IndiGo to introduce business class in flights by year-end, to start with India’s busiest routes | Business News
Budget carrier IndiGo — the largest airline in India — will be introducing a “tailor-made” business class product on the country’s busiest and business routes by the end of this year, the carrier announced on Thursday. This move, which was ostensibly in the works for some time now, marks a strategic shift in IndiGo’s product offering. In its 18 years of existence, IndiGo has championed the one-size-fits-all single-class cabin configuration.
“This product will be available on the busiest and business routes of the nation and will be operational before the end of this year. Coming August, around IndiGo’s anniversary, more details on product offering, launch date and routes will be unveiled,” the airline said in a statement.
“Considering India’s soaring economy and the evolving aspirations of Indian society, it’s time for IndiGo to redefine premium travel in India, increasing availability of this service for the nation. It will create a desired option for many who are aiming to travel business, perhaps for the first time in their lives,” IndiGo added.
Industry watchers see the competition from the Tata group’s full service carriers (FSCs) Air India and Vistara for business travellers and those willing to pay a premium for extra comfort as a key reason behind this and some other decisions taken by IndiGo over the past few months. Yields from business and premium classes are usually notably higher than the more price-sensitive economy class. On the flipside, having premium class products also leads to higher costs for airlines.
IndiGo, which is counted among the top low-cost carriers (LCCs) globally, is also working on launching a loyalty programme, which are usually associated with FSC products. The airline recently also announced its plans to enter the long-haul market with an order of 30 Airbus A350-900 wide-body aircraft. So far, IndiGo has operated a fleet of over 350 narrow-body aircraft, except for two Boeing 777 planes that are on damp lease and are exclusively used to operate flights to and from Istanbul.
The airline’s decision to introduce a business class cabin on select domestic routes is being seen as a precursor to it offering a business class product on its international routes as well. This particularly on those that see high business travel as well as medium and long-haul international routes that the airline plans to operate over the coming years by inducting aircraft like the A321XLR — the extra long-range variant of the narrow-body A321 aircraft — and the wide-body A350, which can operate long-haul flights.
After dominating the domestic skies with a market share of over 60 per cent, IndiGo over the past few months has been focussing on expanding its international network and operations, heating up the competition with not just Air India and Vistara but also foreign carriers.
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