Full-Service Carrier (FSC) Market to grow at a CAGR of approximately 3% by 2020

Summary

Orbis Research Present’s Global Full-Service Carrier (FSC) Market enhances the decision making capabilities and helps to create an effective counter strategies to gain competitive advantage.

Orbis Research’s research analyst predicts the Full-Service Carrier (FSC) Market to grow at a CAGR of approximately 3% by 2020.

Over the last few years, the global air passenger traffic has been increasing tremendously, especially in emerging countries such as APAC, the Middle East, and South America, which is an important growth driver for the FSC market. In the next 20 years, the global air passenger traffic has been estimated to increase at an annual average of approximately 5%, wherein FSCs account for the significant market share of this traffic.

The majority of FSCs cater to the passenger services segment, offering services like meals and in-flight entertainment as part of the cost of the flight ticket. They also provide additional or ancillary services as add-ons at an extra cost. These airlines primarily operate in a hub-and-spoke structure, with central airports serving as hubs. In 2014, FSCs comprised approximately 70% of global air passenger seat capacity. FSCs also provide cargo services to utilize fully their available capacity and expand their market size.

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Geographical segmentation and analysis of the full-service carrier market

APAC

EMEA

Americas

In 2015, the APAC region has been the largest revenue contributor to the full-service carrier market with close to 37% market share, and this region is expected to retain its leadership and showcase a CAGR of more than 4% during the forecast period. It is estimated that almost 50% of the global air passenger traffic will originate from the APAC region over the next 20 years.

Competitive landscape and key vendors

At present, the FSC market is marked by the dominance of major international players who have expanded their network and enhanced their market shares. Moreover, with a rise in the demand for air travel from emerging regions such as Asia and South America, and also the increasing competition from low-cost carriers (LCCs), FSCs are widening their market reach by increasing aircraft fleet and flying new routes in these regions.

The leading vendors in the market are –

American Airlines

China Eastern Airlines

China Southern Airlines

Delta Airlines

United Airlines

Other prominent vendors in the market include Air China, Air France, All Nippon Airways, British Airways, China Eastern Airlines, Emirates, Lufthansa, and Turkish Airlines.

Growth drivers, challenges, and upcoming trends: Ancillary revenue

Orbis Research’s analysts emphasize upcoming trends such as the implementation of ancillary revenue measures to earn revenues, which have become an important factor in the commercial success of FSCs.

This report provides a number of factors contributing to the adoption, limitations, and opportunities of the full-service carrier market. It also offers an analysis of each factor and an estimation of the extent to which the factors are likely to impact the overall market growth.

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Key questions answered in the report include

What will the market size and the growth rate be in 2020?

What are the key factors driving the full-service carrier market?

What are the key market trends impacting the growth of the full-service carrier market?

What are the challenges to market growth?

Who are the key vendors in this market space?

What are the market opportunities and threats faced by the vendors in the full-service carrier market?

What are the trending factors influencing the market shares of the Americas, APAC, Europe, and MEA?

What are the key outcomes of the five forces analysis of the full-service carrier market?

Companies Mentioned:

American Airlines, China Eastern Airlines, China Southern Airlines, Delta Airlines, United Airlines, Air China, Air France, All Nippon Airways, British Airways, China Eastern Airlines, Emirates, Lufthansa, Turkish Airlines.

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