Asia Pacific Airline Ancillary Services Market Forecast to 2030 - Regional Analysis - by Type (Baggage Fees, On-Board Retail and A La Carte Services, Airline Retail, and FFP Mile Sales) and Carrier Type (Full-Service Carriers and Low-Cost Carriers)
The Asia Pacific airline ancillary services market was valued at US$ 31,373.82 million in 2022 and is expected to reach US$ 148,968.46 million by 2030; it is estimated to grow at a CAGR of 21.5% from 2022 to 2030.
Rising Preference of Air Travel by Middle-Income Passengers fuels the Asia Pacific Airline Ancillary Services Market
As per International Air Transport Association (IATA), the number of passengers traveling by air is expected to reach ~7.8 billion by 2036. The rapidly emerging middle-class segment majorly influences the growth in passengers travelling through airways in developing economies. In October 2021, world organizations such as United Nations World Tourism Organization (UNWTO) and the International Civil Aviation Organization partnered to support the safe restart of travel and tourism. In October 2020, UNWTO and IATA inked a Memorandum of Understanding to work together to restart global tourism. This agreement was focused on enhancing the confidence of the general public in air travel, which further helped increase air traffic.
An exponential growth of working groups in developing countries has increased freight traffic disposable income. According to the United Nations, the growing number of middle-class travelers, especially in China and India, is the primary factor contributing to the growth of air travel and various ancillary services. As the world recovers from economic contractions, the demand for air travel increases. The rising air travel demand has resulted in the augmented production of commercial aircraft, which has considerably contributed to the growth of various ancillary services, such as in-flight Wi-Fi, excess luggage, food and beverages, and in-flight shopping. According to IATA, in 2019, there were 4.54 billion air passengers, and in 2023, global air passengers reached 95% of pre-pandemic levels, which is 4.35 billion people. These mounting numbers of passengers across the world are demanding various parameters to make flight hours more exciting and comfortable. In-flight catering or in-flight culinary is one of the key trends among full-service carriers as well as low-cost carriers. The increasing focus on offering enhanced services to flight passengers and the rising number of aviation passengers worldwide are driving the Asia Pacific airline ancillary services market.
Asia Pacific Airline Ancillary Services Market Overview
Asia Pacific is a diverse region with more than 4 billion people and comprises dynamic economies that cumulatively generate 35% of the global GDP. The aviation industry in the region is a pivotal contributor to its social and economic development. Also, in Asia Pacific, government initiatives on airline ancillary services propel the Asia Pacific airline ancillary services market growth. In December 2022, the Singapore government provided an additional US$ 84 million to the aviation sector amid the COVID-19 pandemic to support the Asia Pacific airline ancillary services market. The funding will enable aviation companies to develop and deploy innovative technologies and measures to protect airport workers and aircrew from contracting the novel coronavirus that causes COVID-19. This led to increased demand for ancillary services such as aircraft and baggage sanitization systems, creating opportunities for service providers in the market.
Asia Pacific Airline Ancillary Services Market Revenue and Forecast to 2030 (US$ Bn)
Asia Pacific Airline Ancillary Services Market Segmentation
The Asia Pacific airline ancillary services market is segmented into type, carrier type, and country.
Based on type, the Asia Pacific airline ancillary services market is divided into baggage fees, on-board retail and a la carte services, airline retail, and FFP mile sales. The baggage fees segment held the largest market share in 2022.
By carrier type, the Asia Pacific airline ancillary services market is bifurcated into full-service carriers and low-cost carriers. The full-service carriers segment held a larger market share in 2022.
Based on country, the Asia Pacific airline ancillary services market is segmented into China, Japan, India, Australia, and the Rest of Asia Pacific. The Rest of Asia Pacific dominated the Asia Pacific airline ancillary services market in 2022.
Air France KLM SA, Delta Air Lines Inc, Deutsche Lufthansa AG, Qantas Airways Ltd, The Emirates, and United Airlines Holdings Inc are some of the leading companies operating in the Asia Pacific airline ancillary services market.
Rising Preference of Air Travel by Middle-Income Passengers fuels the Asia Pacific Airline Ancillary Services Market
As per International Air Transport Association (IATA), the number of passengers traveling by air is expected to reach ~7.8 billion by 2036. The rapidly emerging middle-class segment majorly influences the growth in passengers travelling through airways in developing economies. In October 2021, world organizations such as United Nations World Tourism Organization (UNWTO) and the International Civil Aviation Organization partnered to support the safe restart of travel and tourism. In October 2020, UNWTO and IATA inked a Memorandum of Understanding to work together to restart global tourism. This agreement was focused on enhancing the confidence of the general public in air travel, which further helped increase air traffic.
