Avelo Airlines, an emerging leader in the U.S. aviation industry, has announced a groundbreaking multi-year strategic partnership with PayPal.
This collaboration marks a significant step in enhancing customer experience by offering more convenient, flexible, and secure payment options.
The highlight of this alliance is the integration of PayPal’s ‘Pay in 4’ service, a first for any U.S. airline. This feature allows customers to split their travel expenses into four interest-free payments, offering a more budget-friendly way to manage travel costs. The initial payment is made at the time of purchase, with subsequent payments scheduled every two weeks. This innovative payment option is expected to attract more customers, as evidenced by the 67% repeat usage rate among global PayPal customers who have opted for the Pay Later service.
Andrew Levy, Chairman and CEO of Avelo Airlines, expressed enthusiasm about the partnership. “Our collaboration with PayPal transforms the way customers book Avelo flights, making the process smoother and more affordable,” Levy said. He emphasized that the zero-interest payment option aligns perfectly with Avelo’s commitment to providing reliable and superior service to its customers.
In addition to ‘Pay in 4’, Avelo will leverage other services from PayPal to enhance its business operations and customer experience. PayPal Checkout will offer a secure and trusted payment method, allowing customers to choose from various options, including credit and debit cards, PayPal balance, and bank withdrawals. Furthermore, Avelo will utilize PayPal Braintree to process transactions, improving authorization rates and streamlining the customer experience. Merchants using PayPal Braintree have reportedly seen a 4% increase in authorization rates globally.
PayPal’s Risk as a Service Tools, including the Fraud Protection Advanced solution, will also be employed by Avelo. This integration aims to expedite the approval of legitimate transactions while effectively declining fraudulent ones. In early 2024, Avelo plans to incorporate PayPal’s automated dispute resolution capabilities, further enhancing transaction security and efficiency.
Since its inception in April 2021, Avelo Airlines has prioritized customer convenience and affordability. The airline has transported over 3.5 million customers on more than 27,000 flights to various destinations across the United States and Puerto Rico. Avelo’s commitment to flying primarily underserved routes and using smaller, more accessible airports has set a new standard for convenience in the airline industry.
Avelo’s customer-centric policies include no extra fees for itinerary changes or cancellations and guaranteed seating for children 13 and under with an accompanying adult. The airline also offers unbundled travel-enhancing options, such as priority boarding, checked bags, and cabin pet accommodations, allowing customers to tailor their travel experiences to their preferences.
The airline’s operational excellence is evident in its low flight cancellation rate and impressive on-time performance, with 80.8% of flights arriving within fifteen minutes of the scheduled arrival time in the first nine months of 2023. Avelo’s ‘Soul of Service’ culture, emphasizing a caring and anticipatory approach to customer needs, further distinguishes the airline in the industry.