Among Japan’s Top Four Airlines – Low-Cost Peach Aviation Achieves Impressive Results

Reported by Yu T-Ru / Taipei

No market for low-cost airlines? Peach Aviation, which entered Taiwan just last (2012) October, has now secured a spot among Japan’s top four airlines. Moreover, Peach Aviation CEO Shinichi Inoue stated that the airline’s current business model is not only growing steadily as expected, “but may even start turning a profit one year earlier than anticipated.” This clearly shows the bright future of low-cost airlines, which is definitely worth looking forward to.


▲ Peach Aviation CEO Shinichi Inoue (pictured right). (Photo / Reported by Yu T-Ru)

As Japan’s first low-cost airline, Peach Aviation made a splash upon entering the market. When it first launched in Taiwan, CEO Shinichi Inoue mentioned at a press conference that the biggest difference between Peach Aviation and other low-cost carriers is, “we are a Japanese airline.” With high-quality Japanese service as its main selling point, Peach Aviation entered Taiwan with great ambition. Within less than a year, it launched a second route, and increased the frequency of its existing Taipei–Osaka route from one flight per day to two.

“Peach Aviation uses only new aircraft and has a high on-time performance rate,” said Inoue. Between April and July, the average passenger load factor was 84%, with the Taoyuan–Osaka route achieving 85% occupancy and 86% on-time performance, along with an impressive 99.04% flight completion rate. Thanks to this, Peach Aviation received international recognition, ranking among Japan’s top ten most popular airlines and also being one of the fastest-growing.

▲ Peach Aviation plane co-branded with “Naito Rune.” (Photo / Provided by operator)

Currently, Peach Aviation focuses on short-haul routes within a four-hour flight time. In August, its 10th aircraft was delivered, and it plans to add seven more planes, which will be delivered progressively by the end of 2015. In addition to expanding its fleet, Peach Aviation is also targeting the female demographic. It collaborated with renowned Japanese artist and pioneer of the cute fashion trend “Naito Rune,” and in September participated in Japan’s largest women’s music and fashion event. Moving forward, it will continue to launch special in-flight merchandise to build a young and vibrant brand image.