India’s largest full-service carrier Jet Airways lost domestic market share sharply in June compared with the previous month by almost 2 percentage points to 15.3%, according to industry data. In fact, Jet’s market during the month on a yearly basis fell even more sharply by almost 3 percentage points.
The slide in market share to rivals like Spicejet, GoAir and even its own low-cost subsidiary Jet Lite (operates under the JetKonnect brand), has led the Naresh Goyal-promoted airline to announce up to 50% discounted fares on Thursday for both domestic and international routes. Jet, which posted a record R4,130 crore loss in FY14 and sold a 24% stake to Abu Dhabi’s Etihad last year for over R2,000 crore, has embarked on a three-year restructuring of its loss-making domestic business with a target to turn profitable by FY17.
“This sale by Jet Airways is a first on two fronts — it is the first sales initiated by a full-service domestic carrier, and secondly, it is also the first offered on international routes. Jet Airways, along with Etihad, is keen to build loyalty and increase their customer base and therefore are rewarding loyal flyers with double flying miles. We are certain that this discount of up to 50% by Jet and Etihad is going to see a sharp increase in bookings both for domestic as well as international travel,” said Sharat Dhall, president at booking portal Yatra.com.
26/07/14 Financial Express
To Read the News in full at Source, Click the Headline
The slide in market share to rivals like Spicejet, GoAir and even its own low-cost subsidiary Jet Lite (operates under the JetKonnect brand), has led the Naresh Goyal-promoted airline to announce up to 50% discounted fares on Thursday for both domestic and international routes. Jet, which posted a record R4,130 crore loss in FY14 and sold a 24% stake to Abu Dhabi’s Etihad last year for over R2,000 crore, has embarked on a three-year restructuring of its loss-making domestic business with a target to turn profitable by FY17.
“This sale by Jet Airways is a first on two fronts — it is the first sales initiated by a full-service domestic carrier, and secondly, it is also the first offered on international routes. Jet Airways, along with Etihad, is keen to build loyalty and increase their customer base and therefore are rewarding loyal flyers with double flying miles. We are certain that this discount of up to 50% by Jet and Etihad is going to see a sharp increase in bookings both for domestic as well as international travel,” said Sharat Dhall, president at booking portal Yatra.com.
26/07/14 Financial Express
