Twenty years of SpiceJet: The no-frills airline’s journey by way of many highs and lows | Mint

SpiceJet marks its twentieth anniversary on May 24, 2025. From its modest beginnings in 2005 to turning into a family identify in Indian aviation, the airline’s journey has been nothing wanting turbulent — stuffed with speedy progress, intense competitors, monetary turbulence, and resilience. However, the truth that SpiceJet began sooner than IndiGo, and IndiGo is now over 12 instances its dimension, speaks loads in regards to the missed alternatives of SpiceJet. On the opposite hand, SpiceJet is without doubt one of the two carriers (the opposite being IndiGo) which has managed to outlive as a few years with the likes of Air Deccan, Sahara, Jet Airways, Kingfisher Airlines and Go Air not capable of maintain the Indian aviation panorama, other than many different smaller gamers.

Taking off: The early years

SpiceJet took to the skies on May 23, 2005, with its first flight from Delhi to Ahmedabad. The airline was fast to increase and search for routes, each continuous and one-stop, which have been immensely common. Its catchy tagline, “Red.Hot.Spicy” set the tone for a daring and energetic model within the making. It held some prime spots at main airports and supplied aggressive fares.

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The airline grew quickly within the late 2000s, increasing its fleet and including new routes throughout India. However, like many carriers within the fiercely aggressive Indian aviation sector, SpiceJet confronted its share of headwinds — rising gas prices, regulatory hurdles, and worth wars took a toll.

The pivot

In 2010, it modified arms from Ajay Singh to Kalanidhi Maran of the Sun Group. The growth noticed the airline give attention to Chennai, transfer from a single fleet sort to twin class, with the Bombardier Q400 turboprops being inducted. The airline was on the cusp of a significant growth, planning growth with Blue Ocean Strategy. However, a debt-free firm in 2011, the airline piled up debt shortly as a consequence of rising oil costs and market headwinds, coming to a close to standstill in December 2014, grounding its fleet and alarming buyers and passengers alike.

Ajay Singh returned to the helm as white knight, orchestrating a dramatic turnaround. Under his management, the airline renegotiated leases, reduce prices, and refocused on worthwhile routes. SpiceJet started to stabilise and even diversify, venturing into cargo (SpiceXpress) and regional connectivity underneath the UDAN scheme, which was introduced in 2016. The tailwinds seemed beneficial as soon as extra with the airline inserting an order for the MAX plane with Boeing and being the second in India to take supply. This would have set the airline on a distinct course with fleet renewal firmly in place and an MoU with none apart from Emirates as a codeshare companion. Its regional arm helped join underserved Tier-II and Tier-III cities, in alignment with the federal government’s imaginative and prescient for accessible air journey.

The excessive level

The fall of Jet Airways was a excessive level of types for the airline, which noticed a direct alternative to cut back to 2014 ranges and transcend in the end of time. With Jet Airways planes grounded in India, the lessors discovered a white knight once more within the type of SpiceJet, which took 30 of former Jet Airways planes, together with pilots. This was adopted by Vistara including these former Jet Airways planes and crew. It turned a win-win state of affairs for everybody, the lessors, the employees and the airports. The authorities linked slots of Jet Airways to further capability, and by the tip of 2019, inside months of the autumn of Jet Airways, the Indian skies have been buzzing once more with planes nonetheless exhibiting remnants of Jet Airways livery and crisscrossing the nation. This additionally coincided with the grounding of MAX after two lethal crashes.

Pandemic and restoration

What appeared like a masterstroke turned the backbreaker for SpiceJet. It clearly was attempting to gulp greater than it may well chew however was the chance which was introduced. However, lower than a yr after the autumn of Jet Airways and SpiceJet taking as a lot legal responsibility within the type of new planes and extra employees, the pandemic hit which grounded aviation in India and internationally.

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The airline hardly managed to return out of this hit, with the financials being even worse than what 2014 had in retailer for the airline. The airline was hit by court docket circumstances together with liquidation petitions filed by lessors and others.

Looking forward

The airline has recovered partially by monetising SpiceXpress, the cargo arm, and attracting investments price INR 3,000 crore final yr from a number of buyers. However, its market share has remained under 5 per cent in a market which has greater than doubled since 2014, when it hit its first main setback. New entrants like Akasa Air have managed to have a bigger presence at key airports. The newly raised funding has helped the airline retire some debt, however it’s nonetheless struggling to get the capability within the air because it had as soon as thought and dedicated it might.

Sustenance has been the primary aim for the airline, and it might hope that the bottom stays robust to construct on it with none exterior shocks this time round.