An exponential growth of working groups in developing countries has increased freight traffic disposable income. According to the United Nations, the growing number of middle-class travelers, especially in China and India, is the primary factor contributing to the growth of air travel and various ancillary services. As the world recovers from economic contractions, the demand for air travel increases. The rising air travel demand has resulted in the augmented production of commercial aircraft, which has considerably contributed to the growth of various ancillary services, such as in-flight Wi-Fi, excess luggage, food and beverages, and in-flight shopping. According to IATA, in 2019, there were 4.54 billion air passengers, and in 2023, global air passengers reached 95% of pre-pandemic levels, which is 4.35 billion people. These mounting numbers of passengers across the world are demanding various parameters to make flight hours more exciting and comfortable. In-flight catering or in-flight culinary is one of the key trends among full-service carriers as well as low-cost carriers. The increasing focus on offering enhanced services to flight passengers and the rising number of aviation passengers worldwide are driving the Asia Pacific airline ancillary services market.
Asia Pacific Airline Ancillary Services Market Overview
Asia Pacific is a diverse region with more than 4 billion people and comprises dynamic economies that cumulatively generate 35% of the global GDP. The aviation industry in the region is a pivotal contributor to its social and economic development. Also, in Asia Pacific, government initiatives on airline ancillary services propel the Asia Pacific airline ancillary services market growth. In December 2022, the Singapore government provided an additional US$ 84 million to the aviation sector amid the COVID-19 pandemic to support the Asia Pacific airline ancillary services market. The funding will enable aviation companies to develop and deploy innovative technologies and measures to protect airport workers and aircrew from contracting the novel coronavirus that causes COVID-19. This led to increased demand for ancillary services such as aircraft and baggage sanitization systems, creating opportunities for service providers in the market.
Asia Pacific Airline Ancillary Services Market Revenue and Forecast to 2030 (US$ Bn)
Asia Pacific Airline Ancillary Services Market Segmentation
The Asia Pacific airline ancillary services market is segmented into type, carrier type, and country.
Based on type, the Asia Pacific airline ancillary services market is divided into baggage fees, on-board retail and a la carte services, airline retail, and FFP mile sales. The baggage fees segment held the largest market share in 2022.
By carrier type, the Asia Pacific airline ancillary services market is bifurcated into full-service carriers and low-cost carriers. The full-service carriers segment held a larger market share in 2022.
Based on country, the Asia Pacific airline ancillary services market is segmented into China, Japan, India, Australia, and the Rest of Asia Pacific. The Rest of Asia Pacific dominated the Asia Pacific airline ancillary services market in 2022.
Air France KLM SA, Delta Air Lines Inc, Deutsche Lufthansa AG, Qantas Airways Ltd, The Emirates, and United Airlines Holdings Inc are some of the leading companies operating in the Asia Pacific airline ancillary services market.
