- CAPA Analysis
- Schedule Analysis
- Cargo Analysis
- Route Maps
- Fast Fact Report
- IATA Code
- ICAO Code
- Corporate Address
- Aeropuerto de Monterrey, Terminal C, Zona de carga
Carretera Miguel Alemán Km. 24
Apodaca, Nuevo León, México
- Main hub
- Monterrey Escobedo International Airport
- Business model
- Low Cost Carrier
- Domestic | International
- Airline Group
- Part of Grupo Viva
VivaAerobus launched its first services in Nov-2006. The Mexican low-cost carrier operates from its main base at Monterrey Escobedo International Airport providing domestic services to Mexican Tier I cities and leisure destinations as well as to the US. The carrier also operates to other smaller regional centres. VivaAerobus was formed as a result of a strategic alliance between Grupo IAMSA, one of Mexico’s leading bus transportation providers and Irelandia, the investment vehicle of the Ryan family- founders of Ryanair. Irelandia has also been involved in starting sister carrier, VivaColumbia, with both carriers forming part of multinational airline group; Grupo Viva. The airline currently utilises a mix of both Boeing 737 and Airbus A320 aircraft and is undergoing transition to an all-A320 fleet, expected to be complete by 2016.
Location of VivaAerobus main hub (Monterrey Escobedo International Airport)
LCCs will continue to evolve into hybrids of the original core model. CAPA and OAG consider VivaAerobus 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.
291 total articles
53 total articles
Mexican low cost airline Volaris is continuing both domestic and international expansion during 2015, but adhering to previous projections that the bulk of its capacity growth will be deployed into international markets, including its first flights outside the US transborder market.
Domestically, Volaris appears to be increasing its competitive overlap with VivaAerobus, the smallest of the four largest Mexican airlines, adding some routes where VivaAerobus previously held monopoly status, from bases where it can leverage positions of strength.
Volaris seems well positioned to take advantage of a still-slow recovery in Mexico’s domestic market while branching out internationally where it can gain more yield traction to strategically diversify its network into markets ripe for low cost service.
Cautious optimism remains the underlying theme in the Mexican domestic market as conditions, while improving, remain fragile. After battling depressed yields for a good portion of 2014, Mexico’s two publicly traded airlines Aeromexico and Volaris are posting gains in yield growth, albeit from a fairly low base.
The improving conditions in Mexico’s domestic market are reflected in 12% passenger growth for the first four months of 2015 to a respectable 11 million, with each of the country’s largest airlines maintaining their respective market share year-on-year.
International passenger growth among Mexican airlines jumped 18% during the first four months of the year as Aeromexico and Volaris in particular direct the bulk of their planned 2015 capacity growth to international markets to offset some of the pricing weakness that remains in Mexico’s domestic market.
Las Vegas McCarran International Airport posted strong gains in international passenger traffic during 2014 and continued to record solid increases in domestic traveller throughput, which reflects the airport’s staying power in a post consolidated US market place.
The airport attracts a mix of leisure and business travellers whose end destination is Las Vegas. That mix also ensures that a variety of airlines serve Las Vegas, reflected in ultra low cost airlines Allegiant and Spirit having a strong presence in the market and Southwest serving as the airport's largest airline.
Las Vegas is not resting on its laurels in expanding its international scope. The airport and community have created clear cut targets for international visitor growth, and McCarran is laying the groundwork to attract new service.
Two of Mexico’s largest airlines are encouraged by the country’s economic uptick and what appears to be capacity discipline in the domestic market, which should further help a recovery in yields that both Aeromexico and Volaris began to see in late 2014.
Despite the challenging conditions, Mexico’s domestic market remained fairly stable in 2014 reflected in roughly 8% passenger growth for the year, with the country’s major airlines retaining or growing their market share year-on-year.
Although the positive momentum is a welcome sign after a challenging 1H2014, there is an air of cautiousness underlying the optimism expressed by Aeroemexico and Volaris as the yield improvement is off a low base. As a result each airline plans to direct the bulk of their 2015 capacity growth to international markets.
Austin-Bergstrom Airport capped off 2014 by recording 7% passenger growth after reaching a milestone in Mar-2014 with the debut of its first trans-Atlantic service by British Airways on flights to London Heathrow.
Although it is not a hub for any major airline, Austin does have numerous favourable elements that make it ripe for continued growth, including a strong economy, an unemployment rate lower than the US national average and a relatively young population.
Obviously the airport aims to expand its long-haul offerings; but that could prove difficult in the short term given weak macroeconomic conditions in some trans-Atlantic regions. But during 2015 Austin is regaining transborder flights from Air Canada with flights to Toronto, while US domestic airlines also plan some expansion at the airport.
Grupo Aeromexico is embarking on 2015 with several initiatives under way to strengthen its network to ensure it maintains its stature as Mexico’s leading airline. The company is rebanking its strategic hub at Mexico City while resuming limited operations at nearby Toluca to alleviate some operating constraints at Mexico City Juarez.
Aeromexico is also in the midst of building up its hub at Monterrey and touting a new shuttle product from Mexico City to the country’s busiest business markets. At the same time, the airline is expanding its international footprint with new destinations in Latin America as well as new North American markets.
The network optimisation occurs as Mexico’s economic performance measured by GDP growth looks to improve year-on-year in 2015. Some of the challenges Aeromexico faced in 2014 are lingering into 2015, including pricing traction in Mexico’s domestic market. But Aeromexico seems to be taking the necessary steps to blunt the weakness that still may be present in Mexico’s domestic aviation market through efforts to maximise the vast connectivity it can offer compared with its rivals.