Airport Operations Market Expected to Reach $13.8 Billion by 2031—Allied Market Research

According to a new report published by Allied Market Research, titled, “Airport Operations Market," The airport operations market was valued at $7.7 billion in 2021, and is estimated to reach $13.8 billion by 2031, growing at a CAGR of 6.3% from 2022 to 2031.

Asia-Pacific dominated the airport operations market in terms of growth, followed by North America, Europe, and LAMEA. The U.S. dominated the market share in 2021, and is expected to grow at a significant rate in the market during the forecast timeframe.

The airport operations market holds a great potential over the coming years backed by the rise in inflight passenger demand and efforts by airline and airport operators to optimize their processes to increase efficiency and reduce cost. The rise in dependency on new technologies to streamline processes and trend toward self-service and automation are identified as major business accelerator within the forecast timeframe. The post pandemic situation where individuals across the globe are more inclined toward traveling and returning to their normal routine, aviation industry is experiencing a business surge. The total number of passenger across the globe surged by 65% between January to April 2022, as compared to 2021, followed by increase in airline seat capacity by 32%.

Integration of new technologies within the airport operations is anticipated to play a defining role within the forecast timeframe. Adoption of automated technologies in passenger as well a freight operations is allowing airport and operators to generate notable amount of useful data. Airport association across the globe are entering a collaborative approach to share these database to improve their operations. For instance, in March 2021, Chicago Rockford International airport and Cologne Bonn airport signed a co-operation agreement where both the airports are anticipated to share information related to logistics. The airports are expected to take initiatives that integrate new technologies for handling e-commerce cargo.

By airport class, it is categorized into class A, class B, class C, and Class D airports. Depending on operation, the airport operations market is fragmented into airside operation, landside operation, financial operation and information management. By platform, it is divided into hardware, software and service. The airport category segment is categorized into commercial service airports, cargo service airports, reliever airports, and general aviation airports. Region-wise, the market is analyzed across North America, Europe, Asia-Pacific, and LAMEA.

Factors such as increase in investment to support brown filed and green field airport operations, rise in passenger traffic across the globe, and adoption of new technologies supporting automation and self-services. The COVID-19 is having a notable impact on airport operations market and have shifted the business dynamics within the forecast timeframe. Currently majority of airports are focused toward reducing their operational cost, increase operational efficiency and reduce their carbon footprint. For instance, In June 2022, the Delhi International Airport Limited (DIAL) announced acquisition of 62 electric vehicles that is anticipated to optimize their airside operations. The electric vehicles is anticipated to be gradually induced within three to four months and reduce approximately 10,000 tons of greenhouse emissions per annum.

KEY FINDINGS OF THE STUDY

• By airport class, the class B segment leads the market during the forecast period.
• By operation, the landside operation segment leads the market during the forecast period.
• By platform, the software segment is expected to grow at lucrative growth rate during the forecast period (2022-2031).
• By airport category, the reliever airport segment leads the market during the forecast period.
• Asia-Pacific is anticipated to exhibit the highest CAGR during the forecast period.

The key players operating in the airport operations market are Cisco Systems, Inc., Honeywell International Inc., IBM, Indra, QinetiQ, Raytheon Technologies Corporation, Siemens, SITA, Teledyne Technologies Incorporated, Thales, Daifuku Co., Ltd., Damarel Systems International Ltd., Amadeus IT Group, Inform GmbH, Aena, Huawei Technologies Co., Ltd., and ES_Mobility