One million Kiwis have used Jetstar's domestic service since its launch in June 2009.
Chief executive Bruce Buchanan says it is a huge success for the airline to reach such a significant milestone so quickly.
He says it highlights the airline's ongoing success in the competitive New Zealand market.
"We seek to offer consumers not just a choice in carrier, but a new way of flying. This includes paying only for product and services they wish to use, and having a choice of low fares to some of the region's most popular destinations here and overseas," says Buchanan.
Jetstar is now the second largest airline in New Zealand, operating up to 84 weekly return services between Auckland, Christchurch, Wellington and Queenstown with a fleet of six A320 aircraft.
Buchanan says its commitment to every day low fares has also been successful in making travel throughout New Zealand more accessible and affordable for more Kiwis.
"Of our one million Jetstar domestic passengers, around 900,000 Kiwis have been able to get to their destination for under $NZ100.
He says the airline is "extremely proud" to have made a very positive contribution to the New Zealand tourism sector and the wider economy.