Low-Cost Carrier Market Driven by Uptick in Air Passenger Traffic

The low-cost carrier market size is forecast to increase by USD 248.65 billion from 2022 to 2027. However, the growth momentum will be decelerating at a CAGR of 15.15%, according to a recent market study by Technavio. The growth of the market will be driven by the increase in air passenger traffic, rising demand for air cargo, and the creation of new air routes to tap market potential. Charts & data tables about market and segment sizes for a historic period of five (2017-2021) years have been covered in this report. Download The Sample Report

Technavio has extensively analyzed 15 major vendors, including Air Arabia PJSC, Air Canada, Capital A Berhad, Cebu Pacific, Deutsche Lufthansa AG, easyJet Airline Co. Ltd., Fly LEVEL SL, InterGlobe Aviation Ltd., Jet2 Plc, Lion Air, Norwegian Air Shuttle ASA, PAL Holdings Inc., Pegasus Air Transport Corp., PT Garuda Indonesia (Persero) Tbk., Qantas Airways Ltd., Ryanair DAC, Singapore Airlines Ltd., Southwest Airlines Co., Vueling Airlines SA, and WestJet Airlines Ltd.

Key Benefits for Industry Players & Stakeholders

• The report offers information on the criticality of vendor inputs, including R&D, CAPEX, and technology.
• It also provides detailed analyses of the market's competitive landscape and vendors' product offerings.
• The report also provides a qualitative and quantitative analysis of vendors to help clients understand the wider business environment as well as the strengths and weaknesses of key market players. Data is qualitatively analyzed to categorize vendors as pure play, category-focused, industry-focused, and diversified; it is quantitatively analyzed to categorize vendors as dominant, leading, strong, tentative, and weak.

Customer Landscape - Analysis of Price Sensitivity, Adoption Lifecycle, Customer Purchase Basket, Adoption Rates, and Purchase Criteria by Technavio

• One of the core components of the customer landscape is price sensitivity, an analysis of which will help companies refine marketing strategies to gain a competitive advantage. 
• Another key aspect is price sensitivity drivers (purchases are undifferentiated, the purchase is a key cost to buyers, and quality is not important), which range between LOW and HIGH.
• Furthermore, market adoption rates for all regions have been covered.

The market is segmented by service (passenger service and cargo service), type (narrow body and wide body), and geography (APAC, North America, Europe, Middle East and Africa, and South America).

Segmentation by Service (Inclusion/Exclusion)

• The market growth in the passenger service segment will be significant during the forecast period. The segment is mainly driven by the increasing number of air passengers worldwide. In addition, rising vendor focus on constantly improving their product offerings will have a positive impact on the growth of the segment during the forecast period.