Jet Airways to spend $3 million on first ad campaign in 9 years

Jet claims that for a mere Rs.200-300 more, passengers can avail the services that low-cost airlines do not offer


The campaign, titled “Get More At Affordable Fares, Guaranteed”, has been created by Cheil India Pvt. Ltd.  Photo: Mint
The campaign, titled “Get More At Affordable Fares, Guaranteed”, has been created by Cheil India Pvt. Ltd. Photo: Mint

Mumbai:Jet Airways (India) Ltd is spending $3 million on an ad campaign, its first in nine years, to wrest market share from low-cost airlines such as Indigo (InterGlobe Aviation) and SpiceJet.

The campaign, titled “Get More At Affordable Fares, Guaranteed”, has been created by Cheil India Pvt. Ltd.

Jet claims that for a mere Rs.200-300 more, passengers can avail the services that low-cost airlines do not offer.

“If you break down additional services offered by Jet Airways as a full service airline, the value attached is much more. Typically, a Jet Airways passenger tends to save $3 in terms of food and beverages, $6 by accumulating frequent miles and $11 in terms of lounge access compared to a low-fare airline,” said Colin Neubronner, senior vice-president (sales and marketing) at Jet Airways. Low-cost airlines charge separately for food and Lounge access and most do not run frequent flyer programmes.

Since starting operations in 2006, IndiGo, India’s most profitable airline, has ousted Jet Airways to claim the top spot among Indian airlines. It has stuck to a single-aircraft model—it uses single-aisle Airbus A320 planes—offers nothing for free, and has a relentless focus of being on time.

The Naresh Goyal-founded Jet Airways, in which Etihad Airways PJSC of Abu Dhabi has a 24% stake, last rolled out a campaign of similar magnitude in 2007 when the airline started taking delivery of wide-bodied planes for its international operations. Jet has experimented with several models including a low-cost variant before deciding to return to its original one of being a full service airline.

According to Mark D. Martin, founder and chief executive officer of Martin Consulting Llc., a US-based aviation consulting firm, the re-launch of Jet Airways campaign could mark a second coming for the airline

“The re-launch of Jet Airways falls in line with Etihad’s global strategy, which is to reinforce the local partner to establish its supremacy in the domestic market, while Etihad will focus on the global network from Abu Dhabi. We may also expect Etihad to rebrand Jet Airways, its entire fleet, livery, cabin format and crew as was done with Italian carrier Alitalia recently, a step which helped with winning back the consumer and the traveller.”

The move could also help Jet fight off competition from other full-service airlines including Tata SIA’s Vistara, Martin added.

On Tuesday, shares of Jet Airways gained 0.27% to close at Rs.620.40 per share on the BSE, while the benchmark index, Sensex lost 0.81% to close at 25,229.70 points.

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