Indian Airlines Introduce New Base Fares to Attract Passengers

India’s biggest airlines — IndiGo and Air India — have launched new base level fares to win back passengers as high operating costs in the last four months have led to airfares zooming, making rail and road travel more economical in comparison to flying.

While the full service airline has unbundled meals, the low cost one has unbundled check-in baggage. Those who opt out from the same, can save a few hundred off their ticket price.

IndiGo Wednesday announced a new “lite” fare option for travellers with no check-in baggage which will be cheaper by Rs 300-400 on domestic sectors and varying amounts on international flights.

Applicable on flights starting July 15 for those who travel with cabin bag weighing upto 7 kg, the airline says this new “entry level fare allows customers with only cabin-baggage to pay just for the utilised services offering greater flexibility and control over their travel spends. ”

IndiGo Lite fare will be available for booking on IndiGo’s direct channels starting Wednesday for travel effective July 15.

“It will be applicable across domestic and international, non-stop routes for one-way, roundtrip, and multicity journeys, for both adult and child passengers,” the airline said.

This comes a fortnight after Air India starting a new “basic” fare family for domestic flights that costs less anywhere between Rs 300 and Rs 700 for those foregoing the airline’s complimentary meal served onboard.

This new AI entry fare level retains the 15-kg checked baggage allowance, 7-kg cabin baggage allowance and complimentary beverage (tea/coffee).

In both cases, passengers can choose to buy-in baggage and meals even after opting for the lite option upto a certain time before their flight is supposed to depart.

IndiGo chief strategy officer Aloke Singh said: “At IndiGo, we continuously evolve our product offerings to stay aligned with the changing expectations of our diverse customer segments. Designed for customers who travel light and would like to pay only for the services they need, IndiGo Lite is another step towards building a strong, fit-for-purpose product portfolio. This reflects our agility in responding to the market dynamics while reinforcing our commitment to making travel more accessible and affordable for our customers. ”