IndiGo to launch business class, loyalty program

India’s largest airline is set to shake off its budget roots and shake up the market with the debut of  business class and a frequent flyers scheme by year’s end.

IndiGo, which holds a 60.6% domestic market share as of April 2024, plans to “redefine business travel in India” according to CEO Pieter Elbers, speaking during the airline’s recent Q4 earnings conference call.

This would be led by the launch of a“tailor-made business product” for a set of key domestic routes which are both busy and business-focused.

“Our premium product will embody the distinct IndiGo essence aligning with our comprehensive strategy,” Elbers promises.

“We believe as India gears up to become the third largest economy in the world, it’s our privilege to provide the New India even more options to choose from as they travel business.”

Elbers also revealed IndiGo’s push for those premium travellers would be accompanied by the debut of an IndiGo loyalty program – another departure from the airline’s long-standing budget roots.

“Considering India’s soaring economy and the evolving aspirations of Indian society, it’s time for IndiGo to redefine premium travel in India,” the airline said in a statement.

India’s business class market is dominated by Air India and Vistara, both owned by the Tata Group.

As previously reported, Air India also has its own new international business class along with first class and premium economy on the way, although reports indicate the US$400m project to refit its Boeing 777 and 787 jets has been pushed back to 2025.

Approached by Executive Traveller, a spokesman for Air India declined to comment on the matter.

In many ways, IndiGo will also seek to reclaim a slice of the market held by Jet Airways before that Mumbai-based carrier collapsed into bankruptcy in April 2019.

No doubt laying the groundwork for its move upmarket, IndiGo recently began styling itself as an “affordable” airline rather than a purely low-cost one.

IndiGo’s business class and loyalty offerings are both expected to be previews in August, when the carrier celebrates its 18-year anniversary.

IndiGo is tipped to opt for two-abreast business class recliners on a number of its single-aisle Airbus A320-family jets.

Also on the way, albeit in 2027, are the first of 30 Airbus A350 jets – where we can expect to see modern 1-2-1 business class flatbeds – as IndiGo spreads its wings to long-range international destinations.