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No-frill carriers go aggressive despite fuel price rise
LAST UPDATE: Wednesday, 7 May 2008 - 11:58:33 PM
NEW DELHI: No-frill carriers begin aggressive marketing to attract passengers despite skyrocketing jet fuel prices that have engulfed financial health of the aviation industry.
Though full-service carriers have already decided to hike base fare by ten per cent and also raised fuel surcharge, some major low-cost airlines have begun promotions to attract the summer rush.
GoAir recently introduced return zero fare tickets under 'GoHappy Fares' plan, while low-cost arm of Air India, Air India Express offered domestic travellers a fare of Rs 99 plus taxes. Air Deccan, which has been taken over by Kingfisher Airlines and Spicejet are already in the race offering such sops.
For AI Express, which has been primarily operating on international routes, this is an effort to reach out to the domestic market.
Most of the no-frill carriers generate a major portion of their sale volume through online booking of tickets. It is over 45 per cent in the case of GoAir, with almost 35 per cent of the bookings are done only over a week in advance.
Through sops like 'GoHappy Fares', Wadia family promoted airline wants to enhance share of the online bookings to about half the total sales volume.
Airline industry sources said this was also in line with the call given by the International Air Transport Association (IATA) to have 100 per cent e-ticketing by May 31 this year.
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