Icelandic carrier Niceair launching in June
Iceland has become one of the world's hottest tourist destinations, and it's not just because of its intense volcanic activity.
The 2009 eruption of the Eyjafjallajökull put the country in the spotlight, but Iceland's spectacular landscapes and unspoiled nature have lent themselves particularly well to the era of Instagram, drawing an increasing number of visitors to this Nordic island.
In the decade preceding COVID-19, foreign visitor numbers in Iceland multiplied fivefold, from around 500,000 to nearly 2.5 million per year.
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It helps that Keflavik international airport (KEF) is a pretty well-connected air hub, linking Europe and North America thanks to its mid-Atlantic location.
Air service to Iceland
In addition to the two local carriers, Icelandair and the new low-cost carrier Play, major European airlines such as British Airways, Easyjet, Lufthansa, Wizz Air and SAS, to name just a few, fly to Keflavik year-round, while Delta Airlines and Air Canada operate seasonal services to and from the U.S. and Canada.
Related: Low-cost Icelandic carrier Play adds Orlando to growing list of US destinations
When it comes to air travel, this nation of just over 350,000 inhabitants already punches well above its weight, but more capacity is yet to come in the form of a brand-new carrier.
Niceair, an Icelandic startup airline, is launching this June, flying nonstop from Akureyri Airport (AEY), on the north coast of Iceland, to several European destinations.
This new Icelandic gateway will open up the vast expanse of northern and eastern Iceland that, to this day, remain relatively untouched by the country's newfound relationship with tourism.
In fact, the effects of the Icelandic tourism boom have been slow to trickle down to other regions of the country: 80% of foreign visitors stick to the southwestern corner of the island, with few venturing more than 100 miles from Reykjavik, the nation's capital city. This concentration in a relatively small area is at the root of emerging concerns about over-tourism.
Return visitors head to Northern Iceland
In contrast, the north of Iceland has become a destination for repeat visitors that are looking for less crowded experiences. Remarkably, 70% of those visiting Iceland for the second or third time head straight to its northern regions, according to data from the Icelandic Tourism Bureau.
This is a region not devoid of attractions, particularly for lovers of outdoor activities. It has some of the best whale watching and skiing in Iceland, it is the gateway to Western Europe's largest national park and its unique volcanic environment was even used by NASA to train the Apollo astronauts.
Akureyri, the largest urban center on the north coast of Iceland, is about 250 miles away from Reykjavik, though, which means that any visitors must drive five or more hours along Iceland's Ring Road or take a domestic flight. The only international connection is seasonal service to and from Amsterdam (AMS) operated by Transavia.
Northern Iceland takes tourism cue from the Faroe Islands
By facilitating direct access from European markets, Niceair's founders aim to put northern Iceland firmly on Europe's tourist map.
The Faroe Islands are an example of how this is done. This rugged North Atlantic archipelago, halfway between Iceland and Scotland, has seen tourism arrivals soar in tandem with the growth of the local airline, Atlantic Airways, which operates a fleet of three A320-family aircraft.
Related: London to get a nonstop route to the Faroe Islands this summer
"We look at the Faroes, which is also a relatively remote territory with a population similar to ours, some 50,000 people. If they are able to sustain an operation of that size, I don't see why we couldn't do the same here," points out Thorvaldur Ludvik Sigurjonsson, founder and CEO of Niceair.
For the time being, Niceair will start with a single aircraft, a 150-seat Airbus A319 that is a wet lease from an undisclosed European operator. That way they can gauge demand before committing more resources to the venture. Sigurjonsson said if things go according to plan, they will add more aircraft in the near future.
Bottom line
The new airline, whose name is wordplay that can be read also as N(orth) Ice(land) Air, is backed by a number of local businesses, each with a minority stake in the company, a fact that underscores its expected role in stimulating the local economy.
A countdown clock currently reminds visitors to the airline's website of the announced launch date on June 2.
We won't have to wait that long to learn more details about the airline's operational setup, though. Sigurjonsson announced that this March the initial route network will be announced and it is expected to include two or three major European destinations.
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- Earn 4X Membership Rewards® points per dollar spent at US supermarkets, on up to $25,000 in purchases per calendar year, then 1X points for the rest of the year.
- Earn 3X Membership Rewards® points per dollar spent on flights booked directly with airlines or on AmexTravel.com.
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- $84 Dunkin' Credit: With the $84 Dunkin' Credit, you can earn up to $7 in monthly statement credits after you enroll and pay with the American Express® Gold Card at U.S. Dunkin' locations. Enrollment is required to receive this benefit.
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- Annual Fee is $325.
