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Avianca and Viva announce alliance. What can we expect?

In recent days Avianca and Viva have announced that they will carry out a strategic merge with several objectives in mind, one of the main ones being to become the head provider of air services in Colombia, extending the goal to some regions of Latin America.

Although both corporations will live under the Avianca Group holding company, each brand will be treated independently.

Between the months of January and March, Avianca and Viva managed to move 5.4 million people, which represents 50% of the Colombian market. The new goal as a whole is to monopolize 65% of the domestic business.

The announcement has shaken the Latin American region and leaves open the question of whether this is the way for other airlines and airline groups to become the new giants of the Spanish-speaking industry in a market that is clearly trending towards preference of low cost airlines.

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