Australian budget start-up Bonza plans to debut in early 2022
Deemed to be Australia’s first independent low-cost start-up, Bonza has announced plans to launch into destinations across the country from early 2022 using all economy-class B737 MAXs, subject to approvals. regulatory.
Founder and CEO Tim Jordan, in a statement, said the airline aims to fill a gap on regional routes, especially to leisure destinations where travel is often limited. Jordan is a seasoned aviation professional and a former executive with low-cost carriers Cebu Pacific Air, Virgin Blue Airlines and, most recently, FlyArystan.
Bonza is backed by US private investment firm 777 Partners, which also backs Canadian low-cost airline, Flair Airlines, and the Southeast Asia-based Value Alliance of low-cost airlines. Managing partner Josh Wander said the investment firm sees “enormous potential in the Australian market to provide the benefits and options of a low cost independent airline.”
Bonza’s public relations echo that of Flair, who claims to be a market disruptor. Flair operates a fleet of nine B737-8 and three B737-800 to 18 Canadian destinations and six US destinations, branding itself as a pioneer in ultra-low cost travel with a “mission to liberate the lives of Canadians by providing affordable air travel. “. .
Speaking to Australian media, Jordan acknowledged that Bonza was modeled after Flair, as well as the American Allegiant Air and the British Jet2, which he said successfully competed against the low-cost giants easyJet and Ryanair on the prices, but mainly focused on leisure rather than frequent destinations. services between capitals – something he plans to replicate in Australia.
Bonza will have to live up to its name – Australian slang for “very good” – as it will enter a fiercely competitive regional market dominated by low-cost Qantas subsidiary Jetstar Airways, Rex – Regional Express and Virgin Australia.
But Jordan plans to forgo the golden triangle of the east coast of Sydney Kingsford Smith, Melbourne Tullamarine and Brisbane Int’l, including point-to-point routes, he told Executive Traveler. He does not want to compete with existing carriers, but rather to develop the market. It sent expressions of interest to 46 airports in all Australian states and territories for the initial route network. “We will absolutely focus on routes that are not currently operated by any legacy airline. It’s about opening up new routes and new markets, so the majority of the routes we serve will not be operated by existing carriers. “
Bonza’s strategy would be to couple lower fares with fewer flights, as leisure travelers have a more flexible schedule. “We’re going to provide a generally low frequency service – maybe two or three times a week – at a very low price. This is our operating model, ”he explained.
With a glut of affordable planes available thanks to COVID-19, he believed the time had come to start a new airline. The company plans to start with “two or three” 186-seat B737 MAX leased through 777 Partners. “But depending on how we perform and if the regulators allow it, we would expect fairly rapid growth afterwards,” Jordan said.