AirAsia may avoid Delhi Mumbai route

It is highly likely that airliner AirAsia may avoid Delhi Mumbai route and focus on smaller II-tier and III-tier cities. This unique strategy of the airliner is aimed at maintaining lower operational costs and at the same time capturing a considerable share of the growing flying population in the rest of the country. The budget carrier said in an official statement that it would focus on cities like Chennai, Hyderabad and Bengaluru and also on northern cities like Jaipur and Ahmedabad.

Tony Fernandes the founder and Group CEO of AirAsia said that the airliner would avoid the Delhi Mumbai route because of high charges as well as the slot constraints that both these airports face. He stated that the company was first aiming at gaining ground in the market with its low cost structure. Fernandes said that later as airports and services are developed the airliner would look at other segments. The CEO of the Malaysian based airliner affirmed that the AirAsia would succeed in its operations in India.

Meanwhile Regional Manager of AirAsia Suresh Nair stated that the company was aiming at a Pan India registration and not a regional one. He said that avoiding the coveted Delhi- Mumbai route did not in any way make the carrier a regional one. Nair said that there is a certainly a lot beyond the existing operation routes. He emphasized that the company would fly where operations were low. However it is yet not sure whether the airliner will completely avoid the coveted route.

It is also reported that AirAsia may offer fares of as low as Rs 1,000 to lure passengers as it kick starts operations in India. However industry analysts state that the company may certainly experience difficulties in implementing its south East Asian business model due to the country’s high operating costs.

Category : Travel

Date : 07 March 2013