Source: DGCA
Indian aviation sector is
experiencing robust growth driven by lower airfares due to decline in fuel
prices, rising income level and improved air connectivity. During
January-October 2015, total number of air passengers carried by airlines
increased to 66.1 million from 55.1 million a year ago. While for the month of
October 2015, passenger traffic grew by 18.8% to touch 7.04 million. Air passenger traffic growth during the month of October was
mainly attributed to festival and peak tourist season in India.
India’s largest Low Cost Airline
(LCC), Indigo continues to dominate with 36.8% market share. Indigo carried
2.59 million passengers during October 2015. While Jet Airways (Jet +Jet Lite)
1.50 million passenger to capture 21.2% share. State owned carrier Air India is
at third place with 15.5% share carrying 1.09 million air travelers. Top
5 airlines accounts for 94.7% of total market share in Indian aviation sector.
In terms of Passenger Load Factor
(PLF), another LCC SpiceJet leads with 92.1% followed by Indigo (82.4%), GoAir
(81.2%). Most of the airlines experienced increased PLF driven by passenger
growth due to tourist season.
On Time Performance (OTP) is one of important
factor for passengers deciding about which airline to fly. New entrant Vistara
is most punctual with 93.7% OTP followed by Indigo (89.6%) and SpiceJet
(86.9%). Air India struggled with 75.5% OTP indicating its inability to compete
effectively in highly competitive and growing industry.
The key reasons for Indigo’s dominance
are excellent OTP coupled with lowest cancelations. During October 2015,
overall cancellations rate for Indian airline industry was 0.57%. Smaller
players like Trujet (14.95%), Air Costa (6.87%) and Air Pegasus (4.25%)
suffered with high cancellations. While most of the major players fared well
with less than 0.7% cancelled scheduled flights.
You may like to read Jet Airways to expand its fleet with new 75 fuel efficient aircrafts from Boeing
No comments:
Post a Comment