Thursday, August 30, 2012

NEWS | IndiGo, Jet Airways charged highest fares in July; Kingfisher is new low-cost

No-frills carrier IndiGo charged the highest fares on several sectors, while so-called 'first class' airline Kingfisher was the cheapest, latest official data for July shows, showcasing yet again some of strange ironies of India's aviation business.

Data from the office of the aviation regulator, the Directorate General of Civil Aviation (DGCA), shows that IndiGo and Naresh-Goyal owned Jet Airwaysoffered the most expensive tickets on the sectors they operate last month, with the Rahul Bhatia-promoted budget carrier even managing to command higher fares than Jet in some sectors.

While this may not be a feat that IndiGo would crow about, aviation experts say it was unlikely to be displeased at achieving higher fare realisations than full-price carriers, thanks largely to its rising stock among the country's air travellers because of its reputation for punctuality and good service.

"Though India is a price-sensitive market, passengers have shown a clear preference for assured quality of service," said Kapil Arora, partner (infrastructure) at global consultancy firm Ernst & Young.



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