Air India Express, the budget carrier owned by the Tata Group, is gearing up for a major shift in its strategy. The airline has announced plans to begin reconfiguring its planes to eliminate business class seating, starting from April 2025. This decision signals a strong focus on expanding its economy class offering and solidifying its position as a budget-friendly travel option.
The airline’s decision to focus on economy class aligns with its strategy of expanding its network. Air India Express aims to connect smaller cities and towns with major metropolitan centers, opening up new travel possibilities for a wider range of passengers. The airline also intends to explore new international destinations, extending its reach to destinations in the Gulf, Middle East, Southeast Asia, and eventually, South Asia and the Far East.
This transformation comes amidst a period of rapid growth for the airline. The Tata Group, which owns Air India Express, has recently merged AIX Connect, formerly known as AirAsia India, into the airline. This consolidation, along with the upcoming integration of Vistara with Air India, forms part of the group’s strategy to create a unified and powerful presence in the airline industry.
The airline’s expansion plans also involve a significant fleet increase. Air India Express currently operates a fleet of 90 aircraft, including over 30 with dual-class seating. In the coming months, the airline will induct 50 new white-tail Boeing 737-8 planes, increasing its overall fleet size to over 110 aircraft by the end of the fiscal year. These white-tail planes, previously manufactured for other airlines, will undergo reconfiguration to remove business class seats and become part of the airline’s all-economy class fleet.
The move to eliminate business class seating reflects a strategic shift for Air India Express. By offering only economy class, the airline can cater to a larger segment of the market and offer competitive fares. This focus on budget-friendly travel aligns with the airline’s position as a leader in the low-cost carrier sector.
The airline’s expansion plans highlight a commitment to growing its presence in the Indian and international aviation markets. The addition of new routes, increased fleet size, and focus on economy class travel position Air India Express as a key player in the future of budget air travel.
