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Lion Air

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Lion Air

Rusdi Kirana, Group CEO
Rusdi Kirana
Group CEO
Airline Status
In-service
IATA Code
JT
ICAO Code
LNI
Corporate Address
Jl. Gadjah Mada No.7, Jakpus, Jakarta Raya, Indonesia
Website
http://www.lionair.co.id
Main hub
Jakarta Soekarno-Hatta International Airport
Country
Indonesia
Business model
Low Cost Carrier
Network
Domestic | International
Airline Group
Part of Lion Group
Frequent Flyer Programme
Lion Air Passport Club
Association Membership
Indonesian National Air Carriers Association (INACA)

Lion Air is an Indonesian low-cost carrier based at Jakarta-Soekarno-Hatta International Airport. Commencing operations in 2000 and based in Jakarta, Lion Air is the largest privately-owned airline in Indonesia. The LCC operates a network of scheduled passenger services throughout South East Asia and the Middle East.

Location of Lion Air main hub (Jakarta Soekarno-Hatta International Airport)

LCCs will continue to evolve into hybrids of the original core model. CAPA and OAG consider Lion Air fits the LCC profile and it is included in our reporting on this basis. Please note: when reporting for an airline is changed from or to LCC the historical data is not affected and it can lead to a distortion in the current reported data. Contact us if you have any queries.


 
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705 total articles

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102 total articles

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Lion Group expands fleet by 16 aircraft in 1H2016, surpassing the 250 aircraft milestone

7-Jul-2016 2:23 PM

Indonesia-based Lion Group expanded its fleet by 16 aircraft in 1H2016, cementing its position as the largest airline group in Southeast Asia. Lion now has a fleet of more than 250 aircraft while its rival AirAsia – the region’s second largest group – has under 200 aircraft based in Southeast Asia.

However a net gain of 16 aircraft over the last six months marks a slowdown for Lion. The group’s fleet grew by 59 aircraft in 2015 and 39 aircraft in 2014.

None of Lion Group’s five airline subsidiaries or affiliates added more than five aircraft in 1H2016, resulting in relatively modest capacity expansion. The rate of expansion will likely pick up in 2H2016 but not approach previous levels.

Garuda Indonesia Part 3: new domestic strategy is to slow Garuda growth, accelerate LCC Citilink

22-Jun-2016 9:36 AM

Garuda Indonesia is slowing its domestic expansion at its main full service brand while accelerating domestic expansion at the LCC subsidiary – Citilink. Garuda is considering the transfer of secondary leisure-focused domestic routes to Citilink and for the first time may start codesharing with its sister airline, which until now has focused on operating alongside Garuda on trunk routes.

The Garuda group has tweaked its domestic strategy in response to both intensifying competition from the Lion Group subsidiary Batik Air, and an overall slowdown in domestic growth. Batik is a full service airline but has impacted Citilink as its fares are generally priced only slightly above Citilink's fares, and significantly below those of Garuda. Citilink slipped back into the red in 1Q2016 after six consecutive profitable quarters.

Citilink is essentially now sandwiched between Lion, which generally has the lowest fares in Indonesia, and Batik. Garuda believes that it needs to respond by expanding Citilink rapidly, resulting in market share gains and lower unit costs as it starts to achieve better economies of scale.

LCC models in Southeast Asia evolve as growth slows, though outlook remains bright

2-Jun-2016 3:09 PM

Southeast Asia’s LCC sector is entering a new phase, after experiencing explosive growth over the last decade. The rate of capacity growth in the short haul segment has slowed, leading to small declines in the LCC penetration rate within the region. Profitability has also remained a concern, with over half the region's LCCs unprofitable during 2015, despite extremely favourable conditions in most markets. 

However, growth is accelerating in the less penetrated medium haul segment. Partnership activity is increasing as LCCs seek new growth opportunities outside the point-to-point model, notably culminating in the world's second, but most extensive, LCC alliance – the Value Alliance, with membership across the region and a joint sales platform.

Partnerships are particularly important for LCCs outside the AirAsia and Lion groups. AirAsia and Lion each account for 30% Southeast Asia’s LCC market and have a massive order book, with commitments for nearly 900 aircraft.

