Airlines Deals

Air Deccan, the premier low-cost airline in the country, has announced the release of two lakh tickets at low fares beginning at Rs499 (plus taxes). The tickets are available for travel between August 1 and 31, 2006 and bookings will begin on July 28, 2006.
Air Deccan has, meanwhile, upstaged government-owned Indian (Indian Airlines), its nearest competitor, to become the second largest airline in the country after Jet Airways. Air Deccan has a 21.2-per cent market share in June, up 1.8 per cent from May 2005 while the market share of Indian had dipped to 20.8 per cent.

Air Deccan has seen phenomenal growth in traffic, having flown over 5.8 million passengers since its inception in August 2003.

The airline has the largest network in India today covering 55 airports plying 265 flights a day. The airline currently operates a brand new fleet of 15 Airbus A 320 Aircraft with an average age of 1.5 years and 20 ATR turboprop aircraft. Air Deccan has placed orders for 96 new aircraft, which will be added to its current fleet in the next eight years.

This phenomenal growth has been attributed to the aggressive expansions undertaken by Air Deccan in the last three years of its operation.

“Air Deccan with its unconventional business model brought the luxury of flying to the common man in India. Dynamic pricing coupled with wide connectivity, rapid expansion of fleet and several other innovative steps enabled us in becoming the second largest airline in the country in such a short period of time. This clearly indicates the appetite that the country has for low cost carriers, and, if we were to go by the current rate of growth we are witnessing, it won’t be long before we become the largest people carrier with the largest fleet offering the largest connectivity and the lowest fares in the country. Amidst the various changes and challenges that we have been through, overwhelming passenger support is one aspect which has remained constant,” said Capt. G R Gopinath, managing director of Air Deccan

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Deccan Aviation, which operates the low-cost carrier Air Deccan, will start its international operations out of Sri Lanka in October this year. Deccan has chosen its Sri Lankan arm, Deccan Aviation (Lanka) to kickstart its international operations because Indian domestic carriers cannot fly overseas unless they have a 5 year experience of flying in the domestic market.
They must also have a fleet-size of at least 20 aircraft.Air Deccan, which launched India’s first low cost airline service in August, 2003, does not qualify on the basis of number of years until August 2008 but with a fleet of 36 aircraft, it already fulfills the other criterion.Initially the services will connect the Sri Lankan capital, Colombo to the southern Indian cities of Trivandrum, Madurai, Coimbatore, Cochin and Trichi.Three ATR turbo-prop aircrafts will be deployed on the route.“We have already applied for the required licences from the government of Sri Lanka. Plans will only be finalised after we visit the country next month,” Air Deccan managing director GR Gopinath told FE

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However, they were not looking at any other international market at present,he said.“The domestic market in India offers tremendous growth opportunities. I am not even trying to compete with other low-cost airlines but with the Indian Railways. If I can lure even 10% of train passengers to airlines industry, it will be a major push for the low cost carriers,”Gopinath said.

At present,Deccan is flying to 56 destinations and claims to be the second largest airline by marketshare, next only to Jet Airways.

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Air Deccan is the leaders in the budget airline market in India and they are now due to announce some new flights next month to further boost their presence in the Indian market.

The company confirmed that they would be launching five new flights from next month in different sectors.

These new flights would include flights on the routes: Delhi-Dehradun, Bangalore-Pune and Jammu-Srinagar.

The company added that they would launch new flights on these routes: Hyderabad-Cochin via Coimbatore and Chennai-Rajhamundry via Vijayawada.

There is more good news for the customers as the company is aiming at offering introductory fares of Rs 599 for the Delhi-Dehradun sector; Rs 499 on the Jammu-Srinagar route; Rs 999 on the Bangalore-Pune route and Rs 1224 on the Chennai-Rajahmundry and Hyderabad-Cochin sectors.

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Air Deccan, India’s No. 1 low cost airline, today upstaged its nearest competitor and government owned airline, Indian Airlines (established 1953), to become the second largest airline in the country. Air Deccan has garnered a market share of 21.2 percent in June, a rise of 1.8 percent since May 2005 while the market share of Indian dipped to 20.8 percent in the month of June.

