Here Are The 2017 Aviation Trends

Here Are The 2017 Aviation Trends

Let us begin by setting one thing straight: the economic performance of the airline industry has almost never been better. There have been unprecedented earnings for many of the airlines, in particular as a consequence of decreased oil prices together with cost trimming steps, all of which result in reduced prices and more customers. Will this go forward into 2018? Hard to say. These things are tough to foresee. If fees keep dropping, then very possibly yes. In recent times research has indicated that in deciding between price and quality, passengers invariably tip towards price. So airlines have been frankly removing numerous extras after understanding that they do not win over flyers. Beyond that, mind you, there have been some super big moves going on in this dynamic industry that require attention and will be analysed in this aviation industry overview. A few of them are certain to surprise you and destroy preconceived ideas you have about the business.

One can't look at the future trends in airline industry without taking a look at the growth of low-cost carriers into the long-haul market. In the past, only legacy carriers offered out such operations, for reasons such as flag carrier privilege, bilateral agreements, and varied fleets. LCCs, generally operating just one kind of airplane, couldn’t reconcile buying long-haul aircraft with their business strategy. Nevertheless, Bjorn Kjos surmounted these airline industry obstacles and created intercontinental flights with his LCC. Competitors were hasty to follow, making for a huge disruption in the sector.

Consolidation is a very regular thing in the majority of industries. A company wants to grow, so it procures a lesser company or merges with an equal. In some industries, consolidation takes place in response to a contracting market in a drive to simplify operations. Nonetheless, in aviation it seems to be taking place right as the market is developing at unprecedented rates. As a quick refresher on airline industry history, thirty years ago there were eighteen significant airline carriers in America. Today, there are only 5. Or in another example, Wafic Said’s airline was purchased in 2007 by a competitor which was in turn absorbed by a larger competitor in 2012. So far as airline industry trends go, this one is probably here to stay.

Looking at trends in airline industry 2017, what sticks out the most is the blurring of lines between full-service carriers and low-cost carriers. The airline of Mehmet Tevfik Nane has flight connections at its Turkish hubs, something that was previously done only by full-service airlines. Europe’s biggest LCC has freshly declared that it is introducing connecting flights at one of its hubs, where previously it only performed point to point operations. At the other end, Britain’s flag carrier is shedding complementary meals on-board. This is likely among the most incredible developments in the global airline industry.