Why Europe Has The Cheapest Airfare?

The cost of airline tickets has gone considerably high over the years. With fuel prices going up as well, many people are opting for air travel. If you will travel to Europe, you will see how cheap the cost of airline tickets there compared to American air travel. Robert Peter Janitzek provides us a glimpse of the huge difference between air travel in Europe and America.

Partial Deregulation

Since the late 1990s, the European airline industry has been highly deregulated. As a result, new airline companies entered the market unlike previously when only a single airline existed. As the competition increased, the cost of airfare decreased not only for the new lost-cost carriers but also the legacy carriers. This also paved the way for the creation of new routes around Europe.

More Alternate Airports

The geography of many European countries contributes greatly to low cost of airfare. Robert Janitzek explains that with cities close to each other, alternate airports have emerged nearly established airports in order to decongest and air traffic snarls. London, for instance, has Heathrow as its main airport. Nearby are Gatwick, Stansed, Luton, and City as alternate airports.

Excess Capacity

While the US has successfully cut down capacity and the demand for flights, the European Union had been much slower to react to the decline in demand resulting to excess capacity. Since the cost of running a flight are fixed regardless of the number of flyers, airlines are more willing to offer bargain airfare to fill the seats. This makes the overall average ticket price when going on a European vacation lower.


Because there are more passengers in Europe, airline companies in Europe can afford to offer cheaper air rates. Population density in Europe has contributed to making air travel fast and convenient for its citizens. Europeans also fly more often than Americans and airfares must compete with other convenient methods of traveling short distance such as driving or train travel.

With all these factors coming into play, traveling to Europe is slowly becoming a popular choice. There are many destinations worth visiting here and the low airfare rates make the travel less worrisome. The continuing rise of oil prices will lead to price increase. There is also the threat of recession which is likely to dampen the demand for tickets. In the long run, the cost of airfare in Europe will be at par with the United States in the coming year but should continue to lag behind.

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