Air Deccan, which started its operations in August 2003, has seen a very rapid growth having flown over 5.8 million passengers since inception. This phenomenal growth has been attributed to the aggressive expansions undertaken by Air Deccan in the last three years of its operation.

Capt. G R Gopinath, Managing Director, Air Deccan said, “Air Deccan with its unconventional business model brought the luxury of flying to the common man in India. Dynamic pricing coupled with wide connectivity, rapid expansion of fleet and several other innovative steps enabled us in becoming the second largest airline in the country in such a short period of time. This clearly indicates the appetite that the country has for low cost carriers, and, if we were to go by the current rate of growth we are witnessing, it won’t be long before we become the largest people carrier with the largest fleet offering the largest connectivity and the lowest fares in the country. Amidst the various changes and challenges that we have been through, overwhelming passenger support is one aspect which has remained constant.”

Very recently, Air Deccan placed an order for 96 new aircraft which will be delivered over a period of 96 months. Air Deccan currently operates to 55 destinations across the country with 265 daily flights. Air Deccan currently operates a brand new fleet of 14 Airbus A-320 Aircraft with an average age of 1.5 years and 21 ATR Turboprop Aircraft. Air Deccan was the first and the only airline in the country to fly to destinations which no other airline had dared to operate on.

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No-frills carrier Air Deccan has wound up its Mumbai-Nasik service due to poor response, airlines sources said today.

The service was started on March 27, 2005 with 47-seat aircraft operating from Ojhar airstrip, about 21 km from here, to Mumbai. It was discontinued from July 21, the sources said.

Working in association with the Hindustan Auronautics Limited (HAL) facility in Ojhar, the Maharashtra Economic Development Corporation had spent Rs 2.5 crore to make available night landing facilities at local air strip.

The flight took 40 minutes to ferry passengers between Mumbai and Ojhar, from where passengers had to travel for half an hour by road to reach Nasik. In Mumbai they had to take some road transport or local trains from Santa Cruz airport to reach their destinations in the city, sources said.

“People find the road and rail services between Nasik and Mumbai more convenient to reach their destinations,” a source said.

According to police, security staff, including four police officers, deployed at Ojhar airstrip were withdrawn following the discontinuation of the Air Deccan service.

Earlier, four other air service operators had started services between Mumbai and Ojhar but failed to continue them due to poor response, the sources said.

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India’s first low cost airline Air Deccan has surpassed state-owned Indian to become the country’s number two airlines with a market share of 21.2 per cent as of June this year.
“Air Deccan has garnered a market share of 21.2 per cent in June, a rise of 1.8 per cent since May 2005 while the market share of Indian dipped to 20.8 per cent in the month of June,” a company release said.

“Air Deccan with its unconventional business model brought the luxury of flying to the common man in India. Dynamic pricing coupled with wide connectivity, rapid expansion of fleet and several other steps enabled us in becoming the second airline in the country within such a short span of time,” Capt G R Gopinath, managing director, said in the statement.

Air Deccan, which started operations in August 2003, has seen a very rapid growth having flown over 5.8 million passengers since inception.

Gopinath said that the rise of Air Deccan was indicative that the country had an appetite for low cost airlines.

“If we go by the current rate of growth we are witnessing, it won’t be long before we become the largest people carrier with the largest fleet offering the largest connectivity and the lowest fares,” he said.

Operating to 55 destinations across the country with a fleet of 14 Airbus A-320 and 21 turbo propelled aircraft, Air Deccan very recently placed an order for 96 new planes, which will be delivered over a period of 96 months.

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Air Deccan and Jet Airways have signed an agreement to accomodate each-other’s passengers, in the event that any of their own flights gets cancelled in the last minute, reports CNBC-TV18.

It is interesting to see that the competitors in the air are really cooperating on the ground. Air Deccan and Jet Airways have got into an agreement, whereby if there is a last minute cancellation of either flights, then the passengers could be accommodated.

