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Time of India
3 days ago
- Business
- Time of India
Air India sees huge upside in passenger, cargo biz; open for more partnerships: CEO Campbell Wilson
Air India sees huge upside in passenger as well as cargo segments and is always open for partnerships , its chief Campbell Wilson said as the full service airline works to upgrade its aircraft, improve service quality and expand networks. The loss-making Air India, being piloted by the Tata Group since its take over in January 2022, is undergoing the ambitious five-year transformation plan ' that commenced in 2022, with Wilson saying he is very happy with the trajectory, notwithstanding that there is more work to do. In an interview to PTI, the Air India CEO and MD said the airline "just learns to adapt and move on" when there are external factors such as supply chain and airspace issues. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Last-minute hotel deals in Santa Cruz de Tenerife Hotels | Search Ads Learn More Undo "When you are trying to do a turnaround, there are so many things that require us to act to prove ourselves... the objective is very very clear and hasn't changed in the slightest, the opportunity hasn't changed in the slightest, in fact if anything it has got more clear at the scale of the opportunity," he said. The airline sees a huge upside on the passenger as well as cargo business sides, Wilson said, adding that since privatisation, the cargo revenues have increased more than three times. The passenger revenues have more than doubled during the same period. Live Events "Again, huge upside, non-stop service into key points around the world, more focus on cargo, better systems, more consistent product delivery, all of these things mean we are a much more credible player in the cargo space. (There is) significant upside opportunity," he noted. Currently, Air India has a fleet of 191 planes, including 64 wide-bodies and 127 narrow bodies. When asked whether Air India will also be looking at a partnership with upcoming airline Riyadh Air, he said there is an air about India. "Everyone wants a partnership with India and so we are talking to many many people". "We are always open to partnerships. We have expanded or announced more than 20 partnerships since being privatised. That are codeshare (partnerships) and interline (agreements). We have embarked on some new codeshares with Singapore Airlines, Lufthansa Group... we will continue to work on more," Wilson said. Against the backdrop of various instances of passengers complaining about the airline's service quality, Wilson said all efforts are going to make sure that there is a consistent product that is consistently meeting expectations that is humanly possible. "We never want to disappoint a customer," Wilson said as he highlighted that Air India Group carries more than 60 million people a year and unfortunately, there are going to be weather events or other events that may result in everyone not having the experience that they had hoped for. "There are always going to be some issues in aviation but let them not dominate the discussion when there is clear evidence that there is a product that people genuinely are thinking is impressive," he said. Air India Group, which is expanding its fleet as well as network, had a domestic market share of 27.2 per cent in April. "Whether it is airspace or other things that impede travel, I think it is a negative for society and we certainly would advocate for freedom of flight wherever it may be. Of course, we understand geopolitics and the like. When things happen that constrain airspace, then we just adjust," Wilson said. Since Pakistan closed its airspace for Indian carriers in the wake of strained ties following the Pahalgam terror attack, Air India flights to Europe and North America from the national capital are taking longer routes and some of the flights also have a stop enroute. In reference to the Pakistan airspace closure, Wilson said the airline has changed its flight routes. "Sometimes it (flights) take longer, sometimes we need to make a refuel stop but in almost all cases, we are still able to operate non-stop to the cities that we previously flew and continue to offer a compelling proposition and we just continue to adjust around us". "Financially, the trajectory is good but I won't get into numbers at this juncture. We brought four groups of employees together under Air India and Air India Express. That is not an easy process. People come from very different backgrounds, very different work environments, sometimes they move to different cities but people are gelling together really really well and I am really proud of the way they have embraced this new combined organisation," he said. Last year, Vistara was merged with Air India and AIX Connect (formerly AirAsia India) was integrated with Air India Express. There were some concerns among the staff on certain issues. A New Zealander, Wilson, last November said the airline's transformation journey is a cricket Test match and not a T20, and that it was like lunch on the third day of a Test match. "I think we are well into the second half of the Test match," Wilson said during the interview as he listed out the achievements last year, including the mergers, setting up of a training academy in Gurugram (Haryana) and rolling out of a new loyalty programme.
