Air Charter Services Market Future Landscape And Strategic Outlook 2032
The air charter services market size was valued at USD 46.29 billion in 2023 and is expected to be worth USD 48.19 billion in 2024. The market is projected to reach USD 80.65 billion by 2032, recording a CAGR of 6.65% during the forecast period.
Air charter services involve the leasing or renting of an entire aircraft for business or personal purposes. Unlike a commercial flight wherein customers have to purchase a seat for travel, air charters give clients the freedom to book an entire aircraft to transport either people or cargo. The increasing number of high net-worth individuals and the rising demand for luxury and convenience while traveling among them is one of the major factors propelling the market’s growth.
During the COVID-19 pandemic, demand for private charter flights surged as travelers sought safer alternatives to crowded commercial flights. As per few airline operators, in 2020, a 10% spike was observed for international and domestic enquiries.
Fortune Business Insights™ displays this information in a report titled, "Air Charter Services Market Size, Share and Analysis 2024-2032."
LIST OF KEY COMPANIES PROFILED IN THE REPORT:
Air Charter Service Pvt. Ltd. (U.K.)
Gama Aviation (U.K.)
Air Partner (U.K.)
NetJets (U.S.)
Delta Private Jets (U.S.)
Asia Jet Partners Ltd. (Malaysia)
Flexjet LLC (U.S.)
GlobeAir AG (Austria)
Jet Aviation AG (Switzerland)
Jet Linx Aviation Inc. (U.S.)
Information source:
https://www.fortunebusinessinsights.com/air-charter-service-market-108388
Segmentation:
Business Jets Gained Major Traction Due to Rising Demand for Aircraft Modernization Programs
Based on aircraft type, the market is divided into business jet, turboprops, helicopters, and others. The business jet segment dominated the global market in 2023 and might record the fastest growth rate during the forecast period as the demand for aircraft modernization programs and Maintenance, Repair, and Operations (MRO) services is expected to rise in the aviation industry in the coming years.
Growth in Passenger Air Traffic Boosted Use of Air Charter Services in Passenger Aircraft
Based on application, the market is classified into passenger, cargo, and others. The others segment consists of air ambulance and air taxi applications. The passenger segment held the largest global air charter services market share in 2023 as there has been a considerable increase in the passenger air traffic in the last few years.
Rise in Private Air Travel Among Organizations Accelerated Demand for Domestic Air Charter Services
Based on range, the market is classified into domestic and international. The domestic segment captured the biggest market share in 2023 due to a notable rise in domestic corporate air travel, especially after the COVID-19 pandemic era.
With respect to region, the market covers North America, Europe, Asia Pacific, and the rest of the world.
Report Coverage:
The report has conducted a detailed study of the market and highlighted several critical areas, such as leading aircraft types, ranges, applications, and prominent market players. It has also focused on the latest market trends and the key industry developments. Apart from the aforementioned factors, the report has given information on many other factors that have helped the market grow.
Drivers and Restraints:
Increasing Use of Private Charters in Emerging Countries to Fuel Market Growth
An increasing number of emerging countries across the world are availing private charter services due to a wide range of factors. These include rising income of high net-worth individuals and strong economic growth of developing nations in Latin America, Asia Pacific, and certain parts of Africa. Several multinational enterprises are also opting for air charter services to fly in CEOs and other key stakeholders from other states or countries. These aspects are expected to have a positive impact on the air charter services market growth.
However, there are several stringent regulations that aircraft owners have to adhere to, to receive their Certificate of Airworthiness or ‘C of A’ to become eligible for using their aircraft for private aviation. This factor can hinder the market’s progress.
Regional Insights:
North America Led Market Growth Due to Rise in Domestic Air Traffic
North America accounted for the largest global air charter services market share in 2023 as the region is witnessing a notable rise in its annual domestic air traffic every year. Moreover, the U.S. has a large presence of leading market players, which will further contribute to the regional market’s growth.
Europe also held a considerable market share in 2023 owing to a robust growth in the region’s tourism industry, which will increase the demand for private aviation services.
Competitive Landscape:
Leading Companies to Focus On Fleet Expansion and Other Strategies to Grow Their Business
Some of the top players involved in the air charter services market are focusing on expanding their current fleet of aircraft to accommodate private aviation flights and cater to a wider pool of clients. They are also engaging in partnerships, acquisitions, and other business growth strategies to increase their global footprint and enhance their aviation capabilities.
Notable Industry Development:
April 2024- MakeMyTrip, an online travel company based in India, announced the launch of its private charter services from Mumbai to Bhutan. These services were unveiled as part of the company’s holiday package for Bhutan.