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Startup airlines thrive in small markets amid competition from legacy carriers

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Startup airlines thrive in small markets amid competition from legacy carriers
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Simple Flying | Simple Flying

It is often challenging for new airlines to establish themselves in a market dominated by major players such as Delta Air Lines, American Airlines, United Airlines, and Southwest Airlines. However, low-cost and ultra-low-cost carriers have begun to carve out a significant portion of the US airline market share. In 2021, Breeze Airways and Avelo Airlines entered the scene as startup airlines aiming to fill niches overlooked by larger legacy carriers.

These startups are focusing on smaller regional airports rather than competing directly with established airlines at large hubs. As noted by the New York Times, "Aviation is unforgiving. Competition is fierce, the barriers to entry are high and success is fragile." Despite these challenges, low-cost carriers have increased their global share since the pandemic.

Breeze Airways operates a fleet of Airbus A220-300s and Embraer 190/195s while offering some additional amenities despite being a low-cost airline. Avelo Airlines flies Boeing 737s and began operations under its current name in April 2021 after transitioning from charter flights. Both airlines focus on non-stop flights between destinations not typically connected by traditional hub-and-spoke models.

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The New York Times highlighted Tweed-New Haven Airport as an example of how these startups are finding success in small markets. Five years ago, Tweed had limited service primarily through American Airlines; today it offers around 30 daily flights connecting to numerous destinations thanks to Breeze and Avelo's presence.

Breeze Airways' Chief Commercial Officer Lukas Johnson stated that their niche strategy relies on "the right size, for the right model, for the right price and efficiency." This approach allows them to operate effectively without competing directly with larger carriers at major airports.

In early 2025, both Breeze and Avelo plan further expansions from Tweed-New Haven Airport with new routes including Charleston (South Carolina), Jacksonville (Florida), Norfolk (Virginia), Raleigh/Durham (North Carolina), Richmond (Virginia), Sarasota (Florida), Dallas/Fort Worth (Texas) among others.

For residents of New Haven regionally-focused air travel options have increased significantly allowing direct access leisure destinations or visits friends family saving time avoiding layovers larger hubs like Atlanta operated heavily by Delta Air Lines historically described requiring plane changes en route heaven hell alike according anecdotal expression mentioned article related content continues emphasize operational advantages offered smaller regional airports shorter wait times less stress compared larger counterparts Tweed remains home substantial number scheduled flights illustrating importance placed this location both companies expand nationwide networks maintaining strategic flexibility competitive edge industry landscape evolves

Organizations Included in this History
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