Showing posts with label
Spicejet Airlines Ticket Booking.
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Showing posts with label
Spicejet Airlines Ticket Booking.
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AirAsia, the Malaysian airline, has been judged the best low-cost carrier (LCC) at the World Travel Awards, held in New Delhi. The Chief Executive Officer (CEO) of the company said that they were extremely glad to receive the award third time in a row. He further added that it shows that the world is appreciating the effort that the carrier has put in to make air travel better. Established by a government-owned firm in 1993, it went private in 2001 and since, has seen an upheaval in profits. It now has many subsidiaries, such as AirAsia India, which give many domestic flight offers to people in the largest democracy of the world.
In 2001, at a time when it was extremely crash-strapped, it was bought and bailed out by the Tony Fernandes-owned Tune Group for around USD 11 million. He introduced fares of as low as USD 0.27 or MYR 1, starting with its primary hub at the Kuala Lumpur airport. A secondary hub was established in Senai International Airport, close to Singapore, and the first international flight to Bangkok was launched. The coming years saw air services being started on more routes and in 2006, it announced its plans to start flights to China, Vietnam, India and Indonesia. Two years later, the carrier revealed the addition of 106 new routes to its list of 60.
Current Situation and Aftermath
The Indian subsidiary of AirAsia was set up in 2013, with an initial investment of USD 50 million from the parent company. On 30th May, 2014, after getting the final permit from the Directorate General of Civil Aviation (DGCA), it revealed its first Indian flight between Bengaluru and Goa. The conferring of the said award on the carrier may further intensify the already explosive aviation competition in the country. Air travel is constantly on the rise in the country, and more and more carriers are coming up with innovative schemes to attract customers and dominate the competition. In the coming days, GoAir, IndiGo and SpiceJet offers relating to new routes and brought-down costs to compete with AirAisa may be a common phenomena.
One of the leading low-cost carriers of the country – SpiceJet – is planning to implement new strategies to increase its profits and bookings. It has announced a number of sales and offers in the past few months, and air ticket booking with the airline has increased significantly due to this. It has become the largest service provider of the country as far as load factor is considered. In the previous quarter and months, it has recorded over 80 flight occupancy. Apart from this, it also stepped up in the ranking chart on the basis of market share, by pushing back Air India. This Sun Group-owned company has emerged as the first choice of fliers because of the cost efficiency and top-notch services.
It was started as an aviation foray of the Sun Group in the year 2005. The carrier has expanded its business in Indian as well as international market with a fast growth rate. Currently, it operates more than 350 flights everyday to various destinations with a fleet size of around 52 aircraft. However, the airline is planning to bring down the number of operating flights. As per reports, older models will be kept idle it is an attempt to lower the cost of operations as fuel efficiency of new aircraft is higher. The fleet of SpiceJet consists of efficient models like Bombardier Dash 8 Q400 aircraft and Boeing 737 Next Generation. However, some of them are quite old as well that increases the operational charges, and replacing them with new ones will prove to be beneficial for the carrier. It has placed an order of 57 new models scheduled to be delivered in the coming months. As soon as it is received by the company, the airline may drop down the price of tickets even further. This will increase the number of fliers opting for SpiceJet online booking in the coming future.
The carrier has started cutting down the capacity, and has successfully reduced it by 10 per cent. As per reports, it aims at shrinking it by 14 per cent by December. However, it is expected that with the receipt of new machines, it may start increasing the capacity.
SpiceJet is the largest airline of the country on the basis of load factor and second largest when market share is considered. It is one of those carriers, which offer seats at lowest airfare. With more than 300 daily flights catering to around 49 destinations, this low-cost carrier (LCC) is grabbing market share at a fast rate. It has a fleet size of around 53 aircraft that includes Bombardier Dash 8 Q400 aircraft and Boeing 737s. The carrier has placed an order for 57 more aircraft to be delivered in a couple of years. As soon as these new models will be delivered, the company may start operations on new routes including international ones. Apart from this, the carrier is planning to lower ticket prices for passengers who travel without check-in baggage.
