Why in news?
Indian regional airline Alliance Air launched a pilot scheme called “Fare se Fursat” on 13 October 2025 to offer fixed airfares on select routes. The initiative aims to provide passengers with certainty in ticket pricing, freeing them from the stress of fluctuating fares.
Background
Dynamic pricing in aviation means fares vary based on demand, booking time and other factors. While efficient for airlines, it can deter first‑time flyers and last‑minute travellers. Alliance Air’s fixed‑fare scheme is aligned with the government’s UDAN (Ude Desh ka Aam Nagrik) regional connectivity programme, which focuses on tier‑2 and tier‑3 cities. The pilot will run from 13 October to 31 December 2025.
Key features
- Fixed price: Passengers pay the same fare regardless of booking date. This transparency aims to attract cost‑conscious travellers and encourage air travel in smaller cities.
- Routes covered: The scheme applies to select regional routes served by Alliance Air, including flights between tier‑2 and tier‑3 cities.
- Booking window: Tickets can be purchased at fixed rates throughout the pilot period. The airline hopes the certainty will reduce anxiety over last‑minute price spikes.
- Link to UDAN: By stabilising fares, the scheme complements government efforts to make air travel affordable and accessible to more Indians.
Significance
- Accessibility: Predictable pricing could encourage first‑time flyers from smaller towns, boosting aviation growth.
- Affordability: Fixed fares make budgeting easier for families, students and business travellers who might otherwise opt for rail or road.
- Market test: The pilot will help gauge consumer response and determine whether fixed pricing is financially viable for airlines.
Conclusion
“Fare se Fursat” is a bold experiment in an industry dominated by dynamic pricing. If successful, it could pave the way for similar schemes across regional air routes, making air travel more predictable and inclusive. The results of the pilot will inform future pricing strategies for Alliance Air and other carriers.
Source: The Economic Times