The airline industry is full of failures and capital-intensive business. It has complex issues and has high stakes to gain profits. Many big players have emerged, but unfortunately, they couldn’t create a profitable business. Like kingfishers, Jet Airways, Air Deccan etc. According to data, almost 40 airline companies have collapsed since the 1990s. It is a high risk and calculative business, which needs frequent investment.
Many of them have gone bankrupt and faced huge losses, but there is one brand which stands firmly in this industry by creating profits. But how could they even manage ? Yes, Indigo has made its mark and provided world-class flight experiences and facilities for the travel industry. It holds 60% of India's domestic airline control today. Big brands and competitors have collapsed, but the strategies of Indigo worked effectively.
The Strategies of Indigo
*Indigo invested its initial days in production flights with quality and selling it to others. Which created good revenues and profits. Instead of launching all at once, they took time and started initiating 1 by 1 at every stage. Which gave them properly calculated risk. They never invested money in luxuries and worked on cost-cutting solutions to unnecessary things.
* They have understood how Indians can sacrifice anything just to save 500 rupees. Providing them proper cost-effective flight prices. They were always concerned about fuel and always took strict measures in utilization and used less-consuming aircraft, compared to others.
* They used proper routes for flight to get good occupancy by halting near strategic locations and busy routes.
* Due to all these measures, in 2008 there was the global economic crisis in the world, and fuel prices increased on a massive scale. Almost all companies have faced severe losses except Indigo.
* During COVID-19, they faced losses, but to manage those costs, they cut down the employees from the top ranking and reduced the staff size.
Today they operate 2,700 flights in 46 countries. That's the level of management they possess, in the Airlines Industry dominating all the other companies.