However, it has not been approved by Directorate General of Civil Aviation (DGCA). Its rival AirAisia is also looking forward to introduce this offer as soon as DGCA clears the proposal. Chief Operating Officer (COO) of SpiceJet said that this move will encourage travellers to come up with lighter bags, which in turn will reduce the fuel burn. It may increase booking in the coming months, as SpiceJet flight fares will be reduced after approval, attracting more business travellers. As per reports, AirAsia asked for the permission regarding this offer as soon as it initiated operations in India.
The unbundling of services reduces the cost of a ticket and gives passengers an option to pay for the services they are willing to avail. This step will benefit both travellers and LCCs; hence, the civil aviation authorities are considering this proposal. Global airlines such as British Airways already practice this method of pricing and it is quite successful over there. As per industry reports, more than 40 per cent people travel with no baggage and new pricing strategy would a boon for them.
The Sun Group owned airline – SpiceJet – is in the process of establishing new performance benchmarks. This leading low-cost carrier (LCC) has a fleet size of around 79 aircraft and operates more than 350 flights every day, catering over 55 international and national destinations. Second quarter reports published by the Directorate General of Civil Aviation (DGCA) showed a positive change in the market share of this airline. It replaced Air India – the national airline – from the third rank. Capacity addition, introduction of new routes and cheapest airfare helped the carrier in gaining significant market share in the previous month. Now it carries more than 20 per cent of total fliers, which make it the second largest airline of the country followed by IndiGo. As far as seat occupancy is concerned, it tops the charts and leaves behind all the other carriers, according to a data revealed by DGCA.
As per industry reports, cheap SpiceJet flight fares and flash sales allured a large number of leisure as well as business travellers who had never travelled with the carrier before. Top-notch amenities and simplified booking process helped it in retaining the existing fliers. Officials said that these offers were rolled out with proper planning, and it did not take hit on the revenue. The LCC flew its aircraft with almost 79 per cent occupied seats, whereas IndiGo saw a downfall and optimised only 67 per cent of the capacity. Air India, Jet Airways, GoAir, Air Costa and AirAsia recorded approximately 69, 64, 69, 65 and 69 per cent occupancy, respectively, in the month of July. The tourism industry is thriving at a quick pace and around 5.21 million passengers enjoyed air travel in the previous year. It has broken the myth that carriers cannot fly aircraft with full capacity in the lean season.
Airfare in Indian aviation has hit a purple patch for frequent travellers as discounts have been offered right from the beginning of the calendar. Popular low-cost carrier (LCC), SpiceJet has led the pack with back-to-back offers for travellers. It was the first airline in the nation to start offering services and was followed by the rest. As many as six rounds of flash offers have been offered for fliers that has brought down the domestic travel expenses by quite a fair margin. However, the balance sheet for this carrier has not been something to cheer about in the recently ended fiscal. It has posted a record loss in the financial year ending 2013-14.
In this event, the airline has sought approvals for allowing to operate 7000 seats on a weekly basis. Several investors have shown interest in funding these operations for the Sun-group airline. It is believed that if the carrier is allowed to start operations to Qatar, SpiceJet Airlines booking will undoubtedly increase and its tides will turn. In this case, the final agreement between the investors and the airline has not been finalised, but reports have been received that some investors have shown positive interest for this purpose.
In this aspect, the carrier will hope to make an impact in the forthcoming couple of years and turn the tides. It has not faired quite well in the last quarter and for that matter, in the last financial year, as well. The onus of bringing the LCC back to the profitable side lies on the new management team, which was shuffled few months back. It is inevitable that new strategies will be adopted by SpiceJet and discounts will also be offered for boosting passenger influx. Whether or not, all these changes will have a positive impact, it is for time to tell.
