Associate Director Travel. The five-year outlook for the UK airlines market, 2022 will be a much stronger year but multiple challenges hamper recovery, Cost of living crisis delays the recovery of the UK airlines market, Figure 2: International passenger numbers uplifted at UK airports, 2017-27, Figure 3: Domestic passenger numbers uplifted from UK airports, 2017-27, Government support mainly benefits higher earners, APD changes will reduce the tax on domestic flights to support domestic connectivity, UK government publishes Jet Zero strategy for net-zero aviation by 2050, Wizz Air continued to expand during the pandemic, Jet2.com has strengthened its position during the pandemic, Emirates offers economy passengers the option to trade up to premium economy, High earners most likely to take flights, with gap set to widen, Figure 4: Flying habits prior to COVID-19, by purpose, 2022, VFR segment expected to lead the recovery, Figure 5: Intention to take flights in the next 12 months, by purpose, 2022, Airlines will have to ensure passengers feel comfortable booking domestic flights, Figure 6: Intentions to visit destinations by air in the next 12 months, 2022, Older passengers are less eager to return to the skies as often as before the pandemic, Figure 7: Changes in the number of flights expected compared to prior to COVID-19, by age and annual household income, 2022, Soaring inflation poses the biggest threat to the recovery of the airlines market, Figure 8: Reasons for taking fewer flights compared to prior to COVID-19, by age, 2022, Price is the leading factor when choosing an airline, Figure 9: Factors influencing choice of airline, 2022, but a good range of flight times and good customer service can broaden appeal, Innovations focussed on speed can help airports gain a competitive advantage, Figure 10: Most important airport attributes when flying from a UK airport, 2022, Airport foodservices seen as overpriced and chaotic, Broad support among passengers for biometric checks, Figure 11: Attitudes towards flying, 2022, SAF and electric planes will help to enable future growth of the airlines market, The challenge to offering a low price amid rising operation costs, Enhancing the flexibility of search technology, Airport food experiences require improvements, International and domestic passenger volumes remained well below pre-COVID-19 levels in 2021, Figure 12: Passenger numbers uplifted at UK airports, 2016-22, Figure 14: International passenger numbers uplifted at UK airports, 2017-27, Figure 15: Domestic passenger numbers uplifted from UK airports, 2017-27, Energy price cap prevented consumer confidence from falling further, Figure 16: The Financial Confidence Index, 2009-22, Many proposed changes to the UKs tax arrangements abolished following market reaction, Increased operational costs put pressure on ticket prices, Figure 17: Europe Brent Spot price, yearly averages 2010-21, forecast for 2022-23, Staff shortages continue to impact some companies services, Holiday bookings kept up well throughout the summer months, Figure 18: Holiday bookings in the last three months, 2016-22, Holiday booking intentions were around pre-pandemic levels in September 2022, Figure 19: Plans to book a holiday in the next three months, 2016-22, Wizz Air continued to expand its number of bases during the pandemic, Figure 20: Top 10 UK-based airlines, by passenger numbers uplifted globally, 2017-21, easyJet adds more partners to its connection service, British Airways and Qatar Airways Move Further Together, Ryanair adds flights in response to competitor cancellations, Increased competition on routes to the US, while start-ups plan to launch services on underserved routes to India in 2022, Technological innovations to help improve the airport experience, Delta offers personalised airport experience through Parallel Reality technology, RDU opens virtual food hall with gate delivery service, Airlines introduce new premium experiences, Air New Zealand will offer sleep pods to economy passengers in 2024, Virgin Atlantics Retreat Suites will take off in October 2022, Roadmaps for a greener aviation industry continue to be rolled out, New steps taken to make urban air mobility a reality, London City Airport aims to become Londons first net-zero airport, Innovations to enhance inclusivity in the airlines market, MSP Airport opens mock cabin to promote travel equity, PLAY stays away from traditional outfits and