The Birth and Growth Trajectory of Air Arabia


Introduction

The success of every business depends upon its ability to understand the problem that is bugging the customers or consumers at large and then design solutions for it. This solution-oriented product offering is the only one that never goes out of business and is the brand that succeeds in the short run as well as the long run. Companies have to be customer- and market-sensitive to design products that will be successful.

Many companies have been in the market for decades, leaving their legacies, while many other companies have not even survived months or years, and all of this depends on the customer-oriented product of the company. Air Arabia is one such aviation company that has not only withstood the tides of time but is today a brand of renowned disposition in the low-cost carrier (LCC) industry.

Image 1 − Air Arabia logo

In this article, we will be diving deep into the strength and growth trajectory of Air Arabia.

Growth Trajectory of Air Arabia

Air Arabia is a startup owned by the government and is the third airline in the United Arab Emirates (UAE). Air Arabia took off on its first flight in 2003 and had only two leased Airbus A320 jets. Air Arabia started as a Sharaj-based airline. Air Arabia has positioned itself as an LCC and is not planning to change its positioning in the near future either. In 2013, the CEO of Air Arabia, Adel Abdullah Ali, pointed out that his company would always cater to the low-cost market. The motto of Air Arabia is "Pay less and fly more". Air Arabia, as a brand, is focused on helping customers fly as frequently as possible at a far lower price than its competitors, and that too in comfort.

Air Arabia today has more than 100 destinations and is adding new exotic destinations to the list every now and then. Today, Air Arabia has more than 55 aircraft, and the aim is to achieve a much higher level in the future. Air Arabia majorly operates in the Middle Eastern region, the North African region, the Asian region, and others. Air Arabia has been honored with the Low-Cost Carrier of the Year at the Aviation Business Awards for three consecutive years, Skytrax’s World Airlines Awards for the Best LCC in MENA, and many more.

The major rivals of Air Arabia are FlyDubai and FlyNas. Though both brands gave Air Arabia a considerable fight, today both of them are out of the major market of LCC as they started providing their customers with a hybrid model. In this model, FlyDubai and FlyNas started providing their customers with full-service offerings.

Image 2 − The maps shows countries served by Air Arabia from Abu Dhabi (Attribution: WikiPate, Countries served by Air Arabia from Abu Dhabi, CC BY-SA 4.0)

Growth Trajectory of Air Arabia

Low-fare Air Tickets in Every Season

The major motto of Air Arabia as a brand is to provide customers with low-cost flights at every season. Air Arabia, on average, is determined to provide flight tickets at a 40% lower cost than the market. This low price is possible because of the various initiatives of Air Arabia.

For example, Air Arabia foresaw the fluctuations in the fuel price and hence makes it a ritual to hedge fuel in advance so that no immediate fluctuations in price disrupt the air ticket price. Along with this, Air Arabia chose vehicles that have the capacity to carry 162 passengers and also use a universal aircraft model to ensure that the training environment remains low.

Passenger Comfort

Air Arabia offers its customers broad passageways in its flights so that flyers or the customers can move without suffocation and move faster; seats with 18 inches of width to ensure comfort while flying; user-friendly online service that ensures the flyers can board easily; and all other queries are resolved within time. As a result, this reduces turnaround time at the airport and reduces the time the plane is kept in the air.

The crew members of Air Arabia are also well-mannered and dedicated to providing the passengers with the utmost comfort and best service. Air Arabia focuses on ensuring passenger comfort because it understands that a low price might attract passengers once, but comfort is what will keep them.

Best Class of Vehicles

Air Arabia also invests in installing the latest technology that will help them reduce prices as well as quality products that will run for years. Air Arabia made a plucky choice of aircraft from the outset: The Airbus 320, boasting 32-inch seat comfort and the efficiency of having 162 passengers. In 2012, Air Arabia equipped its aircraft with shark-let technology. This technology helps Air Arabia reduce emissions by up to 4% on fuel burn.

New Destinations added to the Flying List

Air Arabia started its operation only in the Middle East and North Africa region but has soon spread its wings in the Asian region and the European region and is always on the lookout for more exotic destinations for its customers or passengers. This ensures that Air Arabia is the choice of transportation whenever the passengers want to fly someplace else. Today, Air Arabia has more than 100 destinations and is building hubs in other continents and countries as well.

Focus on Making the Process Simple and Easy

Air Arabia understood that there was no point in complicating the process. The customer will enjoy their experience with a low waiting line and easy-to-use services. Air Arabia’s online services answer most of the questions that customers might have and facilitate easy online boarding for the flight.

Key Reasons for the Success of Air Arabia

Air Arabia has been successful because of the following reasons:

  • Network expansion strategies

  • Persistent focus on cost control by hedging fuel prices

  • High load on passengers’ comfort

  • world-leading fleet rates.

Conclusion

Air Arabia, as a brand, caters to the low-cost flyer and is doing it excellently. Air Arabia has spread its wings to many destinations, helping commuters fly frequently without a burn in their pocket.

Another thing to appreciate about Air Arabia as a brand is that it is not changing its positioning strategy. It wants to be the best LCC, and Air Arabia is working hard to get this done. Air Arabia as a brand has done excellence and has helped customers solve the problem of costly airfares. Air Arabia today stands with its customers, and its customers and cutters react the same.

Updated on: 02-Aug-2023

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