In recent months, the term – price war – in Indian aviation has been grabbing the headline space more often than not with airlines making a beeline to woo customers with their various domestic flight offers. As many as seven, including the recent one from SpiceJet, has been the story so far in 2014. This calls for some scrutiny as to why airlines are so desperately selling their tickets at discounted prices, at a time, when all they can show in their balance sheets is heavy losses. Is the discount strategy a way to cover up the losses or is it the fear of losing market share to new possible entrants into the already packed sector?
Expert View
Industry experts, with their groundwork done, are of the opinion that both the above-mentioned factors have led to this situation. The losses from the previous year are haunting carriers, and they want to get rid of it as soon as possible; however, the fact is not all can say that they have been successful in their endeavour, even after so many discount offers. The only positive that has come out from all these sales deals is the reaction from the general public, which can be safely said to be overwhelming, especially for SpiceJet offers.
The other issue that has been hanging like a sword on the necks of domestic carriers is the likely foray of international carriers in India, the most threatening among them being Air Asia. Such is the scenario that domestic airlines have filed a petition with the Director General of Civil Aviation (DGCA), through their federation, to not allow Air Asia to start its operations in the country.
It is to be been as what is the future of Indian aviation in coming months and how many times more, can we expect SpiceJet discount deals in 2014.
In spite of the fact that popular low-cost carrier (LCC) SpiceJet has offered as a number of discounts from the beginning of the running calendar year, it has not increase the passenger footfall. Undoubtedly, there was a mad rush among people to book air tickets during this interim, but the flash fares failed to boost the traffic. As per the reports that have been received, the LCC carried almost 11 per cent less travellers during March 2014 as compared to the same time previous year. The number of fliers who boarded flights of this airline in March 2013, was approximately 10.58 lakhs as compared to the 9.41 lakhs.
Sharp Decline in the Load-Factor
There was a sharp fall in the load-factor for this Kalanithi Maran backed airline as well. On an average, the airline was flying its aircraft at over 76 per cent during the same time last year. Surprisingly, it was down below 69 per cent for March, this year as per the reports. This is certainly not what the airline was looking forward to during this interval. Incidentally, the carrier suffered a number of poor quarters in the previous year, that sharply affected its revenues.
Also, a major point in this respect is the overall traffic in Indian aviation grew in Indian aviation. Though the growth was minimal, however, there was a positive increase in the number of passengers. In this event, its rivals have made some growth in respect of passengers carried. However, a lot needs to be done by this carrier to increase the SpiceJet airlines booking to come back to profiting ways. As foreign carriers are set to step their foot in the market, it is important that this LCC get a strong foothold and a good passenger traffic.
If you are looking for a cheap air ticket for domestic travelling, there are more options waiting for you. Popular low-cost carrier (LCC), SpiceJet, has launched, yet another round of discounts for travellers, making it seven in a row, from the beginning of this calendar year. This time, it is the western part of the country that the LCC has targeted to offer its flash reduced flight fares. The offer was announced on April 16th, 2014 and is valid for three days, where booking can be done by travellers. Travel period for this reduced booking rate is valid from June 10 to August 10, 2014.
Important Cities in Western India Targeted by Discounts
This discount is valid for travel from popular cities in the western part of the country. As a result of this discount, travellers will be able to book tickets from approximately 30 destinations for a price of a little over 2000 INR. This is comparatively half of the ticket rate as compared to the original. Some of the most popular locations covered by this discount are Surat, Pune, Mumbai, Indore, Goa, Aurangabad, and Ahmedabad. SpiceJet Airlines ticket booking is expected to witness a boost as a result of this flash discount.
SpiceJet was recently reprimanded by Directorate General of Civil Aviation (DGCA) for launch of the one INR base fare scheme. The authorities had termed such sales as predatory and immediate orders were issued to stop such unrealistic discounts. However, the Kalanithi Maran backed airline seems to have taken it in a positive way. They understood where they had stepped their feet wrong and soon made amends. This time around they have come up with a more practical and realistic offer, which will definitely encourage travellers to make a booking. Simultaneously, the carrier hopes to make good business, both during the lean and peak seasons.
