To represent, lead and serve the airline industry Aviation insight through analysis ICAN World Statistics Day, 20 th October 2015 James Wiltshire, Senior Economist In one year of commercial aviation…
2 The real world wide web?
In one year of commercial aviation… billion passengers 33.6 million flights 6.2 million passenger kilometres cities connected directly
Aviation: world trade 4
© ATAG 2014WWW.AVIATIONBENEFITS.ORG 5 Aviation and tourism 53% of international tourists travel by air
City-pairs doubled – transport costs halved IATA Economics Source: IATA, ICAO, OAG
Air travel boom continues IATA Economics
Business travel also linked to trade activity IATA Economics Source: IATA, CPB Netherlands
Propensity to travel increases with income 9IATA Economics
Demand for air travel to double over 20 years 10 Source: IATA/Tourism Economics ‘Air Passenger Forecasts’ IATA Economics
Which will require significant investment 11IATA Economics
Paying investors (for 1st time!) IATA Economics Source: IATA, McKinsey
But only some airlines are paying investors IATA Economics Average cost of capital Source: The Airline Analyst, IATA
The industry remains fragmented Market share of top-4 airlines/JVs IATA Economics Source: SRS Analyser
Competitiveness: A global challenge 15 Source: World Economic Forum Travel & Tourism Competitiveness Index
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