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Jetstar Japan

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Jetstar Japan

Miyuki Suzuki, CEO
Miyuki Suzuki
CEO
IATA Code
GK
ICAO Code
JJP
Main hub
Tokyo Narita Airport
Country
Japan
Business model
Low Cost Carrier
Network
Domestic
Airline Group
Part of Japan Airlines Co., Ltd.
Codeshare Partners
American Airlines
Japan Airlines
Qantas Airways

Jetstar Japan is a joint venture between Qantas Airways, Japan Airlines and Mitsubishi Corporation. The carrier operates from its hub at Tokyo Narita International Airport, with a secondary base at Osaka Kansai. The LCC operates domestic services to cities including Fukuoka, Okinawa and Sapporo. Jetstar Japan's fleet of Airbus A320 aircraft are sourced from affiliate Qantas Airways.

Location of Jetstar Japan main hub (Tokyo Narita Airport)

LCCs will continue to evolve into hybrids of the original core model. CAPA and OAG consider Jetstar Japan fits the LCC profile and it is included in our reporting on this basis. Please note: when reporting for an airline is changed from or to LCC the historical data is not affected and it can lead to a distortion in the current reported data. Contact us if you have any queries.


 
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300 total articles

and

37 total articles

and

Qantas joins Air New Zealand in Japanese growth, hoping to regain traffic from Cathay and SIA

1-Dec-2014 1:09 PM

While many airlines are reducing flights to Japan, Qantas is joining Air New Zealand in growing services. The thinking behind the move is partially that outbound traffic to Japan will grow with the yen's depreciation, but also that as other carriers cut capacity in Japan, outbound Japanese traffic has fewer options. Australia and New Zealand were once big favourites of Japanese travellers; as recently as 2005 Japan was Australia's third largest source of travellers. Now the China market has overshadowed growth developments.

Qantas from Aug-2015 will launch a daily service to Tokyo Haneda from an Australian city to be confirmed by the end of 2014. Although Haneda is more convenient than Narita, Qantas will need to contend with Haneda's limited slots – potentially making Sydney-Haneda a difficult option. By offering more options, Qantas will hope to regain traffic from Cathay Pacific and Singapore Airlines, which carry about 19% of Australia-Japan passengers. But those sixth freedom carriers will likely retain an advantage with their city pair and time combinations.

Peach Aviation profits overshadowed by Jetstar Japan & Skymark losses in Japan's changing market

18-Nov-2014 2:02 PM

Japan's Peach Aviation has reported its maiden profit after just over two years of operations. At a 6.5% operating margin, Peach's performance was better than part-owner All Nippon Airways' 4.1% operating margin. Peach's profits are over-shadowed by large losses at Jetstar Japan, which recorded a negative 36.8% operating margin compared to part-owner Japan Airlines' 12.7% margin; JAL Group has Japan's highest-margin and lowest-margin airlines. Jetstar Japan's performance was worse than losses at Skymark and smaller StarFlyer.

Jetstar Japan is on the mend after launching its Osaka Kansai base that has boosted aircraft productivity, which at one point was half that of Peach's. Peach's utilisation is coming down while Spring Airlines Japan continues with heavy under-utilisation.

Jetstar Japan was one of only two carriers to show yield growth in 1Q2014. Jetstar is slowing its growth while Peach expects to continue the conservative but steady growth that has been its hallmark.

Vanilla Air and All Nippon Airways deploy dual-brand strategy on Tokyo-Hong Kong route

13-Nov-2014 12:45 PM

LCCs are kickstarting growth between Hong Kong and Tokyo, a route that has seen relatively flat capacity in recent times but in Mar-2015 will be 27% larger than a year prior, making Hong Kong-Tokyo Asia's 15th largest international route based on seat capacity.

Mar-2015 seat capacity will be the highest in nearly a decade. LCCs in Mar-2015 will comprise 20% of seat capacity, up from zero a mere 18 months prior. HK Express will offer three daily flights – giving it more capacity than Japan Airlines – while Vanilla Air will have double daily services. Vanilla's bold growth comes as owner All Nippon Airways launches its own overnight flights to target the leisure segment. The dual-brand strategy between the two centres on ANA's Haneda base and full-service offering while Vanilla is low-cost and based at Narita.

