JetBlue and Cape Air Enhance Long-Standing Codeshare with Loyalty Benefits

Rhea-AI Summary

JetBlue (Nasdaq: JBLU) has expanded its partnership with Cape Air, allowing TrueBlue loyalty program members to earn and redeem points on select Cape Air-operated flights. This enhancement builds upon their first codeshare agreement formed in 2007. Customers can now book eligible Cape Air flights in the Northeast and Caribbean through JetBlue's website or mobile app, enjoying benefits like one-stop check-in and baggage transfer.

The expanded partnership aligns with JetBlue's strategy to grow its East Coast leisure network. JetBlue plans to increase seats in New England by 20% this winter and add more Mint® premium flying routes. The airline is also boosting connectivity in Puerto Rico, complementing Cape Air's service to additional Caribbean destinations.

Positive

• Expansion of TrueBlue loyalty program to include Cape Air flights, potentially increasing customer retention
• 20% increase in seat capacity in New England, indicating market growth
• Addition of Mint® premium flying on more routes, potentially boosting revenue
• Increased connectivity in Puerto Rico and the Caribbean, expanding market reach

Negative

• None.

Market Research Analyst

The expanded partnership between JetBlue and Cape Air is a strategic move that could yield positive results for both airlines. By integrating Cape Air's flights into JetBlue's TrueBlue loyalty program, JetBlue is effectively expanding its network reach without the need for additional infrastructure investment. This enhances JetBlue's value proposition to customers, particularly in the Northeast and Caribbean markets.

The partnership aligns with JetBlue's focus on leisure and VFR (visiting friends and relatives) routes, which have shown strong demand. By increasing connectivity and offering more destinations, JetBlue is positioning itself to capture a larger share of the recovering travel market. The 20% increase in New England seats and the addition of Mint flying on more routes indicate JetBlue's confidence in the region's growth potential.

However, the impact on JetBlue's financials may be in the short term. While this move could drive customer loyalty and potentially increase revenue, the actual financial benefit will depend on the volume of bookings and the revenue-sharing agreement between the two airlines.

Financial Analyst

From a financial perspective, this partnership expansion is a cost-effective way for JetBlue to broaden its market presence. By leveraging Cape Air's existing routes and infrastructure, JetBlue can increase its revenue potential without significant capital expenditure. This strategy aligns with the airline industry's current focus on efficiency and strategic partnerships to navigate post-pandemic challenges.

The enhanced loyalty program integration could lead to increased customer retention and higher frequency of bookings, potentially boosting JetBlue's revenue per customer. However, investors should note that the financial impact may take time to materialize and will depend on successful execution and market response.

While specific financial projections are not provided, this move could contribute to JetBlue's long-term growth strategy, especially in the leisure travel segment. Investors should monitor future earnings reports for indicators of increased bookings and revenue from these expanded routes and loyalty program enhancements.

JetBlue continues to offer its TrueBlue^® members more value and ways to earn on travel through expanded partnership

NEW YORK--(BUSINESS WIRE)-- JetBlue (Nasdaq: JBLU) today announced that members of its TrueBlue loyalty program can now earn and redeem TrueBlue points on select Cape Air-operated flights when booking travel on jetblue.com or through the JetBlue mobile app.

JetBlue’s customer loyalty benefits with Cape Air further expands a partnership that was first formed in 2007 – the very first airline codeshare agreement for JetBlue. Cape Air, one of the largest commuter airlines in the U.S., currently serves 32 cities in the U.S. and the Caribbean and offers more than 250 daily flights. Over the years, the partnership between the two airlines has grown to deliver seamless connections between New York, Boston, and San Juan, Puerto Rico to destinations across the Northeast and the Caribbean all on one reservation.

“As our first airline partner, we couldn’t be more excited to expand our partnership with Cape Air to offer our customers the ability to earn and redeem through our TrueBlue loyalty program,” said Chris Buckner, JetBlue’s vice president of loyalty and partnerships. “Whether traveling to one of our beloved focus cities like Boston, New York or San Juan, or connecting to world-class beach destinations in the Caribbean, we continue to provide customers with more ways to be rewarded for their loyalty and make the most of their travel experience.”

