Jet Airways pilots served a 14-day notice to the management to go on strike from September 7 midnight. This is for the first time in its sixteen years of existence that Naresh Goyal’s Jet Airways is facing a rebellion from its pilots union. The decision for strike comes after the management refused to reinstate two senior pilots, Captains Sam Thomas and D Balaram who were sacked earlier this month on alleged anti-company activities. The newly formed union of pilots of Jet Airways, National Aviators Guild, had asked the management to reverse its decision but in vain. "Monday at 1 pm, we served the notice as per provisions of Industrial Disputes Act," said Girish Kaushik, president, National Aviators Guild. "The idea for strike was picked up from the management, which had threatened to go on strike demanding a cut in jet fuel prices last month." The guild claims that 680 Jet Airways pilots who are its members would join the strike and the airline did not specify the total number.
Thursday, August 27, 2009
Indian low cost carriers increase marketing budgets
As competition in the low-cost carrier (LCC) space increases, many of them have doubled their advertising spending, increased promotional offers and even gone in for a completely new look and feel, as they take on growing competition from the likes of Kingfisher, Jet Airways and Air India. Spice Jet, for instance, has doubled its ad spending from 2 per cent of its turnover last year to close to 5 per cent this year. This July, for the first time, the LCC began considering a television campaign as it moves away from only price point or promo-driven advertising to promoting its brand and services. Likewise, in the past two months, GoAir has increased the pace of its promotional offers to every fortnight, increasing its load factor during the period from 5.4 in June to 5.7 in July.
And this in spite of full-cost carriers like Jet Airways and Kingfisher expanding their existing budget operations. Besides, promotional offers, GoAir has also gone in for a complete new look and feel that includes a logo change and new uniforms for its staff, changing the look from informal to formal attire. Even the three-year-old Indigo Airlines launched its first TV commercial this April, showcasing the airline running a smooth operation and catering to demanding consumers’ service expectations even though it offered a low-cost service. The fleet of budget airlines is expected to double from 75 at the start of the year to over 150 by year-end.
Jet Airways to launch New Delhi-Hong Kong flight
Taj Group of Hotels ties up for frequent flyer programmes
India's Taj Group of Hotels has partnered with three global airlines, All Nippon Airways (ANA), Sri Lankan Airlines and Etihad Airways for their frequent flyer programmes. The partnership envisages the travellers of three air-carriers earning airline miles while staying at Taj property, a company press release said. "A customer will earn valuable airline miles on the frequent flyer programme while staying at any of the group's luxury hotels, luxury grand palaces or the Gateway hotels," the release said. The Taj will leverage this channel to promote various hospitality offers across destinations and hotels to reach out to customers and the airline would use this to help its members and frequent flyers earn miles on their travels and their stay as well, it said.
Etihad Airways to launch Hyderabad-Abu Dhabi flight
Etihad Airways will offer air travellers a greater choice of flights and improved connections as part of its winter 2009-10 schedule, with a new service to Hyderabad in India and additional services to Athens, Istanbul, Beirut, Cairo, and Kathmandu among the highlights. The new winter flying programme starts on October 25 and by January 2010 it will be almost 15 per cent larger than the same period last year with 950 flights planned to operate each week. The new flights to Hyderabad from November 2009 will join Chicago and Cape Town as the airline's newest routes.
"The winter programme for 2009-10 demonstrates our commitment to provide greater depth to the Etihad Airways global flight network. The increased frequencies will provide air travellers with a greater choice of flights into and out of Abu Dhabi and better connectivity with the rest of our network," James Hogan, Etihad Airways chief executive, said. Etihad Airways will take delivery of three new A320 aircraft during the winter period which will support the frequency increases to short and medium haul destinations in Europe, the Middle East and Asia.
Tourism Malaysia packages are a big hit in India
The "One Malaysia Endless Experience" package jointly promoted by Tourism Malaysia and Malaysia Airlines (MAS), which offers an affordable package to woo more tourists, is becoming a hit in the Indian market. "The response was overwhelming. We received 1,500 bookings from passengers since we launched the campaign last Monday in Delhi. We have offered 8,000 seats and by the end of the campaign next month it could exceed 75 per cent," Azahar Hamid, MAS regional manager for South Asia said.
Tourism Minister Datuk Dr Ng Yen Yen, who arrived in Delhi to energise bilateral tourism between India and Malaysia, launched the "One Malaysia" marketing campaign to draw more tourists to Malaysia. The package, which includes a four-day/three-night stay, costs only Rs17,000 (RM1,260), and is about 30 per cent cheaper than the normal packages. Regardless of the Influenza A(H1N1) disease threatening the travel industry and the global economic slowdown, the ministry expects 600,000 Indians to visit Malaysia this year, up from last year's 500,000.
Domestic airfares nosedive due to H1N1 fears
Air fares in several domestic sectors have crashlanded and flying to places such as Goa, Mumbai and Bangalore is once again possible for less than Rs 2,000 if you booking the right flight at the right time. Travel experts say airlines have responded to falling passenger loads and swine flu fears to bring fares to their lowest point in two years. Even flights to usually expensive destinations such as Kolkata, Chennai, Guwahati and Jammu are almost 30%-40% lower and tickets are available for anything between Rs 2,500 and Rs 3,000 if you shop around for the right fare. "Only two months ago, domestic fares were so high that people were choosing to travel abroad because of the attractive fare packages. A ticket to a very well-connected destination, came at between Rs 3,500 and Rs 4,500 even in low-cost carriers," a travel expert said.
"But the situation has turned on its head to benefit economy-class travellers." GoAir, for instance, is offering Mumbai-Goa tickets for Rs 1,975; a discount of Rs 300 brings the fare down to sub-2,000 levels. Spice Jet has pitched the same ticket at 2,150 minus Rs 150 (to give you a ticket for Rs 2,000). Even full-service carrier Kingfisher's ticket is priced at Rs 2,250. Similarly, if you book a Mumbai-Banglore ticket for Sept 1 either on Indigo or GoAir, you can expect to get a ticket for as low as Rs 1,553. The maximum fare, offered by even full-service carriers, is also between Rs 3,000 and Rs 4,000. You can get air tickets for Delhi, too, at Rs 1,998. And tickets for destinations like Jammu, which are usually priced between Rs 5,000 and Rs 8,000 are priced at Rs 1,803 for September 1.