Avianca Holdings chairman German Efromovich cast doubts about LCCs in markets such as Mexico and Chile, stating: "I have doubt the low costs work in some markets" (A21, 24-Apr-2018). He added that one the difference between LCC operations in Europe and Latin America is that "In Europe… in addition to demand, low costs operate from alternative airports, where they pay for them to land… Here in Latin America they don't pay for you to land". He pointed out that Gol launched as an LCC, but upon noticing a 60% load factor, they created Gol Plus and improved their earnings.
Avianca Holdings doubts LCC's success in markets such as Chile and Mexico
27 April, 2018