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karatecatman


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GoAir to sell aircraft space for ads




Mumbai June 8, 2006


Business Standard











The Wadia Group-promoted low fare carrier GoAir is planning to sell space on its aircraft exteriors and interiors to raise additional revenues.

 

Earlier, Air Deccan had sold its exterior and interiors to generate additional revenues.

 

GoAir Managing Director Jeh Wadia said the airline was in talks with various players for selling its space but nothing has been finalised yet.

 

"We are planning to sell every blank space in the aircraft to source incremental revenue. There is space in tickets, boarding pass and other spaces. We will also sell food and beverages on board," Wadia said.

 

However, selling exterior space of an aircraft for advertisement would not be an easy task as Airport Authority of India (AAI) is claiming a certain percentage of revenue from exterior space sales. Air-India's low cost arm Air-India Express has also recently made its interior space available for advertisements.

 

"Air-India Express has signed up with Mumbai-based Network Media Solutions for the project and we are earning revenue by selling interior space for advertisement," Air-India Company Secretary S Venkat said.

 

For selling exterior space, Air-India will have to take permission from its board and AAI, he said. Meanwhile, GoAir has also launched its in flight shopping in association with AVA Merchandising which will facilitate passengers to purchase top-of-the-line brands at discounted prices in India.

 

AVA Merchandising is part of the Indian arm of $20 million global retail major Merchandising Group Envision Merchandising (MGM). The in-flight shopping scheme includes top of the line brands in home, office and personal products such as mobile phones, perfumes, casual wear, swim wear and clothings.

 

The products listed in the catalogue can only be purchased on board GoAir flights during the flight only. All products ordered are delivered free of charge to every passenger doorstep.

 

GoAir currently operates a fleet of Airbus A320s covering 13 cities including Delhi, Srinagar and Jammu with a total of 28 daily flights. GoAir has a single class 180-seat configuration on all its aircraft.

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the_380


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its a common thing for low-cost carriers. check out DN aircrafts have Sun Microsystems and Idea phones ads and some other ads too. they can raise funds by doing so.

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vivekman


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I like this concept of exterior ads. Its a win-win situation for the airline as their planes get a free coat of paint as well as moolah from the advertisers.


Besides, its a boon for us planespotters to spot the aircraft in a different livery rather than the same old boring livery.


I hope Go Air decides to go in for this.


- Vivek


 



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the_380


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but to me it seems more like an advertisement board just like buses where u hav ads an aircrafts std is not to match with ads in and out of the aircraft

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karatecatman


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The end of the day when an airline's identity/colour scheme was primary.


 


 


 



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karatecatman


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Does it (external) really help?


Its maximum potential will be when the plane is on the ground. As most LCCs have a quick turnaround time, does this concept help?


Isn't this a point too. Take for example Air Deccan. Its flight record and ontime performance is generally a disaster. Does this rub off onto the companies advertising in Air Deccan?


Normally, a high flying brand whcih has a good record in every department will arrtact premium advertisers. In this case, when the brand is on shaky ground, does the brand's not so positive image rub off onto the other brands being advertised?


Any comments?     



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the_380


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karatecatman wrote:

Take for example Air Deccan. Its flight record and ontime performance is generally a disaster. Does this rub off onto the companies advertising in Air Deccan?
but ads look for airlines like Deccan Go n Spice cos low cost wil have more pax in the route so more advertising of the company otherwise this is an european concept on low costs

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vivekman


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Not necessarily!


It depends on the brand. For example, one Deccan aircraft carries the ad for 'Dainik Bhaskar' which is a widely read newspaper by the Hindi speaking janta!


See, the concept of ads on an aircraft is quite a novelty here in India, so even if a passenger sees it for 10 seconds, it would have a bigger impact rather as compared to that on a hoarding or on a bus. Putting an ad in a spot where there are no competitors is definitely good sense and is bound to catch the eye of the passengers.


And as far as advertisers are concerned they aren't bothered about the punctuality of a carrier. They would stay away only if the airline is involved in accidents or has other safety issues.


karatecatman wrote:

Normally, a high flying brand whcih has a good record in every department will arrtact premium advertisers. In this case, when the brand is on shaky ground, does the brand's not so positive image rub off onto the other brands being advertised? Any comments?     



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stealthpilot


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Didn’t AAI throw a fit because they claimed to be entitled to a percentage of the revenue?
eP007

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vivekman


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Hehe...If AAI has its way, they might even start charging passengers for using the toilet


stealthpilot wrote:

Didn’t AAI throw a fit because they claimed to be entitled to a percentage of the revenue? eP007



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