Airline Ancillary Market Outlook – 2027
The airline ancillary market comprises ancillary revenue, which is the revenue generated from non-ticket sources, such as baggage fees, on-board food, and services. Various services generating revenue include baggage handling or seat selection, car wash services sold by gas stations, concessions at sporting events, and restaurant revenue received by hotel owners. This can also be called as the revenue derived from goods and services other than a company’s primary offering. The intended target audience comprises air transport associations, research institutes, regulatory bodies, and travel energies.
COVID-19 scenario analysis
- Airline ancillary production is going to be more agile after the end of COVID-19.
- Owing to the lockdown implemented across various countries, national and international transport have been hampered, which has significantly impacted the supply chain of airline ancillary across the globe, thereby increasing the supply–demand gap.
- Thus, insufficiency in raw material supply is expected to hamper the production rate of airline ancillary, which negatively impacts the market growth.
- However, this situation is expected to improve as government has started relaxing norms around the world for resuming business activities.
Top impacting factors: market scenario analysis, trends, drivers, and impact analysis
Ancillary services are the support services that are provided by the airlines to improve passenger comfort and enhance the travel experience. In addition, many airlines from ultra-low-cost carriers to premium legacy carriers have been exploring this aspect. Moreover, to enhance the passenger travel experience, many services such as in-flight entertainment & connectivity solutions, sale of in-flight food & beverages, and availability of better seats at additional charges, boost the market for airline ancillary services. Furthermore, increase air passenger traffic is expected to boost the demand for airline ancillary services during the forecast period. However, the fluctuation in fuel prices and airport charges are likely to hinder the market growth during the forecasted period.
The global airline ancillary market trends are as follows:
Advancements in in-flight solutions to foster the growth
The concept of in-flight solutions in aspects of entertainment, comfort, and food & beverage is emerging as a robust trend in the airline industry. This is further creating opportunities for the global airline ancillary market. Moreover, increase in trend of building-your-own-device is urging the airline industry to provide diversity and optimum choice to customers in terms of in-flight services and solutions. Such factors are anticipated to boost the market potential globally during the forecast period.
Rise in air travel
The rapid growth in air passenger travel is driven by the rise in disposable income among the middle-class population across the world. This, in turn, is creating demand for the ancillary services in the airline industry. Moreover, a change in lifestyle along with rise in consumer expenditure for leisure activities and travel & tourism is accelerating the growth of the airline ancillary market. In addition, with increased purchasing power, consumers spend more on comfort and additional paid services, thereby bolstering the market growth.
Key benefits of the report
- This study presents the analytical depiction of the global airline ancillary industry along with the current trends and future estimations to determine the imminent investment pockets.
- The report presents information related to key drivers, restraints, and opportunities along with a detailed analysis of the global airline ancillary market share.
- The current market is quantitatively analyzed to highlight the market growth scenario.
- Porter’s five forces analysis illustrates the potency of buyers & suppliers in the market.
- The report provides a detailed market analysis depending on competitive intensity and how the competition will take shape in the coming years.
Questions answered in the global airline ancillary market research report:
- Which are the leading players active in the airline ancillary market?
- What are the current trends that will influence the market in the next few years?
- What are the driving factors, restraints, and opportunities of the market?
- What future projections would help in taking further strategic steps?
Airline Ancillary Market Report Highlights
Aspects | Details |
By Type |
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By Carrier Type |
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By Region |
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Key Market Players | EasyJet PLC, Air France/KLM, United Airlines Inc., The Emirates Group, American Airlines, Southwest Airlines, Deutsche Lufthansa AG., Ryanair DAC, Qantas Airways Ltd., Delta Airlines Inc. |
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