Breeze CEO warns startups face tighter U.S. skies as new rewards tiers near

Breeze CEO warns startups face tighter U.S. skies as new rewards tiers near

NEW YORK, December 29, 2025, 09:16 ET

  • Breeze Airways CEO David Neeleman said startup airlines face a tighter U.S. market as dominant carriers strengthen their grip on capacity. Red94+1
  • Breeze’s updated Breezy Rewards terms show new elite tiers and benefits take effect on Jan. 1, 2026. FlyBreeze+1
  • The four largest U.S. airlines provide about 74% of scheduled U.S. seats in the summer schedule, OAG data show. OAG

Breeze Airways CEO David Neeleman warned that startup airlines are facing a tighter squeeze in the U.S. market, even as his carrier keeps expanding its route map, a Red94 report published on Sunday said. Red94

The timing matters as Breeze heads into 2026 with a revamped loyalty program, one of the biggest levers airlines use to keep customers coming back. Breeze’s updated program rules show its new tier benefits take effect on Jan. 1, 2026. FlyBreeze+1

Neeleman has argued that newer carriers cannot easily go head-to-head with the biggest U.S. airlines, which have broader networks and lucrative co-branded credit card partnerships tied to frequent-flyer programs. LinkedIn

“You’ve got to be getting something completely different than everybody else,” Neeleman said at Skift’s Aviation Forum in Fort Worth, Texas, according to a Skift post on LinkedIn. LinkedIn

The concentration is stark. The four largest U.S. airlines provide 74% of scheduled U.S. seats in the summer schedule, OAG data show. OAG

Breeze’s updated “Breezy Rewards” terms spell out four status levels based on points earned in a calendar year. Breezy 1 starts at 15,000 BreezePoints, while the top tier, Breezy Club, requires 120,000 points or more, the rules show. FlyBreeze

The document says the new tier benefits go into effect on Jan. 1, 2026, and points earned before that date will not count toward status qualification. FlyBreeze

Perks tied to the tiers include complimentary inflight Wi‑Fi, priority boarding and bonus point-earning rates that rise with each level. The rules also include a set number of “Bundle Upgrades” per year — credits that can be used to move a booking up one fare-bundle level on a one-way flight. FlyBreeze+1

For higher tiers, the terms also outline “Breezy Select Benefits,” which include options such as extra upgrades, bonus points or a multi-use “Buddy Discount” for a travel companion. FlyBreeze

The loyalty push underscores how aggressively smaller carriers are trying to build repeat business without the scale of bigger programs at carriers such as Delta Air Lines, United Airlines and Southwest Airlines. LinkedIn

Breeze began flying in 2021 and has focused on nonstop service between smaller U.S. markets that often lack direct flights, using Airbus A220 jets, travel publication The Points Guy reported. The Points Guy

Breeze said in January it posted its first quarterly profit in the fourth quarter of 2024, The Points Guy reported, marking a milestone for a privately held airline that does not disclose results as frequently as public peers. The Points Guy

Red94 reported that Breeze planned to serve 70 new routes in 2025, while Neeleman warned that startups face “significant headwinds” when they try to overlap the largest carriers’ networks. Red94

Breeze’s rewards terms say the new tier benefits begin on Jan. 1, 2026 and are tied to points earned in the calendar year, setting up an early test of whether loyalty perks can help a startup airline defend its niche in a crowded market. FlyBreeze+1

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