In order to provide you with the best online experience this website uses cookies.
By using our website, you agree to our use of cookies. Learn more.
At least one Canadian airline will shut down within two years: Porter CEO
Porter Airlines is spreading its wings with expansion plans that include growing its fleet to 79 planes by 2025 (two-thirds of them jets), hiring some 300 pilots over the past year, new connections within Canada and the U.S. – including five destinations in Florida – and partnerships with other carriers, such as Air Transat and, as announced yesterday (Dec. 13), Alaska Airlines.
The Toronto-based airline, once defined by a solid fleet of turboprops at Billy Bishop island airport, is on a mission to disrupt Canadian aviation as we know it.
Factor in a group of ultra-low-cost carriers (ULCCs) that have entered the Canadian market in recent years, and air travel has never been more competitive.
READ MORE: Porter teams up with Alaska Airlines to unlock more U.S. West Coast
But according to Porter’s CEO, Michael Deluce, things won’t stay that way for long.
Speaking to the Canadian Press on Wednesday (Dec. 13) – the day Porter revealed that it will team up with Alaska Airlines to unlock more destinations on the U.S. west coast – the CEO predicts that at least one Canadian airline will fold within two years.
Canada’s market is too small, and too crowded, to keep all the current players active, he said, saying that the traction just isn’t there.
Expansion plans announced by other carriers include Flair Airlines aiming to increase its fleet to 26 planes from 21 and Lynx Air to 17 aircraft from nine. Both hope to reach 50 aircraft over the next two to three years.
There’s also Canada Jetlines, which is aiming to have 15 aircraft in the next 13 months, growing from its current three.
“I would say not all of those plans will come to fruition,” Deluce told CP (he avoided singling any company out).
Removing pain points
The remarks comes as Canadian aviation undergoes a restructuring after WestJet folded its low-cost subsidiary, Swoop, integrating it into its mainline in October.
The same will happen to Sunwing Airlines, which WestJet acquired in May.
In a still-crowded marketplace, Porter’s strategy is to remove pain points in economy flying using new Embraer E195-E2 jets, a model Deluce has called “the best narrow-body aircraft available.”
READ MORE: From magenta to teal - Swoop operates final flight as it merges with WestJet
The E195-E2 features 132 seats with a 2-by-2 cabin configuration that gives passengers a choice between window and aisle seats (no middle seats).
In addition, all passengers on Embraer flights receive free Wi-Fi, premium snacks, free beer and wine served in glassware (much like the service on Porter’s turboprops), generous legroom, along with access to a menu of fresh meals.
“For over two decades, the entire industry has chipped away at the economy experience and today it has become very painful, stressful and, in many cases, dehumanizing for most people,” Deluce told PAX back in January at the jet’s unveiling.
“No carrier has removed the pain points for economy travellers or focused on making their experience more enjoyable and so that's exactly what we're going to do. With the expansion of our fleet, we are setting out on a mission to redefine air travel once again.”
READ MORE: Air Transat & Porter extend code-share deal, launch joint venture
The Embraer E195-E2 also has lower operating costs compared to larger, competing models, such as the Boeing 737 Max and Airbus A320.
This, Deluce told CP, has allowed Porter to take a lesser risk in entering new markets, with less seats to fill.
“As well, you can offer more frequency, which is important to customers,'' Deluce told the outlet.
Start your engines
The E195-E2s have allowed Porter to expand to Central and Western Canada, and major U.S. cities, like Los Angeles, San Francisco, and five cities in Florida.
By the end of next year, Porter will have its first 50 Embraer jets, and once that happens, the company will look at further expansion.
READ MORE: Porter brings “House” party to T.O., talks Florida success, loyalty program changes
“Mexico and the Caribbean are on the map,” Kevin Jackson, executive vice president and chief commercial officer at Porter, told PAX at the airline’s “House Party” in Toronto in November.
Other potential additions to Porter’s network in the near future include Saskatoon, Regina, Seattle, Phoenix, Denver, Dallas, Minneapolis, Nashville, Atlanta, Charlotte and West Palm Beach.
Customers can also expect changes to Porter’s VIPorter loyalty program as new partnerships form.
As announced yesterday, Alaska’s Mileage Plan members can start earning points on Porter flights booked via Alaska Airlines from January, and later in 2024, both VIPorter and Mileage Plan members will earn miles in their respective loyalty programs no matter where they book their flights.
Don't miss a single travel story: subscribe to PAX today! Click here to follow PAX on Facebook.