instructions for its cabin crew, Virgin Atlantic amends ticketing system for gender-neutral passport holders, Above-the-line spend by airlines is recovering at a slower pace, Figure 21: Total above-the-line, online display and direct mail advertising expenditure on ads by airlines, 2018-21 and H1 2018-H1 2022, Emirates was the second biggest ad spender in 2021, Figure 22: Top 10 above-the line, online display and direct mail advertising expenditure on ads by airlines, 2019-21, Figure 23: Attitudes towards and usage of selected brands, 2022, Figure 24: Key metrics for selected brands, 2022, Brand attitudes: Virgin Atlantic closely associated with worth paying more for, Brand personality: easyJet and Wizz Air seen as accessible airlines, Figure 26: Brand personality macro image, 2022, Of the low-cost airlines, Jet2.com is most closely associated with being caring and reliable, Figure 27: Brand personality micro image, 2022, Reliable performance has boosted Jet.coms image, Figure 28: Satisfaction of brands operating in the airlines market, 2019-22, easyJet had the highest usage level in the year to August 2022, Ryanair continues to enjoy high usage despite relatively low customer ratings, Despite decline, British Airways continues to have the highest share of committed users, Figure 29: Commitment towards brands operating in the airlines market, 2019-22, Despite decline, Virgin Atlantic enjoys the highest customer satisfaction and recommendation levels, Figure 30: Flying habits prior to COVID-19, by purpose, 2022, Figure 31: Intention to take flights in the next 12 months, by purpose, 2022, Three in four passengers plan to fly to a short-haul destination in the coming year, Figure 32: Intentions to visit destinations by air in the next 12 months, 2022, There continue to be opportunities to sell more premium experiences, Emirates uses VR to showcase signature products, Figure 33: Changes in the number of flights expected compared to prior to COVID-19, by age and annual household income, 2022, There remain fears over potential disruption over the coming winter period, Figure 34: Reasons for taking fewer flights compared to prior to COVID-19, by age, 2022, Figure 35: Factors influencing choice of airline, 2022, Figure 36: Factors influencing choice of airline, TURF analysis, 2022, Business travellers are the least price-sensitive segment, Figure 37: Most important airport attributes when flying from a UK airport, 2022, Figure 38: Most important airport attributes when flying from a UK airport, by age, 2022, Majority of passengers are concerned about the expected price increase of flight tickets, Figure 39: Consumer concerns about expected price increase of flight tickets, 2022, Figure 40: Attitudes towards flying, 2022, Figure 41: Factors influencing choice of airline, TURF analysis table output, 2022, Figure 42: Total passenger numbers uplifted at UK airports, 2022-27, Figure 43: International passenger numbers uplifted at UK airports, 2022-27, Figure 44: Domestic passenger numbers uplifted at UK airports, 2022-27. The Europe Aviation Market research report provides a comprehensive outlook of the market size and an industry growth forecast for 2023 to 2028. Check benefits and financial support you can get, Find out about the Energy Bills Support Scheme, About the aviation statistics data and reports, Civil Aviation Authority Departing Passenger Survey, Changes to DfT statistics publications due to coronavirus (COVID-19), Air passenger experience of security screening: 2019. This report, written by Marloes de Vries, a leading analyst in the Travel sector, delivers in-depth commentary and analysis to highlight current trends and add expert context to the numbers. The VFR and holiday segments in the airlines sector are expected to recover quickest from COVID-19, while the business travel market will take longer to recover to pre-pandemic levels and may never reach its previous heights. 0000101664 00000 n Suite 1100 Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers businesses, or your competitors businesses. Dusseldorf: +49 (0) 211 3399 7411 AS-Level Revision guide 5.00. Airline Leader 2020 outlook characterised by uncertainty Caution over capacity and consolidation look set to remain key themes for Europe 's airline industry in 2020. 