Thursday, June 14, 2007

No single airline could protect market share: CAPA report

Mumabi: The aviation market in India has moved into a consolidation phase in the last three years—the two national airlines are merging, Jet Airways has acquired Sahara, Kingfisher and Air Deccan are coming together. The proliferation of new entrants over this time has meant that no single airline could protect their market share, stated the recent CAPA report released by Peter Harbison, executive chairman, CAPA in Mumbai.
CAPA conducted an extensive survey of India over the past three weeks, including Mumbai and Delhi, seeking information and views on the travel experience by either LCCs or FSCs.
The report states that a very low proportion of full service carriers (9%) chose their flight on the basis of price, a stark contrast with the 38% on LCC”s, for whom pricing is the key decision point. Over two thirds of FSC passengers selected the airline on the basis either of convenient schedule or previous experiences.
14/06/07 Financial Express
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