Fashion

Back to work impact – Metro Shoes reports highest ever revenues in Q1 FY23

Reliance Retail fills the Gap in India

Puma sets feet in Maldives

Retail Horoscope for May 2022

Victoria’s Secret onboards Amazon

Fashion Retail sizzles amidst looming 4th wave of Covid

E-Commerce

Victoria’s Secret onboards Amazon

Victoria’s Secret onboards Amazon

June 25, 2022
Vinod launches 100% Virgin Aluminium Cookware
Indian Ecomm

Vinod launches 100% Virgin Aluminium Cookware

January 21, 2022
Ola! Now get Groceries in 10 mins
E-Commerce

Ola! Now get Groceries in 10 mins

March 13, 2022
Shadowfax goes the extra mile to vaccinate its fleet
E-Commerce

Shadowfax goes the extra mile to vaccinate its fleet

January 21, 2022
Friday, August 19, 2022
  • Login
Retail Updates
No Result
View All Result
  • FMCG
    • FMCG Food
      • Indian FMCG – Food
      • Regional FMCG – Food
      • StartUps FMCG – Food
      • International FMCG – Food
    • FMCG Non-Food
      • Indian FMCG Non-Food
      • Regional FMCG Non-Food
      • Startups FMCG Non-Food
      • International FMCG Non-Food
  • Fashion
    • Luxury
    • Womens’
    • Menswear
    • Kidswear
    • Innerwear
    • Accessories
      • Cosmetics
      • Eyewear
      • Footwear
      • Leather
      • Personal Care
      • Watches
      • Wearables
  • F&B
    • QSR
    • Traditional
    • Cloud Kitchens
  • E-Commerce
    • Amazon
    • Indian Ecomm
    • Services
  • Malls
    • Mall Chains
    • Standalone Malls
  • International
    • USA
    • Singapore
    • China
    • Middle East
    • SE Asia
    • Europe
    • Oz & Nz
    • SouthAm
  • Specialty Retail
    • Travel Retail
      • Airports
      • Metro Rail
      • Railways
      • Highways
    • Auto Retail
      • 2W
      • 4W
      • EVs
      • Fuel Retail
    • Liquor
    • Salons
    • CDIT
    • Grocery Retail
    • Home Improvement
  • Entertainment
    • Cinemas
    • Multiplex
    • OTT Platforms
    • Theme Parks
    • Others
  • Retail Tech
    • Digital
    • Retail AI
    • PoS S/w
    • Payments
    • Credit Cards
    • Crypto
    • Tech Delivery
  • Cities
  • Corporates
    • Industry Info
    • Global
      • Apple
      • Nestle
      • Walmart
      • Starbucks
      • Shell
    • Indian
      • Aditya Birla
      • Arvind Fashions
      • Future Group
      • Reliance
      • Tata Group
      • Shoppers Stop
      • ITC
      • HUL
      • Marico
      • Britannia
      • Dabur
      • Patanjali
      • Reckitt
      • Colgate
    • Listed Cos.
  • Opinions
    • Blogs
    • Videos
    • Interviews
    • Lockdown Impact
    • Editor’s Note
Retail Updates
Air travel demand – a reflection of Economy?

Air travel demand – a reflection of Economy?

by Editor
June 27, 2022
in Opinions
Reading Time: 3 mins read
0

In May 2021, Domestic airlines carried 1.20 cr passengers across India. This includes Indians, NRIs and foreign passengers who flew across the 120+ operating airports in India. It was five times over the same month in 2021 when the country witnessed the peak second wave of the Covid-19 pandemic and the economy was shut down for over 6 weeks. Though subsequent waves continued to come and go, they have remained at best – waves, merely touching the feet and going away.

Airports are looking full and so are the aircrafts. Directorate General of Civil Aviation – DGCA – the monitoring authority of Indian aviation reported that the load factor, the number of seats sold vs. total carried was 89% for Spicejet followed by Go First at 86%. Though market leader Indigo had a nearly 60% market share in terms of total tickets sold, the load factor for the airline was quite low – perhaps due to higher than average fares. And rightly so. With the shutting down of Jet Airways and Kingfisher, Indigo has emerged the top airline for business trips, passing on the family groups and vacationers to other operators like Air Asia, Air India and Spicejet.

