Volaris-Frontier codeshare is a logical evolution of the ULCC airline model in the Americas

Just as low cost airlines have ditched the model’s traditional playbook, ultra low cost airlines are also breaking the mould in order to remain competitive on a global scale. The most high profile example is the recent declaration by the ULCCs Frontier and Volaris to forge a codesharing agreement later in 2018.

The two airlines are tied together by Indigo Partners, which is a major shareholder in Volaris, and Frontier’s owner. The deepening ties between Frontier and Volaris follow Indigo’s massive Airbus order for 430 jets for operation by the four airlines in which it holds stake – Frontier, Volaris, JetSMART and Wizz Air.

Although codesharing brings a certain level of complexity to the operations of Volaris and Frontier, the rewards are worth the risks. The proposed codeshare is Frontier’s and Volaris’ answer to changing dynamics in the Mexico-US transborder market. Those changes include a powerful new immunised joint venture between Mexico’s largest airline, Grupo Aeromexico, and Delta Air Lines.

Become a CAPA Member to access Analysis Reports

This CAPA Premium Analysis Report is 1,001 words.
Become a CAPA Member

Our Analysis Reports are only available to CAPA Members. CAPA Membership provides exclusive access to in-depth insights on the latest developments in the aviation and travel industry, developed by our team of dedicated analysts located in Europe, North America, Asia and Australia.

Each report offers a fresh perspective on the latest industry trends and is available online or via the CAPA mobile app, with customisable alerts to help you stay informed and identify new business opportunities.

CAPA Membership also provides access to our full suite of tools, including a tailored selection of more than 400 News Briefs every weekday and comprehensive data and analysis on thousands of companies around the world.