Sunday, June 7, 2009

Kingfisher, Jet set for battle with budget airlines

Vijay Mallya's Kingfisher Airlines and Naresh Goyal's Jet Airways have launched all-out wars on low-cost carriers (LCC) by broad basing their low fare offerings and providing superior services on board.

The gamble has already started yielding desired results. In less than a month of offering low fare service Jet Konnect in select routes, the airlines has seen a 35 per cent increase in the seat load factor. Earlier these routes served by Jet Airways was witnessing less than 50 per cent load.

Encouraged by the success of the Jet Konnect service, Jet Airways is planning to offer 62 low fare flights a day, an official said. Similarly, Kingfisher Airlines has dedicated more than 50 per cent of its capacity to its low-cost arm Kingfisher Red, which provides complementary snacks as well. Jet is also offering free food on board its Jet Konnect services, but will soon start the buy food on board facility to generate additional revenue."Jet Airways is responding to a shift in passenger demand for low fare/no-frills travel, as a result of the recent economic downturn," Sudheer raghavan, chief commercial officer, Jet Airways Konnect, said.

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