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Post Info TOPIC: Air Deccan inks code sharing pact with Jet


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http://www.business-standard.com/common/storypage.php?leftnm=lmnu1&subLeft=1&autono=99369&tab=r
Air Deccan inks code sharing pact with Jet
 
P R Sanjai / Mumbai July 26, 2006 
 
Low-cost carrier Air Deccan has signed a strategic alliance with private airline major Jet Airways for code sharing, pooling engineering resources and accommodating passengers in case of flight cancellations. 
 
The alliance would enable a passenger to book a ticket from London to fly to Kolhapur, where Jet Airways is not flying. The first leg of the travel, London to Mumbai would be in Jet while the second leg would be in Air Deccan from Mumbai to Kolhapur. 
 
"This will help Jet Airways to fill up seats and take on competition posed by Air-India, British Airways, bmi and Virgin Atlantic. For Air Deccan, it will help in filling in seats and revenue generation," said industry analysts. 
 
Air Deccan MD G R Gopinath confirmed the development adding, "Jet Airways and Air Deccan will pool engineering resources also to streamline operations and bring down operating costs''. 
 
As a result of this alliance, passengers of a cancelled (or delayed) flight can be accommodated in the other airline for a standard rate based on the duration of flights and the number of passengers. 
 
Air Deccan is currently operating 265 daily flights covering 55 airports while Jet Airways is flying to 48 destinations with 320 flights a day. 
 
Industry analysts pointed out this strategic arrangement is going to benefit both airlines mutually "as the cancellations and delays are at equal level for Jet Airways and Air Deccan." 
 
"This will also put an end to the chaos at airports arising out of flight cancellation of any these operators. Several times severe pilot shortages are leading airlines to cancel the flights. To an extend, this arrangement will mitigate these risks," they added. 
 
Jet Airways is operating 43 classic and next generation B 737-400/700/800/900 aircraft, three Airbus A34-300, one Airbus A330-200 and eight modern ATR 72-500 turboprop. 
 
Air Deccan is operating 14 Airbus A320 and 21 ATR turboprop aircraft. The scrip of Deccan Aviation, promoter of Air Deccan, rose 14.46 per cent on the BSE at Rs 74 against previous day's closing of Rs 64.65. 


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9W codeshare with DN?? Interesting! Lets see how this works during the fog season in North India!

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A very good sign for Indian aviation, NG has learnt to live and let live. No more pulling carpets....


Additionally another wise indication to the markets by Gopi, he prefers to play a regional-short haul role and has no intentions of going long haul......focused, not spreading himself thin under the influence of liquor.......i still don't understand you can't operate, serve, repair a aircraft under the influence of liquor however you can manage it



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tayara mechanici wrote:


focused, not spreading himself thin under the influence of liquor.......i still don't understand you can't operate, serve, repair a aircraft under the influence of liquor however you can manage it


Mallya?



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This seems a step in the right direction, but what if a pax on a 9W operated flight is accomodated on a DN flight, wont he get a no frills service as opposed to what he has paid at 9W.


 


Karan



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Karan69 wrote:


This seems a step in the right direction, but what if a pax on a 9W operated flight is accomodated on a DN flight, wont he get a no frills service as opposed to what he has paid at 9W.   Karan


 


It can be called "Deccan Privilege", and pax will get JPDN miles?



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vivekman wrote:

9W codeshare with DN?? Interesting! Lets see how this works during the fog season in North India!



Not code share Vivek - just an alternate arrangement in case of undue delays/cancellation of either airlines' operation.

That being said, I would be surprised to see too many people benefit from this since:


  • Typically DN has the cancellations, and no 9W flight has enough empty seats to accomodate all DN's spillover
  • DN would probably have to pay 9W more than they got in the first place - so there would be huge hesitation on the part of the local DN station manager to move pax to 9W
  • 9W pax would hate to board DN, given 9W already has similar tie ups with IC/S2 etc (I've been put on other flights when I told 9W I would miss an intl connection)


Let's see how this pans out in practice. DN should publish clear policies on how they will prioritize pax in case of such a situation. Maybe something like:

1. Elderly/senior citizens
2. Women with infants/children
3. Then based on fare paid.

Life will certainly be interesting for a DN station manager

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Considering that Deccan's passengers are ready to create a riot at the airport the moment they feel they are not being treated well --- in Chennai once they smashed windows and wrecked the Deccan manager's room --- they may now demand that they fly 9W.