Mint
3 days ago
- Business
- Mint
Air India eyes profitability with fleet overhaul and customer satisfaction boost
Tata group-owned Air India has made profitability its prime focus and aims to achieve it in the next few years, as the full-service carrier undergoes a revamp to boost efficiency and passenger convenience. In an interview with Mint, Air India chief executive officer (CEO) Campbell Wilson emphasized that the company's overall financials have improved since Tata acquired it from the government in early 2022, and shareholders now expect to see profits. "We've been very consistent and have an aspiration to be profitable, clearly, shareholders now expect us to be profitable. We are making good progress, managing costs, revenues, efficiencies, as well as operations and net promoter score (NPS)," said Wilson. NPS is a metric used to gauge customer loyalty and satisfaction. Overall NPS for Air India has increased by more than 45 points in the past 18 months. Wilson said that they don't plan to make public the year by which they are targetting to become profitable, but the company is on the right path. "Since the privatisation, we've tripled cargo tonnage, doubled revenue, we've increased revenue from business class passengers, and corporate revenues have also been good. The uplift on these metric is very significant, so our trajectory is on a very good path," Wilson added. The Air India group is in the middle of its five-year transformative journey called which commenced in September 2022. The group is in its third phase, or 'the climb phase', which commenced in April 2024 and will end in March 2027. "In cricket terms, we're in day four of a test match, since this is a five-year program, we're entering year three. The benefits of the transformation are now visible," he said. As part of this process, the airline has made significant investments in retrofitting narrow-body and wide-body aircraft to improve efficiency and passenger convenience. As per the airline, Air India ended FY25 with an on time performance (OTP) in the high 70s. "The improvement in OTP is significantly better and higher than even what Vistara was operating at, similarly we exited the financial year with an NPS, which was also higher than what Vistara had been achieving. The financial trajectory is positive," said Wilson. In the aviation industry parlance, on-time performance indicates the percentage of flights that arrive or depart within 15 minutes of their scheduled arrival or departure time. It's a key metric used by airlines and airports to track efficiency and reliability. As per the CEO, Air India's custome NPS in new A350 widebody aircraft is above 60, which is higher than legacy widebody aircraft. Similarly, the airline is also upgrading lounges at key airports. "This clearly indicates that the foundations have been put in place already. There's further strengthening of capabilities for the future, but even so, the new Air India is already visible," Wilson said. In April last year, Air India announced commencement of a retrofit program to change interiors and seats of its narrow-body and wide-body fleet. While the program has seen delay due to global supply chain issues, over 50% of Air India's fleet today offers new or upgraded cabin interiors. The retrofit of Air India's legacy narrow-body fleet is expected to be completed this year, and currently 65% such aircraft already have been retrofitted. "So on the narrow-body side, we're about two-thirds of the way through the upgradation program. We'll complete the rest of it by the end of, mostly by the end of the calendar year," Wilson said. Air India has also decided to extend life of 13 aircraft which were otherwise going to retire. The airline has decided to upgrade these aircraft as well. Currently, around 35% of Air India's wide-body fleet features modernised interiors and the airline intends to complete retrofit of the remaining aircraft by the middle of the financial year 2028. "Our legacy Boeing 777 widebody aircraft have already undergone an initial refresh programme ahead of a full retrofit, which starts next year. Legacy Boeing 787 aircraft will go into July and the rest of the 27 legacy aircraft will be upgraded over the next couple of years," he added.
