Unlike in the past when the low-cost carriers (LCCs) gained at the expense of the full-service carriers (FSCs), the latter held their own in 2015.
The market share break-up between LCCs and FSCs in 2014 and 2015 remain around the same level at 60:40. This is despite IndiGo increasing its dominance and most of the new entrants being LCCs. That’s because SpiceJet — the second largest LCC — lost a lot of ground temporarily, and Jet Airways exited the low-cost space earlier being operated under the JetKonnect brand.
Can FSCs up the ante and gain share this year? Market experts don’t think so. Says independent aviation consultant Bharath Mahadevan, “The market is very price-driven. A random look at a Delhi-Mumbai flight for a few weeks out shows that Jet Airways and IndiGo are on par when it comes to pricing around the same time band.”
To Read the News in full 17/01/16 Anand Kalyanaraman/Seetharaman R/Business Line
The market share break-up between LCCs and FSCs in 2014 and 2015 remain around the same level at 60:40. This is despite IndiGo increasing its dominance and most of the new entrants being LCCs. That’s because SpiceJet — the second largest LCC — lost a lot of ground temporarily, and Jet Airways exited the low-cost space earlier being operated under the JetKonnect brand.
Can FSCs up the ante and gain share this year? Market experts don’t think so. Says independent aviation consultant Bharath Mahadevan, “The market is very price-driven. A random look at a Delhi-Mumbai flight for a few weeks out shows that Jet Airways and IndiGo are on par when it comes to pricing around the same time band.”
To Read the News in full 17/01/16 Anand Kalyanaraman/Seetharaman R/Business Line
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