Air India Rebranding: How Tata-Owned Airline Can Change The Future Of Indian Aviation Industry?

Tata-owned Air India is poised to reshape India's aviation landscape with a multi-pronged impact on different sections of the industry; read on for more details.

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Air India, owned by the Tata Group, stands as a significant player in the aviation industry. Established by JRD Tata in 1932, this venerable airline is charting a course toward a new era. The transformations initiated subsequent to Tata Sons' acquisition of the airline from the government are poised to create a substantial impact on the aviation landscape. In this article, we analyze the factors that have the potential to reshape the future of one of the globe's fastest-growing aviation sectors, despite challenges such as escalating aviation fuel costs and emerging competitors.

Air India Merger

The amalgamation of Air India and Vistara (a joint venture of Tata Sons and Singapore Airlines) will have an impact on the entire ecosystem of the Indian aviation industry. While the airline amplifies its presence in the global market with an expansion on long-haul and ultra-long-haul routes, the merger will increase turbulence for domestic rivals. Furthermore, it is expected to be the dawn of the duopoly of Air India and IndiGo (India's largest airline in terms of passenger volume).

Historic 470 Aircraft Order

Air India struck the biggest deal of placing an order of 470 aircraft from Airbus and Boeing. The purchase includes 210 Airbus A320/321 Neos and 190 Boeing 737 MAX single-aisle aircraft in addition to 40 Airbus A350s, 20 Boeing 787s, and 10 Boeing 777-9s widebody aircraft.

The historic order holds the key to a myriad of expectations for the Indian aviation industry. It is expected to aid the growth of the Indian aviation industry. Furthermore, once the airline acquires the aircraft it will be able to serve a larger consumer base which is the need of the hour. As per a report, only 40 percent of the total Indians travelling on International routes are transported by Indian airlines.

New Brand Identity

Air India had declared that it would be undergoing a comprehensive makeover as part of its Vihaan.AI program in order to acquire consumers' trust and enhance services through improved on-time performance and other relevant elements. The new brand identity with the new logo and livery reaffirms the commitment.