Three years after the pandemic, the airline industry has not only fully recovered from the deepest crisis in its history but is also on its way to setting a new record in revenue and passenger numbers.
According to data presented by AltIndex.com, the global airline industry is set to reach nearly five billion scheduled flights and almost $1 trillion in revenue this year, the highest figures this market has ever seen.
400 Million More Passengers and $158 Billion Higher Revenue than in 2019
The airline industry has come a long way from where it was three years ago. Although the catastrophic 60% drop in global passenger numbers and a 70% drop in revenue in the early days of the pandemic brought the industry to its knees, the global demand for flights is now stronger than ever.
According to the latest International Air Transport Association (IATA) survey, the airline industry has not only fully recovered from the worst crisis in its history but is on its way to reaching a new record in revenue and scheduled flight numbers.
The IATA’s data show total traffic matched and surpassed 2019 numbers in February this year and has continued growing ever since. With the global demand for flights rising, the total number of airline passengers is projected to reach almost five billion by the end of 2024, or 400 million more than before the pandemic.
Although most regions are expected to climb above 2019 levels, Asia-Pacific will see the highest growth in 2024. Statistics show the number of airline passengers in the region will jump by 17% year-over-year, with China and India driving growth. Europe is expected to see a solid 11% increase in its passenger numbers, and the Middle East, Latin America, and North America follow with 9%, 8%, and 7% annual growth rates, respectively.
Besides reaching a record number of passengers, the airline industry will also generate more revenue than ever. According to the IATA survey, the global airline industry revenue is expected to gross almost one trillion dollars this year, representing a massive $158 billion increase compared to 2019 figures.
Entire Market to Add Over Four Billion New Passengers in the Next Two Decades
With 2024 bringing a remarkable rebound in global airline traffic, the market projections for the following years became even more optimistic. IATA expects world airline passengers to grow by an average of 3.8% per year over the next two decades, resulting in over four billion new travelers by 2043.
Asia Pacific will lead the growth among the regions, with an average 5.3% annual increase and over 2.7 billion new passengers in this period. The region’s GDP is expected to increase by 65% over the coming 20 years, causing the number of trips per capita to almost triple. As a result, nearly half of global passenger traffic in 2043 will originate or depart from Asia-Pacific, up from 34% last year.
Statistics show that the European and North American markets will grow much slower, adding roughly 650 million new passengers in the next twenty years.
The article Airline industry aims for a new record with close to 5bn scheduled flights and almost $1tn. in revenue in 2024 first appeared in TravelDailyNews International.