Business class: a new battle in the skies of India

India’s aviation market is the third largest in the world. Indian airlines (Air India, IndiGo and Akasa Air) have over a thousand aircraft yet to be delivered, clearly indicating that the domestic market will grow in the coming years.

With the constant growth in air traffic, the aspiration of Indian passengers to travel in greater comfort is also increasing. Travellers are now opting to travel in more style and comfort and many also prefer to fly in business class seats.

Till last week, Air India and Vistara were at the top when it came to offering business class seats on both domestic and international flights to their passengers. However, India’s largest airline in terms of market share and fleet size, IndiGo, has also joined the trend.

IndiGo last week announced the launch of ‘IndiGoStretch’‘, a tailor-made business product. From mid-November, IndiGo passengers will be able to enjoy Business Class seats. In the initial phase, the seats will be available on around 12 aircraft connecting Delhi to other metropolitan cities.

Comparison: Air India vs Indigo

IndiGo has selected R5 recliners from Recaro Aircraft Seating, while Air India flights feature MiQ seats from Collins Aerospace.

One of the major differences between the seats offered by IndiGo and Air India is the configuration of the seats. While IndiGo Stretch will be available on A321NEO aircraft with a two-class configuration, Air India offers Business Class on A320neo aircraft with a three-class configuration.

The seat pitch offered by IndiGo is 38 inches, while Air India offers 40 inches. IndiGo’s business class seats recline by five inches, while Air India’s recline by seven inches.

On the other hand, there is not much difference between the two airlines when it comes to seat width, with IndiGo offering 21.3 inches and Air India offering 21 inches. Both airlines also offer in-seat charging ports, electronic device holders, and adjustable headrests.

However, only Air India’s seats have footrests and a footrest. The Tata Group airline has eight business class seats, while IndiGo’s cabin will offer 12 seats. Currently, none of IndiGo’s aircraft have business class cabins, while Air India has 58 aircraft.

Read also: Why Indigo’s launch of a business class confirms its strategic shift

IndiGo plans to have 45 aircraft with new business class cabins by December 2025 and Air India is targeting 94 by June 2025. The ninety-four aircraft include 53 incoming Vistara aircraft and 41 refurbished Air India A320 aircraft.

Tata’s Air India also has an edge when it comes to the number of routes on which Business Class cabins are available. Currently, Air India offers Business Class services on 71 routes, including metro-to-metro and metro-to-non-metro routes. IndiGo, on the other hand, plans to offer its Business Class only on 12 routes by December 2025.

Air India offers its business class passengers hot meals with both vegetarian and non-vegetarian options, while IndiGo offers only cold vegetarian boxed meals.

Both airlines offer priority check-in, priority boarding, priority baggage handling and benefits under the frequent flyer program (IndiGo – BluChip) and (Air India – Flying Returns).

Air India also offers complimentary lounge access at all airports, something that is not available on IndiGo’s offering.

In terms of ticket prices, IndiGo offers business class tickets starting from ₹18,000 and Air India tickets start from ₹21,500.

Sanjay Lazar, CEO of Avialaz Consultants and an aviation expert, saw the arrival of IndiGo’s premium wide-body aircraft over 18 months ago. According to him, it is a game-changer in the sense that it is a premium class without being a full-fledged business class.

“It will exponentially expand the 6E market and increase its offering. It will also serve as the basis for its more premium business offering, which will likely follow the XLR and Airbus 350 in 2026/27.”

Lazar added that the current price of the Indigo Stretch is 30% lower than the business class of Air India and Vistara and is perfect to attract the economy and premium economy classes.

Aviation expert is of the view that Air India’s business class product is a luxury product with hot food, lounges, IFE, cold towels etc. while Indigo’s product will be a value for money (VFM) utility product.

“It’s like a Rolls Royce and a Volvo/Audi. In our view, one does not compete with the other. Air India and Vistara have their own clientele. They will be merged into one group, whose passengers would not opt ​​for the 6E segment unless there was no other alternative.”

Lazar foresees a price war likely. He believes both carriers will do very well and customers will have more choice. “Who knows, maybe a business class fare war could even drive down business class ticket prices for the traveler.”