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AI to carry ads on aircraft, tickets to boost income
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Print Flag carrier Air India, reeling under accumulated losses and loans of around Rs 67,520 crore, is planning to carry advertisements on its aircraft to mobilise extra revenue.
“We have plans to allow advertisers to put up ads on the aircraft. Ads can be placed on the tail or the hull of the aircraft,” a highly placed source in the national airline told IANS.
The airline is looking to earn between Rs 5 and 20 lakh per aircraft per month for an advertisement. More than one advertisement, it hopes, would raise the monthly earnings to Rs 40 lakh per aircraft.
AI currently has 111 aircraft in its fleet and this revenue is expected to ease off the carrier’s financial stress.
“The revenue from this segment depends on the kind of advertisement customers want to place on the aircraft. Most ads in the industry come for aircraft operating on the domestic sector as there are more stopovers, which increases visibility,” said the source.
The airline is, however, more bullish on the in-flight advertisements and claims that it has received many queries for the same as this kind of advertisement has an assured visibility.
“The passengers may or may not see the advertisement on the aircraft body. But they will definitely see it (advertisements) on the panels, bins, screens, pillows and seat covers.”
The airline is also considering creating advertisement space on its tickets, boarding passes and bag tags.
Air India expects substantial revenue addition from the advertisement space on some 22 million per annum boarding passes.
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