ANA's growth will largely preserve its Hong Kong-Tokyo market share while Vanilla Air will help ANA grow. HK Express is also gaining in market share while Cathay Pacific and Japan Airlines, which do not have LCC units on the route, are losing share - although Cathay still accounts for about half of the market.

Okinawa Naha Airport is poised for further rapid international growth as its network diversifies

11-Sep-2014 11:00 AM

Okinawa Naha Airport expects further rapid international growth as it begins to tap into the Southeast Asian market. Okinawa has seen a surge in international traffic, driven by new flights within North Asia, and is optimistic a new charter route to Singapore (operated by Jetstar Asia and SilkAir) will be upgraded to become its first scheduled service to Southeast Asia.

International passenger traffic at Okinawa Naha Airport has nearly tripled since 2011. A new international terminal which opened in Feb-2014 is already approaching capacity but plans are in the works for expansion.

For now the growth is being driven by inbound visitor traffic as Okinawa emerges as a popular tourist attraction. But Okinawa also has a potential role as a LCC transit airport, particularly after a second runway opens and further terminal expansion is pursued. Peach Aviation envisioned an Okinawa hub for Southeast Asian flights but requires a new low-cost terminal.

AirAsia Japan Mk II to be Japan’s fifth LCC since 2012. AirAsia enters better informed and prepared

3-Jul-2014 12:57 PM

AirAsia will re-enter Japan in 2015 more experienced about partnership and Japan market needs. The first AirAsia Japan has been a good learning trajectory and the lessons learned from working with majority owner All Nippon Airways have translated to a new partnership profile that avoids a Japan airline JV. AirAsia Japan Mk II – the country’s fifth LCC since 2012 – will have four local investors, with none holding a majority share – and who are more likely to be happy to go along with AirAsia’s low cost philosophy. 

One investor, web travel giant Rakuten, establishes the intriguing scenario of entrepreneurs at AirAsia Japan and Skymark trying to take on the ANA and JAL establishment in Asia’s second-largest domestic market where fares are absurdly out of kilter with global practice. Hybrid and LCC penetration was approximately 19% in FY2013, but the new LCCs – with truly low cost bases – still had only a 13% share. There is room still for major change.

AirAsia Japan will re-enter probably to be based at Nagoya, which has no LCC competition (for now) and no curfew, unlike its former base of Tokyo Narita. AirAsia Japan will also be painfully aware of the importance of near-perfect punctuality in Japan and user-friendly website design, where it stumbled the first time around. It will follow a relatively modest time frame for establishment this time too, recognsing the quirky processes – formal and informal – that plague Japan's aviation administration. AirAsia and ANA (with Vanilla) are each reattempting an LCC. If allowed its head, the new AirAsia Japan holds considerable promise.

Jetstar Japan launches critical Osaka Kansai base as Japan posts 8% domestic traffic growth

27-Jun-2014 1:40 PM

Jetstar Japan has finally opened its second base at Osaka Kansai, becoming the first Japanese LCC to have a second base. First mooted in mid-2012 for an Oct-2012 launch, Jetstar Japan has had to delay the base primarily for falling on the bad side of Japan's regulator over not following its internal maintenance procedures. Jetstar Japan has been flying to and from Osaka Kansai but had been unable to establish a maintenance and engineering base that would allow for more flexible operations.

Jetstar Japan is growing Osaka Kansai capacity by 53% but only by adding services on its existing four routes. All four destinations – Fukuoka, Naha, Sapporo and Tokyo Narita – have service from Kansai-based Peach. Peach will have a larger presence in all of those markets except Tokyo Narita. Peach also serves other domestic destinations from Kansai and has an international network; Jetstar Japan is only domestic and is Japan's fourth-largest domestic carrier.

The Kansai base is critical to boosting Jetstar Japan's utilisation, which has significantly lagged its main LCC competitor Peach.

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