New Delhi: Vistara, the
Tata-Singapore Airlines joint venture airline, is promising a
personalised, premium flying experience. Last night, Jet Airways said it
will scrap its no-frills service and concentrate only on the
bells-and-whistles service for domestic travellers.
Air India is already promising the moon, thanks to its induction into prestigious global airline grouping called Star Alliance. The two legacy carriers are loss making and debt laden - how will they make ends meet in a market dominated by low cost carriers (LCCs) if they price themselves at a premium?
Experts say the answer to these questions is simple: Vistara, Jet and AI need to make the flyer feel like a king but then hurry to their back-end and ensure costs there are as close to LCCs as possible.
In other words, merely offering hot meals will not work - these airlines need to devise smart pricing strategies while relentlessly driving down costs. And their pricing also needs to remain close to that of LCCs.
Read news in full firstpost.com
Air India is already promising the moon, thanks to its induction into prestigious global airline grouping called Star Alliance. The two legacy carriers are loss making and debt laden - how will they make ends meet in a market dominated by low cost carriers (LCCs) if they price themselves at a premium?
Experts say the answer to these questions is simple: Vistara, Jet and AI need to make the flyer feel like a king but then hurry to their back-end and ensure costs there are as close to LCCs as possible.
In other words, merely offering hot meals will not work - these airlines need to devise smart pricing strategies while relentlessly driving down costs. And their pricing also needs to remain close to that of LCCs.
Read news in full firstpost.com
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