A low-cost carrier (LCC) is an airline business model centred on cost minimisation and operational efficiency to offer airfares at significantly lower prices than traditional full-service carriers. By unbundling services—such as in-flight meals, seat selection, and baggage allowance, LCCs create a pay-as-you-go structure that allows travelers to customise purchases according to their needs. In the tourism and travel industry, low-cost carriers play a critical role in democratizing air travel, opening new routes, stimulating regional tourism, and providing budget-conscious travelers with more options. Their lean staffing, high aircraft utilisation, point-to-point route networks, and use of secondary or less congested airports further streamline operations, helping to reduce turnaround times and ticket costs. For tour operators, travel agents, and hospitality partners, partnerships with LCCs can expand offerings in emerging markets, drive package deals, and increase passenger volume to underserved destinations.
Example: “Thanks to the new low-cost carrier route, independent travelers can now fly directly to the Algarve for under €50 each way.”
Synonyms: budget airline, no-frills carrier, discount airline, value airline
