reliance airlines

1. RELIANCE AIRLINES

2. RELIANCE AIRLINES
• A joint venture of Reliance Industries and Deutsche
Lufthansa.
• An Indian based full-service airlines based in Mumbai.
• The carrier will commenced operations on 9th Oct 2019
with its inaugural flight between Delhi to Mumbai.
• This airlines will be 3rd largest domestic airline because
of a large fleet of Airbus A320 and Boeing 737-800NG
aircraft.

3. MISSION & VISION
• To become the lending name in the world of air travel
by being the top preference of customers and
shareholders.
• To increase the fleet capacity to double in next 5 years,
to provide top notch quality to the customers.
• To increase the connectivity base to 30 countries in
next 5 years.

4. GOALS & OBJECTIVES
• The common goal of this joint venture is to redefine
air travel in India to provide Indian travellers a
seamless and personalized flying experience.
• It’s main goal to continue shaping the global aviation
market as a key player in the future.
• To provide premium product to pursue a consistent
quality in airlines domain.

5. S W
O T
Weaknesses
Increasing long term Debt
Legal Issues
Strengths
Leading Market Position
Operational efficiency in
refining
Strong Financial Performance
Opportunities
More investment in the new
tech
International Market
Tie Up with global companies
Threats
Intense Domestic Competition
Existing Competitors
Govt. Regulations

6. Market share: 13.3%
Passenger load traffic: 95.5%
Market share: 12.4%
Passenger load traffic: 83.8%
Market share: 43.2%
Passenger load traffic: 90.7%
Market share: 8.7%
Passenger load traffic: 90.0%
Major Airlines Operate In the Country:

7. 1. Indigo Airlines
• An Indian Low-cost airlinecompany
• Headquartered at Gurgaon, India.
• Offers more than 633 daily flightsconnecting to 38 destinations including
5 international destinations
• Operates fleets belonging to the Airbus A320 family.
• Total Market Share: 43.2%
• Fleet size: 97
• Passenger Load Factors: 90.7%
• Cancellation Rate:0.10%
3. Air India
• flagcarrier airlineof India owned by AirIndia Limited
(AIL), a Government of India enterprise.
• operates a fleetof Airbus and Boeing aircraft serving
various domestic and international airports.
• headquartered -New Delhi
• Total Market Share: 12.4%
• Fleet Size: 108
• Passenger load factors: 83.8%
• Cancellations: 1.20%
2. Spice Jet
• Indian low-cost airlineheadquartered in Gurgaon,
• It is the country’s fourth largest airlineby number of passenger
• The airlineoperates more than 270 daily flightsto 41 destinations, including
34 Indian and 7 international cities.
• Total Market Share:12.6%
• FleetSize: 34
• Passenger Load factors: 95.5%
• Cancellations: 0.70%
4. GoAir
• Indian Low cost carrier based in Mumbai.
• It commenced operations in November 2005.
• It is the aviation foray of the Wadia Group.
• It operates domestic passenger services to 22 cities withover 140
daily flightsand approximately 975 weekly flights.
• Total Market Share: 8.9%
• Fleet size: 19
• Passenger Load factors: 90.0%
• Cancellations: 0.44%

8. What strategies reliance used to enter in this industry:
• Can have low cost
• More services /facilities
• Faster departure and check-ins
• On time flight
• Can create a luxurious airlines segment
Response from existing players:
• They might follow reliance
• Have same facilities like relicense to retain their existing customers
• They can increase their no of flights
• They can provide more offers
• Increase employment and job switching options

9. GENERIC STRATEGY
• Reliance into a new business of airlines .
• Aviation sector is bleeding, Reliance can take a great advantage over it. Reliance
has-
Brand name
Capital and Money
Trust by millions
Experienced and well known creative minds
• As per sources it many bid at a later date with Etihad Airways.
• Help 2 renowned airlines who are drowning - Jet and Indian Airlines and with its
stable and trusted resources , enter up with new business

10. RELIANCE BUSINESS LINES

11. PORTER’S GENERIC STRATEGY-

12. INDIAN MARKET BENEFITS-

13. STRATEGIC CHOICES

15. FUNCTIONAL LEVEL STRATEGIES
• Single type of aircraft for whole fleet this result in
greater flexibility by making use of the same crew
from pilots to flight attendants to the ground force
thereby cutting hiring, training and up gradation costs.
• Single Class Having only Economy class means that it
does not have to spend time, money and crew on
privilege passengers. They also don't need to maintain
expensive lounges at airports further reducing cost.

16. • Other cost-cutting measures :
• Turnaround time - An airline is charged for the duration its aircraft stays
at the airport.
It should have a faster turnaround time (time taken between landing and
the next take-off) of 30
minutes.
• Marketing: Little advertising spend , High reliance on word of mouth
marketing in its early days by establishing a reputation of being a no
frills airline which is always clean and on time.

17. CORPORATE LEVEL STRATEGIES
• Corporate growth With innovative ideas like “check-in counters”
for passengers with only cabin baggage so that instead of
waiting in lines, they can check-in with an official with a
handheld device.
• Engagement with various travel web-portals and collaboration
with hotels will increase its social capital.
• Salary structure : Unbelievably low. Experienced commanders: 3-
4 lacs pm Experienced first officers: 2-2.5 lacs pm New
employees: 1 lac pm Cabin crew: 35-50 k pm Engineering: 75-80
k pm The usual scale for the industry is double the amounts
here.

18. BUSINESS LEVEL STRATEGIES
• No free food & beverages: Guests are most welcome to purchase
food & drinks at an affordable price from our website before the
flight, of from the cabin crew during the flight.
• Assigned seating: Guests receive boarding passes with pre-assigned
seats and are not allowed to request for a seat change unnecessarily.
If the guests have preferences on where or with whom they would
like to seat on the aircraft, they are able to do so by paying a small
sum when checking-in online.
• Ticketless airline. Less hassle for the customer, as guests need not
worry about collecting tickets before travelling. This also allows flight
to keep the costs down (less paper, lower printing and distribution
costs) and continue to offer low fares to our guests.

19. • Online check-in: Guests are highly encouraged to check-in online
so they do not have to waste time lining up at the check-in
counters at the airport. This helps us to improve efficiency and
reduce congestion in the airport.
• Internet sales: The bulk of sales (85%) are done via the airline's
website, whereby the fares are paid using credit cards, debit cards
or via online banking. This is the most cost effective distribution
channel.

20. GROWTH PREDICTED