US-based legacy carrier United Airlines (UA) is preparing to innovate extensively this year when it comes to network planning. The airline, which has just come off of one of its best years on record, has its sights set on becoming the US’s most successful airline.
According to FlightRadar 24, in October 2024, United Airlines launched a massive route route expansion, one which sent shock waves across the industry.
Photo: Clément AlloingUnited Airlines Italy and Portugal Destinations
What made United’s route expansion so noteworthy was not just the sheer number of destinations being added, but also the fact that these were smaller destinations. Many of these cities have never had direct flights to the United States.
Traditionally, airlines like United operate a hub-and-spoke model, in which they funnel passengers through large hubs and only serve high-demand destinations. However, this route expansion pushes United towards a point-to-point business model. This kind of model is more commonly used by budget airlines. As a result, many are wondering why United has chosen such an interesting path forward.
A deeper look at the specific routes being added to United’s network
Before taking a deeper look at the reasons behind the decision to launch flights to such abnormal destinations, let’s look at the routes themselves. Here is a list of all the routes United will be launching in 2025:
- Newark Liberty International Airport (EWR) to Faro International Airport (FAO)
- Newark Liberty International Airport (EWR) to Palermo Airport (PMO)
- Washington Dulles International Airport (IAD) to Venice Marco Polo Airport (VCE)
- Washington Dulles International Airport (IAD) to Nice Cote D’Azur Airport (NCE)
- Newark Liberty International Airport (EWR) to Bilbao International Airport (BIO)
- Newark Liberty International Airport (EWR) to Madeira Airport (FNC)
- Washington Dulles International Airport (IAD) to Blaise Diagne International Airport (DSS)
Photo: Clément AlloingIn addition to these new services to these US hubs, the airline will add three new flights from Tokyo (NRT). These flights will connect the city to Kaohsiung (KHH), Ulaanbaatar (UBN), and Koror (ROR). These flights will allow passengers from these cities to access United’s network and will allow United passengers to access these destinations via connecting flights.
Long-haul ultra-Efficient aircraft make these routes possible
About twenty years ago, operating flights from New York to smaller destinations like Palermo, Italy would have been unthinkable. Palermo is a relatively weaker tourist hub than other cities like Rome or Venice, and airlines would usually struggle to fill enough seats on a route to the city with less passenger demand.
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In the past, an airline looking to serve Palermo would have had to do so with a long-haul high-capacity widebody jet like the Boeing 747. They could have used a smaller plane like the Boeing 737, but it would have to stop somewhere along the way. Even the longest-range Boeing 737 MAX variants cannot reach destinations like Palermo (or anywhere in Italy) from Newark.
Photo: By Danny Yu – CC BY-SA 4.0Today, however, airlines are in a different position. The Boeing 787, which entered the market in the 2010s, offers carriers moderate capacity and an impressive range. United Airlines operates Boeing 787-8 Dreamliners which seat around 250 passengers and have a range of over 7,300 nautical miles.
Operating smaller flights allows airlines to maintain higher load factors
One of the most important performance indicators for an airline is its load factor. This is the percentage of seats that are filled on every given flight. With higher load factors, airlines have a better chance of maintaining profitable operations. This is because they have lower operating costs on a per-passenger basis.
If United Airlines did not have a Boeing 787 to operate their flight to Palermo with and only had the larger Boeing 777, they would have to sell more tickets in order to maintain their desired break-even load factor. This would be significantly harder to do because Palermo is a lower-demand destination and the Boeing 777 is a high-capacity jet.
Photo: Cado PhotoTherefore, by using a smaller narrowbody like the 787-8, United Airlines can sell fewer tickets while still achieving their desired load factors. Furthermore, many of these new routes are seasonal services, which only operate during the summer months. United will not be flying to lower-demand destinations like Palermo outside of peak tourist season.
Extended-range narrowbodies are making it easier to operate to lower-demand destinations
While widebody jets with lower capacities are making service to lower-demand destinations far more economical than ever before, extended-range narrowbodies have the possibility to further revolutionize long-haul point-to-point services. For starters, long-range narrowbody aircraft like the Airbus A321LR and A321XLR offer the capacity of easy-to-fill narrowbody jets and the range of long-haul widebodies.
Other US airlines have already begun using these aircraft for transatlantic flights. Older-generation narrowbodies like the 757 have been in transatlantic service for decades. Additionally, airlines like JetBlue have begun using next-generation long-range narrowbodies like the A321LR for transatlantic flights. JetBlue flies from its Boston and New York hubs to multiple European destinations using this jet.
Photo: SMBC AviationUnited Airlines will begin service to Faro, Portugal using Boeing 757 aircraft. Eventually, the airline will likely swap these jets out for more efficient A320 family jets in the future, should the route prove successful. United Airlines will replace its Boeing 757 fleet with Airbus A321XLR jets in the coming years. The airline has placed an order for 50 such aircraft, and it will take delivery of the first unit in 2026.
Once the airline has A321XLRs, it will be able to launch more routes to far away, off-the-beaten-path destinations. The A321XLR has a range of 4,700 nautical miles, according to manufacturer Airbus. From Newark, the airline could reach destinations like Mykonos (JMK) in Greece nonstop using this dynamic aircraft.
From its primary West Coast hub at San Francisco International Airport (SFO), the airline could reach many lower-demand Asian destinations. The carrier could, for example, fly nonstop from SFO to Okadama Airport (OKD), a facility near Sapporo on the Japanese island of Hokkaido. This airport serves as a major gateway for travelers headed to Japan to ski, given its proximity to resorts like Niseko and Hakuba.
Featured Image by Clément Alloing | Flickr
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The post United Airlines Choosing Smaller Destinations like Palermo, Italy & Faro, Portugal, Why? appeared first on Aviation A2Z.
