IndiGo

History

IndiGo was founded in 2006 as a private company by Rahul Bhatia of InterGlobe Enterprises and Rakesh Gangwal, a United States-based NRI. InterGlobe had a 51.12% stake in IndiGo and 47.88% was held by Gangwal's Virginia-based company Caelum Investments. IndiGo placed a firm order for 100 Airbus A320-200 aircraft in June 2005 with plans to begin operations in mid-2006. IndiGo took delivery of its first Airbus aircraft on 28 July 2006, nearly one year after placing the order. It commenced operations on 4 August 2006 with a service from New Delhi to Imphal via Guwahati. By the end of 2006 the airline had six aircraft and nine more aircraft were acquired in 2007. In December 2010, IndiGo replaced state-run carrier Air India as the third largest airline in India, behind Kingfisher Airlines and Jet Airways with a passenger market share of 17.3%.

In 2011, IndiGo placed an order for 180 Airbus A320 aircraft in a deal worth US$15 billion. In January 2011, after completing five years of operations, the airline got permission to launch international flights. The airline launched international services in September 2011. In December 2011, the DGCA expressed reservations that the rapid expansion could impact passenger safety.

In February 2012, IndiGo took delivery of its 50th aircraft, less than six years after it began operations in 2006. For the quarter ending March 2012, IndiGo was the most profitable airline in India and became the second largest airline in India in terms of passenger market share. On 17 August 2012, IndiGo became the largest airline in India in terms of market share surpassing Jet Airways, six years after commencing operations.

In January 2013, IndiGo was the second-fastest-growing low-cost carrier in Asia behind Indonesian airline Lion Air. In February 2013, following the announcement of the civil aviation ministry that it would allow IndiGo to take delivery of only five aircraft that year, the airline planned to introduce low-cost regional flights by setting up a subsidiary. Later, IndiGo announced that it planned to seek permission from the ministry to acquire four more aircraft, therefore taking delivery of nine aircraft in 2013. As of March 2014, IndiGo is the second-largest low-cost carrier in Asia in terms of seats flown.

In August 2015, IndiGo placed an order of 250 Airbus A320neo aircraft worth $27 billion, making it the largest single order ever in Airbus history. IndiGo announced a ₹3,200 crore (US$480 million) initial public offering on 19 October 2015 which opened on 27 October 2015. As of October 2016, it is the largest airline in India in passengers carried with a 42.6% market share.

Corporate affairs and identity

IndiGo is headquartered in Gurgaon, India.

Logo and livery

Twenty dots arranged in the shape of an aircraft serves as the logo of the airline. The airline uses a two tone blue livery on a white background with the belly of the aircraft painted in Indigo with the logo in white. The flight attendants wear a single-piece navy-blue tunic with a cap and a thin indigo belt designed by fashion designer Rajesh Pratap Singh and make-up artist Ambika Pillai. The airline has the tagline on-time focusing on punctuality.

Operations

IndiGo became one of the fastest growing low cost carriers in the world and was the largest profitable airline in India. The success of IndiGo has been attributed to its unique business model which reduces costs. The airline operates a single type of aircraft (Airbus A320) in similar seating configuration which simplifies crew training and maintenance. The airline strikes bulk deals with Airbus reducing unit costs. The airline targets a quick turn-around time of 20 minutes to get the aircraft ready for the next flight, ensuring planes fly about 12 hours every day. Employees share multiple roles with a check-in staff doubling as a baggage handler.

Destinations

As of March 2016, IndiGo operates 818 daily flights to 45 destinations, 39 in India and 6 abroad. Its main base is located at Delhi, with additional bases at Bangalore, Bhubaneswar, Chennai, Hyderabad, Kolkata, Mumbai and Nagpur. In January 2011, IndiGo received a license to operate international flights after completing five years of operations. IndiGo's first international service was launched between New Delhi and Dubai on 1 September 2011. International services were later expanded to serve Bangkok, Singapore, Muscat, Kathmandu and Sharjah. The airline is considering launch of flights to Kunming, China.

Fleet

In order to reduce operational overhead, IndiGo operates only the Airbus A320 family of aircraft in its fleet. As of 28 February 2017, IndiGo operates the following aircraft:

Fleet developments

IndiGo placed an order for 100 Airbus A320-200 aircraft worth US$6 billion in June 2005 during the Paris Air Show with plans to commence operations in mid-2006. The airline received its first A320 in July 2006 and planned to induct 100 aircraft by 2015–2016. IndiGo signed a memorandum of understanding for an additional 180 Airbus A320 aircraft including 150 with the New Engine Option (NEO) worth US$15 billion on 11 January 2011. In 2012, the airline took delivery of its 50th aircraft and the 100th aircraft was delivered on 4 November 2014, completing its initial order ahead of schedule.

The Airbus A320neo family aircraft ordered in 2011 were to be delivered starting 2015. However, due to a delay in the production and delivery of these aircraft, IndiGo dry-leased a total of 22 used aircraft to cope with the demand. On 15 October 2014, IndiGo expressed its intention to order a further 250 A320neo aircraft worth US$25.7 billion at list prices. On 15 August 2015, IndiGo confirmed the order for 250 A320neo aircraft for $26.5 billion. The order also provides IndiGo the flexibility to convert some A320neos to A321neos that can seat more passengers and fly on longer routes. The order of 250 jets was Airbus' single largest order by number of aircraft. Indigo received the first A320neo in March 2016.

Services

Being a low-cost carrier, IndiGo offers only economy class seating accommodating 180 passengers per aircraft. To keep fares low, IndiGo does not provide complimentary meals in any of its flights, though it does have a buy-on board in-flight meal programme. No in-flight entertainment is available and Hello 6E is the in-flight magazine published by IndiGo. IndiGo offers premium services, where the passengers can avail additional benefits like a pre-assigned seat, multiple cancellations and priority check-in at a higher fare. Indigo also has a In-Flight Shop in which you can buy models and other daily use items.

Awards and achievements

IndiGo has won the following awards: