As the airline sector is grappling with the second Covid 19 wave, Wadia -based Go Air has pursued a major growth drive to the network and fleet of aircraft, and has put a lot of effort to strengthen its position as a very competitive, cost-intensive airline on its ultra-low-cost carrier’s model. Go Air believes that the airline is unique with its inherent ultra-low-cost structure, which always stood us well in the industry, as we face temporary headwinds.
“We have also discussed that Go Air is on the way to raise funds to boost its expansion, and we remain confident that Go Air will be pushing a single growth road with the ULCC model, the ULCC model is based on the single-aircraft and engine type with common buyer-furnished equipment providing its Airbus A320 neo aircraft with the lightest and most affordable 186’s high-density seating”, said Kaushik Khona, Chief Excutive Officer of GO Air.
Ben Baldanza, a global professional air carrier as the Vice-Chairman, was also announced by the airline that Badlanza was accredited to revive and take Spirit Airlines publicly in the United States. Go Air was confident that, once the COVID-19 pandemic ends, a highly under-penetrated Indian aviation market is expected to witness a huge rise in demand and will be responsible for a large number of flyers and non-business travelers for the first time as we can already notice a strong growth in small towns Vs railways that choose to travel longer.
“We expected the post-pandemic trend of intermittent holidays or short-term leisure vacationing to increase, while Go Air’s good track record of profitability has been the second driving factor. Because of its network operations to navigate slot constraints, Go Air claims a high aircraft operating rate of 12.9 hours a day and a profitability record before COVID-19. We have been profitable as a cash-positive player from the beginning until 2019 and have closed in 2020. We don’t compromise in Our USP is effective operations. GoAir started to become a profitable player and not just to pursue market share. In retrospect, we think the measured plan of expansion worked in Go Air’s interest”, added Kaushik Khona.
Go Air has become a strong second player and a focus on a slightly more price-sensitive client base, representing the leading player as half of the market share. Go Air is making great bets on its business expansion plans in an ever-changing and yet promising Indian airspace, to further exploit its profitability and agility. Today, despite the difference in fleet size, Go Air operational costs are as low, or even much less than the biggest airline in the country. Go Air will be even more effective as the company’s balance sheet is strengthened and business is expanded.
“Many people exist in the ranks of the company as top management, we think that the average age of middle management and senior management is very healthy at around 8 to 10 years, including some staff with us since the airline started operations. In addition to the frequent exits, the average time of Go Air’s middle management is quite healthy. Because of a couple of senior exits, we think that there is a mistaken perception of the airline as regards senior exits, but this is not a clear perception” stated Kaushik Khona.
