The winter season escapes the alliance of VivaAerobus and Allegiant

The low-cost airlines VivaAerobus and Allegiant Air (based in Las Vegas, United States) have not been able to finalize their commercial alliance, which they expected to start during the next quarter, and with it the opportunity to take advantage of the winter season to attract American tourists to Mexican beaches.

To date, the United States Department of Transportation (DOT) has not approved the antitrust immunity requested to achieve business efficiencies for companies. In addition, the return to category 1 of the Mexican aeronautical authority before the Federal Aviation Administration of the United States is still pending.

In the exchange of information with the authorities, it has been argued, among other things, that the delay causes harm to US consumers, who will not be able to take advantage of the low-cost rates that can be offered and direct service to Mexico. In addition, Allegiant, its flight crews and other employees are affected because they will delay investments with a view to their international operation.

One year ago, on the first day of December 2021, the airlines announced their intention to unite their brands (the agreement includes a $50 million investment by Allegiant in VivaAerobus) and generate new cross-border and non-stop routes. to destinations where only connecting flights are currently available.

“More than 250 potential routes have been identified as part of the DOT application, although the specific routes will be announced later, after the application is approved,” it was reported at the time.

In his plans was to have the authorization in the US last July and begin the efforts to start making the flights in the first quarter.

What they did obtain in Mexico was the approval of the Federal Economic Competition Commission (Cofece), valid until April 11, 2023, although the validity can be extended. The concentration is between Aeroenlaces Nacionales (VivaAerobus), Grupo VivaAerobus (including its subsidiary PLV Fans Rewards), Allegiant Air and Allegiant Travel Company.

They want a new route to Bogotá

On December 21, VivaAerobus requested the Colombian aeronautical authority to fly the Monterrey-Bogotá-Monterrey route with three frequencies a week, which would add that destination to its operation at the Mexico City International Airport (AICM). ), from where it also flies to Cali and Cartagena.

Currently it also has the Guadalajara Bogotá route, among others.

For now, the airline’s website already offers the Bogota-Monterrey flight, recently requested, with a rate starting at $180, one-way. With its low-cost model, VivaAerobus has established itself as the third operator in Mexico, behind Grupo Aeroméxico and Volaris, where the development of the domestic market is its spearhead.

However, it does not stop looking at the possibility of opening new international routes, for example, one to Jamaica due to the tourism potential it represents for both countries (currently there is no such connectivity).

alejandro.delarosa@eleconomista.mx