2. HISTORY
The airline was set up under the Air Corporations Act, 1953 with an initial
capital of 32 million and started operations on 1 August 1953.
Airline industry in India was established after Legislation.
Air India took over international routes and Indian Airlines Corporation (IAC)
took over the domestic and regional routes.
Eight pre-Independence domestic airlines
Deccan Airways
Airways India
Bharat Airways
Himalayan Aviation
Merged to form the
new domestic
Kalinga Airlines
national carrier
Indian National Airways
Indian Airlines
Air Services of India
Co.
Domestic wing of Air India
3. Indian Airlines Corporation inherited a fleet of 99 aircraft including 74 Douglas
DC-3 Dakotas
12 Vickers Vikings
3 Douglas DC-4s
And various smaller types from
the seven airlines that made it up.
Vickers Viscounts -1957
Fokker F27 Friendships -delivered in 1961
Hawker Siddeley HS 748- 1967
manufactured in India by Hindustan Aeronautics
Limited
4. JET AGE BEGAN-1960
Introduction of the pure-jet Sud Aviation Caravelle airliner -in 1964
Followed by Boeing 737-200s in early 1970s
First three Airbus A300 wide-body jets – April 1976 were introduced
The regional airline, Vayudoot established in 1981, was reintegrated
By 1990,Airbus A320-200s were introduced.
5. TATA GROUP
Tata Sons, a division of Tata Sons Ltd. (now Tata Group) - founded by J. R.
D. Tata in 1932.
The aviator Nevill Vintcent had an idea to run mail flights from Bombay
and Colombo that connected with the Imperial Airways flights from the
United Kingdom.
He found a supporter for his plans from J. R. D. Tata of the Tata Iron and
Steel Company.
After three years of negotiations Vintcent and Tata won a contract to carry the
mail in April 1932 and in July 1932 the Aviation Department of Tata Sons
was formed.
On 15 October 1932, J.R.D. Tata flew a single-engined De Havilland Puss
Moth carrying air mail (postal mail of Imperial Airways) from Karachi's
Drigh Road Aerodrome to Bombay's Juhu Airstrip via Ahmedabad. The
aircraft continued to Madras via Bellary piloted by Vintcent.
6. Tata Airlines initially consisted of one Puss Moth aircraft, one Leopard
Moth, one palm-thatched shed, one whole time pilot.
Tata Air Mail made a profit of 60,000 rupees its first year, and by 1937, that
profit had risen to 600,000 rupees.
After World War II, Tata Airlines became a public limited company on 29 July
1946 under the name Air India.
In 1948, after the independence of India, 49% of the airline was acquired by
the Government of India, with an option to purchase an additional 2%.
In return the airline was granted status to operate international services from
India as the designated flag carrier under the name Air India International.
Air India One (also referred to as AI-1 or AIC001) is the call sign of any Air
India aircraft carrying the Prime Minister of India, President of India or the
Vice President of India.
The aircrafts are operated as VIP flights by the Indian Air Force (IAF).
Air India One mainly operates on one of the five Boeing 747-400s
7. Current Scenario of Indian
Aviation Industry
In 2011, India completed 100 years in aviation sector.
It one of the fastest growing aviation industries in the world.
The most important policy decision was to allow 49% FDI by the foreign
carriers in domestic airlines
Private airlines account for around 75% share of domestic airline aviation
market.
8. MARKET SIZE
India is currently the 9th largest aviation market in the world.
It is handling 121 million domestic and 41 million international passengers.
Today, more than 85 international airlines operate to India and 5 Indian carriers
connect over 40 countries.
Airline business growing at 27% per annum: Ministry of Civil Aviation
9. PLAYERS IN AVIATION
INDUSTRY
The Players in aviation industry can be categorized into two groups:
PUBLIC PLAYERS: Air India, Air India Charters Limited
and Alliance Air.
PRIVATE PLAYERS: Jet Airways, Sahara Airlines,
Deccan Aviation, Go Airways, Spice Jet, Kingfisher
Airlines, Paramount Airways and Inter Globe Aviation Ltd.
(Indigo)
15. SPICE JET
Founded : 23rd May 2005
SpiceJet is an Indian low-cost airline owned by the Sun Group of India.