Indonesia’s Lion Group begins to focus more on international expansion

20-Apr-2016 7:58 PM

Indonesia’s Lion Group is preparing to build up its presence in the international market after focusing almost entirely on domestic operations in its initial 15 years. Lion is the largest domestic airline group outside China and the US, but has a small international operation that is only about the size of Poland’s LOT.

In a precursor to international expansion, the group has been raising its standards and seeking IOSA certification for all five airlines in its portfolio. Its Indonesian subsidiaries are also now in the process of securing an exemption from the EU blacklist.

IOSA certification and EASA approval should make it easier for the airlines under the Lion Group to secure approval from civil aviation authorities in several countries. It should also strengthen the Lion brand overseas and facilitate new codeshare partnerships.

Sriwijaya Air and regional subsidiary Nam Air to expand in 2016, fighting off Garuda and Lion

11-Mar-2016 5:03 PM

The Indonesian airline group Sriwijaya is planning further expansion in 2016, with a focus on regional growth using its Nam Air subsidiary. Sriwijaya will take several additional Boeing 737-800s in 2016 enabling it to transfer smaller 737-500s to Nam which will be used to open new secondary bases and compete against the expanding regional operations of Garuda and Lion.

Privately owned Sriwijaya has emerged as Indonesia’s third largest airline group, well behind Garuda and Lion but ahead of AirAsia. Surviving an extended period of consolidation and challenging market conditions has strengthened Sriwijaya, leading to a brighter outlook.

Sriwijaya has been profitable for the last two years and is confident that it can stay in the black and maintain its current position in the market. However, it will always face the risk of being squeezed out by Garuda and Lion.

Garuda's Citilink to expand at Jakarta Halim and Medan as domestic market share approaches 15%

26-Feb-2016 12:25 PM

Garuda Indonesia budget subsidiary Citilink is planning to expand at Jakarta Halim and Medan over the next two months as it continues to pursue market share gains, despite challenging conditions. Citilink accounted for approximately 12% of Indonesia’s domestic market in 2015, compared with 3% in 2011, and should be able to capture nearly a 15% share in 2016.

Citilink passenger traffic grew by 24% in 2015 while its full service parent Garuda grew domestic passenger traffic by 10%. Both airlines have been gaining market share over the last two years while overall growth in Indonesia’s once booming domestic market has slowed significantly.

The 2016 outlook is relatively challenging but Citilink, at least for now, plans to maintain a similar growth rate as 2015. The LCC also remains confident that it can stay in the black after turning its first-ever annual profit in 2015.

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This content is exclusively for CAPA Membership Subscribers

CAPA Membership gives you the latest aviation news and alerts, access to CAPA articles, reports, and our leading aviation data with optional premium add-ons.

This content is exclusively for CAPA Membership Subscribers

CAPA Membership gives you the latest aviation news and alerts, access to CAPA articles, reports, and our leading aviation data with optional premium add-ons.

This content is exclusively for CAPA Membership Subscribers

CAPA Membership gives you the latest aviation news and alerts, access to CAPA articles, reports, and our leading aviation data with optional premium add-ons.

This content is exclusively for CAPA Membership Subscribers

CAPA Membership gives you the latest aviation news and alerts, access to CAPA articles, reports, and our leading aviation data with optional premium add-ons.

This content is exclusively for CAPA Membership Subscribers

CAPA Membership gives you the latest aviation news and alerts, access to CAPA articles, reports, and our leading aviation data with optional premium add-ons.

This content is exclusively for CAPA Membership Subscribers

CAPA Membership gives you the latest aviation news and alerts, access to CAPA articles, reports, and our leading aviation data with optional premium add-ons.

This content is exclusively for CAPA Membership Subscribers

CAPA Membership gives you the latest aviation news and alerts, access to CAPA articles, reports, and our leading aviation data with optional premium add-ons.

This content is exclusively for CAPA Membership Subscribers

CAPA Membership gives you the latest aviation news and alerts, access to CAPA articles, reports, and our leading aviation data with optional premium add-ons.