Domestic Air Traffic Surges in September; IndiGo Leads with 63% Market Share

India’s domestic air travel sector saw significant growth in September, with carriers flying a total of 1.30 crore passengers, reflecting a 6.38% increase compared to the same period last year, when the number stood at 1.22 crore. The Directorate General of Civil Aviation (DGCA) released this data on Tuesday, highlighting the overall performance of Indian airlines and the shifting market dynamics within the industry.

IndiGo’s Dominance Continues: Market Share Rises to 63%

IndiGo, the largest player in the Indian aviation market, continues to solidify its dominance. In September 2024, the airline captured 63% of the domestic market share, an increase from its previous standing. IndiGo’s growth aligns with its aggressive expansion plans and its ability to maintain a large network, giving it a strong foothold in the industry.

Meanwhile, Air India, which has been working on revitalizing its operations, climbed to a market share of 15.1% during the same period. This marks a significant milestone for the airline, which has been undergoing a series of changes under the Tata Group’s ownership.

AIX Connect Tops On-Time Performance, Market Share Shifts

In terms of on-time performance (OTP), AIX Connect, which recently merged with Air India Express, topped the charts in September 2024 with a 70.1% OTP. The merger aims to streamline operations and boost efficiency, with this improved punctuality being one of the immediate results. Akasa Air, which had previously led in OTP, saw its performance slip to 62.1%.

Vistara’s market share dipped slightly to 10%, while AIX Connect’s share also fell to 4.1%. However, the combined market share of the Air India Group, which includes Air India, AIX Connect, and Vistara, reached 29.2%, showing the group’s growing influence in the domestic aviation landscape.

Performance of Other Airlines: Akasa Air and SpiceJet

Among other airlines, Akasa Air flew 5.73 lakh passengers in September, accounting for 4.4% of the market. This relatively new player in the Indian skies continues to capture attention, although its OTP has faced challenges.

SpiceJet, on the other hand, is facing a more difficult period. The airline carried 2.61 lakh passengers in September, marking a significant decline in its market share to just 2%. This is a sharp drop from January, when SpiceJet held 5.6% of the market. The airline, which has been grappling with financial difficulties, saw its market position shrink by 64% over the course of the year.

On-Time Performance (OTP) Rankings Across Airlines

In addition to AIX Connect’s leadership in OTP, other airlines’ punctuality data from September show IndiGo with an OTP of 69.2%, followed closely by Vistara at 69.1% and Air India at 68.1%. SpiceJet and Alliance Air lagged behind, with OTPs of 30.4% and 53.8%, respectively.

The DGCA computes OTP for scheduled domestic airlines based on operations at four major metro airports: Bangalore, Delhi, Hyderabad, and Mumbai. Timely performance remains a critical factor for passenger satisfaction and operational efficiency in the competitive airline industry.

Impact on Passengers: Delays and Compensation

Flight cancellations and delays had a notable impact on passengers in September. A total of 48,222 passengers were affected by flight cancellations, leading airlines to spend ₹88.14 lakh in compensation and related facilities for these travelers. Delays affected an even larger number, with 2,16,484 passengers impacted. To mitigate this, airlines provided ₹2.4 crore in facilitation.

In cases of denied boarding, airlines were required to compensate 756 passengers, with a total of ₹75.08 lakh paid out to those affected. These disruptions reflect the operational challenges airlines face as they strive to maintain schedules amidst growing demand and increasing market pressures.