Registered office :Chennai, Tamil Nadu
Headquarters & Corporate office : Gurgaon, Haryana, India
Spice Jet was earlier known as Royal Airway
2500 + employees
Stock price: Rs. 20.80+0.50 (+2.46%) 25 Oct,2013 3:58 pm IST
Voted as India's Favourite Domestic Airline for the year 2012 by Outlook
Traveller
Voted amongst the Top 5 Best Budget Airline in Asia by Smart Travel Asia
(2010, 2011 & 2012)
India's International Low Cost Carrier of the Year 2012 by Travel Agents
Association of India (TAAI)
16. Marketing Theme & AIM
Theme - Offering Low ‘Everyday Spice fares’ and great guest services to
price conscious travellers
Aim – Compete with the Indian Railways Passengers travelling in Air
Conditioned Coaches
Mission & Vision of SpiceJet
Mission :To become India's favorite low-cost airline, providing tickets to
customers at the lowest possible prices with the highest consumer value.
Vision: To ensure that flying is not only restricted to CEO's and business
travelers , but affordable to everyone.
17.
Carrier Domestic Share : 19.80% from 16.80% last year
Capacity Deployed increased 31% due new aircrafts like Q400 bombardier
Operating revenue increased 39% due to addition of aircrafts
330 daily flights to 42 Indian Cities and 7 International Destinations
No. of departures went up 25%
27% growth in number of passengers
18. MARKETING PROMOTION
Word of Mouth Marketing
Print ads in newspaper and magazines
TV commercials
Internet Media Initiatives
Outdoor Mix
– Hoardings at railway platforms,
airports and shopping malls
Brand Campaign
– Flying for Everyone
– Get more when you fly Spice Jet
Spicy Codes
23. FUTURE OF AVIATION
INDUSTRY
The potential of the growing Indian market can only be realised through a coordinated aviation policy – IATA
An approach that addresses central challenges of infrastructure, taxes and
cost.
Since India is a huge country in terms of geography, socially and culturally
there is enormous potential for aviation industry.
The market already has 150 million travellers passing through its airports.
if Indians begin to travel by the same frequency as Americans, the market
might boom beyond 2 billion.
24. Development of aviation industry depends on increase in per capita GDP.
By 2020 traffic at Indian airports is expected to reach 450 million, making
it the third largest aviation market in the world.
A holistic approach to airport infrastructure and its management is the need
of the hour.
25. ACTION PLAN FOR INDIA
Collaboration between the ministry of civil aviation, other related
ministries, regulators and the industry
Promote other sectors that can support and benefit the aviation
sector.
Reduce fuel sales tax.
Create essential air services fund[ EASF]
Implement recent policy decisions.
26. Establish an air cargo promotion board [ACPB].
Promote domestic maintenance, repair and overhaul industry.
Establish a world class National aviation university.
27. SINGAPORE AIRLINES, TATAS
TO FLOAT $100M AIRLINE
The Tata’s and Singapore Airlines (SIA) are taking to the skies with a new
joint venture after two aborted take-offs 18 and 13 years ago
Has sought approval from FIPB to establish a full-service airline
headquartered in New Delhi , at an initial investment of $100 million.
With a stake of 51 per cent, the Tata's would be the driving force in the joint
venture
The airline has chosen Delhi as its operational hub, owing to capacity
constraints at the Mumbai airport.
28.
The airline would start operations sometimes next year, subject to
clearances.
The project teams are already working on the business plan and the number
of planes they would require.
The final contours would depend on whether the government scraps the
rule under which domestic carriers have operate for five years before flying
abroad.
Its business plan incorporates international services, as and when permitted.
If they play it well, Tata-SIA has the potential to be among the top three
airlines in India by 2015.
29. MOTIVE BEHIND THE
JOINT VENTURE
We have always been a strong believer in the growth potential of India's
aviation sector.
With the recent liberalization, the time is right to jointly bring consumers a
fresh new option for full-service air travel .
30. AIRLINES TO TAP SOCIAL
MEDIA FOR BUISNESS
Over the next three years, 70% of the airlines will use social media to
reach out to passengers
India is the world's third-largest social media market with the number of
users in urban India estimated at 66 million.
The ever increasing use of smart phones and tablets will also have a major
bearing on the airline-passenger relationship
By 2015, 100% of airlines surveyed will offer mobile check-in, flight status
notification, ticket purchase, itinerary integration and sharing and on-board
mobile services
32. DOWNFALL OF THE
KINGFISHER AIRLINE
Kingfisher Airlines Limited was an airline group based in India
Its head office is in Andheri (East), Mumbai and Registered Office
in ,Bangalore
Kingfisher Airlines, through its parent company United Breweries
Group, has a 50% stake in low-cost carrier Kingfisher Red
The airline had been facing financial issues for many years