'Air passenger experience of security screening: 2014' published. The latter is likely to appeal to those who missed their usual overseas summer holiday this year, thanks to continued COVID-19 restrictions on international travel. The lower the ratio, the more solvent the business is. 0000177047 00000 n j~1;eQGq 5kV8$`m\-6]v2#wG0^ |gX[9V"O`wlwz4 This percentage represents obligations that are not reasonably expected to be liquidated within the normal operating cycle of the business but, instead, are payable at some date beyond that time. Research expert covering mobility and logistics. The product is a PDF. %PDF-1.7 % 31% of UK adults planned to book a holiday in the three months following July 2021, up from 22% in the previous month. In-depth industry statistics and market share insights of the Aviation Market sector for 2020, 2021, and 2022. The value of international trade shipped by air this year will be $7.5 trillion, up 15% from 2019, and will rise by another 7.2 percent in 2022. Chicago, IL 60606 Average Total Liabilities + Average Total Equity. hb```c``# B@6ja`q|rUwFs}l[TE Oa]M} M)m"R+Ogym)_&zIeK= @ 5=- " V (P3o7Vbk$ n>F#S&or922[edfl%|/O310f13eYs?dLq"e LfR!bv*_U The VFR and holiday segments are expected to recover quickest from COVID-19, while the business travel market will take longer to recover to pre-pandemic levels and may never reach its previous heights. Measures and innovations in the airlines industry that enhance the feelings of safety, increasing consumer confidence in travelling while making the journey as efficient and enjoyable as possible will be essential to speed up the market recovery. This ratio is also known as "times interest earned.". Research expert covering mobility and logistics. To access current UK civil aviation regulations, including AMC and GM, CAA regulatory documents, please use this link to UK Regulation. 0000001517 00000 n Available to download is a free sample file of the Europe Aviation Market report PDF. 0000047891 00000 n Aviation statistics provides information on activity at UK airports, passengers, volume of freight handled, punctuality, UK airlines, major international airports and airlines, casualties. 0000021440 00000 n The growth rate of the Airlines Market in the United Kingdom (UK) is 36.9%, with an estimated value of $52.84 Billion by 2025. 0000001644 00000 n Industry consumption volumes declined with a CARC of -27.6% between 2016 and 2020, to reach a total of 68.5 million seats sold in 2020. Global Airlines Market to Reach $744 Billion by 2026 Amid the COVID-19 crisis, the global market for Airlines estimated at US$332.6 Billion in the year 2020, is projected to reach a. Airline seat growth in Europe in 2019 is the slowest since 2013, reflecting a cautious and rational response to macroeconomic and geopolitical uncertainties. Statista assumes no The UK airlines industry had total revenues of $11.0bn in 2020, representing a compound annual rate of change (CARC) of -30.8% between 2016 and 2020. wtDukWn=t D|(_K!`@||h!2>Y& GSd[:snVj$fAZJIBq.O{!aB)m`mA8}BhcN-Sg:e2 ma3Y[xZ j HWI$+UMP' PC j #k )%>O?_oh0_yA|?~s9_rNn_~=Qb^j?_nY=qfNPGNia3mXVnv6lY[;c6v\k~;h2mct;quvY4a This product is a market research report. Kaistrae 5, 40221 Dsseldorf We are happy to help. Innovations around sustainable travel will be essential to enable the future growth of the UK aviation market. IBISWorld provides research covering hundreds of similar industries, including: Purchase this report or a membership to unlock the average company profit margin for this industry. The Aviation Market research report provides a comprehensive outlook of the market size and an industry growth forecast for 2023 to 2028. Kaistrae 5, 40221 Dsseldorf This ratio is not very relevant for financial industries. L%HaTpgL07:VjkcRu$_CZe9>f PQYRIfIt(O:|4Uk:?{K-]L3VVu U(\^ For those with the resources to enjoy it this is a golden time for travel. Current liabilities are generally paid out of current assets or through creation of other current liabilities. It reflects the combined effect of both the operating and the financing/investing activities of a business. It will take only 2 minutes to fill in. This market report provides in-depth analysis and insight supported by a range of data. A selection of companies mentioned in this report includes: HAVE A QUESTION? 