The report emphasizes that a more balanced approach to pricing, considering the needs and sensitivities of both airlines and passengers, could lead to increased traffic and higher non-aeronautical revenues. CAPA India suggests that airports adopt dynamic pricing models, similar to those used by airlines, which adjust charges based on demand and seasonality. This strategy could help airports attract more airlines and flights, ultimately benefiting passengers with more choices and potentially lower fares.

Additionally, the report points out that Indian airports should look into diversifying their revenue streams by enhancing non-aeronautical services such as retail, food and beverage, and entertainment options. By providing a better passenger experience, airports can generate additional income and create a more attractive environment for travelers.

CAPA India also notes that the regulatory framework governing airport charges in India should be more flexible to allow airports to implement innovative pricing strategies. Current regulations often impose rigid structures that may not align with the dynamic nature of the aviation industry. A more adaptable regulatory environment could enable airports to respond swiftly to market changes and competition.

The consultancy advises Indian airports to benchmark their pricing strategies against leading global airports to identify best practices and areas for improvement. By learning from successful international models, Indian airports can enhance their efficiency, profitability, and customer satisfaction.

In conclusion, CAPA India's report underscores the importance of reviewing and updating pricing strategies to ensure the sustainable growth of Indian airports. By adopting more dynamic and customer-focused approaches, airports can better meet the needs of airlines and passengers, driving long-term success in the competitive aviation market.