Airlines Industry India
THE AIRLINES SECTOR
The aviation industry in India has grown by leaps and bounds in recent years in terms of kilometers flown as well as customers serviced. The economy of a country is substantially determined by the quality of air transport. The airlines today have made themselves more popular among its customers by various marketing tactics like:
• Reduced costs of air tickets for frequent flyers.
• E-ticketing i.e. virtually eliminating the need for agents. Rynair and Easy jet two of UK’s low cost carriers have eliminated travel agents completely and sell all their tickets online.,
• Selling tickets through online auctions,
• Various freebies and accommodation offers provided at lower rates.
• Improved and interactive staff.
• Increase in aircraft capacity
These are a few of the many reasons for the increasing popularity of the airlines. In terms of quantity the airlines industry turnover in the year 99 was approximately 44 billion, 14 million passengers traveled using its services. Till recently, Indian Airlines had a monopoly in the sector. However, in 1993 the skies were opened for private participation and 8 airlines got the nod to commence operations. Of these, only two have survived - Jet Airways and Sahara Airlines.
The market share of Indian Airlines vis-à-vis private players is given below.
Airlines Market Share Aircrafts Owned
Indian Airlines 47% 55
Private Airlines* 53% 35
THE SERVICE MARKETING TRIANGLE
One can better understand the workings of airlines by looking at its marketing triangle.
ENABLING PROMISES MAKING PROMISES
KEEPING PROMISES
There are three entities in the entire transaction:
• Customer: He is the person who wishes to satisfy his need i.e. of
The aviation industry in India has grown by leaps and bounds in recent years in terms of kilometers flown as well as customers serviced. The economy of a country is substantially determined by the quality of air transport. The airlines today have made themselves more popular among its customers by various marketing tactics like:
• Reduced costs of air tickets for frequent flyers.
• E-ticketing i.e. virtually eliminating the need for agents. Rynair and Easy jet two of UK’s low cost carriers have eliminated travel agents completely and sell all their tickets online.,
• Selling tickets through online auctions,
• Various freebies and accommodation offers provided at lower rates.
• Improved and interactive staff.
• Increase in aircraft capacity
These are a few of the many reasons for the increasing popularity of the airlines. In terms of quantity the airlines industry turnover in the year 99 was approximately 44 billion, 14 million passengers traveled using its services. Till recently, Indian Airlines had a monopoly in the sector. However, in 1993 the skies were opened for private participation and 8 airlines got the nod to commence operations. Of these, only two have survived - Jet Airways and Sahara Airlines.
The market share of Indian Airlines vis-à-vis private players is given below.
Airlines Market Share Aircrafts Owned
Indian Airlines 47% 55
Private Airlines* 53% 35
THE SERVICE MARKETING TRIANGLE
One can better understand the workings of airlines by looking at its marketing triangle.
ENABLING PROMISES MAKING PROMISES
KEEPING PROMISES
There are three entities in the entire transaction:
• Customer: He is the person who wishes to satisfy his need i.e. of