Airport Operations Market, at a 6.21% CAGR, is projected to increase from USD 7.537 billion in 2025 to USD 10.818 billion in 2031.
| Report Metric | Details |
|---|---|
| Study Period | 2021 to 2031 |
| Historical Data | 2021 to 2024 |
| Base Year | 2025 |
| Forecast Period | 2026 – 2031 |
| Companies |
|
The airport operations market is driven by the requirement to manage passengers, aircraft, and luggage on time at airports, the development of new airports or terminals, and the rise in air passenger traffic. The market will be driven by rising passenger traffic, congested cities in developing nations, and infrastructural growth. The expansion of airports and the renovation of existing airport infrastructure are further factors that are anticipated to support the expansion of the market for airport services. During the projected period, the class B segment will rule the market regarding airport size. The surge in passenger traffic from smaller cities has significantly impacted airports' desires to expand and modernize their facilities, which is why the segment's size has grown. The rise in domestic air passengers in emerging markets such as China and India will boost market growth.
Government investment in the expansion of airport operations
The anticipated passenger increase has pressured major transportation hubs to tighten traffic, shorten lines, and make passenger circulation as continuous as possible. Furthermore, major countries worldwide are investing heavily to make their airport infrastructure more modern and user-friendly. For instance, the Indian government has given its clearance in principle for constructing 21 greenfield airports. The Airports Authority of India (AAI) has launched a development program that will invest over Rs 25,000 crore over the next four to five years to expand and renovate existing terminals, new terminals, and runway strengthening, among other things.
Investment in the airport operations sector will expand due to emission reduction strategies.
Carbon dioxide (CO2) emissions from commercial aviation have grown slower than the sector during the last two decades. Still, emissions have accelerated in recent years as increased commercial air traffic has increased the industry's contribution to global emissions. According to the International Council on Clean Transportation (ICCT), commercial aviation produced 707 million tonnes of CO2 in 2013. In 2019, that value has risen by nearly 30% in six years to 920 million tonnes (Source: theicct.org). To achieve net-zero carbon emissions across the economy, airports must convert their ground fleets to electric vehicles (EVs), electrify building systems, generate renewable energy on-site, and significantly increase energy and water efficiency, especially through water reuse. For instance, in June 2022, the Delhi International Airport Limited (DIAL) launched its Green Transportation Programme on Monday, under which it has chosen to phase in electric vehicles on the airside. The Delhi airport will introduce 62 electric cars for its airside operations over the next four months, reducing 1,000 tonnes of greenhouse gas emissions yearly.
Total airport management (TAM) will drive the growth of the operation in the future
Imagine a scenario in which effective airport administration is built on the contributions of each stakeholder, with each agent from the landside, terminal, and airside working together on a single platform to produce real-time analysis to aid in decision-making. Total airport management (TAM) gives airport performance a new dimension by allowing aviation stakeholders to use data analytics to generate useful insights that can be used to enhance operations and performance. Total airport management (TAM) systems will expand the market's prospects by being used to manage air traffic. For instance, A new system that tracks airport operations in real-time and visualizes traffic flows at Dubai International Airport was introduced by Dubai Airports in July 2019. RealtimeDXB, a cloud-based platform, collects data from more than 50 systems, including those of Dubai Airports and its service providers. The data gathered is utilized to keep all operating teams updated on existing and emerging conditions so they may better predict problems, foster better cooperation amongst service providers, and support quick decision-making.
Key Market Segments
By Airport Size
Class A
Class B
Class C
Class D
By Operations
By Geography
North America
USA
Canada
Mexico
South America
Brazil
Argentina
Others
Europe
Germany
France
United Kingdom
Spain
Others
Middle East and Africa
Saudi Arabia
UAE
Others
Asia Pacific
China
India
Japan
South Korea
Indonesia
Thailand
Others