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Jet Airways bets on business travel to make the Paris-Mumbai flight profitable

no financial equilibrium despite 18 months of operation…

The Indian company, Jet Airways, suffered from the confusion around visas and Europe’s economic uncertainty. After 18 months of operation of the Paris-Mumbai line, it hopes to quickly reach financial equilibrium by seducing a corporate clientele.

Jet Airways wants to seduce the corporate market to raise the bar. DR-Jet Airways
Jet Airways wants to seduce the corporate market to raise the bar. DR-Jet Airways
Like its competitor Air India, Jet Airways suffered greatly on the French market this year.

The fault first goes to the mess around visas.

“This confusion disheartened tour-operators along with business travelers. They opted for Skype meetings rather than making the trip. This was a hard blow on our first year of operation,” laments Michel Simiaut, France’s Executive Director.

Still, between September 2014 and August 2015, the company transported 143,000 passengers with an occupancy rate of 83%.

But the yield suffered greatly on the market.

Now, 4 passengers are necessary to obtain the same revenue acquired with two passengers previously.

The drop of the average coupon is at 15%, just like the decline of traffic between France and India.

To raise the bar again, Jet Airways hopes to succeed on the corporate market, which takes time.

Michel Simiaut hopes to move up another gear because, for now, he has reached only 60% of his goals in terms of corporate contracts.

He believes that it is by filling up the front of his cabin that he will be able to make the line profitable and develop its capacities.

Written by Laury-Anne CHOLEZ translated by Joséphine Foucher the 20/10/2015
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Tags : Jet Airways


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