Flying billboards

New Delhi: With rising fuel costs and increasing competition squeezing profit margins, low cost airlines are looking at advertisements inside and on-the-body of the aircraft, as a revenue booster.
Though analysts believe that advertisement revenue from allied services offered by airlines, can touch about 10% of the total revenue stream, some airlines are still wary of this opportunity as they think it can dilute their brand value.
While Air Deccan and GoAir are already using this opportunity, SpiceJet and Indigo are planning to foray into this money-spinning business. Air Deccan, for instance, has companies advertising on the aircraft body, whereas, GoAir is selling ad space on lockers and tray table inside the plane. Newly launched airline Indigo is also thinking of offering advertisements on its crew uniforms.
Though low cost carriers are trying to make the maximum out of such ad opportunities, India's largest private carrier Jet Airways does not find it lucrative enough.
10/08/06 The Economic Times/agencyfaqs.com

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