06 March, 2012

Low-cost is not low-quality - Indigo




"Indigo has done everything right which Kingfisher has done wrong," said Rajan Mehra, executive director at the Asia Pacific Academy for Aviation and Hospitality.

IndiGo, launched in 2006, is now at second place in market share and is the only one of India's six main carriers making a profit. They also sell and lease back their planes, sparing their balance sheet and allowing themselves to maintain a young fleet. "Indigo has done everything right which Kingfisher has done wrong," said Rajan Mehra, executive director at the Asia Pacific Academy for Aviation and Hospitality.

Here is the Icing on the cake, all that they have are 50-plane and they add a new plane every month. it spends less than 1 percent of revenue on marketing, it cultivates a fun, irreverent image. IndiGo has 21 percent of the domestic market, behind the combined low-cost and premium operations of Jet Airways, but up from its 17 percent share at the end of 2010..

"Our only big objective is to prove that low-cost is not low-quality," Indigo's president, Aditya Ghosh, told a group of management graduates - This i believe is a great core expertise they offer

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