“For 17 years we have grown our partnership with a shared vision to connect and delight customers in the communities we serve,” said Lisa Shivdasani, Cape Air’s senior vice president of airline partnerships and commercial. “With our expanded partnership, we are excited to offer even more value to those who live, work, and play in some of the most beautiful vacation destinations in the world.”

As part of this partnership, customers can conveniently shop for eligible flights operated by Cape Air in the Northeast and Caribbean, redeem TrueBlue points for these itineraries and earn TrueBlue points by adding their TrueBlue number directly at jetblue.com or the JetBlue mobile app. Both JetBlue and Cape Air customers purchasing a codeshare itinerary continue to enjoy benefits from having a single ticket that includes flights operated by both carriers, as well as added convenience on their day of travel like one-stop check-in and baggage transfer.

Expanded Partnership Adds to JetBlue’s East Coast Leisure Network

JetBlue’s expansion with Cape Air, another well-known New England brand, only further builds upon JetBlue’s recent announcement that it is investing and growing across the region. JetBlue will add 20 percent more seats in New England this winter and add Mint^® flying, JetBlue’s premium travel offering, on more routes. As the leading leisure carrier in Boston and across New England, JetBlue aims to connect the region to more of the premium leisure destinations they want to visit. Earlier this month JetBlue launched daily service to Presque Isle, Maine and in January will kick off service between Manchester, New Hampshire and several Florida cities. Over the coming months JetBlue will add flights not just at Boston Logan but also in Hartford and Providence.

In addition, this winter JetBlue will average over 40 daily departures and serve up to 18 destinations from San Juan, Aguadilla and Ponce. Cape Air’s service, which offers six additional destinations beyond San Juan including Culebra, Mayagüez and Vieques, Puerto Rico, and Tortola/Beef Island, British Virgin Islands, complements JetBlue’s investments to increase connectivity to and from Puerto Rico, including adding more destinations within Latin America, the Caribbean and in the U.S. East Coast. These changes come as JetBlue is strategically refocusing its network to leisure and VFR (visiting friends and relatives) routes with strong customer demand.

JetBlue’s TrueBlue loyalty program offers members more value with Perks You Pick^®, tiles to track status, expanded Mosaic levels and more ways to earn perks and status than ever before. Understanding that no two travelers are alike, TrueBlue gives customers the ability to choose the travel perks that are most valuable to them. For more information on TrueBlue visit jetblue.com/trueblue.

About JetBlue

JetBlue is New York's Hometown Airline^®, and a leading carrier in Boston, Fort Lauderdale-Hollywood, Los Angeles, Orlando and San Juan. JetBlue, known for its low fares and great service, carries customers to more than 100 destinations throughout the United States, Latin America, the Caribbean, Canada and Europe. For more information and the best fares, visit jetblue.com.

About Cape Air

Now in its 35th year, Cape Air is one of the largest commuter airlines in the United States, serving 32 cities in the US and the Caribbean. The employee-owned company, based in Hyannis, Massachusetts, has grown from three flights a day between Provincetown and Boston in 1989 to a fleet of 98 aircraft, more than 250 flights a day, and flying approximately 400,000 passengers annually.

View source version on businesswire.com: https://www.businesswire.com/news/home/20240917355483/en/

JetBlue Corporate Communications

Tel: +1.718.709.3089

corpcomm@jetblue.com



Cape Air Public Relations

Tel: +1. 508. 957.6984 ext. 584

publicrelations@capeair.com

Source: JetBlue

FAQ

What new benefits does JetBlue's expanded partnership with Cape Air offer to TrueBlue members?

TrueBlue members can now earn and redeem points on select Cape Air-operated flights when booking through JetBlue's website or mobile app.

How much is JetBlue (JBLU) increasing its seat capacity in New England?

JetBlue is adding 20% more seats in New England this winter.

What changes is JetBlue (JBLU) making to its Puerto Rico service?

JetBlue will average over 40 daily departures and serve up to 18 destinations from San Juan, Aguadilla, and Ponce, while also complementing Cape Air's service to additional Caribbean destinations.

When did JetBlue (JBLU) first form a partnership with Cape Air?

JetBlue and Cape Air formed their first airline codeshare agreement in 2007.