1. INTRODUCTION
1.1 The Insight Partners Research Report Guidance
1.2 Market Segmentation
2. EXECUTIVE SUMMARY
2.1 Key Insights
2.2 Market Attractiveness
3. RESEARCH METHODOLOGY
3.1 Coverage
3.2 Secondary Research
3.3 Primary Research
4. ASIA PACIFIC AIRLINE ANCILLARY SERVICES MARKET LANDSCAPE
4.1 Overview
4.2 Ecosystem Analysis
4.2.1 Ancillary Service Blueprint:
4.2.2 Airline Ancillary Service Enablement:
4.2.3 Airline Ancillary Services Distribution, Revenue Analytics And Customer Experience Management:
4.2.4 List of Vendors in the Value Chain:
5. ASIA PACIFIC AIRLINE ANCILLARY SERVICES MARKET - KEY INDUSTRY DYNAMICS
5.1 Asia Pacific Airline Ancillary Services Market - Key Industry Dynamics
5.2 Market Drivers
5.2.1 Rising Preference of Air Travel by Middle-Income Passengers
5.2.2 Benefits of Frequent Flyer Program
5.2.3 In-Flight Retail Partnerships
5.3 Key market restraints
5.3.1 Cost Cutting on Airline Services
5.4 Key market opportunities
5.4.1 Start-Ups Present New Ancillary Revenue Opportunities
5.5 Future trends
5.5.1 Increasing Deployment of In-Flight Wi-Fi
5.6 Impact of Drivers and Restraints:
6. AIRLINE ANCILLARY SERVICES MARKET - ASIA PACIFIC MARKET ANALYSIS
6.1 Asia Pacific Airline Ancillary Services Market Revenue (US$ Billion), 2022 – 2030
6.2 Asia Pacific Airline Ancillary Services Market Forecast and Analysis
7. ASIA PACIFIC AIRLINE ANCILLARY SERVICES MARKET ANALYSIS - TYPE
7.1 Baggage Fees
7.1.1 Overview
7.1.2 Baggage Fees Market Revenue, Revenue and Forecast to 2030 (US$ Billion)
7.2 On-Board Retail and A La Carte Services
7.2.1 Overview
7.2.2 On-Board Retail and A La Carte Services Market Revenue, Revenue and Forecast to 2030 (US$ Billion)
7.3 Airline Retail
7.3.1 Overview
7.3.2 Airline Retail Market Revenue and Forecast to 2030 (US$ Billion)
7.4 FFP Mile Sales
7.4.1 Overview
7.4.2 FFP Mile Sales Market Revenue and Forecast to 2030 (US$ Billion)
7.5 Others
7.5.1 Overview
7.5.2 Others Market Revenue and Forecast to 2030 (US$ Billion)
8. ASIA PACIFIC AIRLINE ANCILLARY SERVICES MARKET ANALYSIS - CARRIER TYPE
8.1 Full-Service Carriers
8.1.1 Overview
8.1.2 Full-Service Carriers Market Revenue, and Forecast to 2030 (US$ Billion)
8.2 Low-Cost Carriers
8.2.1 Overview
8.2.2 Low-Cost Carriers Market Revenue, and Forecast to 2030 (US$ Billion)
9. ASIA PACIFIC AIRLINE ANCILLARY SERVICES MARKET - COUNTRY ANALYSIS
9.1 Overview
9.1.1 Asia Pacific Airline Ancillary Services Market Revenue and Forecasts and Analysis - By Countries
9.1.1.1 Asia Pacific Airline Ancillary Services Market Breakdown by Country
9.1.1.2 China: Asia Pacific Airline Ancillary Services Market Revenue and Forecasts to 2030 (US$ Bn)
9.1.1.2.1 China: Asia Pacific Airline Ancillary Services Market Breakdown by Type
9.1.1.2.2 China: Asia Pacific Airline Ancillary Services Market Breakdown by Carrier Type
9.1.1.3 Japan: Asia Pacific Airline Ancillary Services Market Revenue and Forecasts to 2030 (US$ Bn)
9.1.1.3.1 Japan: Asia Pacific Airline Ancillary Services Market Breakdown by Type
9.1.1.3.2 Japan: Asia Pacific Airline Ancillary Services Market Breakdown by Carrier Type
9.1.1.4 Japan: Asia Pacific Airline Ancillary Services Market Revenue and Forecasts to 2030 (US$ Bn)
9.1.1.4.1 Japan: Asia Pacific Airline Ancillary Services Market Breakdown by Type
9.1.1.4.2 Japan: Asia Pacific Airline Ancillary Services Market Breakdown by Carrier Type
9.1.1.5 Australia: Asia Pacific Airline Ancillary Services Market Revenue and Forecasts to 2030 (US$ Bn)
9.1.1.5.1 Australia: Asia Pacific Airline Ancillary Services Market Breakdown by Type
