International carriers have once again launched special schemes to lure Indian travellers, in what is a clear indicator that the aviation sector is facing hard times.
The reasons for international carriers looking at India at a time when global air travel has dipped by 5.6% according IATA (International Air transport Association) in January 2009 are many. First, India is still a promising destination for international carriers since Indian arrivals in their countries has increased in 2008, despite a downturn. Second, by introducing low fares, yields per passenger helps in improving their bottomlines.
SriLankan Airlines have announced attractive fares from Rs 13,500 onwards for a return fare (excluding taxes) and a two day, three nights and every accompanying passenger has to pay only Re one for identical holiday in Sri Lanka. Similarly, Singapore Tourism Board (STB) has launched ?Fly on US? initiative which offers visitors the chance to win a pair of air tickets to Singapore.
As part of the scheme, online viewers need to only fill up seats on STB?s virtual uniquely Singapore aircraft with their own names and email addresses as well as those of their friends and family. STB has dedicated up to S$500,000 worth of free air tickets to be won globally before the closing date of 31st May 2009.
Australia-based Qantas Airways will also enhance its presence in India by introducing Singapore on its Australia-India services in May. According to a data released by Tourism Australia a total of 1,16,000 Indians visited Australia. Industry insiders term it as international carriers trying to make headway into the Indian market at a time when back home carriers have hiked their fares. ?Instead of paying Rs 10,000 for a Mumbai-Delhi round trip this vacation, a holidaymaker can very well go to Sri Lanka by paying 10% more,? said an analyst tracking the aviation sector.
Industry observers say international carriers have opted for aggressive pricing currently because October-December, which is considered the busiest season for corporate and leisure travel, did not materialise last year due to record high fuel prices and slowdown in travel as a fallout of the global financial meltdown.
But according to a data released by Tourism Australia 1,16,000 Indians visited Australia in 2008 as against 95,200 in 2007. Maggie White, general manager, south, south East Asia and Gulf Countries, Tourism Australia said, ?The visitor arrival figures for 2008 from India are extremely encouraging and rewarding. India continues to be one of the largest markets for Australia and has consistently moved up in the global rankings of our target markets. We are confident about continued growth from this region and look forward to another great year ahead.?