Tuesday, August 08, 2006

‘Low-cost carrier market share to touch 70% by 2010’

Mumbai: The Centre for Asia Pacific Aviation (CAPA) has predicted that the low cost carrier (LCC) market share in India will reach 70% by 2010, making it one of the world’s leading LCC markets in terms of total market penetration. LCCs could control over 35% of the domestic market by the end of 2006 and more than 50% some time in 2007, according to CAPA.
As per the figures published by Directorate General of Civil Aviation (DGCA), India’s first LCC, Air Deccan and other LCCs have severely cut into the market share of full-service carriers in the first quarter of 2006 and also cornered a large chunk of new air travellers. The market share of Air Deccan has more than doubled from 7% last year to 15.2% in the first quarter. Other carriers like Kingfisher Airlines, SpiceJet, Paramount Airways and GoAir have also eaten into the market share of established carriers like Indian Airlines, Jet Airways and Air Sahara.
08/08/06 Financial Express