Legacy carriers regain some ground in Feb

Bangalore: In a minor trend reversal, legacy carriers Indian, Jet Airways and JetLite (formerly Air Sahara) regained some of their lost market share in February even as the challenger airlines (except for Deccan and SpiceJet) saw their share in the aviation pie shrink.
Not long ago — between 2005 and 2007 — the new entrants had challenged legacy carriers by growing their market at a furious pace. This had diminished the legacy carriers’ dominant position in the market even though they were flying more passengers than before.
It may be a flash in the pan, but February, which is traditionally a lean month for air traffic, saw the incumbents regain some lost ground.
Analysts attribute the trend to the ongoing consolidation in the market.
State-owned Indian’s share in the aviation pie grew 50 basis points (bps) at 14.40% from 13.90% in January. However, this was still down 160 bps from 16% in February last year.
Naresh Goyal’s airlines - Jet and JetLite - also bit off bigger pieces of the market in February at 23.20% and 7.40%, up 50 bps and 57 bps, respectively over January.
29/03/08 Praveena Sharma/Daily News & Analysis

To Read the News in full at Source, Click the Headline

Categories: Indian Aviation- In General Mar 2008