With full service airlines making inroads into the low fare airspace, existing budget carriers are going beyond price advantage and handing out sops to attract and keep passengers. These carriers are either giving away gifts or offering discounts at hotels, restaurants, and retail stores against boarding passes. Low-fare carriers such as IndiGo, SpiceJet, GoAir and JetLite, consider this the most effective way to counter loyalty programmes that are being offered by full service rivals. Jet Airways, Kingfisher Airlines, Air India and Paramount Airways are full service carriers and run loyalty programmes that offer flying miles based on how often a passenger uses the carrier. India’s largest low-fare carrier IndiGo has announced a 20% saving on the prepaid in-flight meal if a passenger books tickets online. In the prepaid excess baggage option, too, the airline has offered a discount of up to 25% on luggage weighing between 10kg and 25kg.
Last week, SpiceJet launched its Privilege Pass Programme that allows travellers to avail special benefits from partner hotels against a used boarding pass. Benefits range from complimentary meals worth Rs1,500 or a discount of Rs500 on their total hotel billing. The partner includes Trident Hotels, Ista Hotels, Keys Hotels, Pride Hotels, Maidens Hotels, Rain Tree Hotels, JHM Interstate and The Park. GoAir in early September ran an offer of gifts worth Rs3,000 on tickets sold through 20 September. The gift catalogue includes men’s watches and ties, and an oval pearl jewellery set for women. JetLite, the low-fare unit of full service Jet Airways, is also offering discounts of up to 20% on car rentals with Avis and Hertz, dining, retail stores, and Lemon Tree and Marriott International hotels.
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