The Capital Region Airport Commission is pleased to offer you access to a compelling study regarding the impact that low cost carriers have had in the Richmond market. In addition to offering significant cost savings for both consumer and business travelers and increasing passenger volume at RIC, low cost carriers provide area businesses with measurable productivity gains because their employees spend less time “drive-connecting” to distant airports in search of competitive fares.

In June 2005, AirTran Airways inaugurated service from RIC and now offers nonstop flights to its Atlanta hub and Orlando. In March 2006, JetBlue Airways introduced new service to New York/Kennedy and Boston from RIC. Due to the arrival of the low cost carriers, RIC has experienced unprecedented passenger growth. Through the first three quarters of 2006, total passenger traffic at RIC increased more than 30% from the same period in 2004 (before the arrival of low-cost airlines). Additionally, the airport saw a record number of travelers in FY2006, 3,112,338, the first time more than three million passengers have traveled through Richmond International Airport.

Since the arrival of AirTran and JetBlue, the Greater Richmond Region has seen an annual economic boost amounting to more than $120 million, with lead elements including business airfare savings of $34.3 million, consumer airfare savings of $22.8 million, and increased spending by visitors of $31.4 million. Additionally, it is estimated that almost 950 new jobs have been created in the Richmond region due to greater access to low cost air travel, enhancing the area’s competitive position for activities ranging from business retention and development to meetings and convention hosting.

Please download the PDF to read the entire report: Economic Benefit of the Entry of Low Cost Carriers to the Richmond Region: An Update of 2005 Study, prepared by Chmura Economics & Analytics.