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Airport Airside Services: A Global Strategic Business Report

Global airport airside services market is forecast to total US$51bn by 2020

The global market for Airport Airside Services is projected to exceed US$51 billion by 2020, driven by reviving aviation sector and the growing number of Low Cost Carriers (LCCs) in developing countries. Airport airside services refer to services rendered in areas accessible to aircraft such as taxiway, runways, and ramp. Ground handling services, including airport airside services, evolved over the years to become one of the most focused service areas in the aviation industry. Increase in business and leisure travel, expansion in the number of passenger seats by airline companies, ever growing air freight volumes, growing pressure to reduce plane parking time in the airport, and efficient use of scarce airport resources are driving growth in the airport airside services market. Increase in number of hub airports and growing number of airlines, especially LCCs, is also benefiting demand as efficient delivery of these services becomes a key performance deliverable for airline companies.

The rise in prices of aviation fuel and the growing pressure to cut airline costs is resulting in airline operators increasingly outsourcing airside jobs to third party service providers. Outsourcing of ground handling activities is poised to evolve into an important trend with independent service providers expected to corner a major share of the market in the coming years. Independent ground handling service providers offer unrivalled advantages over captive services offered by airline companies in terms of skilled manpower, necessary equipment, and required technical expertise. Key benefits include reduced costs and need for investments in infrastructure and equipment, and greater efficiencies. Outsourced airside services also make strong business sense for airlines having limited services at a particular location.

The United States represents the largest market worldwide. Asia-Pacific is forecast to emerge as the fastest growing market with a projected CAGR of 5.8 % over the analysis period. Increasing aviation activity, growing focus on airport infrastructure development, strong economic growth, and vast expanse of land that necessitates extensive domestic travelling represents key growth drivers in the region. Key players covered in the market include ACCIONA Airport Services, AeroGround Flughafen München GmbH, Aircraft Service International Group Inc [ASIG], Aloha Contract Services, Aviapartner, Baltic Ground Services UAB, DAL Global Services LLC, Dnata, Impel SA, Menzies Aviation PLC, National Aviation Services [NAS], SATS Ltd, Saudi Ground Services Company, Swissport International Ltd., Universal Aviation, and Worldwide Flight Services, among others.

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