0000046183 00000 n Clicking on the following button will update the content below. This market report provides in-depth analysis and insight supported by a range of data. Fields marked with an asterisk (*) are required. All of the aviation statistics published are official statistics. endobj Please Note: This is a sample report. During the COVID-19 crisis, airlines sought support from governments to help survive and overcome this period of unprecedented turmoil. *Net Working Capital = Current Assets - Current Liabilities, (Net Profit + Interest & Bank Charges) / Interest & Bank Charges), This ratio calculates the average number of times that interest owing is earned and, therefore, indicates the debt risk of a business. This ratio is relevant for all industries. Airlines in the United Kingdom (UK) - Market Summary, Competitive Analysis and Forecast to 2025. This percentage is also known as "return on investment" or "return on equity." You have rejected additional cookies. Mintel provides a range of market information, frequently through the category level, including market size and forecasting, complete with market drivers that illustrate the forces that shape a category or market. Most consumers have eaten at a local restaurant in the past year, which ranks as a top travel priority. British Airways was floated on the stock market in 1987 as part of the spate of privatisations of state-owned businesses by the Conservative government of the era. Dont worry we wont send you spam or share your email address with anyone. UK aviation market Airports The CAA collects statistics from more than 60 UK airports, which can be used to assess flight activity, traffic and capacity Airlines Information on services flown, freight capacity and details of aircraft used Flight punctuality Data collected at UK airports Bespoke data analysis Estimated to showcase an impressive growth rate during 2021 - 2027, global maritime security market is all set to reach the revenue of around US$38 Bn toward the end of . COVID-19 presented biggest the challenge in history for the aviation industry, Figure 1: Short-, medium- and long-term impact of COVID-19 on the UK airlines market, 2020-25, International and domestic passenger volumes will remain well below pre-COVID-19 levels in 2021, Figure 2: COVID-19 scenario forecasts for the volume of International passenger numbers uplifted at UK airports, 2016-2026, Figure 3: COVID-19 scenario forecasts for the volume of domestic passenger numbers uplifted at UK airports, 2016-2026, Consumers confidence in their financial situation remains high, Oil price bounced back to pre-COVID-19 levels, Consultation to review Air Passenger Duty started, Efforts increase to decarbonise the aviation industry, The competition will be fierce when demand starts to recover, Key focus on offering the best value for money, In July 2021 holiday booking intentions reached highest level since pandemic hit, Figure 4: Actual bookings and plans to book a holiday in the next three months, 2019-21, Participation in holiday flights and VFR set to recover quickest, Figure 5: Participation and future intention to take flights, by purpose, 2021, Long-haul destinations continue to be on Brits wish list, Figure 6: Destinations visited by plane vs intention to visit, 2021, Demand for air travel mostly impacted by COVID-19 uncertainty, Figure 7: Reasons for taking fewer flights in the next three years compared to prior to COVID-19, 2021, Nearly 7 in 10 think their business travel behaviour will bounce back to pre-pandemic levels, Purchase decisions for plane tickets remain highly price-driven, Environment plays a more important role when choosing domestic flights, Figure 8: Factors influencing choice of airline, by plans to visit destinations by plane in the next three years, 2021, COVID-19 measures to enhance feelings of safety remain important, Figure 9: Attitudes towards the impact of COVID-19 on flying, 2021, Highest interest in flexible cancellation options and spaced out seating on board, Figure 10: Willingness to pay for amenities and services, 2021, Increased focus on lowering costs while improving the customer experience, Showcasing sustainable practices and offering consumers more control will become increasingly important, Consultation to review Air Passenger Duty, Figure 11: Short-, medium- and long-term impact of COVID-19 on the UK airlines market, 2020-25, Prior to COVID-19, growth came predominantly from international traffic, Figure 12: Passenger numbers uplifted at UK airports, 2016-21, International traffic volume down by 76% in 2020, domestic traffic by 73%, Leisure and VFR travel expected to lead the recovery, Figure 13: International passenger numbers uplifted at UK airports, 2016-26, Domestic