Low Cost Airlines Market: Global Industry Trends, Share, Size, Growth, Opportunity and Forecast 2023-2028

Low Cost Airlines Market: Global Industry Trends, Share, Size, Growth, Opportunity and Forecast 2023-2028
Market Overview:

The global low cost airlines market size reached US$ 189.1 Billion in 2022. Looking forward, IMARC Group expects the market to reach US$ 315.4 Billion by 2028, exhibiting growth rate (CAGR) of 8.7% during 2023-2028.

Also known as budget airlines or no-frills carriers, low cost airlines offer fewer amenities for short-haul than conventional full-service airlines. These airlines are affordable, but they charge separately for each item, such as food, beverages, prior boarding, carry-on baggage and car rental services, to generate non-ticket revenues. They also use single type aircraft with minimum equipment to reduce weight, acquisition and maintenance costs while increasing fuel efficiency. They operate at less congested secondary airports to reduce airport fees, air traffic, delays and ground time between flights.

Low Cost Airlines Market Trends:

A significant rise in domestic travel and tourism represents one of the key factors bolstering the market growth. Moreover, the leading airline companies offer tickets directly via the telephone or the internet and eliminate the role of third-party agencies, which reduces the cost of transactions and services. This, in confluence with the widespread adoption of ticketless travel and the growing internet penetration, is contributing to the market growth. Furthermore, these airlines operate via point-to-point nonstop flights that aid in reducing travel time and enabling better aircraft utilization. In addition to this, the increasing focus of business travelers on minimizing travel time and costs is influencing the market positively. The emphasis of the market players on providing discounted fares to early reservations while enhancing passenger connectivity is driving the market further. However, the decline in the number of commercial flights on account of the spread of the coronavirus disease (COVID-19) and several measures undertaken by governing agencies to prevent the spread of the pandemic is negatively influencing the market. The market will experience growth once restrictions on traveling are lifted.

Key Market Segmentation:

IMARC Group provides an analysis of the key trends in each sub-segment of the global low cost airlines market report, along with forecasts at the global, regional and country level from 2023-2028. Our report has categorized the market based on purpose, distribution channel and destination.

Breakup by Purpose:

Leisure Travel
VFR
Business Travel
Others

Breakup by Distribution Channel:

Online
Travel Agency
Others

Breakup by Destination:

Domestic
International

Breakup by Region:

North America

United States
Canada

Asia-Pacific

China
Japan
India
South Korea
Australia
Indonesia
Others

Europe

Germany
France
United Kingdom
Italy
Spain
Russia
Others

Latin America

Brazil
Mexico
Others

Middle East and Africa

Competitive Landscape:

The competitive landscape of the industry has also been examined along with the profiles of the key players being Air Arabia PJSC, Alaska Airlines Inc., Capital A Berhad (Tune Group Sdn Bhd), easyJet plc, Go Airlines (Wadia Group), IndiGo, Jetstar Airways Pty Ltd (Qantas Airways Limited), Norwegian Air Shuttle ASA, Ryanair Holdings PLC, Southwest Airlines Co., SpiceJet Limited, Spirit Airlines Inc. and WestJet Airlines Ltd.

Key Questions Answered in This Report

1. What was the size of the global low cost airlines market in 2022?

2. What is the expected growth rate of the global low cost airlines market during 2023-2028?

3. What has been the impact of COVID-19 on the global low cost airlines market?

4. What are the key factors driving the global low cost airlines market?

5. What is the breakup of the global low cost airlines market based on the purpose?

6. What is the breakup of the global low cost airlines market based on the destination?

7. What are the key regions in the global low cost airlines market?

8. Who are the key players/companies in the global low cost airlines market?