Latest news with #A320neo
Mint
8 hours ago
- Business
- Mint
United Airlines CEO says low-cost model is dead and he may be right
United Airlines and JetBlue announced an agreement on May 29 to link loyalty programs. The broader understanding helps United return to New York one more time, while it mainly focuses on customer loyalty programs, cross-earning and sharing benefits. Speaking to WSJ, Scott Kirby, the CEO of United Airlines, called the low-cost model 'dead', adding that its aim was to 'screw the customer'. Interestingly, JetBlue had started as a low-cost carrier (LCC), though it quickly added amenities like live inflight TV and subsequently a business class cabin. Scott Kirby's remarks may resonate closer home in India, with IndiGo's CEO Pieter Elbers saying 'We have left the station of a typical LCC, if there is such a thing' last year. IndiGo is the largest carrier in India by both fleet and market share. As Indian LCCs scaled the heights of market share, passengers often complained of either no fare difference or very limited fare differential between LCCs and Full-Service Carriers (FSC) in India. IndiGo, like many of its peers in India, started as a pure-play low-cost carrier. When Kingfisher Airlines and Jet Airways were struggling in the aftermath of the 2008 financial crisis, it went to town explaining the benefits of a single fleet type, its positive impact on costs and operations. The first change for IndiGo was adding a row of seats in the A320neo to make it 186 seats instead of the standard 180 it had with the A320ceo. In 2017, IndiGo added a new fleet type to its fleet with the induction of the ATR 72-600 turboprop aircraft. The LCC station was left in the true sense back then. Today, the IndiGo fleet comprises a multitude of aircraft configurations within its over 400 aircraft, apart from the damp-leased ones the airline operates. If various aircraft types was not enough, IndiGo added a Business class equivalent cabin, calling it IndiGoStretch, which started operations in November last year. The airline also launched a frequent-flyer programme. Go FIRST was possibly the last true LCC that operated in Indian skies, having a single fleet type. Akasa Air has taken that place eventually, though it has different configurations for planes and will continue to have a mix of MAX 8 and MAX 8-200 in its fleet. Akasa Air has not been able to grow as per its initial announcements after indicating planes in quick succession in its first year of operations. Air India Express, which had a fleet of 26 B737s at the time of privatisation, is now more times its size but with a mix of A320ceo, A320neo, A321neo, B737NG and 737 MAX 8. SpiceJet, on the other hand, joined the multi-fleet bandwagon much earlier than IndiGo. However, its focus has been on sustenance amid multiple financial headwinds rather than growth. India today has only one FSC in the form of Air India. As it shifts to a three-class configuration, akin to Vistara which merged with Air India, the economy class is competing with the LCCs with features like 'pay for seat selection', shorting up ancillary revenues and the difference being only in the meals being served complimentary on the FSC. While the LCCs moved up the pedestal, the FSCs climbed down in a double whammy for the customers. This often points up to the question of how FSCs are different in India and the answer to that lies only in the cabins upfront with Premium Economy now offering the service levels and options which were common to Economy class two decades ago and Business class focusing on more and more frills, especially with modern seats. In essence, is Economy then a downgrade in an FSC? All indicators point to a resounding yes and this helps the traditional FSC compete with LCCs, with the bulk of the passengers comprising economy class. Pre-pandemic, when there existed three FSCs in India — Jet Airways, TATA-SIA-owned Vistara and government-owned Air India — the LCCs led by IndiGo were pushing the envelope up with every month and the LCC concentration in the Indian domestic market was over 80 per cent at its peak. On the other side of the pandemic, there is no Vistara or Jet Airways and IndiGo with a 60 per cent-plus market share is a different airline than what it was while SpiceJet has shrunk. The Indian market effectively is undergoing a transition like never before and while the first part of Scott Kirby's statement may be right, the second part definitely does not fit well in Indian context. In fact, the Indian LCCs helped the average Indian consumer fly and more than doubled the market with each passing decade. The rate of growth for Kingfisher Airlines, Jet Airways, Vistara or Air India was much slower than what the trioka of SpiceJet, IndiGo and Go Air achieved in its early years. If anything, the impact was felt on FSCs and not consumers.
Zawya
a day ago
- Business
- Zawya
Royal Jordanian receives its first Airbus A320neo
Royal Jordanian has taken delivery of its first Airbus A320neo aircraft, leased from global lessor Avolon. This marks a key milestone in the airline's comprehensive fleet renewal programme, which will see a total of 20 A320neo Family aircraft join its fleet over the coming years. Royal Jordanian's first A320neo is configured with a 180 seat all-economy layout, designed for customer comfort and efficient operations across its regional network. Future deliveries will feature a variety of cabin configurations, from all-economy to premium layouts including lie flat beds on A321neo. The arrival of the first A320neo reinforces the long-standing partnership between Airbus and Royal Jordanian, while supporting the airline's goals of improved fuel efficiency and reduced CO₂ emissions. Passengers will enjoy an enhanced travel experience thanks to Airbus' signature Airspace cabin, including advanced full cabin lighting and larger overhead XL storage bins. The new A320neo fleet will seamlessly serve Royal Jordanian's key markets across the Middle East, Africa, and Europe, offering exceptional versatility from shorter regional flights to premium long-haul journeys. The Airbus A320neo Family is the world's best-selling single-aisle aircraft family, with more than 11,000 orders from over 130 customers globally. It combines advanced aerodynamics, new-generation engines, and enhanced cabin features to deliver unprecedented efficiency, comfort, and operational flexibility. - Copyright 2024 Al Hilal Publishing and Marketing Group Provided by SyndiGate Media Inc. (
Trade Arabia
a day ago
- Business
- Trade Arabia
Royal Jordanian receives its first Airbus A320neo
Royal Jordanian has taken delivery of its first Airbus A320neo aircraft, leased from global lessor Avolon. This marks a key milestone in the airline's comprehensive fleet renewal programme, which will see a total of 20 A320neo Family aircraft join its fleet over the coming years. Royal Jordanian's first A320neo is configured with a 180 seat all-economy layout, designed for customer comfort and efficient operations across its regional network. Future deliveries will feature a variety of cabin configurations, from all-economy to premium layouts including lie flat beds on A321neo. The arrival of the first A320neo reinforces the long-standing partnership between Airbus and Royal Jordanian, while supporting the airline's goals of improved fuel efficiency and reduced CO₂ emissions. Passengers will enjoy an enhanced travel experience thanks to Airbus' signature Airspace cabin, including advanced full cabin lighting and larger overhead XL storage bins. The new A320neo fleet will seamlessly serve Royal Jordanian's key markets across the Middle East, Africa, and Europe, offering exceptional versatility from shorter regional flights to premium long-haul journeys.