Khaleej Times
27-04-2025
- Business
- Khaleej Times
Air India Group to unveil more virtual interline partnerships at ATM
The Air India Group, encompassing full-service carrier Air India and low-cost regional airline Air India Express, is set to announce new virtual interline partnerships at the Arabian Travel Market (ATM) opening today at the Dubai World Trade Centre. These partnerships with foreign low-cost carriers aim to boost Air India Express's global connectivity through its 'AIX Connect' platform, allowing travellers to book self-connected itineraries across partner airlines. The group currently maintains six such partnerships. Air India Express, targeting 30 million passengers in 2025-26 (up from 20 million this year), operates over 240 weekly flights from the UAE to India, serving 38 domestic and 17 international destinations. Meanwhile, Air India connects 45 domestic and 43 international destinations. 'Our presence at ATM 2025 underscores our commitment to blending tradition with innovation,' the airline group said in a statement. The Air India and Air India Express pavilion, spanning over 100 square metres, showcases the Tata Group airlines' transformation under the five-year programme. The booth features a digital-first design with a Virtual Reality (VR) zone, allowing visitors to explore Air India's state-of-the-art A350 aircraft. Displays of the upgraded 787-9 Dreamliner and A321 cabins highlight the airline's focus on world-class comfort and innovation. Commercial and product specialists will engage with trade partners and travellers throughout the event, sharing updates on new General Sales Agents (GSA) and Representative Agencies (RA) in key markets to enhance regional accessibility. The Tata Group-owned airline, employing over 30,000 people and operating more than 300 aircraft, serves 55 domestic and 48 international destinations across five continents. As part of Air India has ordered 570 new aircraft, merged sister airlines Air Asia India and Vistara into Air India Express and Air India, respectively, and opened South Asia's largest aviation training academy in 2024. 'ATM 2025 is a platform to showcase our evolving brand and strengthen global presence,' the statement added. The Air India group's strategic initiatives, from fleet expansion to innovative partnerships, position it as a key player in the global aviation market, with a focus on seamless connectivity and enhanced passenger experiences. The announcements at ATM signal Air India's ambition to redefine travel in the region and beyond, leveraging technology and partnerships to meet growing demand. Visitors to the pavilion can expect an immersive experience that reflects the group's vision of combining heritage with cutting-edge service.
Time of India
25-04-2025
- Business
- Time of India
From takeoff to touchdown: A new era of Air India's CX strategy
To the extremely finicky customer, the collective moan of passengers settling into their seats, followed by the inevitable fumbling with a temperamental, pixelated screen, is the usual familiar soundtrack, when you ask them about their Air India experience. According to them, in-flight Entertainment (IFE) felt less like entertainment and more like an archaeological expedition through outdated content. Menu cards, often relics of a bygone era, with dog-ears seemed oblivious to the evolving palates and dietary needs of modern travellers. For the airline, in December 2023, the Net Promoter Score (NPS), languishing at a chilly -19, painted a clear indication of turbulence: the airline had to not just buckle up its seat belts, but also brace for an emergency landing. Fast forward to April 2025. A perceptible buzz of optimism is wafting through the airline. The arrival of Air India's brand-new A350 aircraft ( Vista Verve ), soaring the skies between Delhi and the global hubs of London and New York, marks not just a fleet expansion, but a revolution in the clouds. The in-flight cabin experience has undergone a huge metamorphosis. Inside the aircraft, every seat, across all cabins, now offers the clarity of the latest-generation Panasonic eX3 in-flight entertainment system and vibrant HD screens. It's no secret that Air India is undergoing a transformation, aiming to establish itself as a world-class global airline that caters to the aspirations of a new India. This journey, which began post-privatisation, involves a comprehensive overhaul of its services, fleet and brand identity. During a recent event in London, airline executives unveiled their vision for the future. In their realm of transformation, Air India has been investing in rebuilding its existing fleet. The airline is consolidating its infrastructure, including offices, and setting up new facilities like a large training academy. 'The merger of four airlines into two has been a complex undertaking,' said Anjali Birla, head - customer strategy and intelligence, Air India. P Balaji, group head of governance, risk compliance and corporate affairs of Air India, emphasised the airline's commitment to customer experience and continuous improvement. 