AI may turn billboard, eyes `100 cr from ads
PLANE CANVAS Airline mulls selling advertising space on its boarding passes, baggage tags and even the whole craft
NEW DELHI: State-run ailing Air India, which is trying to turn profitable in adhering to the government-approved Turnaround Plan (TAP), is looking to aggressively ramp up collection from non-ticket sources to `100 crore.
AI’s revenue from such sources (also known as ancillary revenue) stood at `20 crore in 2014, according to the airline’s presentation made to the aviation ministry.
In its efforts, AI has identified around 40 media options, including advertisements on boarding passes and baggage tags, on-ground and on-board advertising (wrapping the aircraft, overhead bins, snack boxes), website branding and selling advertisement space at prominent AI offices.
AI has also prepared a list of “no-go” items for advertising such as liquor, cigarettes, lingerie and online travel agents among others.
“AI has vast resources at hand, which need to be optimally utilised. It needs to think out the box,” said aviation expert Subhash Goyal.
AI also aims to increase ads both on its website,that registers an average of 60,000 hits a day, as well as in calls received at call centres. AI’s call centres receive close to 9,000 calls per day.
The state-owned national carrier has plans to rent out space for signages on its prime properties. According to the presentation, AI has 58 properties in India and seven abroad, for which title deeds are readily available. “This won’t cost the airline a single penny. The revenue generated will vary across cities depending on the location and the footfalls at the booking office. All required permissions will be obtained by the advertisers,” said an AI official.
According to AI estimates, advertising revenue from the iconic Nariman Point building in Mumbai alone would be around `4 crore a year, while other prime properties would fetch around `2 crore annually.