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Rewards Rate
| 4X | Earn 4X Membership Rewards® points per dollar spent on purchases at restaurants worldwide, on up to $50,000 in purchases per calendar year, then 1X points for the rest of the year. |
| 4X | Earn 4X Membership Rewards® points per dollar spent at US supermarkets, on up to $25,000 in purchases per calendar year, then 1X points for the rest of the year. |
| 3X | Earn 3X Membership Rewards® points per dollar spent on flights booked directly with airlines or on AmexTravel.com. |
| 2X | Earn 2X Membership Rewards® points per dollar spent on prepaid hotels and other eligible purchases booked on AmexTravel.com. |
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Intro Offer
You may be eligible for as high as 100,000 Membership Rewards® Points after spending $6,000 in eligible purchases on your new Card in your first 6 months of Membership. Welcome offers vary and you may not be eligible for an offer.As High As 100,000 points. Find Out Your Offer.Annual Fee
$325Recommended Credit
Credit ranges are a variation of FICO® Score 8, one of many types of credit scores lenders may use when considering your credit card application.Excellent to Good
Why We Chose It
There’s a lot to love about the Amex Gold. It’s a fan favorite thanks to its fantastic bonus-earning rates at restaurants worldwide and at U.S. supermarkets. If you’re hitting the skies soon, you’ll also earn bonus Membership Rewards points on travel. Paired with up to $120 in Uber Cash annually (for U.S. Uber rides or Uber Eats orders, card must be added to Uber app and you can redeem with any Amex card), up to $120 in annual dining statement credits to be used with eligible partners, an up to $84 Dunkin’ credit each year at U.S. Dunkin Donuts and an up to $100 Resy credit annually, there’s no reason that foodies shouldn’t add the Amex Gold to their wallet. These benefits alone are worth more than $400, which offsets the $325 annual fee on the Amex Gold card. Enrollment is required for select benefits.Pros
- 4 points per dollar spent on dining at restaurants worldwide and U.S. supermarkets (on the first $50,000 in purchases per calendar year; then 1 point per dollar spent thereafter and $25,000 in purchases per calendar year; then 1 point per dollar spent thereafter, respectively)
- 3 points per dollar spent on flights booked directly with the airline or with amextravel.com
- Packed with credits foodies will enjoy
- Solid welcome bonus
Cons
- Not as useful for those living outside the U.S.
- Some may have trouble using Uber and other dining credits
- You may be eligible for as high as 100,000 Membership Rewards® Points after you spend $6,000 in eligible purchases on your new Card in your first 6 months of Card Membership. Welcome offers vary and you may not be eligible for an offer. Apply to know if you’re approved and find out your exact welcome offer amount – all with no credit score impact. If you’re approved and choose to accept the Card, your score may be impacted.
- Earn 4X Membership Rewards® points per dollar spent on purchases at restaurants worldwide, on up to $50,000 in purchases per calendar year, then 1X points for the rest of the year.
- Earn 4X Membership Rewards® points per dollar spent at US supermarkets, on up to $25,000 in purchases per calendar year, then 1X points for the rest of the year.
- Earn 3X Membership Rewards® points per dollar spent on flights booked directly with airlines or on AmexTravel.com.
- Earn 2X Membership Rewards® points per dollar spent on prepaid hotels and other eligible purchases booked on AmexTravel.com.
- Earn 1X Membership Rewards® point per dollar spent on all other eligible purchases.
- $120 Uber Cash on Gold: Add your Gold Card to your Uber account and get $10 in Uber Cash each month to use on orders and rides in the U.S. when you select an American Express Card for your transaction. That’s up to $120 Uber Cash annually. Plus, after using your Uber Cash, use your Card to earn 4X Membership Rewards® points for Uber Eats purchases made with restaurants or U.S. supermarkets. Point caps and terms apply.
- $84 Dunkin' Credit: With the $84 Dunkin' Credit, you can earn up to $7 in monthly statement credits after you enroll and pay with the American Express® Gold Card at U.S. Dunkin' locations. Enrollment is required to receive this benefit.
- $100 Resy Credit: Get up to $100 in statement credits each calendar year after you pay with the American Express® Gold Card to dine at U.S. Resy restaurants or make other eligible Resy purchases. That's up to $50 in statement credits semi-annually. Enrollment required.
- $120 Dining Credit: Satisfy your cravings, sweet or savory, with the $120 Dining Credit. Earn up to $10 in statement credits monthly when you pay with the American Express® Gold Card at Grubhub, The Cheesecake Factory, Goldbelly, Wine.com, and Five Guys. Enrollment required.
- Explore over 1,000 upscale hotels worldwide with The Hotel Collection and receive a $100 credit towards eligible charges* with every booking of two nights or more through AmexTravel.com. *Eligible charges vary by property.
- No Foreign Transaction Fees.
- Annual Fee is $325.
- Terms Apply.