bl interview. We have a fit-for-purpose product, says IndiGo CEO Pieter Elbers

Low-cost airlines have not been particularly successful on long-haul routes — a case in point is AirAsia X. What makes you think IndiGo will succeed ?

We are going to be long-haul with cost leadership, but that’s not the same as long-haul low-cost. Besides, the lines between what was classically labelled as low-cost and what used to be called full service has been blurred any which way. On the Manchester and Amsterdam flights we will be having hot meals — which makes a lot of sense because that’s an 8-9 hours flight. People have certain expectations. and they want to have certain products included. So we serve that. But on a three-hour domestic flight, it’s a different setting.

How difficult would these long-haul operations be. There will have to be reorientation and I guess crew will require trained in service as well...

Of course and that’s why we have introduced the new product on board the Boeing 787 flight on Delhi-Bangkok route and that (aircraft) we will shift to Amsterdam and Manchester routes. It gives us some time. So all that we are doing today is to prepare for our Airbus A350 aircraft which will come from 2027. IndiGo has done a phenomenal job in the domestic market and has done a good job in the region. Now, we need to make sure that we do it in the exact same way when we start to stretch the distance. And that’s a step-by-step approach — expanding the range of flights and having some airline partnerships. I know from my KLM days what needs to be in place to make it successful.

So, what are the ingredients to make long-haul operations successful ?

I think a fit-for-purpose product is important — and that’s exactly what we’re developing. Some partnerships are important which is why we have partnered with Delta, arguably one of the most successful airlines in the world. We’re building our own domestic connectivity here in India — just look at what we do in Delhi and Mumbai. We are building up our network. We have our own loyalty programme. All these steps are in fact building blocks to that part.

IndiGo is known for its strong network, clean aircraft and punctuality. These are good product attributes for a domestic network. But on long haul international routes passengers also want a premium experience — flat beds or be served champagne or caviar. So some would say IndiGo is like a McDonald’s competing with Taj hotel?

I am totally disagreeing with you on this. I think the point here is that you should make a fit-for-purpose product. Will we have private suites, caviar and champagne? No, that’s not IndiGo. But look at what we’ve done with Stretch (IndiGo’s business class product). It’s a great product, good service with an effective price point. I know every now and then people say that hot meals are very important. But for a two-hour flight between Delhi and Mumbai, are hot meals really the differentiating factor? Is lounge access a really differentiating factor? We see what the price point is and we see what people want. But when we start to fly to Amsterdam and Manchester and people sit nine hours in an aircraft, yes, then hot meals become important. So that’s exactly why we will have hot meals. We don’t have flat beds but the premium cabins on the Boeing 787 aircraft have 56 business class seats with an inflight entertainment system. It’s a very good product and doing well on the Bangkok route.

Last year IndiGo had trialled in-flight entertainment via its app on the Delhi - Goa route? Is the airline expanding it ?

We are looking to expand it. For the beginning it will only be on domestic routes. We need to still make it fully effective and operational. We had some first results. They were okay, not great, not disappointing either.