The Global Low-Cost Airline Market Trend, Size, Share, Growth, Analysis and Research Report 2018

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Synopsis

The report provides detailed market analysis, information and insights, including:

Historic and forecast revenue of global low-cost airlines market covering 40 countries.

Detailed regionwise (Americas, Asia-Pacific, Europe, Middle East & Africa) analysis of low-cost airlines' key performance indicators such as the number of seats available and seats sold, load factor, average revenue per passenger, total revenues, revenue generating passenger kilometers and passenger kilometers available for the review (2009-2013) and forecast (2014-2018) periods.

Brief analysis of global low-cost airlines market and the present scenario.

Detailed analysis of the markets trends in key low-cost airlines’ markets.

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Executive summary

The financial crisis caused an economic slowdown which forced customers to seek out cheaper means of travel. Consequently, low-cost carriers (LCCs) recorded growth during the review period. The growing popularity of LCCs has led many full-service airlines to launch subsidiaries offering flight options with limited services. For example, China Eastern Airlines announced the launch of China United Airlines in July 2014 and in July 2013, Air Canada launched its LCC, Air Canada Rogue.

Scope

This report provides an extensive analysis related to the global low-cost airlines market:

Market size for 40 countries comprising the global low-cost airlines market for 2009–2013, along with forecast figures for 2014–2018

Low-cost airlines’ key performance indicators in these countries with values for both the 2009–2013 review period and the 2014–2018 forecast period

Reasons to buy

Take strategic business decisions using historic and forecast market data related to the global low-cost airlines market

Understand the key market trends and growth opportunities in the global low-cost airlines market

Gain strategic insights on the leading global low-cost carriers

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Key highlights

The financial crisis caused an economic slowdown which forced customers to seek out cheaper means of travel. Consequently, low-cost carriers (LCCs) recorded growth during the review period.

The growing popularity of LCCs has led many full-service airlines to launch subsidiaries offering flight options with limited services. For example, China Eastern Airlines announced the launch of China United Airlines in July 2014 and in July 2013, Air Canada launched its LCC, Air Canada Rogue. 

The North American airline market recorded slow growth during the review period (2009−2013) in comparison to the developing Asia-Pacific and Latin American markets. According to the International Civil Aviation Organization (ICAO), the region’s air traffic increased at rate of 1.3% in 2012 and 2.1% in 2013. Growth is expected to continue at a rate of 2.7% in 2014. The IATA expects the profit of airlines in North America to increase from US$7.0 billion in 2013 to US$9.2 billion in 2014. 

Boeing’s Current Market Outlook 2014 report stated that North America holds a 27% share and Latin America held a 33% share of the total seat capacity of LCCs in 2013. 

One of the key reasons for high growth rate of LCCs in the Asia-Pacific region is the emergence of a rapidly expanding middle-class population and greater levels of disposable income. Another factor is the establishment of LCC subsidiaries by full-service airlines. 

During the review period, the European aviation market suffered a decline in revenues brought on by the onset of the sovereign debt crisis and rising fuel prices. According to IATA, European passenger traffic increased at a rate of 3.8% in 2013, compared to 5.3% in 2012.

Growth in the Middle East region is expected to continue over the forecast period as it emerges as a global aviation hub. The IATA anticipates the region’s aviation market to grow from US$1.6 billion profit recorded in 2013 to US$2.4 billion in 2014.

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