Vistara to Cease Operations: Final Flight Date Announced
Despite the dreams of its committed fan following, Vistara's much-anticipated merger with Air India has come to an end.
Vistara’s highly anticipated merger with Air India has reached its final chapter. Despite the hopes of its dedicated fan base, the airline will cease to exist in its current form starting November 12, 2024.
The long-expected merger was cemented by Air India’s acquisition, which included Vistara, Air India Express, and Air India’s stake in SATS.
Gradual Transition: Air India Livery and Branding Changes:
While Vistara’s last flight under its brand is November 12, the visual transition will be gradual. Changing the aircraft livery is time-consuming, so passengers may continue to see Vistara’s branding on aircraft for some time. However, airport counters, digital touchpoints, and boarding gates will soon reflect Air India’s colors and branding.
Merger Inevitable: Strategic Decisions Amid Challenges:
The merger’s inevitability became clear after Air India’s successful bid and the financial realities facing Vistara. Singapore Airlines, a joint venture partner in Vistara, faced significant challenges, including the financial strain of the pandemic and government bailouts.
Vistara had not achieved operating profits in any quarter since its inception, making the merger a necessary strategic decision.
Service Levels: Concerns of Vistara Loyal Customers:
One of the major concerns among Vistara’s loyal customers, particularly premium travelers, is the potential decline in service quality after the merger.
Vistara was widely appreciated for its food and service, setting high standards in the Indian aviation industry, especially following the fall of Jet Airways.
Despite Air India’s efforts to scale up and address aircraft issues, gaps in service levels remain evident, particularly in packaging and offerings.
A New Era for Indian Aviation:
As Vistara’s identity merges with Air India, India’s aviation landscape is set for significant change. While the merger aims to create a stronger, more competitive airline with a 30% market share, passengers accustomed to Vistara’s distinct service excellence will closely watch the transition.
