Indian carriers are eyeing many of the train travellers. But few have abandoned the tracks for air travel. A large number of people travel by train each year, while 18 million fly. So, it's hardly surprising that airlines are struggling to fill seats.

Experts say positioning is key. Indian carriers have divided the market into low-cost and premium segments. But there's hardly any segmentation. In developed markets like Europe and the US there are more than 2 dozen airlines. And many still fly because they try not to compete with each other

"Easy Jet caters to business traffic. By business traffic, I do not mean CEOs, but small business men for whom cost becomes an important parameter, while Ryan Air has a more leisure focus," said Andrew Miller, Consultant, CAPA.

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