Create a mini-riot and then say "Now fly us on 9W!!"


 



-- Edited by karatecatman at 16:58, 2006-07-26

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Nimish wrote:


Typically DN has the cancellations, and no 9W flight has enough empty seats to accomodate all DN's spillover
  • DN would probably have to pay 9W more than they got in the first place - so there would be huge hesitation on the part of the local DN station manager to move pax to 9W


  •  


    The article quotes analyst as saying DN & 9W have equal cancellations. DN will have a clear reciprocal seat cost for every sector they negotiate. 9W pax accomodated on DN would get food voucher as a means of compensation for the service, well, IMO its better to get to a destination hungry but on time.


    In the abscence of regulators i see this as cartellisation, if you do a study of DN na 9W routes and flt mainly to the metro and Tier II cities there is a huge overlap of flights with very close dep times. With load factors avg 50% on some, this is a good ploy to merge the flts. I think this is a good study for genuine travellers and the competition.............I love conspiracy theories, and with NG involved IMO that is circumstantial evidence. 



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    tayara mechanici wrote:


    In the abscence of regulators i see this as cartellisation, if you do a study of DN na 9W routes and flt mainly to the metro and Tier II cities there is a huge overlap of flights with very close dep times. With load factors avg 50% on some, this is a good ploy to merge the flts. I think this is a good study for genuine travellers and the competition.............I love conspiracy theories, and with NG involved IMO that is circumstantial evidence. 




    Tayara ji - hilarious post, and scary if true

    Firstly - While DN has 2 flights DEL-BLR, 9W has 4 or 5 flights. However the flights are at similar times, but in no way can there be any chance of merging the empty flights.

    Secondly - I'm pretty sure DN does better than 50% LF, at their fares, they would be already shut down if they did not do at least 70-80% loads consistently.

    Third - DN and 9W might overlap in a lot of sectors, but DN has a bunch of ATR sectors that 9W cannot come close to - basically secondary cities.

    As I said, I would be interested to see how this pans out in reality!

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    Nimish wrote:


     Firstly - While DN has 2 flights DEL-BLR, 9W has 4 or 5 flights. However the flights are at similar times, but in no way can there be any chance of merging the empty flights.

    There you go, if 9W manages 80% loads on 5 flts, that offers DN the possibility of rescheduling 20% pax ea from atleast 1 of the 2 flt on to these 5 flts split equally as per priority/fares paid i.e. Business and last  fare payers on to next avail 9W flt. If they manage to do this randomly once a week that will save DN 10% of costs on this route alone.................... This could be a good Operations Research assignment. Like i said knowing NG he surely has something up his sleeve, go on Nimish bhai, dig deeper you will find the bones !

    -- Edited by tayara mechanici at 19:44, 2006-07-26

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    a) As on date, 9W already has 4 x 737-800s which are in "all-Economy" configurations, and operate on route as well as pricing commonalities with DN. For example, BOM-GOI and BOM-MAA. There are (unconfirmed) reports that the 6 x 737-400 with9W may also be going for refit, into full economy configurations.


    b) There has always been talk of a low-frills/no-frills effort from 9W, and this may just be the opening gambit after the S2 gameplan went sour. Why would the strategy change if one of the players did?


    c) Take game theory further and factor in the responses from passengers when there are 30 seats available and say 90 passengers heading for them. Is anybody going to worry about signing a waiver at that stage, if they have to shift from 9W to DN.


    DN is kind of OK, actually, but they do need to get their pre-boarding for their 320s in order.



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    malik wrote:


     DN is kind of OK, actually, but they do need to get their pre-boarding for their 320s in order.

    Sidhe si baat hai ( straight fwd ) this is another revenue stream Gopi plans to exploit, on-line pre-booked seats at a Nominal price(Rs1000 for 1A,1C,1D & 1F)

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    tayara mechanici wrote:


    Sidhe si baat hai ( straight fwd ) this is another revenue stream Gopi plans to exploit, on-line pre-booked seats at a Nominal price(Rs1000 for 1A,1C,1D & 1F)


    I sincerely hope DN does this add-on cost for 1A/1C/1D/1F as well as reclining emergency row (if possible).


    But for now, even a semblance of order pre-boarding, basis colour coded cards, would be excellent. Like it used to be on SouthWest.


     



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