AVIATAION INDUSTRY

AJAY PAL
KUNAL SINGH
MANALI VENDE
SNEHAL KATVI
SUPRIYA SINGH
VIVEK SINGH
 Aviation sector…..

The sector deals with the transport of passenger and cargo from one place to
another, using the aerial route.

Size :
About 75 million Passengers
$5.6billion

Growth
 Around 15% growth in last 10 years.
 Growth in 2009 : 0.7%
 Vision 2020 statement predicts handling 280 million customers by 2020
 From then to now……….
1953: NATIONALISATION OF AIRCRAFT INDUSTRY
Assets of 9 existing companies transferred to
two entities in the aviation sector controlled by
the Government in
 Indian Airlines, primarily serving domestic
sectors
 Air India, primarily serving the
international sectors
IMPLICATIONS
 Aviation became a preferred mode of
transport for elite class
 Restricted Growth of Aviation Industry
 High Cost structure
 Underdevelopment of infrastructure
1986: Private Sector Players permitted as
Air taxi operators. Jet, Air Sahara, etc started
service.
1994: Private Carriers permitted to operate
scheduled services. Six operators granted
license, however only Jet and Air Sahara able
to service.
2003: Entry of low cost carriers. Air Deccan,
Spice Jet, Go Air, Indigo.
IMPLICATIONS
 Aviation is now affordable with check fares
and discount schemes.
 Various Operators with different business
model.
 Huge growth foreseen in Aviation
 Players in Aviation Industry
The players in aviation industry can be
categorized in three groups:
 Public players : Indian Airlines

 Private players : Jet Airways, Kingfisher

Airlines, Spice Jet, Air Deccan

 Start up players : Omega Air, Magic Air,

Premier Star Air & MDLR Airlines.
Major Players (Market Share)
Top 3 Players
KINGFISHER

• Dr. Vijay Malaya is the Chairman and CEO of

Kingfisher Airlines.
• Kingfisher launched its airline services in May
2005.
STRENGHTS:
• Strong Brand value & Reputation in the minds of
• customers.
• Quality of the service.
• First airline to have new fleet of airbuses.

WEAKNESSESS:
• High Ticket prices.
OPPORTUNITIES:
• The expanding tourism Industry.
• Untapped Air cargo market
• Under penetrated Domestic Market

THREATS:
• Competitors.
• Fuel Price Hike.
• Economic Slowdown/Recessions.
 MARKETING STRATEGIES

• Kingfisher Airlines is the first carrier in the country

to offer live in-flight entertainment.
• Kingfisher Airlines Ltd & Dish TV have joined hands
to provide live in-flight entertainment on Kingfisher
aircraft .
• The service would enable airline’s customers to
book air travel ticket after securing ‘ngpay’
application on their GPRS-enabled mobile handsets.
On the promotional front,
Kingfisher has signed up
the latest diva of
Bollywood Ms.Deepika
Padukone as the Brand
Ambassador
 Jet Airways

• Naresh Goyal is the founder & chairman

• Started Indian commercial airline operations in
May 1993.
• In April 2007, they acquired Air Sahara.
• Jet Airways is an airline based in Mumbai. It is India's third
largest airline after Air India and Kingfisher Airlines . It
operates over 400 daily flights to 64 destinations worldwide.
Jet Airways is widely regarded as India's biggest and best
airline. It's a privately owned, full service airline that
commenced operating in mid 1993. It's now captured almost
23% of the market, and has bases in Delhi, Mumbai, Pune,
Kolkata, Hyderabad, Chennai, and Bangalore.
• Jet Airways has won many awards for quality service. In
particular, the airline is known for its outstanding in-flight
service, food, punctuality, and baggage handling. Staff are
extremely efficient and courteous, and will go out of their way
to ensure that you're comfortable and well looked after.
• Jet Airways operates on a code share basis with Kingfisher
Airlines.
Kingfisher vs. Jet Airways
 Kingfisher Jet Airline

• Kingfisher is the latest • Jet airways is a

Airline in India. experienced Airline in
India.
• Overall loss in June • Jet airways had a
2009 of $500 ml. slight profit in the 1st
• Kingfisher acquired quarter of 2009.
46% • Jet acquired Air
Sahara
in Air Deccan
 New government initiatives to develop India’s
potential as the world’s fastest growing aviation
market……

Changing regulation policies

Increased privatization of airports

Growing Infrastructure developments

 OUTLOOK INDIA 2020……

 The growth of India’s aviation sector has the potential to absorb up to US$120
billion of investment by 2020.

 However, we must close the gap between the demand for aviation
services and the ability of our aviation system to meet that demand.

 India must prepare a blueprint for the expansion of system capacity whilst
maintaining safety, security and the environment.

 India must develop a roadmap for infrastructure development beyond 2010.

 Job in Aviation

The boom in the aviation sector is likely to generate nearly

2.5 lakh jobs by the year 2014.

The study says that the civil aviation sector is also set to
become a Rs 55,000-crore industry by the same time.

The industry is expected to add 130 airliners to its current fleet of

270 airliners, which would, in turn, increase manpower demand