YOU MAY ALSO LIKE

Retail Horoscope for May 2022

Indian Retail rebound is for real; brace for the summer heat now

When the demand is higher than usual, it just makes sense to charge more from discerning passengers. And that’s what Indigo is doing. They are passing on higher fares to those who are probably not paying for the fares – corporate travellers, whose tickets are sponsored by their respective companies. In effect, this clearly means that businesses and companies have opened up their travel budgets for the teams to travel. When employees travel, it is just not the flight costs but also the entire ecosystem that benefits. One could estimate that at least 80% of these 1.20 cr passengers availed taxi / cab services to- and fro the airports. This, is perhaps the largest propeller of the economy.

The cab drivers on the other hand fill fuel, undertake repairs and maintenance of their vehicles, spending their earnings across their own ecosystem. Once inside the airport, travellers spend money on F&B inside the aircraft as well as at the airports at departure and arrival areas. This, on the other hand propels the airport concessionaires who employ thousands of employees and these employees spend their salaries within their own ecosystems. This domino effect is cyclical and continues to swell over time. It is clearly evident in Tourism dependent economies such as Maldives, Malaysia, Thailand to name a few internationally as well as in India such as Himachal, Goa, Kerala, etc.

Travel Retail India was poised to touch USD 1 Bn by 2020 but fell short of due to the impending Coronovirus related travel impact since Jan. ‘20. Of the 100+ airports back then, the amount of money spent across India Airports was around Rs. 5,000 Cr annually. In 2019, Singapore Airport & Incheon Airport (South Korea) reported a sale of over USD 1.1 Bn while Dubai Airport had revenues of USD 1.20 bn for the same year. Though India used to ferry over 120 mn flyers annually, the spend at airports was negligible at USD 6 per pax at an average. In FY 2024, if things continue to remain the way they have been in Q1 FY 2223, Indian Travel Retail could touch USD 1 Bn. With Adani group managing half a dozen airports, mostly Tier 2 towns, the opportunity to build a spectacular Travel Retail business is in the offing.

Chennai and Kolkata Airports remain the only two major metro cities where the airport operations continue to be managed by AAI – the primary governing body of Indian Aviation. Both the State Governments have stiffly negated the idea of privatisation of their respective airports while those at Bangalore & Hyderabad with similar air traffic numbers have emerged among the world’s best with their world class offering & operations.

Air traffic is a clear indication that the Indian economy is back in action and traction. If the economy and businesses perform in Q2 is as real as it is being projected, then there is no doubt that FY 2223 would be equal to or better than FY 1819 which went on to become one of the best years for Indian aviation as well as the Indian economy.

Share this:

  • Click to share on Twitter (Opens in new window)
  • Click to share on Facebook (Opens in new window)
  • Click to print (Opens in new window)
  • Click to share on LinkedIn (Opens in new window)
  • Click to share on Reddit (Opens in new window)
  • Click to share on Tumblr (Opens in new window)
  • Click to share on Pinterest (Opens in new window)
  • Click to share on Pocket (Opens in new window)
  • Click to share on Telegram (Opens in new window)
  • Click to share on WhatsApp (Opens in new window)
  • Click to share on Skype (Opens in new window)
  • Click to email a link to a friend (Opens in new window)

Like this:

Like Loading...

Related

Tags: AAIAdaniairportsaviationDGCAfeaturedtravelTravel Retail
ShareTweetShare

Related Posts

Retail Horoscope for May 2022
Industry Info

Retail Horoscope for May 2022

June 25, 2022
Indian Retail rebound is for real; brace for the summer heat now
Opinions

Indian Retail rebound is for real; brace for the summer heat now

March 23, 2022
Building a Brand Vs. Buying it out – which one makes sense?
Opinions

Building a Brand Vs. Buying it out – which one makes sense?

March 22, 2022
Bars, Cinemas and Schools to reopen in Tamil Nadu, good news for Retailers
Industry Info

Tamil Nadu Retail Staff cheer, Retail Business Owners frown

September 19, 2021
Enforcing Uniform Price Mechanism by Franchisees – Governance or Anti-Competitive?
Industry Info

Enforcing Uniform Price Mechanism by Franchisees – Governance or Anti-Competitive?

