The time is ripe for consolidation and concentration in the airline industry and two announcements in this direction have just been made in Canada.
Air Canada acquires Air Transat
Air Canada has announced the takeover of Transat AT. Transat AT is of course the airline Air Transat, but it is also (and above all) a tour operator that is very well established in Canada.
Given their different positioning, the two brands will continue to live in parallel without too much fear for the legibility of the offer, contrary to the mess that Air France has just gotten out of after having multiplied brands with unclear positioning over the last few years, which ultimately harmed the umbrella brand.
Delta in joint venture with Westjet
The other Canadian airline, Westjet, has received the green light from the Canadian authorities for its joint venture with Delta Airline, pending approval from the American authorities. This is another joint venture for Delta that will allow both airlines to offer a broader cross-border offering and increased benefits for frequent travelers. Knowing Delta’s track record in this area, a stake in Westjet would not be surprising in the future.
Photo : B787 Air Canada by NextNewMedia via Shutterstock