New Delhi, Mar 12 (UNI) Latest figures show that low-cost airlines now command a market share of 27 per cent in domestic skies.
Passenger carriage figures with the Directorate General of Civil Aviation (DGCA) indicate a combined share of Air Deccan, Kingfisher Airlines and SpiceJet -- the three start-ups -- is nearly as much as the government-owned Indian (earlier known as Indian Airlines).
While Indian ended the month of January with 25 per cent share of domestic skies, arch rival and market leader Jet Airways controlled 34.7 per cent of the market pie. Air Sahara continued to maintain its share of 11 per cent.
On the other hand, Air Deccan overtook Air Sahara to become the third largest airline in India with a 13.3 per cent share of the air traveller market while Kingfisher ended the month with a 7.6 per cent share and SpiceJet took six per cent of the market. The figures clearly show that low-cost airlines are rapidly growing the market. While legacy airlines may have lost market share, they have not witnessed any sizeable drop in passenger carriage.
For example, Jet Airways has lost market share but has gained significantly in passenger carriage and improved its passenger load factor.
Industry experts say most of the market growth is from first-time travellers.
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