Daily Tribune
2 days ago
- Business
- Daily Tribune
Royal Jordanian Welcomes First Airbus A320neo
Royal Jordanian Airlines has officially taken delivery of its first Airbus A320neo aircraft, marking a major step forward in the airline's ambitious fleet modernization strategy. The aircraft, leased from global aviation lessor Avolon, is the first of 20 A320neo Family jets set to join the carrier's fleet in the coming years. All-Economy Layout for Regional Efficiency The newly delivered A320neo is outfitted with a 180-seat, all-economy configuration, tailored for maximum passenger comfort and operational efficiency on Royal Jordanian's regional routes. Future aircraft will include diverse cabin layouts ranging from all-economy to premium cabins, with some A321neo models featuring lie-flat business class seating to serve long-haul markets. Strengthening Strategic Partnerships This delivery underscores the long-standing relationship between Royal Jordanian and Airbus, and aligns with the airline's commitment to sustainable growth. The A320neo is known for its cutting-edge fuel efficiency and reduced CO₂ emissions, helping Royal Jordanian meet its environmental goals while elevating the passenger experience. Enhanced Passenger Comfort with Airbus Airspace Passengers aboard the A320neo will benefit from Airbus' signature Airspace cabin, which features full-spectrum LED lighting and larger XL overhead bins for improved convenience and comfort during travel. The A320neo fleet will enable Royal Jordanian to operate seamlessly across its core markets in the Middle East, Africa, and Europe, offering unmatched flexibility from short-haul hops to longer premium routes. The modern aircraft is expected to enhance route performance while delivering a superior onboard experience.
Business Wire
2 days ago
- Business
- Business Wire
Avolon Delivers Royal Jordanian's First Airbus A320neo
TOULOUSE, France--(BUSINESS WIRE)--Avolon, a leading global aviation finance company, has completed the delivery of the first Airbus A320neo in Royal Jordanian's fleet. The delivery was celebrated today at a ceremony at the Airbus Delivery Centre in Toulouse and is the first of eight A320neos to be delivered by Avolon over the next 12 months. Royal Jordanian's first A320neo is configured with a 180 seat all economy layout, designed for customer comfort and efficient operations across its regional network. Future deliveries will feature a variety of cabin configurations, from all economy to premium layouts including lie flat beds on A321neo. The new aircraft will support Royal Jordanian's fleet expansion strategy in key markets across the Middle East, Africa, and Europe, and its transition to new technology aircraft. The A320neo delivers 20% lower fuel burn and CO2 emissions compared to previous-generation Airbus narrowbody aircraft, and 50% noise reduction. Royal Jordanian currently operates a fleet of 24 aircraft flying to 50 destinations and is planning to grow its fleet to 41 aircraft by 2028. Avolon and Royal Jordanian are long-standing partners and these A320neo family deliveries add to the two Boeing 787-8s Avolon already has on lease to the airline. At 31 March 2025 Avolon had 140 A320neo family aircraft in its fleet, with a further 294 on order. Paul Geaney, President and Chief Commercial Officer of Avolon, commented: 'We are pleased to strengthen our partnership with Royal Jordanian with this first A320neo delivery. We are proud to play a central role in the airline's fleet expansion plans, leveraging our large orderbook to support Royal Jordanian's future growth. As passenger traffic in the region continues to grow, we look forward to future opportunities to work together.' Samer Majali, Vice Chairman and CEO of Royal Jordanian, commented: 'The delivery of our first A320neo marks a significant milestone in our fleet modernization strategy. This aircraft, with its advanced technology and enhanced fuel efficiency, will enable us to offer improved services to our passengers while reducing our environmental footprint. Configured with all economy seats, this aircraft will serve a number of popular tourist routes, supporting our goal to promote Jordan as a destination of choice. It also reinforces our role as the preferred carrier connecting the Levant with key cities across the Middle East, and Europe, as we continue to position Amman as the region's leading transit hub.' About Avolon Avolon is a leading global aviation finance company connecting capital with customers to drive the transformation of aviation and the economic and social benefits of global travel. We pride ourselves on our deep customer relationships, our collaborative team approach, and our fast execution. We invest with a long-term perspective, diversifying risk and managing capital efficiently to maintain our strong balance sheet. Working with 141 airlines in 60 countries, Avolon has an owned, managed, and committed fleet of 1,096 aircraft, as of 31 March 2025.