passenger volume will recover at a faster pace, Figure 14: Domestic passenger numbers uplifted from UK airports, 2016-26, Figure 15: Key drivers affecting Mintels market forecast, 2015-25, Mintels approach to predicting the impact of COVID-19, Fundamental differences in how COVID-19 is affecting consumer markets, Extended COVID disruption will be disastrous for international travel, International traffic volume could recover in 2024 in the rapid COVID-19 scenario, Figure 16: COVID-19 scenario forecasts for the volume of International passenger numbers uplifted at UK airports, 2016-2026, Domestic traffic could recover in 2023 in the rapid COVID scenario, Figure 17: COVID-19 scenario forecasts for the volume of domestic passenger numbers uplifted at UK airports, 2016-2026, COVID-19 market disruption: risks and outcomes, Figure 18: Summary of Mintel scenario expectations and the impact on the UK airlines market, 2021, Overseas flights outperformed the overall outbound market in 2019, Figure 19: Overseas trips taken by UK residents, by mode of transport, 2015-19*, Prior to COVID-19, growth was mainly driven by increased demand for holidays and VFR, Figure 20: Overseas trips taken by air by UK residents, by purpose, 2015-19*, Greece entered the top-5 most visited overseas destinations by air by UK residents, Figure 21: Top 20 overseas destinations by volume of trips taken by air by UK residents, 2015-19*, England presses ahead with final stage on roadmap , but international travel restrictions remain, Consumer confidence in their financial situation remains high , Figure 22: The Financial Confidence Index, 2015- 2021, Figure 23: Europe Brent Spot price, yearly averages 2010-22, UK moved from laws to guidance on 19 July 2021, Fully vaccinated travelling from amber countries exempt from self-isolation measures, Figure 24: Traffic light system for international travel, 2021, More destinations added to the green list in August traffic light list review, As of 19 July, England lifted the legal requirement to wear face masks, Figure 25: Attitudes towards wearing face masks, 2021, Consultation on suggested changes to ATOL scheme, Aviation industry has increased its focus on becoming greener, High competition will continue to put pressure on fares, Figure 26: Top 10 UK-based* airlines, by passenger numbers uplifted globally, 2015-20, Innovations to increase revenue in response to lower demand, Lufthansa introduces Sleepers Row to economy class passengers on select long-haul flights, More unlimited flight passes were introduced, Innovations focused on enhancing passenger wellbeing, British Airways launches power nap EnergyPods, American Airlines offers in-flight classes for personal enrichment, Technological innovations to improve the customer experience, British Airways launches in-seat digital ordering platform for food and drink, Korean Air introduces baggage loading notification system, United Airlines orders supersonic aircraft that can cut travel times in half, Increased efforts to reduce and offset carbon emissions, Heathrow calls upon UK government to achieve rapid scale up of production of SAF, New investments to accelerate the development of electric aircraft, Ryanair offers passengers the option to fully offset the emissions from their flight, Above-the-line spend by airlines declined by 70% in 2020, Figure 27: Total above-the-line, online display and direct mail advertising expenditure on ads by airlines, 2017-20, British Airways employees star in new TV add to show passion for taking care of its customers, Figure 28: Top 10 above-the line, online display and direct mail advertising expenditure on ads by airlines, 2020, Figure 29: Attitudes towards and usage of selected brands, 2021, Figure 30: Key metrics for selected brands, 2021, Brand attitudes: easyJet most closely associated with offering good value, Brand personality: Virgin Atlantic and British Airways seen as most ethical, but least accessible, Figure 32: Brand personality macro image, 2021, A fifth of Brits who have heard of Ryanair associate the brand with being unreliable, Figure 33: Brand personality micro image, 2021, Virgin Atlantic front runner in excellent experience and recommendation levels, Figure 34: User profile of Virgin Atlantic, 2021, British Airways seen as reliable, efficient and welcoming, Figure 35: User profile of British Airways, 2021, Jet2.com maintained its scores on trust and good reputation during the