Australia Airlines Market

Australia Airlines Market Overview:

The Australia airlines market size reached USD 3.1 Billion in 2023. Looking forward, IMARC Group expects the market to reach USD 5.4 Billion by 2032, exhibiting a growth rate (CAGR) of 6.10% during 2024-2032. The market is primarily driven by the increased domestic travel demand, renewed international tourism, significant investments in infrastructure and technology, enhancing operational efficiency and passenger experience across the country.

Australia Airlines Market Trends:

Growing Domestic Travel Demand:

The Australian domestic airline sector is experiencing a significant uptick in growth, primarily driven by a resurgence in domestic travel demand. As per the Bureau of Infrastructure and Transport Research Economics (BITRE), in June 2024, Australian domestic commercial aviation, which includes charter operations, transported 4.93 million passengers, which increased by 0.2% from the 4.92 million passengers in June 2023. This number also represents a 0.3% increase from the pre-COVID passenger count of 4.92 million in June 2019. Additionally, regular public transport (RPT) flights in June 2024 saw a modest 0.2% increase in passenger volume, carrying 4.60 million passengers compared to the same month in the previous year. Besides this, the removal of COVID-19-related restrictions has caused a surge in pent-up demand, as many Australians just want to travel after extended lockdowns and years of travel restrictions, thus propelling the domestic tourism growth. Apart from this, the greater flexibility regarding working from home has led more and more Australians to take domestic trips either for a workation or holiday, hence increasing the airline traffic. Hence, this trend underpins revenue streams of local carriers, enabling them to expand routes and increase frequencies of flights, which in turn support job growth in the industry and other related industries like hospitality and retail sectors, reinforcing the overall economic momentum.

International Travel Growth:

On the international front, the reopening of Australia's borders has catalyzed a recovery in international travel, with Australian Bureau of Statistics (ABS) data indicating a substantial growth, for April 2022, the data showed 1.2 million international border crossings to and from Australia. This marks a significant increase from the 710,000 crossings recorded in March 2022 and a substantial increase compared to the same period last year, which saw only 118,000 movements.  This is crucial for airlines, as international routes typically offer higher margins than domestic flights. Moreover, the revitalization of international tourism and business travel is filling airplanes, leading to higher load factors and profitability for carriers. Furthermore, the global reconnection is attracting foreign tourists, whose expenditure contributes significantly to the Australian economy. Besides, airlines are responding by reinstating pre-pandemic routes and introducing new ones to capitalize on emerging travel trends, such as increased interest in outdoor and less-crowded destinations. Furthermore, the renewal of international partnerships and agreements is also enhancing connectivity, making Australia a more accessible and appealing destination.

Australia Airlines Market News:

• August 2024, Koala Airlines, a company traditionally known for its air tours and charter services, has announced its intention to transition into the low-cost carrier sector in Australia. The airline, with a history spanning over five decades, revealed its plan to initiate operations with Boeing  737 aircraft. Besides, it remains to be seen whether it has secured an air operators certificate (AOC).
• August 2024, Australia's new aviation regulators will handle airline ticket refunds and address noise complaints. The government introduced 56 measures in its aviation white paper aimed at boosting fairness and competition. Passengers will have better rights for refunds, while residents near airports will be able to raise concerns with a new aircraft noise ombudsman. Moreover, a proposed aviation industry ombudsman will enforce a passenger rights charter, which could offer compensation for cancelled or delayed flights.

Australia Airlines Market Segmentation:

IMARC Group provides an analysis of the key trends in each segment of the market, along with forecasts at the country level for 2024-2032. Our report has categorized the market based on type of transport and application.

Type of Transport Insights:

• Domestic
• International
   

The report has provided a detailed breakup and analysis of the market based on the type of transport. This includes domestic and international.

Application Insights:

• Passenger
• Freight
   

A detailed breakup and analysis of the market based on the application have also been provided in the report. This includes passenger and freight.

Regional Insights:

• Australia Capital Territory & New South Wales
• Victoria & Tasmania
• Queensland
• Northern Territory & Southern Australia
• Western Australia
   

The report has also provided a comprehensive analysis of all the major regional markets, which include Australia Capital Territory & New South Wales, Victoria & Tasmania, Queensland, Northern Territory & Southern Australia, and Western Australia.

Competitive Landscape:

The market research report has also provided a comprehensive analysis of the competitive landscape. Competitive analysis such as market structure, key player positioning, top winning strategies, competitive dashboard, and company evaluation quadrant has been covered in the report. Also, detailed profiles of all major companies have been provided.

Australia Airlines Market Report Coverage:

Key Questions Answered in This Report:

• How has the Australia airlines market performed so far and how will it perform in the coming years?
• What has been the impact of COVID-19 on the Australia airlines market?
• What is the breakup of the Australia airlines market on the basis of type of transport?
• What is the breakup of the Australia airlines market on the basis of application?
• What are the various stages in the value chain of the Australia airlines market? 
• What are the key driving factors and challenges in the Australia airlines?
• What is the structure of the Australia airlines market and who are the key players?
• What is the degree of competition in the Australia airlines market?

Key Benefits for Stakeholders:

• IMARC’s industry report offers a comprehensive quantitative analysis of various market segments, historical and current market trends, market forecasts, and dynamics of the Australia airlines market from 2018-2032.
• The research report provides the latest information on the market drivers, challenges, and opportunities in the Australia airlines market.
• Porter's five forces analysis assist stakeholders in assessing the impact of new entrants, competitive rivalry, supplier power, buyer power, and the threat of substitution. It helps stakeholders to analyze the level of competition within the Australia airlines industry and its attractiveness.
• Competitive landscape allows stakeholders to understand their competitive environment and provides an insight into the current positions of key players in the market.