Akasa, the new airline looking at Indian skies

Last Updated04/08/2021

Indian airlines space is gearing up for entry of two airlines — Jet Airways 2.0, and Rakesh Jhunjhunwala-backed Akasa.
It is being launched by stock market investor Rakesh Jhunjhunwala holding a 40% stake in the airline company.
The Airline is reportedly planned to be launched by April 2022.

InterGlobe Aviation Ltd-run budget airline IndiGo is India’s largest airline with over 54% market share in the domestic passenger market followed by state-owned Air India, SpiceJet, GoAir, Vistara and AirAsia India.
GoAir, which has filed papers for its initial public offering, recently rebranded itself to GoFirst and plans to revamp its business model to become a Ultra low-cost carrier (ULCC).
The upheaval of the Indian airline industry has largely been on the back of deep losses reported in 2020-21 (April-March) because of Covid19
Akasa is also planned to be launched as an ULCC.

In the ULCC airline business model, the company focuses on keeping operating costs even lower than typical budget airlines.
In low-cost model, airlines unbundle certain amenities that are usually associated with the full-service airline experience — like seat selection, food and beverages, etc.
In ultra low-cost model, there is an even further unbundling of services like checked-in baggage, cabin baggage, etc.
Traditionally, while LCCs operate with significantly lower fares and only somewhat lower costs than full-service carriers, ULCCs operate with minimal costs to ensure profitability.