Indian Airline Sector Analysis

Topics: Low-cost carrier, Airline, Southwest Airlines Pages: 6 (1381 words) Published: September 13, 2010

Ever since the aviation sector opened up the skies to private carriers, air passenger travel in India has been expanding at about 25% a year. The Airline industry has experienced a drastic increase in number of passengers, driven by privatization of aviation industry and introduction of low cost carriers like Deccan Airlines, Go Air, and Spice Jet etc. It is said that Indian Aviation Industry is one of the fastest growing Aviation Industry in the entire globe. Due to economic growth and increasing link with global businesses, it has resulted in an increase in passenger traffic. However, the current global economic slowdown and dramatic rise in aviation fuel prices continues to negatively impact the Aviation Industry across the whole globe. According to government estimates, growth in this sector will outpace the global average until 2025. The Indian aviation market is on a boom. The estimated growth of domestic passenger segment is at 51% per annum and growth for international passenger segment is 26%. The international cargo is likely to grow at a rate of 13%. Here we have taken following Airlines on Domestic Routes as a whole representing the industry to measure the Customer Satisfaction in Airlines Industry.

* Spice Jet is a low-cost airline. Their marketing theme "offering low 'everyday spicy fares' and great guest services to price conscious travelers". Their aim is to compete with the Indian Railways passengers travelling in AC coaches. * Go Air The People‘s Airline, a low cost carrier promoted by The Wadia Group is a domestic budget airline based in Mumbai, India established in June 2004. It‘s a relatively small player as compared to other low cost airlines. * Kingfisher Airlines is an airline based in Bangalore, India. Services started on 9 May 2005, following the lease of 4 Airbus A320 aircraft. It initially operates only on domestic routes. The airline promises to suit the needs of air travellers and to provide reasonable air fares.Kingfisher are pushing for an amendment of the present Indian government rule which requires an airline to fly a minimum of five years on domestic routes before it can start flying overseas. * Indi Go Airlines is a new and a private domestic airline based in India. IndiGo placed an order for 100 Airbus A320 aircraft during the 2005 Paris Air Show. The total order was worth US $6 billion; one of the highest by any domestic carrier during the show. The new low-fare carrier has started operations from August 4, 2006.

* The main objective of the study was to understand the perception and satisfaction criteria of the customer towards the specific airline out of the above stated airlines. * Sample size is of 100 samples

* Following is the questionnaire and its analysis:

1. What is your occupation?
Businessman: 48 ,Professional: 7, Salaried: 36 Retired: 9, Others: 0

Out of the sample size of 100, 48% were businessmen, 7% were professionals, 36% were salaried and 9% were retired. 2. Are you Male or Female ?
Male| Female|
67| 33|

Out of the sample size of 100, 67% were Male and 33% were Female. 3. Are You Married or Unmarried ?
Married| Unmarried|
56| 44|

Out of the sample size of 100, 44 were Married and 56 were Unmarried. 4. What is your main purpose in taking this trip?
Professional or Pleasure .
Professional| Pleasure|
42| 58|

Out of the sample size of 100, 58 Person said that the trip was for the Pleasure Purpose and 42 said that trip was for the professional purpose.

5. Please rate the courtesy of Front Desk (Ticket Counter) Officer/Agent Worst Bad Not Good Not Bad Good Best Criteria| Spice Jet | Go Air| Kingfisher Airlines |...
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