airline group serving China.
The prospect of further growth comes as incumbents cite overcapacity. What was once a profitable market now only produces returns in the peaks. All Nippon Airways, the largest airline between Japan and China, reported lower revenue on the back of "a deterioration in the supply-demand environment". Spring China has told Bloomberg that some competitors "aren't well-prepared", and will be "phased out". Overall Japanese LCC routes and capacity may be small but will be watched by Chinese airlines, ever mindful of the need to find new business models.
Vanilla Air launches Taipei 5th freedom base, becoming first major Japanese LCC in SE Asia: VIDEO
Vanilla Air was born out of the crisis of All Nippon Airways and AirAsia dissolving their JV airline – AirAsia Japan. ANA took 100% ownership and, for strategic value and pride, swiftly re-launched the airline. It was a tall challenge, so Vanilla Air's existence has been fragile. Now that Vanilla has found a segment and formed an identity externally and internally, it is looking to assert itself. As announced at CAPA's Jun-2016 LCCs in North Asia Summit, Vanilla Air plans to be the first Japanese LCC to have a major presence in Southeast Asia. Vanilla plans to overcome the geography and narrowbody aircraft range restrictions between Japan and Southeast Asia by operating fifth freedom flights from Taipei, made possible by Japan's open skies agreements with Taiwan and most Southeast Asian markets. Its first Southeast Asian service will be a daily flight from Taipei to Ho Chi Minh, the largest Southeast Asian market from Taipei after Singapore, and strategically important for ANA.