Advance purchase airfares on several metro routes during Diwali declined 20-40 per cent on a year-on-year basis due to higher capacity and slow pick-up in demand.

A reduction in aviation turbine fuel and growing preference for international trips too are influencing pricing and sales in the domestic market.

According to ixigo, average one-way airfare on the Mumbai-Delhi route, the busiest in the country, dropped 34 per cent to ₹5,762 for travel between October 28 and November 3. This was for tickets booked 30 days in advance.

Similarly, the Bengaluru-Delhi and Hyderabad-Delhi airfares were priced 22 per cent and 32 per cent lower compared with last year. Diwali airfares from metro cities to Kolkata, too, have dropped with the rise in capacity. The sharpest drop was seen on the Bengaluru-Kolkata route, with average fares declining 38 per cent to ₹6,319.

Advance bookings

According to a senior airline executive, advance bookings on the domestic routes are down 5-7 per cent this year resulting in lower prices.

While metro to metro routes, by and large, witnessed a drop, fares rose on routes like Delhi-Patna, Ahmedabad-Delhi, Mumbai-Dehradun, Bengaluru-Jaipur among others. The biggest rise of 33 per cent was seen on the Mumbai-Dehradun route with fares touching ₹15,527.

“Last year, airfares around Diwali had surged due to limited capacity, primarily driven by the suspension of Go First. However, this year we’ve seen some relief as capacity has been added since then, leading to a 20-25 per cent year-on-year dip in average airfares across key routes for the last week of October. The decline in oil prices may have also contributed to this downward trend, offering travellers more affordable options during the festive season,” said Aloke Bajpai, Group CEO, ixigo.

International travel

According to Bajpai, there is a strong preference for international travel over domestic this season, with Thailand, Georgia, Bali, Vietnam and Singapore topping the list. These destinations have recorded a 70-80 per cent in bookings for October.

Tour operator Thomas Cook said there is demand both for domestic and international destinations with many customers opting for longer-duration trips. “Our search volumes have jumped 25-30 per cent. This festive season, customers are willing to increase their holiday spend by 10-15 per cent. Our trend data also reflects demand for longer stays from the traditional three days to 6-15 days,” said Rajeev Kale, President and Country Head (Holidays), Thomas Cook India.

“The upcoming festive weekends of Dussehra and Diwali have fuelled a surge in bookings, with a 10-15 per cent increase in advance reservations compared with previous years. Travellers are opting for destinations where they can combine leisure with traditional festivities, making the most of the extended weekends,” said Sudeep Jain, Managing Director - South West Asia, IHG Hotels & Resorts. Demand uptick is being seen in destinations such as Jaipur, Goa, Jim Corbett National Park and Agra, he said.

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