The Domestic Airlines industry is soaring again as consumer and business spending have increased since the recession, leading to higher travel rates. Prior to the past five years, the industry experienced its most difficult year in at least a decade in 2009, as the recession led to a collapse in demand, resulting in capacity cuts and plummeting prices. businesses trips increased as corporate profit recovered quickly from the recession. As a result, industry revenue is estimated to increase over the five years to 2016. Industry revenue is expected to continue ascending over the five years to 2021, increasing and major operators will reap synergies from their recent mergers, leading to higher profit margins.
The industry provides air transportation for passengers and cargo over regular routes and on regular schedules. Network carriers operate a significant portion of their flights using at least one hub where connections are made for flights on a spoke system. Regional carriers provide service from small cities, mostly using smaller aircraft and jets to support the network carriers’ hub and spoke systems. Airlines that transport mail are included in this industry.
This report covers the scope, size, disposition and growth of the industry including the key sensitivities and success factors. Also included are five year industry forecasts, growth rates and an analysis of the industry key players and their market shares.