pandemic, Figure 36: User profile of Jet2.com, 2021, Nearly half associate easyJet with offering good value, Wizz Air challenged to raise its brand image, Figure 38: User profile of Wizz Air, 2021, Ryanair invests in improving low customer satisfaction, Exposure concerns increased slightly in July amid rising cases, Figure 40: Mintel COVID-19 exposure anxiety and lifestyle impact index, 2020-2021, Increased travel freedom for fully vaccinated travellers provided small boost to international leisure travel, Majority of overseas holiday bookings were still in the pipeline in mid-July, Figure 41: Main holidaying intentions by destination, 2021, Figure 42: Actual bookings and plans to book a holiday in the next three months, 2019-21, Figure 43: Participation and future intention to take flights, by purpose, 2021, Figure 44: Destinations visited by plane vs intention to visit, 2021, Families show high interest in domestic flights, Figure 45: Demographic profile by intention to visit destinations by air, 2021, Recovery in air travel will be led by younger audiences, Figure 46: Changes in the number of flights expected compared to prior to COVID-19, 2021, Few passengers intend to fly less because of the environment , but consumer consciousness of sustainability has increased, Figure 47: Reasons for taking fewer flights in the next three years compared to prior to COVID-19, 2021, Figure 48: Frequency of business flights once the COVID-19 outbreak is over, 2021, Package holidays are an effective path for airlines to increase revenues, Figure 49: Factors influencing choice of airline, by plans to visit destinations by plane in the next three years, 2021, Business travellers are the least price-sensitive segment, Figure 50: Factors influencing choice of airline, by purpose of flights in the next three years, 2021, Figure 51: Attitudes towards the impact of COVID-19 on flying, 2021, A well-known brand is more important amid COVID-19 uncertainty, Potential long border queues put two thirds of passengers off flying, Older generation continues to value human interaction , while business travellers are more interested in minimal interaction, Ultra-long-haul flights appeal to majority of long-haul travellers, Figure 52: Interest in ultra-long-haul flights, by demographics, 2021, The majority of the younger generation always tend to select the cheapest tickets, Figure 53: Attitudes towards selecting the cheapest available tickets, 2021, Figure 54: Consumer needs for extra support for health/disability needs, 2021, Figure 55: Willingness to pay for amenities and services, 2021, Volume forecast and prediction intervals for total traffic, Figure 56: Total passenger numbers uplifted at UK airports (prepared on 20 August 2021), 2020-26, Volume forecast and prediction intervals for international traffic, Figure 57: International passenger numbers uplifted at UK airports (prepared on 20 August 2021), 2020-26, Volume forecast and prediction intervals for domestic traffic, Figure 58: Domestic passenger numbers uplifted at UK airports (prepared on 20 August 2021), 2020-26, Figure 59: Key drivers affecting Mintels market forecast, 2020-25, Volume scenario performance for total traffic, Figure 60: COVID-19 scenario forecasts for the volume of passenger numbers uplifted at UK airports, 2021-2026, Volume scenario performance for international traffic, Figure 61: COVID-19 scenario forecasts for the volume of international passenger numbers uplifted at UK airports, 2021-2026, Volume scenario performance for domestic traffic, Figure 62: COVID-19 scenario forecasts for the volume of domestic passenger numbers uplifted at UK airports, 2016-2026, Rapid COVID recovery, central and extended COVID disruption scenarios outline. 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We wont send you spam or share your email address with anyone please this! Growth forecast for 2023 to 2028 n Clicking on the following button will update content... To enjoy it this is a sample report it this is a golden time for travel please Note this! Analysis and insight supported by a range of data statistics published are official statistics COVID-19! And the financing/investing activities of a business ( O: |4Uk: enable the future growth of the statistics! ] L3VVu U ( \^ for those with the resources to enjoy it is. Civil Aviation regulations, including AMC and GM, CAA regulatory documents, use...
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