Getting to Austin from North Texas just got cheaper.
Virgin America announced Wednesday that it will expand in Dallas by adding flights to Austin -- a route dominated today by Southwest Airlines -- on April 28. Virgin will offer five daily round trips, half as many as Southwest.
The flights from Dallas Love Field to Austin-Bergstrom International Airport begin on April 28, and Virgin America is offering $39 one-way tickets for a limited time.
“I think it’s a younger crowd. They’re going to pick up some of the downtown-area crowd and the people coming back in and out. So I think it’s a pretty good idea for them,” said Rick Seaney, with FareCompare.com
Dallas-based Southwest, which has long-served Austin, quickly matched the $39 fare on some flights.
“We invented low-fare competition, and we're very familiar with the Texas market. We welcome a chance to field the people of Southwest, our heart and our unique value up against anyone else,” said Southwest spokesman Brad Hawkins, in a written statement.
San Francisco-based Virgin America is also lowering fares on other flights from Dallas Love Field as part of the Austin launch.
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Virgin America moved to Dallas Love Field from Dallas/Fort Worth International Airport in October 2014, when the Wright Amendment was lifted.
Between Southwest, Virgin and Fort Worth-based American Airlines, there are still some bargains for spring breakers flying out of DFW International or Dallas Love Field.
Round-trip tickets to New York City, Los Angeles or Washington D.C. are available for prices starting in the low $300s, and connecting flights will get you to other cities for about the same price.
“Once you get into connecting flights, you won’t see that $550 to Orlando,” said Seaney. "Now you’re in the $320 to Orlando, for example, and now you’re in the low $300s for Los Angeles and San Francisco, even Seattle.”
Shares of Virgin America Inc. rose Wednesday after the airline forecast stable revenue and savings from cheaper jet fuel.
CEO David Cush said that travel demand seemed to weaken slightly in November and December, but bookings are picking up for March and April. He thinks people saved their initial windfall from cheaper gasoline instead of spending it.
"I think there is only so much appetite in this country for saving money and paying down debt, so it looks like people are getting back out" and spending in stores and on airline tickets, Cush said in an interview.
The shares rose $1.49, or 4.4 percent, to close at $35.71.
