Deccan to serve up hot meals on board

Deccan to serve up hot meals on board
17 Jul, 2008, 0502 hrs IST,Nirbhay Kumar, ET Bureau

NEW DELHI: Trust UB Group chairman Vijay Mallya to swim against the tide. At a time when airlines are cutting corners to save every penny, low-cost airline Deccan (formerly Air Deccan) plans to serve meals on board at a subsidised rate of Rs 40, less than what you may pay at a downtown restaurant!

Till it was acquired by Kingfisher, India’s first budget carrier of India did not even provide free water to its customers. In line with its no-frills strategy, Air Deccan was carrying only dry snacks (sandwich, samosas) to ensure quick aircraft turnaround.

The latest move contrasts sharply with aggressive cost-cutting by several airlines, which have even stopped giving candies that cost next to nothing. The move is part of Mr Mallya’s plan to convert Deccan into a value carrier.

From August, Deccan passengers can enjoy complete meals, breakfast, lunch or dinner on board, with desserts and hot coffee. They can also check in at Kingfisher’s airport counters and use its AC buses, instead of Deccan’s non-AC buses, to transit between the terminal and aircraft. In several ways, Deccan will no longer be the country cousin of Kingfisher.

Due to rising jet fuel prices, airlines have been cutting costs in every possible way, including replacement of steel cutlery with plastic stuff and reduction of water meant for the lavatory tank so that fuel consumption could be reduced. Many airlines have also been reducing capacity and downsizing manpower to contain losses.

“We will offer complete meals from August 1 to our passengers at a very subsidised rate between Rs 40 and Rs 100, depending upon the variety. Our plan is to offer Deccan customers on-board food choices at a small extra cost. We would offer south Indian and north Indian food to the passengers.

Basically, the idea is to introduce services for Deccan passengers in Kingfisher style,” Kingfisher Airlines executive vice-president Rajesh Verma told ET. “This won’t have much effect on the bottomline of the company,” he added. Low-cost carriers such as SpiceJet and IndiGo sell sandwiches on board at more than Rs 50 a portion.

Mr Mallya acquired Deccan last year to become the second-largest domestic airline company by market share. The move to offer meals is aimed at enhancing its position. The Naresh Goyal-owned Jet Airways-JetLite combine commands a largest market share of 29% in the domestic skies, while the Kingfisher-Deccan team has 27% share.