Now, there are couple of advantages to this. One is that it increases their load factors in case of a cancellation. It also gives Air Deccan a lot of credibility being associated with Jet. So it is a win-win situation for both of them.

It is learnt that going forward, they are looking at other areas of cooperation. For instance, they are saying that they may look at the inter-lying arrangement, where Jet may sell tickets from London to smaller cities, where Air Deccan flies. So passengers can be transported from Deccan to Bombay or Delhi from where Jet Airways can fly to London.They are also looking at resources sharing at the ground level.

But of course, these two agreements are still some time away. The only agreement that they have signed currently is in case of last minute cancellations of flights.

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An Air Deccan flight from Delhi to Hyderabad with 100 passengers on board developed a major engine trouble soon after take off and returned to the Delhi airport under full emergency conditions on Tuesday night.
The pilot of the aircraft informed the air traffic control about “serious engine trouble” and sought permission to return to the Delhi airport, the airport sources said.

The aircraft had to dispose off fuel in the air before landing, they said.

As per the emergency drill, fire brigades, ambulances and other paraphernalia were put in place.

The aircraft landed safely at about 2200 hrs, the sources said.

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India’s first low cost airline Air Deccan today claimed to have surpassed state-owned Indian airlines to become the country’s number two airlines with a market share of 21.2 per cent, as of June end this year.

“Air Deccan has garnered a market share of 21.2 per cent in June, a rise of 1.8 per cent since May 2005, while the market of Indian dipped to 20.8 per cent in the month of June,” a company release claimed here today.

“Air Deccan with its unconventional business model brought the luxury of flying to the common man in India. Dynamic pricing coupled with wide connectivity, rapid expansion of fleet and several other steps enabled us in becoming the second airline in the country within such a short span of time,” its Managing Director Capt G R Gopinath said in the statement.

Air Deccan, which started operations in August 2003, has seen a very rapid growth having flown over 5.8 million passengers since inception.

Gopinath said that the rise of Air Deccan was an indicative that the country had an appetite for low cost airlines. “If we go by the current rate of growth we are witnessing, it won’t be long before we become the largest people carrier with the largest fleet offering the largest connectivity and the lowest fares,” he said.

Operating to 55 destinations across the country with a fleet of 14 Airbus A-320 and 21 turbo propelled aircraft, Air Deccan very recently placed an order for 96 new planes, which will be delivered over a period of 96 months

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A war of claims regarding market share has erupted in the Indian skies with both, the state-run Indian and low-cost carrier Air Deccan, claiming the number two position behind Jet Airways.

Air Deccan today claimed that it has become the second largest airline in the country with a market share of 21.2 per cent in June while the market share of Indian dipped to 20.8 per cent in June. Indian on its part said it continued to be the second largest domestic airline in the country.

According to June data from the Directorate General of Civil Aviation, Indian is right. Its market share is 21.8 per cent, while Air Deccan’s is 20.3 per cent.

Jet Airways continues to be the largest domestic carrier with a market share of 30 per cent.

Air Deccan attributes the growth to the aggressive expansions undertaken by it in the last three years of its operation.

As per the DGCA data, the capacity and seat deployed by Air Deccan has gone upto 11.7 per cent in January this year to 17.6 per cent in June. However, the capacity of Indian has declined to 24.1 per cent in June from 28.4 per cent in January.

G R Gopinath, managing director, Air Deccan, said: “Dynamic pricing coupled with wide connectivity, rapid expansion of fleet and several other innovative steps enabled us in becoming the second largest airline in the country in such a short period of time.”

Senior Indian executives said that the airline is facing stiff constrains in terms of aircraft availability due to maintenance backlog as well as deployment of aircraft on international routes and on relief operations.

Out of the total fleet of 48 aircraft, Indian should ideally be flying 42 aircraft. But, it has been able to deploy only 36 aircraft at present on domestic routes.

Indian executives are of the view that the airline’s market share will go up considerably with the induction of new aircraft, which are expected to join its fleet from October 2006 as a part of its aircraft acquisition plan.

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