Air India Takes Initiatives to Increase Flight Occupancy
Posted on: 10/Mar/2015 12:00:48 PM
The initiatives taken by Air India to increase the flight occupancy in respect to the carriage of passengers include :
(i) Offering Advance Purchase Scheme for 90 days, 60 days, 30 days, 14 days, 7 days and 2 days,Link Fares, Return Fares, Tactical Fares Short Term Promotional Sale/Offers.
(ii) Flight Specific Fares on certain flights in domestic market.
(iii) Tactical fares at Instant purchase levels on domestic network (105 sectors) in domestic market.
(iv) ESuper Saver Scheme for single user in Business Class from 20th August, 2014.
(v) `Get Up Front` - Upgrade scheme at select airports.
(vi) Addition of Six Freedom fares.
(vii) Aggressive fares established to US interior points with Delta using the Special Prorate
Agreements.
(viii) Special Executive Class fare in Z Class to increase carriage on UK flights.
(ix) Special Executive class fares in Z class given on ex-lndia to Gulf and v.v. routes in order to
improve Executive Class utilisation.
(x) Holiday Packages added International destinations. tnternattonal destinations launched in last
six months are Hong Kong, Sydney, Melbourne, and Shanghai, Singapore, London, Colombo,
Paris, Maldives, Moscow, Bangkok, Dubai, Kathmandu, Rome and Milan.
(xi) Special Prqrate Agreements and Code Share Agreements.
(xii) Making the frequent flyer programme more dynamic in line with competitors .
Air India continually monitors the carriage / load factors /financial performance of services on its network and makes efforts to improve their performance. Whenever any services give rise to cash losses, AI analyses the reasons for the losses and based on the strategic importance of such services to its network, arrives at a decision whether to continue or withdraw such services. While determining the desirability or otherwise of discontinuing operations of loss-making services, Air India takes into account the revenue contributions made by the subject services to its other services by way of feeder traffic. As such non profitability of any one flight is not taken in isolation as the sole barometer of its financial performance.
Air India has recently withdrawn following services not meeting their cash cost of operations
AI 985 Ahmedabad / Mumbai leg effective 16.11.2014
AI 643 Mumbai / Ahmedabad effective 29.10.2014
AI 231/232 Delhi / Dhaka / Delhi effective 21.02.2015
Air India has also reduced frequency of flights AI-155/AI-156 Delhi- Moscow vv route from 4 flights/week to 2 flights/week with effect from 25th February to 15th April, 2015 as the flight was not meeting its variable cost of operations.
This information was given by Minister of State for Civil Aviation, Dr. Mahesh Sharma in a written reply in Lok Sabha.
