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GMG business perks up on better service

The lone private airline secures 40pc domestic market in five years

M SHAMSUR RAHMAN
GMG Airlines, which completed five years of operation this year, now boasts 40 per cent share in Bangladesh's domestic market, proving better service boosts business.
Starting its journey on April 6, 1998, the lone private airline is still waiting for permission to operate international flights before it actually counts profits.
"The journey had not been very easy for us," said GMG Airlines Managing Director Shahab Sattar in an interview with The Daily Star on Saturday.
Two other airlines, which kicked off during the time GMG took off, have now ceased their operations.
He said in 1972 the number of passengers in domestic route was 3,20,000 and before the GMG launched its operation in 1998 the number was around 3,60,000 a year.
But now the total number of passengers flying in the domestic routes has increased to almost 6,00,000 without the national flag carrier Biman Bangladesh Airlines losing a single passenger to GMG.
"Rather, the with the presence of GMG, passenger traffic of Biman also marked slight improvement," Sattar said
He, however, finds Biman's 'distorted' fare structure to be an impediment to growth of the private carrier.
"It is only recently we see some progresses in the rationalisation of fare structure of the national carrier," Sattar said.
He said after the September 11 attack on the US, all the airlines now require paying 70 per cent extra in insurance premium with additional surcharge on every passenger.
"So, when we have to count all those expenses, Biman is continuing operation in the domestic routes without effecting the fare much as it is covering up the costs from the revenue it generates from the international flights," the managing director said.
Despite the odds, Sattar attributes the success of GMG Airlines to its philosophy of being committed to 'First Class All the Way', which helped it to achieve its goals, objectives and strategies. "We believe in the concept of flying passengers rather than flying aircraft. So, our focal point is customers."
Sattar said in line with the commitment, his company selected Canadian Dash 8 turbo propelled aircraft costing
around US$ eight million despite having option to go for cheaper east European aircraft which cost only US$500,000 to 600,000. "But we could not compromise."
"We also decided to sell tickets through our own nationwide network of sales offices located in permanent locations instead of appointing general sales agent (GSA) only to maintain our high standard," Sattar said.
Since inception GMG Airlines is working steadily and slowly to evolve into a world-class international airline, he added.
"Exemplary service and innovative thinking pervade all aspects of a flight with GMG Airlines. It is our sincerest effort to seek growth through selfless service to all our customers at all the stages - First Class All the Way," the managing director said.
He said the airline is now banking on with the hope of getting to operate flights internationally.
He said once allowed to operate flights outside Bangladesh, GMG will be able to prove that it can grow the market without affecting Biman's businesses.
GMG Airlines presently operates with three Dash 8 series aircraft connecting daily Dhaka to six other cities within Bangladesh with frequent and conveniently timed flights at regular intervals.
The destinations where GMG, which operates 32 flights everyday, presently flies to are Chittagong, Sylhet, Jessore, Rajshahi, Barisal and Cox's Bazar.