Low-Cost Carrier Announces Expansion Into Secondary City Markets
Low-cost carrier to invest $340 million in new routes, creating 850 jobs and projecting 2.3 million additional passengers annually
CHICAGO, Dec. 3, 2025 – AIRxpress Airlines, a rapidly growing U.S. low-cost carrier, today announced its largest-ever network expansion, launching service to 12 underserved secondary cities across the Midwest and Southeast regions. The $340 million investment includes the deployment of eight new Airbus A320neo aircraft and the creation of 850 direct jobs, positioning the carrier to capture surging demand for affordable point-to-point air travel.
The expansion targets markets including Madison, Wisconsin; Des Moines, Iowa; Greenville-Spartanburg, South Carolina; and Fayetteville, Arkansas, where AIRxpress will establish new base operations starting March 2026. The initiative reflects a broader industry shift toward secondary airports, which experienced 33.5% traffic growth from low-cost carrier operations in 2024, according to recent market analysis. Secondary city connectivity has emerged as a key growth catalyst, enabling carriers to tap new passenger pools while reducing congestion costs at primary hubs. The global low-cost airlines market, valued at USD 225 billion in 2024, is projected to reach USD 339.56 billion by 2030, driven by this strategic pivot toward underserved regional markets.
“Secondary airports offer a compelling economic proposition,” said Jennifer Martinez, CEO of AIRxpress Airlines. “We can reduce landing fees by up to 40% while providing convenient, affordable travel options to communities that have been overlooked by legacy carriers. This expansion isn’t just about growth—it’s about democratizing air travel for the American heartland.”
The expansion is supported by robust market fundamentals. North America’s low-cost carrier segment accounts for 22.7% of global market share, with over 285 million passengers traveling via LCCs in 2024. Ancillary revenue streams, which contributed more than one-third of total revenue for leading carriers like Ryanair in 2024-25, will play a crucial role in maintaining competitive fare structures. AIRxpress will implement AI-driven dynamic pricing and mobile-first booking platforms to optimize revenue while keeping base fares 30-40% below legacy competitor averages. The carrier’s digital transformation strategy includes real-time seat upgrades, personalized travel bundles, and streamlined airport experiences through contactless technology.
Economic impact projections indicate the new routes will generate $127 million in annual regional economic activity and support an additional 1,200 indirect jobs in airport services, hospitality, and tourism. Local airport authorities have committed $45 million in facility upgrades, including expanded gate capacity and enhanced baggage handling systems. The initiative aligns with Federal Aviation Administration goals to distribute air traffic more evenly across the national airport system, reducing strain on congested metropolitan hubs.
AIRxpress Airlines operates a fleet of 67 Airbus A320 family aircraft and served 8.9 million passengers in 2024. Founded in 2017, the carrier has maintained a 92.3% on-time performance rate while achieving profitability for six consecutive quarters. The airline’s business model emphasizes operational efficiency, with aircraft utilization rates 15% above industry averages and a direct-to-consumer distribution strategy that bypasses third-party booking fees.
About AIRxpress Airlines
AIRxpress Airlines is a Chicago-based low-cost carrier dedicated to providing affordable, reliable air travel to underserved markets across North America. With a modern fleet of Airbus A320neo aircraft and an industry-leading digital platform, AIRxpress has established itself as an innovator in the ultra-low-cost travel segment. The airline serves 38 destinations and employs more than 2,400 aviation professionals, maintaining a commitment to safety, efficiency, and community connectivity.
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