Sunday, June 24, 2007

How about shopping at 30,000 ft?

New Delhi: SpiceJet, GoAir and IndiGo have all decided to make your air-journey a unique shopping experience as well.
Moving beyond selling food and beverages, GoAir has already started selling merchandise such as watches, CDs and golf balls besides other gift items. Spicejet has taken a step ahead and soon it will be closing a deal with a private bank and a famous fast food chain for advertising on hand baggage tags, boarding pass and head rests.
Not only that, all airlines are now teaming up with other players on ground so that you can now book hotels, rent a car, bid for special holiday packages and buy travel insurance through them besides just buying air tickets.
Currently, SpicJet generates around 5 % of their revenue from anciallry services.
They aim to achieve a 4% growth in this segment, and generate a total revenue of Rs 1,400 cr by the end of this financial year. For GoAir, ancillary services generate around 7% of their total revenue.
Bruce Ashby, president & CEO, IndiGo though currently is clueless as how exactly to find the right mix but he his already reviewing various options.
24/06/07 Dheeraj Tiwari/Economic Times
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