New airlines gain more ground

Bangalore: Challenger airlines like Air Deccan, Kingfisher Air, SpiceJet and Go Air continue to eat into the market share of incumbent carriers like Indian Airlines, Jet Airways and Air Sahara. Statistics put out by the director-general of civil aviation (DGCA) on the airline market share, between September 2005 and April this year, show that all legacy airlines have lost market share even as challenger carrier are beefing theirs.
As per DGCA figures, the legacy operators have lost 14.26 percentage points as their share fell from 81% (September 2005) to 66.74% in April 2006. Of this, 4.56 percentage points were lopped off between January and April this year.
Interestingly, their loss has been start-up airlines’ gain. The share of new airlines has moved up 14.4 percentage point from 19% to 33.4% during the same period. In the first four months (January-April) of this calendar year, they have cornered 6.56 percentage points.
12/06/06 Praveena Sharma/Daily News & Analysis

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