PUBLISHER: The Business Research Company | PRODUCT CODE: 1428242
PUBLISHER: The Business Research Company | PRODUCT CODE: 1428242
Air charter services denote a type of air carrier business wherein consumers rent an entire aircraft instead of securing individual seats on a scheduled flight. These services empower users to customize their private flights based on their preferences.
The primary categories of air charter services include business charter services and private charter services. Business charter services encompass temporary transportation solutions provided to clients, catering to diverse business travel needs. These services offer a range of charter options, utilizing private jets, helicopters, turbo-props, and wide-body aircraft for both passenger and freight applications. The clientele for business charter services includes business travelers, leisure travelers, government and diplomatic entities, sports teams, and individuals from the entertainment industry.
The air charter services research report is one of a series of new reports from The Business Research Company that provides air charter services market statistics, including the air charter services industry's global market size, regional shares, competitors with air charter services market share, detailed air charter services market segments, market trends and opportunities, and any further data you may need to thrive in the air charter services industry. This air charter services market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenarios of the industry.
The air charter services market size has grown strongly in recent years. It will grow from $29.65 billion in 2023 to $31.39 billion in 2024 at a compound annual growth rate (CAGR) of 5.9%. The historical period's growth can be ascribed to the demands for corporate travel and executive transportation, the expansion of the business aviation sector, the globalization and increased international trade activities, the prominence of high-profile events and sports charters, and the surge in private and luxury travel preferences.
The air charter services market size is expected to see strong growth in the next few years. It will grow to $38.17 billion in 2028 at a compound annual growth rate (CAGR) of 5.0%. The anticipated growth in the forecast period can be ascribed to the advancements in aircraft technology and range, escalating congestion observed at major airports, the establishment of regulations and safety standards for air charter services, the increasing demand for emergency response and medical evacuation services, as well as the military and government's reliance on air charter services. Additionally, the growing significance of time efficiency in business travel, the expansion of air taxi and urban air mobility services, and major trends such as technological progress in supersonic and electric aircraft, the incorporation of blockchain technology in charter booking platforms, collaborations between air charter companies and travel tech firms, the utilization of artificial intelligence in flight planning and operations, and the adoption of sustainable aviation fuels in charter fleets contribute to the forecasted growth.
The anticipated growth in the air charter services market is expected to be propelled by the increasing demand for cargo charters. Cargo charters, defined as cargo carriers making fewer than fourteen landings at a specific airport in a calendar year and not part of the regular airport schedule, cater to the transportation of specialized cargo, including hazardous materials or oversized items. These services offer a swift and efficient means of transporting goods, especially to remote areas that may be challenging to access through other transportation modes. For example, in 2021, the International Air Transport Association (IATA) reported an 18.7% annual increase in aviation cargo volumes, accompanied by a 13.8% rise in available cargo ton-kilometers (ACTKs). Consequently, the surging demand for cargo charters is a significant driver of the air charter services market's growth.
The expansion of global trade is poised to further boost the air charter services market. Global trade involves the exchange of goods and services across international borders, encompassing the buying and selling of products between countries. Air charter services play a pivotal role in facilitating global trade by providing a faster, more flexible, and often more efficient alternative to traditional air cargo shipping. By circumventing the often-lengthy schedules and delays associated with commercial airlines, these services ensure timely delivery, minimizing disruptions in the supply chain. As reported by the United Nations Conference on Trade and Development in September 2023, maritime trade is expected to increase by 2.4% in 2023 and more than 2% from 2024 to 2028. The energy sector, specifically oil and gas trades, experienced growth of 6.0% and 4.6%, respectively, in 2022 as pandemic-related constraints eased. Thus, the rise in global trade serves as a significant driver for the growth of the air charter services market.
The air charter services market is witnessing a significant trend towards product innovation, with major players dedicating efforts to create innovative offerings and solidify their market standing. An illustration of this trend is evident in the actions of Air Charter Services, a UK-based air charter company, which introduced a dedicated time-critical division in October 2022. This initiative consolidates various services for urgent shipment requests under a new air charter services time-critical sub-brand, providing multiple services and a comprehensive door-to-door solution. The ACS Critical Time offers integrated trucking solutions, go-now cargo airplane charters with the onboard courier (OBC), and next-flight-out alternatives.
Leading companies in the air charter services market are actively developing innovative services, including commodities transport charter services, to expand their customer bases, enhance sales, and increase revenue. Commodities transport charter services cater to the specialized transportation of various commodities, such as bulk goods, raw materials, or specific items such as agricultural products, minerals, or energy resources. A case in point is Jayud Global Logistics, a China-based end-to-end supply chain solution provider, which launched an air charter service in July 2023. This new service operates weekly and focuses on transporting commodities between Shenzhen and key Southeast Asian destinations, including Jakarta, Indonesia (CGK), Davao City, Philippines (DVO), and Clark, Philippines (CRK). The initiative underscores the company's commitment to the Southeast Asian market, providing direct and seamless logistics solutions to customers. The service utilizes Boeing's B737-300F and B737-800F aircraft with a maximum weight restriction of 20 tons per flight, ensuring efficient and reliable cargo transportation.
In January 2022, Wheels Up, a US-based private aviation company, acquired Air Partner for an undisclosed amount. This strategic move enabled Wheels Up to strengthen its international position and expand its footprint in personal aviation services. Air Partner, a UK-based aircraft charter service provider, played a key role in this acquisition.
Major companies operating in the air charter services market report are Jet Inc., NetJets Inc., VistaJet Group Holding Ltd., Jet Aviation AG, Wheels Up Partners LLC, Luxaviation Group, Flexjet LLC., Aero Contractors Company,Solairus Aviation, Gama Aviation Ltd., Gama Aviation plc, Travel Management Company LTD., European Air Charter, Jet Linx Aviation Inc., Jet Edge International, Clay Lacy Aviation, Air Charter Services Pvt Ltd, Skybird Aviation Inc., Airshare, Worldwide Jet, Thrive Aviation, Corporate Flight Management, Silverhawk Aviation, ATI Jet, Sky Quest LLC., Verijet, Red Wing Aeroplane Co., Asian Sky Group, Asia Jet Partners Ltd., GlobeAir AG.
North America was the largest region in the air charter services market in 2023. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the air charter services market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa
The countries covered in the air charter services market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Italy, Spain, Canada.
The air charter services market includes revenues earned by entities by providing concierge services, air ambulance services, and cargo charter services. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).
The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.
Air Charter Services Global Market Report 2024 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.
This report focuses on air charter services market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.
Where is the largest and fastest growing market for air charter services ? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward? The air charter services market global report from the Business Research Company answers all these questions and many more.
The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.
The impact of sanctions, supply chain disruptions, and altered demand for goods and services due to the Russian Ukraine war, impacting various macro-economic factors and parameters in the Eastern European region and its subsequent effect on global markets.
The impact of higher inflation in many countries and the resulting spike in interest rates.
The continued but declining impact of covid 19 on supply chains and consumption patterns.