<p>Air India Express has recently introduced 'cabin baggage-only' fares, marking a renewed effort by an Indian carrier to offer lower-priced options by separating the check-in baggage service,<a href="https://indianexpress.com/article/explained/new-offer-from-air-india-express-how-do-hand-baggage-only-fares-work-9174151/" rel="nofollow"> reported </a><em>The</em> <em>Indian Express.</em> </p><p>In 2021, the removal of a regulatory restriction that capped the additional charge for standard 15-kg check-in luggage at Rs 200 opened the door for such fare categories. However, airlines hesitated, anticipating a gradual shift in consumer habits, as Indian travelers were perceived as accustomed to luggage allowances. </p><p>Air India Express's move could serve as a catalyst, prompting other Indian carriers, especially budget airlines like IndiGo, Akasa Air, and SpiceJet, to adopt similar fare structures. </p><p>While the concept of 'Zero baggage' or 'no check-in baggage' fares is well-established in North America, Europe, and Southeast Asia, it hasn't gained traction in India due to various factors, including regulatory limitations.</p><p><strong>How will 'Xpress Lite fares' work?</strong> </p><p>Air India Express has introduced 'Xpress Lite fares' -- essentially 'zero check-in baggage' fares priced lower than regular fares. These fares include a 3-kg complimentary cabin baggage allowance, in addition to the standard 7 kgs, making the total allowance 10 kgs, the publication further reported.</p> .British Airways to double Mandarin-speaking cabin crew on China routes.<p>Passengers can separately pre-book check-in baggage at discounted rates or purchase it at the airport, though at a potentially higher cost. Currently, 'Xpress Lite fares' are exclusively available on the airline’s website and mobile app. Ankur Garg, Chief Commercial Officer at Air India Express, envisions the launch as a new flying approach in India, aligning with global trends.</p><p><strong>How will it benefit the airline?</strong></p><p>Unbundling fares involves breaking down the product or service into separate components, each sold at varying prices. This strategy aims to appeal to price-sensitive consumers by offering diverse combinations of individual features instead of a single, comprehensive package. </p><p>Airlines benefit by maximising profits and attracting passengers willing to forgo certain services for cheaper fares. This approach is especially suitable for corporate travelers on short trips.</p><p>Lower luggage loads contribute to fuel cost savings, and cargo hold space can generate additional revenue by transporting goods. While unbundling is common among low-cost airlines globally, some have shifted to bundled fares, including extras like baggage and meals, to attract less price-sensitive passengers seeking added comfort.</p>
<p>Air India Express has recently introduced 'cabin baggage-only' fares, marking a renewed effort by an Indian carrier to offer lower-priced options by separating the check-in baggage service,<a href="https://indianexpress.com/article/explained/new-offer-from-air-india-express-how-do-hand-baggage-only-fares-work-9174151/" rel="nofollow"> reported </a><em>The</em> <em>Indian Express.</em> </p><p>In 2021, the removal of a regulatory restriction that capped the additional charge for standard 15-kg check-in luggage at Rs 200 opened the door for such fare categories. However, airlines hesitated, anticipating a gradual shift in consumer habits, as Indian travelers were perceived as accustomed to luggage allowances. </p><p>Air India Express's move could serve as a catalyst, prompting other Indian carriers, especially budget airlines like IndiGo, Akasa Air, and SpiceJet, to adopt similar fare structures. </p><p>While the concept of 'Zero baggage' or 'no check-in baggage' fares is well-established in North America, Europe, and Southeast Asia, it hasn't gained traction in India due to various factors, including regulatory limitations.</p><p><strong>How will 'Xpress Lite fares' work?</strong> </p><p>Air India Express has introduced 'Xpress Lite fares' -- essentially 'zero check-in baggage' fares priced lower than regular fares. These fares include a 3-kg complimentary cabin baggage allowance, in addition to the standard 7 kgs, making the total allowance 10 kgs, the publication further reported.</p> .British Airways to double Mandarin-speaking cabin crew on China routes.<p>Passengers can separately pre-book check-in baggage at discounted rates or purchase it at the airport, though at a potentially higher cost. Currently, 'Xpress Lite fares' are exclusively available on the airline’s website and mobile app. Ankur Garg, Chief Commercial Officer at Air India Express, envisions the launch as a new flying approach in India, aligning with global trends.</p><p><strong>How will it benefit the airline?</strong></p><p>Unbundling fares involves breaking down the product or service into separate components, each sold at varying prices. This strategy aims to appeal to price-sensitive consumers by offering diverse combinations of individual features instead of a single, comprehensive package. </p><p>Airlines benefit by maximising profits and attracting passengers willing to forgo certain services for cheaper fares. This approach is especially suitable for corporate travelers on short trips.</p><p>Lower luggage loads contribute to fuel cost savings, and cargo hold space can generate additional revenue by transporting goods. While unbundling is common among low-cost airlines globally, some have shifted to bundled fares, including extras like baggage and meals, to attract less price-sensitive passengers seeking added comfort.</p>