[Interview] Two Years Since Entering New York, Air Premia Emerges as a New Alternative for U.S. Long-Haul Routes

Interview with Hyuncheol Choi, Air Premia's New York Branch Manager
Over 230,000 Passengers Chose Affordable New York Flights
23% Increase in Passengers and 29% More Flights in the Second Year
First Annual Net Profit Achieved Despite High Exchange Rate Risks
Long-Haul Strategy Centered on New York Route Proves Effective
Daily New York Flights to Resume from June

"I still vividly remember the moment our first flight landed at Newark Airport two years ago. This year, we aim to establish daily operations on the New York route and become a more trusted airline by providing a differentiated customer experience."

Hyuncheol Choi, Air Premia's New York Branch Manager, said this in an interview with Asia Economy on May 12 (local time), ahead of the second anniversary of the Incheon-Newark route. He stated, "In just two years since launching the New York route, Air Premia has proven itself as a new alternative, in addition to the two major domestic airlines and foreign carriers."

On May 22, 2023, Air Premia boldly entered the Incheon-Newark route, which had no competing flights. Branch Manager Choi, who began his aviation career in 2006 at Asiana Airlines, newly joined Air Premia as New York Branch Manager in March 2023. At that time, the company had secured the route rights for Newark Airport in New Jersey but had not yet received operational approval from the local airport authorities, making the launch uncertain. Just two months before the inaugural flight, Branch Manager Choi visited the airport authorities multiple times and actively communicated with them, finally securing approval. The first flight proceeded as scheduled, with a load factor reaching 95%.

Hyuncheol Choi, Air Premia New York Branch Manager (second from the left in the photo), is taking a photo with employees at Newark Airport. From the left in the photo are Jiseon Moon, Airport Manager; Branch Manager Choi; Kyunghee Kwon, Airport Manager; and Jaeho Choi, Airport Manager.

Branch Manager Choi emphasized, "To survive in a market cultivated for decades by the two major domestic airlines, Air Premia needed its own unique competitive edge," adding, "We lowered the entry barrier for long-haul travel by offering more competitive fares compared to large airlines."

At the time, tickets to New York were priced over 2 million won, but Air Premia reduced the burden for consumers by offering fares in the mid-1 million won range. By operating a single aircraft type, the Boeing 787-9, and launching at Newark Airport, which has relatively lower landing and takeoff fees, the company reduced operating costs and secured price competitiveness.

The strategy of choosing Newark Airport over John F. Kennedy (JFK) Airport for the New York route also proved effective. Branch Manager Choi explained, "Newark Airport is located in New Jersey, a region with a large Korean community, and offers excellent access to Manhattan, New York. Immigration procedures are also faster than at JFK, resulting in shorter wait times." The spacious economy seats (35 inches) and the operation of a premium economy class also differentiated Air Premia from other airlines.

Since launching the New York route, Air Premia has transported a total of 234,648 passengers and operated 874 flights on this route. In the second year, the number of passengers increased by 23% and the number of flights by 28.8% compared to the previous year, continuing its growth trajectory.

These achievements go beyond simply expanding long-haul routes to North America. In 2024, Air Premia achieved its first-ever annual net profit of 5.9 billion won since its founding, with long-haul routes, including the New York route, playing a key role. This is a valuable result achieved despite external risks such as high exchange rates.

Branch Manager Choi explained, "Long-haul routes with high profitability, such as those to North America, accounted for 56% of all passengers, and revenue from long-haul routes made up 80% of total revenue. The belly cargo business, which utilizes the lower baggage compartment of passenger aircraft to transport cargo, also contributed to performance, accounting for 13% of total revenue."

Of course, the process was not always smooth. He said, "It was not easy to promote the Air Premia brand and attract customers in a market dominated by major domestic airlines," adding, "We built trust by personally visiting various Korean events and communities." As a result, the rate of repeat customers among Koreans in New York and New Jersey increased, and word of mouth spread quickly.

He stressed that the efforts of the employees were behind all these achievements. Although the organization is smaller than those of major airlines, the passion, dedication, and capabilities of the staff are among the best in the industry and stand up to any comparison. Branch Manager Choi is no exception. On the day of the interview, when flights were delayed due to bad weather, he stayed at the airport until dawn to greet passengers in person, left just before sunrise, and then attended the morning interview. He said, "Seeing the company grow makes me forget my fatigue."

Starting this year, Air Premia has been operating daily flights on the New York route. Recently, due to runway construction at Newark Airport, the frequency was reduced to four or five flights per week, but the company plans to resume daily operations from the third week of June.

Branch Manager Choi reaffirmed his commitment, saying, "We will resume daily operations on the New York route to enhance customer convenience," adding, "We will continue to do our best to become a trusted airline."