9.1.1.5.2 Australia: Asia Pacific Airline Ancillary Services Market Breakdown by Carrier Type
9.1.1.6 Rest of Asia Pacific: Asia Pacific Airline Ancillary Services Market Revenue and Forecasts to 2030 (US$ Bn)
9.1.1.6.1 Rest of Asia Pacific: Asia Pacific Airline Ancillary Services Market Breakdown by Type
9.1.1.6.2 Rest of Asia Pacific: Asia Pacific Airline Ancillary Services Market Breakdown by Carrier Type
10. COMPETITIVE LANDSCAPE
10.1 Heat Map Analysis By Key Players
10.2 Company Positioning & Concentration
11. ASIA PACIFIC AIRLINE ANCILLARY SERVICES MARKET INDUSTRY LANDSCAPE
11.1 Overview
11.2 Market Initiatives
11.3 New Product Developments
12. COMPANY PROFILES
12.1 United Airlines Holdings Inc
12.1.1 Key Facts
12.1.2 Business Description
12.1.3 Products and Services
12.1.4 Financial Overview
12.1.5 SWOT Analysis
12.1.6 Key Developments
12.2 Delta Air Lines Inc
12.2.1 Key Facts
12.2.2 Business Description
12.2.3 Products and Services
12.2.4 Financial Overview
12.2.5 SWOT Analysis
12.2.6 Key Developments
12.3 Deutsche Lufthansa AG
12.3.1 Key Facts
12.3.2 Business Description
12.3.3 Products and Services
12.3.4 Financial Overview
12.3.5 SWOT Analysis
12.3.6 Key Developments
12.4 Qantas Airways Ltd
12.4.1 Key Facts
12.4.2 Business Description
12.4.3 Products and Services
12.4.4 Financial Overview
12.4.5 SWOT Analysis
12.4.6 Key Developments
12.5 The Emirates
12.5.1 Key Facts
12.5.2 Business Description
12.5.3 Products and Services
12.5.4 Financial Overview
12.5.5 SWOT Analysis
12.5.6 Key Developments
12.6 Air France KLM SA
12.6.1 Key Facts
12.6.2 Business Description
12.6.3 Products and Services
12.6.4 Financial Overview
12.6.5 SWOT Analysis
12.6.6 Key Developments
13. APPENDIX
13.1 About The Insight Partners
13.2 Word Index
1.1 The Insight Partners Research Report Guidance
1.2 Market Segmentation
2. EXECUTIVE SUMMARY
2.1 Key Insights
2.2 Market Attractiveness
3. RESEARCH METHODOLOGY
3.1 Coverage
3.2 Secondary Research
3.3 Primary Research
4. ASIA PACIFIC AIRLINE ANCILLARY SERVICES MARKET LANDSCAPE
4.1 Overview
4.2 Ecosystem Analysis
4.2.1 Ancillary Service Blueprint:
4.2.2 Airline Ancillary Service Enablement:
4.2.3 Airline Ancillary Services Distribution, Revenue Analytics And Customer Experience Management:
4.2.4 List of Vendors in the Value Chain:
5. ASIA PACIFIC AIRLINE ANCILLARY SERVICES MARKET - KEY INDUSTRY DYNAMICS
5.1 Asia Pacific Airline Ancillary Services Market - Key Industry Dynamics
5.2 Market Drivers
5.2.1 Rising Preference of Air Travel by Middle-Income Passengers
5.2.2 Benefits of Frequent Flyer Program
5.2.3 In-Flight Retail Partnerships
5.3 Key market restraints
5.3.1 Cost Cutting on Airline Services
5.4 Key market opportunities
5.4.1 Start-Ups Present New Ancillary Revenue Opportunities
5.5 Future trends
5.5.1 Increasing Deployment of In-Flight Wi-Fi
5.6 Impact of Drivers and Restraints:
6. AIRLINE ANCILLARY SERVICES MARKET - ASIA PACIFIC MARKET ANALYSIS
6.1 Asia Pacific Airline Ancillary Services Market Revenue (US$ Billion), 2022 – 2030
6.2 Asia Pacific Airline Ancillary Services Market Forecast and Analysis
7. ASIA PACIFIC AIRLINE ANCILLARY SERVICES MARKET ANALYSIS - TYPE
7.1 Baggage Fees
7.1.1 Overview
7.1.2 Baggage Fees Market Revenue, Revenue and Forecast to 2030 (US$ Billion)
7.2 On-Board Retail and A La Carte Services
7.2.1 Overview
7.2.2 On-Board Retail and A La Carte Services Market Revenue, Revenue and Forecast to 2030 (US$ Billion)
7.3 Airline Retail
7.3.1 Overview
7.3.2 Airline Retail Market Revenue and Forecast to 2030 (US$ Billion)
