Air India Consolidation Nears Completion as AirAsia India and Air India Express Systems Integrate

Air India has taken a significant step towards the consolidation of its airline entities by integrating the reservations system and customer interface of its two low-cost subsidiary airlines – Air India Express and AirAsia India. According to a statement by Air India, both low-cost airlines moved to a single, unified reservations system and website, adopting common social media and customer support channels on 27 March. The process mainly involved Air India Express migrating to the systems used by AirAsia India.

Air India

Passengers can now make and manage bookings, and check-in to AirAsia India and Air India Express domestic and international flights on an integrated website – airindiaexpress.com. AirAsia India was fully acquired and made a subsidiary of Air India five months ago, and both AirAsia India and Air India Express were placed under a single CEO three months ago. Going forward, the airlines plan to integrate other internal systems and eventually their air operating permits and regulatory posts.

Air India CEO & MD, Campbell Wilson, hailed the integration of the core reservations and passenger-facing systems as a significant milestone in the company’s transformation journey. Wilson added that the new Air India Express operating domestically and internationally using systems optimized for low-cost airlines gives the Group a much stronger LCC platform.

Integrating Air India Express and AirAsia India will bring revenue, cost, and operational benefits through broader adoption of each airline’s best practices, systems, and routes, and confer greater economies of scale, according to the company.

Tata Sons is currently in the process of consolidating its airline entities Vistara, AirAsia India, and Air India Express under Air India. This strategic move will enable Air India to become the second-largest airline in India in terms of both fleet and market share.

The integration process between Vistara and Air India began last month, signaling a swift merger process between the two airlines.

In 2022, Singapore Airlines (SIA) and Tata Group announced the merger between Air India and Vistara, in which SIA would hold 25.1% of the combined entity. Vistara is a joint venture between Tata Group and Singapore Airlines, with the former holding a 51% stake and the latter holding a 49% stake.

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