Industry Analysis & Industry Trends
The Chartered Passenger Flights industry includes businesses that transport passengers by air on a non-scheduled basis. The industry is dominated by two major players, which are also involved in other areas of the travel industry, such as the provision of all-inclusive tours. Although the industry is perceived as providing tailored travel services for the wealthy, the vast majority of industry revenue is generated by transporting customers to their holiday destination as part of a package. Demand from the industry's major markets of tourists, corporations and governments has fluctuated significantly in the five years through 2014-15, but overall charter passenger numbers have been on a downward slide.
IBISWorld expects industry revenue to contract at a compound annual rate of 3.2%... purchase to read more
Industry Report - Industry Investment Chapter
The Chartered Passenger Flights industry has a moderate level of capital intensity. Expenditure on wages accounts for a larger proportion of revenue than capital, and a typical firm in the industry operates with a capital-to-labour ratio of 0.16:1. This means that for every pound invested in capital, the average industry operator spends £6.12 on labour.
The industry benefits from technological advancements. Upgrades in equipment and newer aircraft and computer-assisted booking and route-planning facilities can reduce the need for non-flying and maintenance labour. Over the longer term, capital investment in the industry should increase as competition becomes more intense and there is a greater demand for high-quality, safe and environmentally sound travel options... purchase to read more