4 Factors Impacting the Demand for Domestic Airlines Tickets in India

In recent months, the Indian aviation market has seen a marked change, when it comes to meeting air travel demands of the people from Tier I and Tier II cities. This can be attributed to coming of Vistara and AirAsia in the domestic market. With the news of their entering the ever-so-competitive Indian aviation industry, the existing leaders launched new schemes to offer cheap domestic airlines tickets to not only earn profits but also to make a better customer base. The competition became even so fierce after AirAsia and Vistara started their operations in India and spoke about their plans to cater to Tier I and Tier II cities of the country, besides the existing metro routes. This led into a competition, where all low-cost carriers (LCCs) in the nation started offering seats at bare minimum prices, and not surprisingly, it had many takers.

Exciting Schemes and Deals 

The starting of the year saw a series of discount schemes from SpiceJet, IndiGo, GoAir and even from the national carrier – Air India. With each festive occasion, cheap domestic air tickets deals on offer kept increasing to the delight of air travellers. The fare offered in some instances was so low that even train tickets seemed costlier. In these periods, airlines earned huge sums in revenue as people made seat reservations to avail such exciting deals. This scenario helped carriers like IndiGo and GoAir to strengthen their market base and earn profits, but for some like SpiceJet, it meant incurring huge losses even though it earned profits.

Lean Period

Starting April, the lean period of the Indian aviation alike other years will come into the picture, and all domestic airlines in India are wary of this fact. To counter this situation, they are likely to come up with new solutions, wherein they incur if not loss, but at least reach at par with the expenditures. With airports across the country are getting ready to cater to the domestic carriers, the situation might just help the cause of the Indian airlines.

New Routes

Most of the LCCs, along with AirAsia and Vistara are mulling over and even introducing new daily routes to different corners of the country to maximise their profits in a bid to offer air travel to the majority of the Indian population. With domestic airlines tickets being offered to even the not-so busy routes, these carriers might be taking a chance but looking at the bigger picture, this just might help their cause, may be not in recent time but surely along the way.

Online Travel Agencies (OTAs)

OTAs too have played a major role in promoting air travel in the nation in recent years and more so in recent months by offering all information about air deals of various carriers, besides their schedules and rules and regulations. In addition, they also have offered their own deals and schemes to reach out to maximum people who are willing to take the aerial route to reach their destinations in a hassle-free manner. With the OTAs providing cheap domestic airlines tickets, people are more than willing to make their bookings online rather than over-the-counter reservations.

There are the 4 factors that have impacted the demand for air travel in the nation in recent times.