The global ground and cargo handling services market is likely to grow at a CAGR of 6% during 2017-2023.
CHICAGO, IL, UNITED STATES, September 26, 2018 /EINPresswire.com/ — Arizton’s recent market research report on the ground handling and cargo handling services market provides comprehensive industry analysis, trend forecasts, and competitive analysis. The research study segments the market by service type (ground handling and cargo handling), by airplane type (passenger airlines, cargo airlines, and chartered airlines), geography (APAC, Europe, North America, Latin America, and MEA), and offers detailed competitive analysis.
The ground handling services market is estimated to generate revenues of around $32 billion by 2023, growing at a CAGR of approximately 6% during 2017-2023.
The exponential increase in tourism across countries such as Myanmar, Vietnam, and South Korea is augmenting the growth of the global market. The increasing number of air passengers directly drive the demand for effective ground handlers and cargo handlers in the global ground handling and cargo handling services market.
The rising demand for air travel, expansion of fleet by airlines to accommodate a larger number of passengers, and a larger number of flight movements to reduce ground time are some of the primary factors attributing to the growth of the global ground and cargo handling services market. The airlines are focusing on improving the efficiency of the aircraft fleet and adding new travel routes, thereby, boosting the demand for these airport services in the market. The introduction of various LCCs that are aiming to maximize the aircraft fleet efficiency and implement intensive short-haul flight schedules will transform the global market. The other revenue generating sources in the aeronautical industry consist of food courts, travel retail outlets, and other amenities located at the airport. The ground handling service providers offer a wide range of services to passengers, baggage, airplane, and turnaround punctuality in the market. The growing number of international travelers, rising middle-class spending, and increasing number of LCC airlines are the primary factors attributing to the increased revenues in the market. The increasing profitability of airline companies and the simultaneous rise in the number of air travel and air cargo will create lucrative opportunities for leading vendors operating in the market. The development of emerging regions will boost the growth of the global ground and cargo handling services market.
China is among the fastest growing regions with the rise in outbound air passengers, a strong economy, the opening of new routes, and the growing middle-class population in the global market. The increasing popularity of tourism and leisure activities across countries such as Myanmar, Vietnam, and South Korea will have a positive impact on the development of the ground handling market over the next few years.
The top 3 drivers and trends propelling the growth of the ground handling and cargo handling services market are discussed below:
Establishment of New Airports and Stations
The increasing investment by the aviation ministries and players for the development and establishment of new airports is augmenting the growth of the global ground handling services market. These new airports are designed to break the idea of airports being seen as just terminals for passengers to arrive and depart. The airports are the base of operations for cargo handlers, baggage handlers, ground services, ramp handling, and other such services. Companies are building airports that facilitate a way to service long hauls arrivals and layovers, resulting in growing demand in the ground handling and cargo handling services market. The inclusion of several travel retail and luxury shopping outlets will help offer consumers varied kind of amenities and shopping space during long layovers at the terminals. Furthermore, these retail spaces will generate higher revenues that will result in efficient operations in the global market. The ground handling companies are expected to perform the activities such as marshaling the airplane, transporting passengers to the terminal, handling their baggage, and performing these services again when the next flight for layover passengers is ready. The development of these new airports will augment the demand for these services in the global ground handling and cargo handling services market.
Innovations in Ground Handling and Cargo Handling Systems and Equipment
The growing focus on companies to delivery stipulated ground and cargo handling services with the utmost punctuality and safety are propelling the development of the global ground handling and cargo handling services market. The increasing demand from the airlines and a growing number of people on the terminal and apron are creating lucrative opportunities for leading vendors in the global ground handling services market. The ground and cargo handling companies are investing significant amounts in development and implementations of new-age equipment and systems to accommodate and service an added number of flights without hiring extra workforce in the market. The integration of these innovative systems across busy airports worldwide will help improve the capabilities of the stipulated services and maintain the time requirements for the turnaround of airplanes. Some of the innovations are in the field of harmonization of communication channel and standards between the airport, airlines, and the ground handlers, baggage screening, sorting, and tracking, and GSE pooling. The vendors are leveraging technological innovations to improve the passenger experience and upgradations in the airplane and flight systems in the market. Such innovations will boost the growth of the global ground handling and cargo handling services market.
Increasing Amount of Freight in Passenger Airlines
The recent revival and boom of the air freight industry will contribute to the growing revenues in the global ground handling and cargo handling services market. The increasing demand for cross-country perishable goods and parcel services will attribute to the growth of the cargo handlers and ramp handlers in the market. The exponential growth of the e-commerce businesses is one of the major factors contributing to the development of the global market. E-commerce and online retail stores are partnering with passenger airlines to maintain their unique selling proposition of quick global deliveries. These partnerships will result in expedited deliveries and result in higher revenues in the global ground handling and cargo handling services market. Several airlines operate as combines carriers, carrying passengers and express cargo items. The trend of increasing cargo and freight in the passenger airlines is likely to improve business opportunities and revenue channels for the ground handling service providing vendors. These partnerships will help boost revenues and diversify vendors portfolios in the global ground handling and cargo handling services market.
The leading vendors in the ground handling and cargo handling services market are Swissport International, Dnata, Menzies Aviation, and Worldwide Flight Services (WFS).
The complete overview of the latest market research report on ground handling and cargo handling services market by Arizton is now available.
The report also offers a detailed study of major trends, drivers, challenges, and also provides the market size and forecast for major geographical regions and key countries.
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Source: EIN Presswire