Technavio has released updated information on the aviation market, with the publication of its new market research report, global FSC market. The global full service carrier (FSC) market is expected to grow at a CAGR of around 3% between 2016 and 2020. Rapid growth of passengers across the globe is a major factor propelling the growth of FSCs. Some of the popular FSCs include Delta Airlines, United Airlines, American Airlines, and China Southern Airlines. APAC dominates the global market for FSCs, accounting for around 37% of the overall market share. Technavio’s market analysts estimate that around 50% of the global air passenger traffic over the next 20 years will originate from this region.
“In the recent years, the global air passenger traffic has increased considerably due to the growing demand for air travel from the emerging countries in APAC, Middle East and South America. The air passenger traffic will increase by around 5% during the forecast period, resulting in new flight routes and additional aircrafts,” says Sriram Mohan, Lead Analyst, Aerospace & Defense, Technavio Research.
China, India, and Brazil offer high growth opportunities for FSCs owing to the rising levels of urbanization, concentration of wealth, and the consequent increase in demand for air travel. Of late, the FSCs are adopting ancillary revenue measures to earn higher revenues. These measures include catering food, baggage fees, and other services such as a-la carte features, commission-based products, and airline-sold advertising.
The leading vendors in the global FSC market include American Airlines, China Eastern Airlines, China Southern Airlines, Delta Airlines and United Airlines. Owing to the rising demand from emerging economies, the vendors are expanding their market reach by increasing aircraft fleet and flying new routes in these regions. The players ar ezxpected to get into various M&As to maximise their profits during the forecast period.
A more detailed analysis is available in the Technavio report, Global FSC Market 2016-2020.
We can customize this reports by other regions and specific segments upon request.
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