Air India tests 'Basic' economy fare, unbundles meals on select domestic routes
Tata-owned Air India rolled out a cheaper Basic domestic economy fare, stripping meals while keeping 15 kg checked and 7 kg cabin baggage. The move targets price-sensitive flyers against IndiGo, but analysts warn it risks diluting the premium repositioning built under the Vihaan.AI transformation since 2022.
What happened
Air India launched a new 'Basic' domestic economy fare on select routes, unbundling meals while retaining baggage allowance. Analysts question whether cheaper
Key facts
- 15 kg checked baggage
- 7 kg cabin baggage
- 24 hours pre-purchase
Why this matters
This signals Air India's willingness to fight on price tiers rather than ceding the LCC segment, suggesting partnership or stake conversations should price in a hybrid full-service/budget identity rather than a pure premium reset.