21 Mar 2025
#4 March 2025: India Aviation Newsletter
Air India’s First Retrofitted Aircraft Takes Flight with Upgraded Cabins and New Look
Air India has unveiled its first fully retrofitted narrowbody aircraft, VT-EXN (an A320neo), marking a key milestone in its fleet modernisation initiative. This is the first of 27 inherited A320neo aircraft to receive a complete overhaul, featuring new seats, enhanced cabin interiors, and a three-class configuration. The aircraft also sports the airline’s updated livery. The retrofit, part of Tata Group’s $400 million investment, aims to upgrade both narrowbody and widebody aircraft, improving passenger comfort and ensuring a uniform experience across Air India’s fleet. The project, set for completion by Q3 2025, will see the installation of over 3,500 new Economy Class seats, 600+ Premium Economy seats, and 200 Business Class seats.
IndiGo Partners with Amadeus for Next-Gen Revenue Management System
IndiGo has teamed up with Amadeus to implement its advanced cloud-based revenue management system, Amadeus Segment Revenue Management Flex (SRM Flex). This AI-powered platform will integrate seamlessly with IndiGo’s Navitaire New Skies Passenger Service System (PSS), enabling real-time data exchanges and market-driven pricing decisions. The system offers automation features, reducing repetitive tasks and optimising operational efficiency. With greater steering controls and predictive analytics, IndiGo aims to refine its revenue management strategies for its rapidly expanding network. The collaboration also allows IndiGo to integrate its own data science and machine learning capabilities with Amadeus’ technology to enhance growth and market adaptability.
Acumen’s Take
On Air India’s Fleet Retrofit:
Air India’s transformation under the Tata Group is progressing at an impressive pace, and this fleet-wide retrofit is a crucial step in redefining passenger experience. Upgraded cabins with a three-class layout align Air India with global full-service carriers, helping the airline compete more effectively on both domestic and international routes. The $400 million investment also signals the group’s commitment to elevating Air India’s brand perception and operational standards.
On IndiGo’s Revenue Management Partnership with Amadeus:
IndiGo’s adoption of Amadeus’ revenue management technology is a strategic move to enhance efficiency and responsiveness in an increasingly competitive market. As the airline expands its footprint, an AI-driven, real-time pricing system will be instrumental in optimizing revenue streams and improving passenger load factors. The partnership also highlights the growing role of data science and automation in shaping the future of airline revenue management.
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