STEELTOWN DEALS
New no-frills airline will offer cheap flights from Hamilton direct to five other Canadian cities starting next month,
A new no-frills airline is starting up next month in Hamilton, offering non-stop service to five Canadian cities.
New Leaf Travel bills itself as an ultra-low-cost carrier, where passengers pay for a seat and seatbelt to get “from here to there.” If they want extras, such as bringing a carry-on bag, priority boarding or seat selection, they’ll pay extra fees.
“We want to give the power back to the consumer on what they want to spend, what they want to pay for,” said Dean Dacko, NewLeaf Travel’s chief commercial officer, in an interview.
“We’ll offer a menu of services and items that they can choose to buy. Our goal is to get people to spend less, not more.”
Introductory fares from Hamilton to Halifax and Winnipeg start at $99 one way, including taxes and fees, $119 to Regina and Saskatoon and $149 to Kelowna. It is also flying to Abbotsford, B.C., from cities in the Prairies.
It begins service on Feb. 12, offering flights only once or twice a week from Hamilton to the different cities.
Depending on demand, fares could be higher than the introductory rates, but Dacko insists prices will always be 20- to 40-per-cent cheaper than rivals such as Air Canada and WestJet Airlines.
NewLeaf passengers will pay for extra services, including beverages and snacks or booking a flight through the call centre. Every passenger can bring a small personal item for free, but it’s $25 for a carry-on bag or checked bag if booked on the website, or $35 if done at the airport.
Seat selection is $10 for the rear of the plane, $15 for the front of the plane and $25 for an exit row, on the website. At the airport, it will be $15 for the rear, $20 for the front and $30 for an exit row.
If you print your boarding pass at home it’s free, while it will cost $10 to print it at the airport.
The company, based in Winnipeg, has partnered with Kelowna-based Flair Airlines, which has a fleet of five Boeing 737-400 planes that each seat 156 passengers. Flair’s pilots and flight attendants will be operating the flights.
Modelled on Allegiant Air, which offers a range of travel services, NewLeaf plans to sell everything from hotel rooms and car rentals to tickets for attractions and bus tours.
As the weather turns colder, more Canadians are thinking about getting away to sun spots.
NewLeaf doesn’t have any specific routes down south, but Dacko said the company is looking at possibly adding flights this winter, with announcements expected in the coming weeks.
The company’s three-year growth plan calls for 15 aircraft in its fleet, with up to 750 employees, flying in Canada, the United States and, eventually, the Caribbean and Mexico.
“Scale is important. You need to have frequency,” Dacko said. “You need to have a broad network, so we’re going to try to get there as soon as we can.”
Dacko believes the time is right for the ultra-low-cost carrier model — given that mainline carriers such as WestJet and Air Canada are now charging for items such as checked bags and meals.
Two other carriers are also trying to get off the ground: Canada Jetlines, based in Vancouver, and Enerjet in Calgary.
David Solloway, president of Canada Jetlines, says it is in the midst of raising funds and, due to non-disclosure agreements, declined to comment further on development plans.
The company has placed a firm order with Boeing for aircraft. Solloway said in an interview last year that it would launch with three leased planes, with one serving as a spare, followed by eight planes by month 14 and 16 planes by month 30.
Enerjet president and CEO Tim Morgan said it expects to be launching this year, although its name remains top secret. It has used the placeholder name Jet Naked.
“We are still moving ahead with our plans. We are not inclined to announce something until we actually have a date in mind,” Morgan said. “It will be announced before the spring, but we’ll be flying sometime in the spring, before summer for sure.”
Robert Kokonis, president of AirTrav, an airline research firm, questioned whether Canada, with its small population base, has the demand to sustain multiple ultra-low-cost carriers.
“Canada does have a gap in the market for an ultra-low-cost carrier, but the key is whoever gets to the market first,” he said.
“It’s a bit of a stretch to support more than one.”