7.4 FFP Mile Sales
7.4.1 Overview
7.4.2 FFP Mile Sales Market Revenue and Forecast to 2030 (US$ Billion)
7.5 Others
7.5.1 Overview
7.5.2 Others Market Revenue and Forecast to 2030 (US$ Billion)
8. ASIA PACIFIC AIRLINE ANCILLARY SERVICES MARKET ANALYSIS - CARRIER TYPE
8.1 Full-Service Carriers
8.1.1 Overview
8.1.2 Full-Service Carriers Market Revenue, and Forecast to 2030 (US$ Billion)
8.2 Low-Cost Carriers
8.2.1 Overview
8.2.2 Low-Cost Carriers Market Revenue, and Forecast to 2030 (US$ Billion)
9. ASIA PACIFIC AIRLINE ANCILLARY SERVICES MARKET - COUNTRY ANALYSIS
9.1 Overview
9.1.1 Asia Pacific Airline Ancillary Services Market Revenue and Forecasts and Analysis - By Countries
9.1.1.1 Asia Pacific Airline Ancillary Services Market Breakdown by Country
9.1.1.2 China: Asia Pacific Airline Ancillary Services Market Revenue and Forecasts to 2030 (US$ Bn)
9.1.1.2.1 China: Asia Pacific Airline Ancillary Services Market Breakdown by Type
9.1.1.2.2 China: Asia Pacific Airline Ancillary Services Market Breakdown by Carrier Type
9.1.1.3 Japan: Asia Pacific Airline Ancillary Services Market Revenue and Forecasts to 2030 (US$ Bn)
9.1.1.3.1 Japan: Asia Pacific Airline Ancillary Services Market Breakdown by Type
9.1.1.3.2 Japan: Asia Pacific Airline Ancillary Services Market Breakdown by Carrier Type
9.1.1.4 Japan: Asia Pacific Airline Ancillary Services Market Revenue and Forecasts to 2030 (US$ Bn)
9.1.1.4.1 Japan: Asia Pacific Airline Ancillary Services Market Breakdown by Type
9.1.1.4.2 Japan: Asia Pacific Airline Ancillary Services Market Breakdown by Carrier Type
9.1.1.5 Australia: Asia Pacific Airline Ancillary Services Market Revenue and Forecasts to 2030 (US$ Bn)
9.1.1.5.1 Australia: Asia Pacific Airline Ancillary Services Market Breakdown by Type
9.1.1.5.2 Australia: Asia Pacific Airline Ancillary Services Market Breakdown by Carrier Type
9.1.1.6 Rest of Asia Pacific: Asia Pacific Airline Ancillary Services Market Revenue and Forecasts to 2030 (US$ Bn)
9.1.1.6.1 Rest of Asia Pacific: Asia Pacific Airline Ancillary Services Market Breakdown by Type
9.1.1.6.2 Rest of Asia Pacific: Asia Pacific Airline Ancillary Services Market Breakdown by Carrier Type
10. COMPETITIVE LANDSCAPE
10.1 Heat Map Analysis By Key Players
10.2 Company Positioning & Concentration
11. ASIA PACIFIC AIRLINE ANCILLARY SERVICES MARKET INDUSTRY LANDSCAPE
11.1 Overview
11.2 Market Initiatives
11.3 New Product Developments
12. COMPANY PROFILES
12.1 United Airlines Holdings Inc
12.1.1 Key Facts
12.1.2 Business Description
12.1.3 Products and Services
12.1.4 Financial Overview
12.1.5 SWOT Analysis
12.1.6 Key Developments
12.2 Delta Air Lines Inc
12.2.1 Key Facts
12.2.2 Business Description
12.2.3 Products and Services
12.2.4 Financial Overview
12.2.5 SWOT Analysis
12.2.6 Key Developments
12.3 Deutsche Lufthansa AG
12.3.1 Key Facts
12.3.2 Business Description
12.3.3 Products and Services
12.3.4 Financial Overview
12.3.5 SWOT Analysis
12.3.6 Key Developments
12.4 Qantas Airways Ltd
12.4.1 Key Facts
12.4.2 Business Description
12.4.3 Products and Services
12.4.4 Financial Overview
12.4.5 SWOT Analysis
12.4.6 Key Developments
12.5 The Emirates
12.5.1 Key Facts
12.5.2 Business Description
12.5.3 Products and Services
12.5.4 Financial Overview
12.5.5 SWOT Analysis
12.5.6 Key Developments
12.6 Air France KLM SA
12.6.1 Key Facts
12.6.2 Business Description
12.6.3 Products and Services
12.6.4 Financial Overview
12.6.5 SWOT Analysis
12.6.6 Key Developments
13. APPENDIX
13.1 About The Insight Partners
13.2 Word Index
