Page 12 - AAA JANUARY- FEBRUARY 2013 Online Magazine

FEATURE INDIAN LOW COST CARRIERS

All-Indian Activity

The Low Cost Carrier (LCC) concept has taken root in SINcE ITS LAuNch IN 2003, ThE
Asia, and nowhere more strongly than in India. In the Indian Low Cost Carrier (LCC) segment
has undergone the most dramatic
last 10 years, the subcontinent has seen astonishing transformation of any market in the
growth, fuelled by a massive domestic population and a world. LCCs currently dominate around
70% of the domestic market. The
people who are keen to travel. But that expansion has unprecedented growth has come at a
brought its own problems as well as plaudits. cost, however, with infrastructure and
By Rachel Sullivan day-to-day economics playing catch-up
with expanding consumer demand.
“Indian aviation has immense
potential for growth and during the last
decade low fares played a catalytic role
ABOVE: IndiGo is one of in the unprecedented [domestic] air
India’s newest airlines and traffic growth,” says Harsh Vardhan,
has recently become its Director of Starair Consulting.
largest Lcc, with 27% of But while the LCC sector has
domestic market share experienced an average of 18% growth
12 ASIAN AIRLINES & AIRPORTS JANUARY / FEBRUARY 2013 WWW.ASIANAIRLINES-AIRPORTS.COM