Abstract

The caselet is about the launch of India’s first low cost airlines-Air Deccan. The main features of their airlines have been described, along with the measures taken to lower the cost of aircraft acquisition and maintenance. It explains the pricing strategy of Air Deccan and its innovative pricing scheme-Dynafares. There are details about the advertising strategy followed by Air Deccan. Finally, the caselet discusses the competitive structure of low cost airlines market in India.

Learning Objectives

The case is structured to achieve the following Learning Objectives:

• Low cost airlines in India
• Distribution strategies of low cost airlines
• Pricing strategies of low cost airlines
• and Promotional strategies of low cost airlines.

Keywords

Low Cost Airlines, Air Deccan, Business Travelers, No-Frills Air Travel, Full-Service Airlines (FSAs'), Online Reservation System, Dynafares, Pricing, Print and Outdoor Media, Affordability, Kingfisher Airlines, Visa Airlines, Royal Airlines, Air-India Express