National carrier Air India has joined the latest round of fare wars by dishing out discounts of up to 30 per cent while Spicejet has extended its offer by another day.
Air India’s scheme would cover 115 domestic flights and would be applicable across price bands, the company said in a press statement.
Air India’s offer is valid for tickets booked between February 27 and March 1 for travel between March 29 and September 30. On Monday, SpiceJet had announced discounts of up to 75 per cent as compared to last minute booking price on travel between April 1 and June 30, kick starting the third fare war of the year. After SpiceJet’s announcement, its rivals GoAir and IndiGo followed suit and announced similar sale offers.
Rajesh Magow, Co-founder & CEO-India, MakeMyTrip, said: “Sales picked up from Monday afternoon. Our Web site has witnessed a three times growth in visitors and we sold over 60,000 tickets yesterday.” “Delhi, Mumbai and Bangalore combinations continue to be the top-selling routes, while leisure sectors like Goa and Srinagar have also seen a big spike.”
Buoyed by the positive response, SpiceJet has extending its discount offer till February 27.
According to the Centre for Asia Pacific Aviation, Air India, Jet Airways and SpiceJet are expected to report combined losses of $1.2 billion for the year ending March 31, 2013. The spiralling cost of aviation turbine fuel coupled with other factors such as the economic slow-down, depreciation of the rupee and high operational costs have contributed to the current weak financial condition of the airlines.