Thursday, June 5, 2025

In a bold move to amplify their influence in the aviation industry, five prominent U.S. low-cost airlines—Allegiant, Avelo, Frontier, Spirit, and Sun Country—have united to form the Association of Value Airlines (AVA). This new lobbying group is designed to challenge the dominance of legacy carriers like American, Delta, United, and Southwest Airlines, advocating for budget travel policies and pushing for greater competition in the airline sector. With the goal of shaping policies that promote affordable air travel, the AVA aims to be a powerful voice for low-cost carriers, positioning them as key players in a market historically dominated by larger airlines.

Five of the United States’ leading low-cost carriers have come together to form a new trade association designed to advocate for the budget airline sector in policy matters at the federal and state levels. This new entity, named the , was officially launched on Monday with the aim of providing a unified, independent voice for the low-fare airline industry before Congress, the executive branch, and state governments.

The Association of Value Airlines is made up of five key low-cost carriers: , , , , and . Together, these airlines form a significant portion of the U.S. air travel market, and they collectively serve approximately 96 million passengers annually. In addition to offering budget-friendly travel options, these airlines play a crucial role in the U.S. economy, contributing approximately \$196 billion to the nation’s GDP. The association also highlights the financial savings that passengers experience, with estimates suggesting that the low-cost model saves consumers more than \$23 billion every year.

The creation of AVA comes at a time when low-cost carriers are facing unique challenges in the wake of the COVID-19 pandemic. While larger airlines have generally recovered more quickly, budget carriers have struggled to regain their pre-pandemic momentum. These challenges stem from various factors, including rising operational costs and changing consumer preferences. Labor shortages, higher fuel prices, and increasing aircraft maintenance costs have all made it more difficult for low-cost airlines to turn a profit. Moreover, some passengers have become disillusioned with the no-frills service model, which typically offers limited legroom, basic amenities, and less storage capacity compared to full-service airlines.

The is headquartered in Washington, D.C., and its formation underscores the growing influence of low-cost carriers in the broader aviation landscape. The association’s interim executive director, , brings a wealth of experience to the role. Brown previously held a position with the Federal Aviation Administration (FAA) and has also worked as the staff director and legal advisor for the within the . His background positions him well to guide the association’s efforts to represent the interests of low-cost airlines on Capitol Hill and beyond.

Despite their significant contribution to the economy, budget airlines have found it difficult to thrive in the post-pandemic landscape. Many low-cost carriers have experienced setbacks, such as , which filed for bankruptcy in November 2024. Spirit cited mounting debt and several consecutive quarters of losses as the primary factors contributing to its financial struggles. In particular, reported a staggering in 2024, largely attributed to rising operational expenses, including higher fuel prices and labor costs. The airline, however, managed to restructure its operations successfully and emerged from the Chapter 11 bankruptcy process in March 2025. This restructuring process was a critical move in ensuring that Spirit could return to profitability and continue serving the budget-conscious travelers who rely on its services.

As part of its recovery plan, Spirit has made strategic moves to improve customer satisfaction and loyalty. The airline recently unveiled plans to expand the benefits of its loyalty program, offering additional perks and rewards for frequent flyers. In addition, Spirit announced that it would introduce a premium seating option to attract more high-paying customers and enhance the overall passenger experience. These steps are intended to help the airline regain its competitive edge and appeal to a broader range of travelers.

While budget carriers like Spirit are facing significant obstacles, they are not alone in navigating the complexities of the post-pandemic aviation environment. , , , and are also working to address the challenges they face, which include rising costs, labor shortages, and a need to balance the demands of price-sensitive consumers with the need to improve service offerings. For example, , known for its ultra-low-cost model, has been expanding its route network in an effort to capture more market share. Likewise, has been exploring ways to diversify its revenue streams, including expanding its vacation packages and cargo services.

In contrast, like American Airlines, Delta, United, and Southwest Airlines are represented by a different trade group, Airlines for America (A4A). This group advocates for the interests of major airlines and addresses issues that affect their operations, such as infrastructure development, air traffic control, and regulatory matters. However, the rise of low-cost carriers has forced both A4A and AVA to consider how best to represent their distinct constituencies while promoting the overall interests of the aviation industry.

The AVA’s formation is an indication of the increasing importance of low-cost airlines in the U.S. travel market. As travelers continue to seek affordable travel options, these budget carriers are playing an essential role in making air travel accessible to a broader demographic. The AVA aims to ensure that the voices of these airlines are heard in Washington, D.C., and that the regulatory environment supports their ability to grow and thrive.

The association’s primary goals will include advocating for policies that promote competition, enhance consumer choice, and ensure the continued success of the low-cost airline model. Through lobbying efforts, public relations campaigns, and collaboration with policymakers, the AVA seeks to shape the future of air travel in a way that benefits both passengers and airlines.

Five U.S. low-cost airlines—Allegiant, Avelo, Frontier, Spirit, and Sun Country—have formed the Association of Value Airlines (AVA) to challenge the dominance of American, Delta, United, and Southwest Airlines, advocating for policies that promote affordable air travel. This bold move aims to strengthen the political influence of budget carriers in the face of industry giants.

In summary, the Association of Value Airlines represents a significant step forward for the low-cost airline sector in the United States. By joining forces, the five founding members—Allegiant, Avelo, Frontier, Spirit, and Sun Country—hope to amplify their collective voice in policy discussions and advocate for a favorable regulatory environment that fosters growth and innovation. As the industry continues to evolve in the post-pandemic era, the AVA will be a key player in shaping the future of air travel in America.