SpiceJet launched seven new domestic routes this week, six of which have no rivals at the moment. Three additional services will be available in Bhavnagar, Gujarat, as well as new flights to Gwalior, Ajmer, and Varanasi. Next week, SpiceJet will launch a new Pune-Tirupati route. Let's look at it more.
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SpiceJet has announced seven new routes, according to Mint, with flights beginning this week. The majority of the new routes originate in the low-cost carrier's new base in Bhavnagar, Gujarat, from where flights to New Delhi, Mumbai, and Surat will begin. These routes are covered by the government's UDAN-RCS (regional connectivity scheme), which provides subsidies to airlines for flying to specific locations.
SpiceJet is also expanding into new regions around the country. The airline is operating the first direct flight from Pune to Tirupati, Andhra Pradesh's busiest shrine city. Varanasi to Dehradun, Gwalior to Jaipur, and Kishangarh/Ajmer to Mumbai would all have new links.
SpiceJet will use its 29-passenger De Havilland Canada Q400s in the new markets, as previously stated. In an all-economy 2-2 configuration, the turboprops accommodate 78 people.
Pull and push
While SpiceJet has added dozens of additional routes, the future of many of them remains uncertain. Due to poor passenger demand and losses, the carrier has withdrawn out of all routes from Vijaywada and the Silchar-Chennai route in the previous week. More routes may be canceled in the near future as the carrier suffers from weak finances and significant losses.
Despite the difficulties, the airline is still attempting to establish new, potentially profitable routes under the government's UDAN program. Subsidies (including cash) and reasonably high domestic demand may just be enough to cover the huge costs of adding new destinations. This week's flights, with the exception of one (Bhavnagar-Mumbai), are the only direct connections available.
As Indian aviation rebounds from a disastrous second wave in the spring, SpiceJet has launched over two dozen new flights since July. MD Ajay Singh said in a statement,
SpiceJet is launching 14 new flights, including 12 industry first flights – Bhavnagar-Delhi, Bhavnagar-Surat, Gwalior-Jaipur, Kishangarh (Ajmer)- Mumbai, Pune-Tirupati, and Varanasi-Dehradun – as part of its commitment to improving regional connectivity and put smaller cities on the country's aviation map.
Problems
SpiceJet's expansion might be jeopardized, despite a robust regional network and slot allocation at major airports. This is owing to legal difficulties with de Havilland Canada, which has been given permission to cancel its Q400 purchase and may sue the airline for millions of dollars in damages if the planes are not delivered. Competitors are rapidly closing in on SpiceJet's leading market because of a lack of consistent regional aircraft.
