USP Indigo Airlines gives on time performance at the
lowest prices Strengths Weaknesses 1. IndiGo has strong backing of its promoters and 1. Sometimes passengers complain about is one of the largest low cost carriers (LCC) in cramped leg room in domestic aircrafts. India 2. After the safety of Pratt & Whitney aircraft 2. Only LCC to make consistent profits became questionable, the Civil Aviation 3. IndiGo is India’s largest passenger airline with Authority had to make a decision to ground these a market share of 48.1% as of June, 2019. airplanes owned by IndiGo. This scandal affected (Source: company’s website) the goodwill and trust of the customer. 4. After IndiGo entered international markets, it 2. It still has to establish itself more on has boosted its brand value international destinations 5. Excellent offerings and on-board services provided by IndiGo 6. More than 10000+ employees are with IndiGo serving more than 40 million passengers Opportunities Threats 1. Opening up of more international routes can 1. Plenty of new LCCs to compete with for further boost business of IndiGo IndiGo 2. Middle class taking to the sky can be a huge 2. Rising labour costs and changing Govt. opportunity for IndiGo policies 3. Rising Fuel Costs can also affect business margins for IndiGo Jet Airways USP Jet Airways is a premium airline in India offering High Class services Strengths Weaknesses 1. Vertically integrated operations: Jet airways 1. Competition from the LCCs and other offer passenger and cargo services and also competitors means market share growth is tough leases aircraft. for Jet Airways 2. Jet Airways combined its services with travel 2. Presence of other airlines on international packages to provide customers with an end to routes making it difficult to have significant end experience. Thus, it focuses on innovation market share through IT and e-commerce 3. Jet airways has a strong base of a fleet and a strong network to go with that. The company has 116 aircraft under its banner with 20 international 48 local destinations in India 4. The partnership with Etihad Airways has increased the airline’s international reach Opportunities Threats 1. Strongly positioning in the international routes 1. LCCs eating up the market share of Jet 2. To have presence in every segment Airways 3. Attracting more number of lower middle 2. Rising Fuel Costs and labour Costs class/middle class people opting to travel by 3. Unfavorable Govt. policies and aviation airlines regulations can affect Jet Airways' business operations Air India USP Air India is the oldest Indian international airline which provides the highest quota for check-in baggage included in ticket price Strengths Weaknesses 1. Strong backing by the Government of India 1. Low profitability and utilization of capacity. is a big boost for Air India 2. Growing Competitor base and entry of LCC 2. Air India is known for its unique and high 3. The airline’s high-cost structure and the quality "Maharaja" advertising compulsions of being a public sector unit are the 3. The company has its presence in more than reasons and it had been making a loss and shall continue to make losses for some more quarters. 20+ countries 4. Air India covers approximately 50 destinations in India 5. Good advertising and branding has increased brand value 6. Merging of Indian Airlines in Air India increase the business operations of the airline Opportunities Threats 1. Solving internal issues regarding workforce can 1. Air India faces imminent aggressive competition hugely boost image and operations from world leading airlines and price wars 2. Tapping the complementary industry like triggered by domestic players tourism will increase demand for airline service 2. Rising Fuel Costs directly impact the running 3. Best time for introducing LCC’s costs 3. Losing market share due to other carriers can affect business of Air India