Case Context

Company Background

Indigo Airlines is India's largest airline by market share (58.8%) and fleet size. Founded in 2006, it operates a low-cost carrier model with a focus on operational efficiency.

Metric	Indigo	Industry Average
Fleet Size	300+ aircraft	45 aircraft
Daily Flights	1,900+	280
Load Factor	85.2%	78.5%
On-Time Performance	88.2%	75.3%
Average Fare (INR)	3,850	4,200

The Challenge

Despite strong operational metrics, Indigo's revenue per available seat kilometer (RASK) has declined by 8% over the past year. The CEO has asked you to develop a comprehensive fare optimization strategy to improve profitability while maintaining market leadership.

Key Issues:

Intense price competition from new entrants
Rising fuel costs (up 23% YoY)
Varying price sensitivity across routes
Suboptimal yield management system

Select Your Framework

Revenue Optimization

Focus on price discrimination, yield management, and ancillary revenue streams

Cost-Plus Pricing

Analyze cost structure and set prices based on target margins

Competitive Response

Benchmark against competitors and develop differentiated pricing strategy

Information Gathering

You have the opportunity to ask 3-5 clarifying questions. Choose wisely - each question will reveal different data paths.

Available Questions:

Quantitative Analysis

Calculations

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Your Analysis

Strategic Insights

Key Insights (Identify 2-3)

Final Recommendation

You have 60 seconds to present your recommendation to the CEO. Structure your response with:

Clear recommendation statement
Supporting data from your analysis
Implementation roadmap
Risk mitigation strategies

Your Recommendation

Case Complete!

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Final Score

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Percentile

Indigo Airlines Fare Strategy