August 23, 2021

Listed Companies

Back to work impact – Metro Shoes reports highest ever revenues in Q1 FY23
Footwear

Back to work impact – Metro Shoes reports highest ever revenues in Q1 FY23

by Editor
July 29, 2022
0

India’s leading footwear retail chain Metro Shoes reports highest ever revenues in Q1 FY23

Read more
Reliance Retail posts best-ever performance in Q1 FY2223, more to come

Reliance Retail posts best-ever performance in Q1 FY2223, more to come

August 14, 2022
Titan Industries grows 36% yoy | Tanishq Jewelry by 37% over FY 20-21

Titan Industries grows 36% yoy | Tanishq Jewelry by 37% over FY 20-21

March 6, 2022
Dominos India now at 1,500 locations – Revenues up 13%

Dominos India now at 1,500 locations – Revenues up 13%

March 6, 2022
Reliance Retail revenue grows 52% YoY – Q3 FY 21-22

Reliance Retail revenue grows 52% YoY – Q3 FY 21-22

March 6, 2022

FMCG

Big Basket spent Rs. 1.10 to earn Re. 1 in FY 21-22; Losses climb 4x

Daawat celebrates World Biriyani Day

Retail Horoscope for May 2022

Metro Cash & Carry expands frontiers in home turf Karnataka

Ruchi Soya to issue Further Public Offer, raises Rs. 1,290 Crores from Anchors

From FabMall to Fresho – it’s a full circle!

Cities

Tamil Nadu allows Retailers to operate 24/7
Cities

Tamil Nadu allows Retailers to operate 24/7

by Editor
July 3, 2022
0

Tamil Nadu Government allows Retailers to operate 24/7, 365 days a year. Move to boost festival sales especially; retailers ecstatic...

Read more
LuLu Group to play LaLaLa in Tamil Nadu

LuLu Group to play LaLaLa in Tamil Nadu

May 1, 2022
Sunday Lockdown in TN may go – if cases reduce: Minister

Sunday Lockdown in TN may go – if cases reduce: Minister

March 6, 2022
KA State relaxes Weekend Lockdown; Shops, Restaurants to remain open

KA State relaxes Weekend Lockdown; Shops, Restaurants to remain open

January 21, 2022
D’Mart Earnings surge 106% for Q3, 105% for H1

D’Mart Q3 shows rural economy is bouncing back

January 12, 2022

Who We are…

Retail Updates strives it’s best to curate the latest in the world of Retailing from across the world and offers insights and analyses.

No Result
View All Result

In case you missed…

  • Back to work impact – Metro Shoes reports highest ever revenues in Q1 FY23
  • Service Charges at Restaurants – who benefits?
  • Reliance Retail posts best-ever performance in Q1 FY2223, more to come

Search by Tags

Auto Retail Cities E-Commerce Fashion FMCG Industry Info Latest News Listed Cos. Lockdown Impact
  • FMCG
    • FMCG Food
      • Indian FMCG – Food
      • Regional FMCG – Food
      • StartUps FMCG – Food
      • International FMCG – Food
    • FMCG Non-Food
      • Indian FMCG Non-Food
      • Regional FMCG Non-Food
      • Startups FMCG Non-Food
      • International FMCG Non-Food
  • Fashion
    • Luxury
    • Womens’
    • Menswear
    • Kidswear
    • Innerwear
    • Accessories
      • Cosmetics
      • Eyewear
      • Footwear
      • Leather
      • Personal Care
      • Watches
      • Wearables
  • F&B
    • QSR
    • Traditional
    • Cloud Kitchens
  • E-Commerce
    • Amazon
    • Indian Ecomm
    • Services
  • Malls
    • Mall Chains
    • Standalone Malls
  • International
    • USA
    • Singapore
    • China
    • Middle East
    • SE Asia
    • Europe
    • Oz & Nz
    • SouthAm
  • Specialty Retail
    • Travel Retail
      • Airports
      • Metro Rail
      • Railways
      • Highways
    • Auto Retail
      • 2W
      • 4W
      • EVs
      • Fuel Retail
    • Liquor
    • Salons
    • CDIT
    • Grocery Retail
    • Home Improvement
  • Entertainment
    • Cinemas
    • Multiplex
    • OTT Platforms
    • Theme Parks
    • Others
  • Retail Tech
    • Digital
    • Retail AI
    • PoS S/w
    • Payments
    • Credit Cards
    • Crypto
    • Tech Delivery
  • Cities
  • Corporates
    • Industry Info
    • Global
      • Apple
      • Nestle
      • Walmart
      • Starbucks
      • Shell
    • Indian
      • Aditya Birla
      • Arvind Fashions
      • Future Group
      • Reliance
      • Tata Group
      • Shoppers Stop
      • ITC
      • HUL
      • Marico
      • Britannia
      • Dabur
      • Patanjali
      • Reckitt
      • Colgate
    • Listed Cos.
  • Opinions
    • Blogs
    • Videos
    • Interviews
    • Lockdown Impact
    • Editor’s Note

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In
 

Loading Comments...
 

    %d bloggers like this: