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[ INDIGO AIRLINES]
low-cost airline based in Gurgaon. Nine more aircraft were acquired in 2007 taking the total to 15. Following Indian regulations. Indigo received its license to operate international flights upon completing five years of operations. Indigo replaced the state run flag carrier Air India as the top third airline in India. the airline had six aircraft. and commenced operations on 4 August 2006 with a service from New Delhi to Imphal via Guwahati. IndiGo has grown faster than any other low cost carrier in South Asia.INTRODUCTION IndiGo is a private. HISTORY The parent company of IndiGo Airlines is Gurgaon based InterGlobe Enterprises. only behind Jet Airways and as of October 2011 it is the only airline in India making profit. Indigo won the Skytrax Central Asia's best low-cost airline award in 2011. Haryana. On February 15. low-cost operations and by attracting customers with low fares. Indigo has been awarded numerous airline and travel industry awards. India. . Indigo took delivery of its first Airbus A320-200 aircraft on 28 July 2006. 2012. By the December of 2010. Since commencing operations in August 2006. it has established itself as one of India's leading airlines using its model of efficient. Its main operational hub is New Delhi's Indira Gandhi International Airport. The airline has also acquired three parking spots in Indira Gandhi International Airport and Chhatrapati Shivaji International Airport. the civil aviation ministry of India has lifted the barriers on the carrier when was set over a year ago to defend the sinking national flag carrier from competition on the International routes. By the end of 2006. It commenced its operations from the year 2006. nearly one year after placing the order. Indigo had placed a firm order of 100 Airbus A320-200 aircraft during June 2005 in plans to commence operations in mid 2006. IndiGo has the second largest share in India's domestic air travel market.
. Mission The carrier now has bold plans to become one of the country’s top operators in the international market the state run flag carrier Air India as the top third airline in India in 2010. Values The values of the interglobe group are integrity. customer orientation and future mindedness. on time flights with affordable fares.Corporate culture: Vision The vision of Indigo is to give a hassle free travel experience.
Jet Lite . KPS Nair – Chief of Flight Safety Sanjeev ramdas – President. Spicejet 3. customer services and Airport Operations COMPETITORS: 1.President Riyaz Peermohammad – CEO SSanjay Kumar – Chief Commercial Officer Cpt.Corporate Structure Aditya Ghosh . jet Airways 4. JetKonnect 5. Go Air 2.
T. Economic.E is an acronym for the Political.PESTLE ANALYSIS A PESTLE analysis is an analysis of the external macro-environment that affects all firms in an industry. P. Political Factor Liberalization of the Sector Excise Duty and Sales Tax on Aviation Turbine Fuel Modernization of Airports Interface form Other Agencies Economic factor Interest rate movement Increasing Oil prices Recession Investments in the Sector Social factors Developments in Airport Cities Employment Opportunities Ensuring a Level Playing Field Safety Regulation Varied income group Varied age group . For this reason.L. Social. Legal and Environmental factors of the external macroenvironment.E. Such external factors usually are beyond the firm's control and sometimes present themselves as threats. some say that "pest" is an appropriate term for these factors.S. Technological.
Technological factors Growth of Electronic Ticketing Satellite based Navigation Systems Environmental Carbon offsetting Land issues Legal Different legalities of different countries .
Threats Plenty of new LCCs to compete with. Not on too many routes.time arrivals. Indigo is not exploring the untapped domestic air cargo market. Rising Labour costs. Tie-up with hotels. Weaknesses Scope of product differentiation is less.SWOT ANALYSIS Strengths Strong backing Promoters Only LCC to make consistent profits Indigo has high brand awareness and brand equity. Cost leadership: Successful implementation of low cost strategy. Largest Market share among LCCs in Indian Market. Opportunities Opening up of International Skies. Highly efficient management that ensures high rate of on. Middle Class taking to the skies. . as these can be easily imitated by the competitors. Continuous innovation to improve on non price factors. Rising Fuel Costs. Ease of ticket booking for customers. Benefits of the innovations implemented by Indigo to provide better services to the customers are short-lived.
IndiGo currently holds 19. economical and timely services.6%.MARKET SHARE Indigo is one of the top performers in the airline industry on back of good. .
the company can earn about $48 million. SpiceJet was the only one that made a profit during the year 2011. This has made IndiGo one of the only two airlines which had earned profit in the financial year of 2011. IndiGo’s total revenue rose 48% to Rs3.508 average airfare from 9. If IndiGo sold its all airbuses A320s which it ordered in 2005.46 million passengers.229 crore. 551 crore. Market leader Jet Airways (India) Ltd. Apart from IndiGo. The carrier made Rs121 crore in non-operating revenue. its profit was Rs101.16 crore. owned by InterGlobe Aviation Pvt. 650 crore from Rs. based on $3 million a plane in revenue from sales and leaseback premium alone Due to the low costs and increase in passenger traffic IndiGo has seen a 48% increase in revenue in 2011 for IndiGo Airlines. the other low-fare carrier. The IndiGo charged approximately Rs3. with this the airline had made a third straight year of profit for the carrier that began operations in 2006. were among the ones who made losses.518 crore. including JetLite.946 crore on expenses of Rs3. Ltd. in its annual filing to the Directorate General of Civil Aviation Stated that its profit rose to Rs. potentially from sales and leaseback of aircrafts. . based on total passenger revenue of Rs3.Financial Information IndiGo.
Core Competence and Competitive Advantage Core Competence The .
Business Level Strategies Segment Cost Conscious Passengers Target Group Lower Middle Class / Middle Class Positioning Low Cost No Frills .