'We are three years into our transformation journey, which is a five year project.' Called it's a Sanskrit term that signifies the dawn of a new era. From flickering screens to feast for the senses Long hour flights always leave passengers hungry for more, in cuisine, entertainment and relaxation. With over 3,800 hours of entertainment – a staggering 981 hours of movies to choose from, that's enough to keep even the most frequent flyer occupied for weeks, the new in-flight entertainment offering provides a cinematic journey with over 250 Indian films, including a vibrant selection of 76 regional movies spanning eight languages. Hollywood blockbusters, Oscar-winning masterpieces and a curated collection of international cinema in 14 languages ensure there's a story for every taste. For the audiophiles, the exclusively programmed Air India Radio offers 800 musical choices across every genre and over 60 expertly curated playlists. CX for culinary experience The transformation doesn't stop at the screen. Remember, the days of predictable, often uninspired meal trays? Those are relics of a distant past. Post merger Air India has taken pages from Vistara's menu card, to usher in an era of culinary experience. Menus are now thoughtfully crafted, reflecting the dietary requirements and evolving tastes of today's travellers. Imagine the delight of discovering special festive menus, adding a touch of celebration to your flight, or indulging in holiday-themed desserts, making those long-haul journeys feel a little more special. The inconsistency of old has been replaced by the elegant uniformity of Vista Verve – sophisticated cutlery, refined chinaware and plush soft furnishings are now the standard across 39 international destinations. The impact of these changes is more than just anecdotal, but significant. It's a shift away from the hurry-and-scurry nature of airline food, making each course feel like an event, rather than a necessity. What makes the experience remarkable isn't just the food itself, but the approach to personalisation. In a world where customer experience is increasingly commoditised, there's a level of personalisation that stands out. 'Air India's transformation journey is nothing without its challenges, but the airline is determined to overcome them and build a world-class airline that embodies the spirit of India,' Birla added. Every journey counts, in loyalty points The NPS, once languishing in negative territory, has soared by an astounding 46 points, reaching a healthy +25 by March 2025. The A350 fleet boasts a positive NPS of around 60. Business class scores have jumped by approximately 1.5 times, while economy class satisfaction has seen a remarkable six-fold increase. Even short-haul flights on narrow-body aircraft are earning significantly higher praise, with NPS scores improving three fold, claim airline executives. Customer Satisfaction (CSAT) scores across various touchpoints are consistently climbing, with key areas now rated above four out of five. The sweet spot in the sky The transformation extends beyond the digital and the delectable; it's a complete overhaul of the flying experience. The airline has embarked on an ambitious fleet-wide cabin upgrade program. For the narrowbody fleet, a USD 400 million retrofit is underway, with four legacy Airbus A320 aircrafts already sporting the new Air India look and feel. These revamped aircraft feature a modern three-class configuration – eight luxurious business seats, 24 comfortable premium economy seats with extra legroom and 132 economy seats. By September 2025, the entire fleet of over 110 narrowbody aircraft, including those acquired from Vistara, will be upgraded to this standard. The widebody fleet is also undergoing a significant transformation. While the Boeing B777s are receiving an interim "heavy refresh" – new interior panels, lavatories, seat upholstery, carpets and curtains, while the Boeing B787 fleet is set for a full retrofit. This comprehensive upgrade for the B787 fleet is expected to be completed by 2027. For passengers on existing widebody and narrowbody aircraft awaiting their full transformation, Air India has cleverly bridged the gap with the Vista Stream service. This innovative solution allows passengers to seamlessly stream over 2,000 hours of content directly to their personal devices – be it iOS, Android, Windows or macOS. A smooth landing for the future Air India has increased its market share in FY24, with domestic share rising to 27 per cent and international to 24 per cent. Operating revenue grew by 25 per cent, and losses were cut by over 50 per cent, as per media reports. Air India's journey from outdated offerings and dissatisfied customers to a revitalised and highly-rated airline is a compelling story of commitment and transformation. The soaring NPS and CSAT scores are not just numbers; they represent the tangible impact of these changes on the hearts and minds of travellers. As the airline continues its fleet modernisation, the sky looks brighter for Air India, promising a journey that is not just about reaching a destination, but about enjoying the flight itself. The Maharaja is truly reclaiming its wings, soaring towards a first-class future. However, the question remains: is it enough? Air India has made a commendable effort to revitalise the customer experience on Vista Verve, but can it keep up with the rising demands of passengers, who are ever more discerning and sophisticated? The standard set by Vista Verve offers a unique model of how airlines should approach service, but it remains to be seen if it can be replicated across the rest of Air India's fleet. (The writer travelled New Delhi-London-New Delhi at the invitation of Air India)
