“Air India Express Shifts Focus to Price-Sensitive and Leisure Travel Routes Amid Merger Plans”
Air India Express, a low-cost subsidiary of Air India, is set to focus on routes popular among price-sensitive customers and leisure travelers, according to Managing Director Aloke Singh. The airline aims to consolidate its presence on existing routes and is in the process of merging with AirAsia India as part of the Tata Group’s airline business consolidation efforts.
Air India Express, the low-cost subsidiary of Air India, has announced its strategic focus on routes catering to price-sensitive customers and leisure travelers, as shared by the airline’s Managing Director, Aloke Singh. The airline’s decision is part of its efforts to strengthen its presence on existing routes before expanding its capacity across the country.
Air India Express, which is a subsidiary of Air India, is currently in the process of merging with the low-cost domestic carrier, AirAsia India. The move aims to streamline operations and align with the Tata Group’s strategy of consolidating its aviation business.
Singh explained, “The focus of Air India Express will be on routes which have a higher component of leisure travelers, a higher component of price-sensitive customers. In fact, more of non-business, while Air India will focus primarily on routes which are higher yielding, requiring business class and a higher level of in-flight services.”
This shift in strategy reflects the airline’s recognition of the unique demands and preferences of travelers on specific routes. By targeting price-sensitive customers and leisure travelers, Air India Express aims to optimize its services and capture a broader market segment.
The Tata Group, the owner of the Air India Group, which encompasses Air India, Air India Express, AIX Connect, and Vistara, is actively working to consolidate its various airlines under one cohesive structure.
Vistara, a joint venture airline between Tata Sons and Singapore Airlines, with a 51:49 partnership, is also undergoing the merger process with Air India. This strategic alignment is intended to enhance the efficiency and competitiveness of the Tata Group’s aviation business.
With these initiatives in motion, Air India Express is poised to strengthen its market presence and cater to the evolving needs of travelers, particularly those seeking affordability and leisure-focused travel experiences. As the aviation industry continues to adapt to changing dynamics, Air India Express is positioned to make informed choices that align with its goals and passenger preferences.
Sources By Agencies
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