New Delhi: Indian and international airlines are increasingly investing in premium cabins as the number of passengers opting for business and first-class travel continues to rise. Companies including Air India, Emirates, and Lufthansa are upgrading interiors, enhancing in-flight services, and expanding business-class seating, with multi-billion-dollar investments aimed at capturing the high-paying traveler segment.
Rising Demand for Premium Travel
In recent years, air travel in India has surged, along with the expansion of domestic and international routes. A notable trend has emerged: Indian travelers on overseas flights are increasingly choosing business and first-class over economy. International carriers servicing India are responding by increasing premium seat availability.
According to aviation analytics firm Cirium, the share of first and business-class seats on India-bound international flights has risen by over 31% in the past two years, with the number of such seats more than doubling compared to 2021. The COVID-19 pandemic had temporarily suppressed business travel demand, but it has since rebounded strongly.
Air India’s Premium Push
Air India, part of the Tata Group, is leading the charge in premium upgrades. Under its $400 million cabin retrofit program, the airline is doubling business-class seating across its fleet. Last month, Air India added a new Boeing 787 Dreamliner and launched a luxurious lounge at Delhi Airport, featuring sleeper suites for long-haul travelers. The airline plans to introduce six more long-haul Dreamliners this year and aims to replicate these lounge facilities at key international hubs like San Francisco and New York.
Emirates Invests Heavily
Emirates is also upgrading its cabins under a $500 billion investment program, introducing enhanced interiors across its fleet. A spokesperson noted, “We’ve observed a major shift in Indian passengers’ preferences for long-haul travel. Comfort, flexibility, and a premium experience are now key priorities. We are gradually rolling out upgraded planes across our network.”
Lufthansa Joins the Trend
German airline Lufthansa will start offering Allegris business-class seats on its Boeing 787 flights to Delhi from July. These fully enclosed suites, featuring sliding doors, are designed to provide a hotel-room-like experience, enhancing privacy and comfort for business travelers.
High Costs, High Returns
Upgrading aircraft interiors is costly for airlines. Business-class seats are heavier and occupy more space, increasing operating costs. However, Air India CEO Campbell Wilson emphasized that premium travelers generate substantially higher revenue per seat. He stated, “We are already seeing benefits on routes like Dubai, New York, and London with newly retrofitted planes. As more upgraded aircraft join the fleet, revenue potential will only improve.”
The trend underscores a shift in Indian travelers’ expectations, with airlines betting on comfort, exclusivity, and superior service to drive profitability in the growing premium travel segment.
Discover more from SD NEWS agency
Subscribe to get the latest posts sent to your email.