Global air transportation market. Global air transportation market: competition and concentration Development trends of the Russian passenger air transportation market

International Air Transport Association ( International Air Transport Association - IATA) periodically analyzes the current state of the air transport industry, air transportation markets and develops current and long-term forecasts and strategy for the association, taking into account the policies of various governments, as well as based on the results of its cooperation with regional air transport organizations.

The activities of airlines largely depend on monopolized infrastructure (airports, air traffic control services). Given financial difficulties, airlines are forced to limit themselves to short-term planning.

Trends in the development of the global air transportation market

The economy is dominated by three regions: North America, Europe and East Asia, with China especially progressing. Air traffic growth rates are stabilizing, but the largest traffic growth is expected in China, Eastern Europe, the former USSR and the Asia-Pacific region.

Environmental problems are coming to the fore, and an accelerated replacement of obsolete aircraft that do not meet stringent requirements and standards for aircraft engine noise and emissions is expected. The increase in traffic volumes will be constrained by the complication and tightening of formalities at airports and security requirements.

Due to the dynamic processes occurring in the world, global air transport in the 21st century. The following key issues arise:

  • globalization - on the one hand, there is an increase in economic and information integration between states, on the other - the number of irreconcilable conflicts in various parts of the planet is growing. In addition, attempts to develop general, unshakable rules of behavior in world markets and to introduce uniform standards of world culture are inevitably doomed to failure in cases where they conflict with national traditions and cultural characteristics. Airlines are developing their own version of globalization in the form of alliances. Currently created Star Alliance, alliance One World etc. Aeroflot was the first Russian airline to begin negotiations on joining the alliance Sky Team with the largest international carriers: Air France, Delta, Air Mexico, Korean Air,
  • financial crises. Most airlines are objectively unable to withstand financial crises and sharp changes in economic activity, since the volume of air traffic is directly dependent on the gross national income received by the state;
  • environment protection. The opinion is actively spreading throughout the world that aviation is the main culprit of the impending environmental disaster. However, aviation currently accounts for only 3% of the world's additional emissions of harmful gases into the atmosphere. Work is constantly being carried out to improve aircraft engines, strict control over their harmful emissions and the level of noise produced, especially during takeoff and landing, has been introduced;
  • computer science and communications. Information progress accelerates the process of globalization. It expands the possibilities of access to various databases and information in all areas of activity in any part of the world. In recent years, global distribution systems and the Internet have been developing rapidly. At the same time, the likelihood of a failure in the software of these systems increases, and the risk of unauthorized entry into databases, blocking their operation or distortion of available information also increases;
  • rethinking the role of the state in society. Governments should make privatization conditional on their right to exercise adequate economic controls and monitor compliance with air transport regulations and standards. The time of deregulation and open skies policy has given way to a revision of the role of the state in regulating air transport. It should also be noted that the role of government bodies in organizing flight safety control is strengthening.

Currently, the global aviation community is actively addressing the challenges it faces as it enters the new millennium. These problems are associated with an increase in the absolute number of aviation accidents, air transport congestion, increased needs for aviation telecommunications, a significant increase in airline operating costs, etc.

In the current circumstances, the International Civil Aviation Organization (ICAO) is consistently developing a strategy for the development of global civil aviation with the prospect of maintaining the established growth rates of air traffic over the next 10-15 years. In the Russian Federation, work is underway to implement the decisions and recommendations of the Assembly in domestic civil aviation ICAO.

Let us note the main trends characteristic of the global air transportation market over the past two decades:

  • liberalization of air transport;
  • privatization of state-owned airlines;
  • emergence of mega carriers;
  • intensification of competition.

More details about changing the model of state regulation of air transport and its liberalization are written in section 2.2.4.

Privatization of state-owned airlines. Until recently, they existed as purely state-owned airlines (Korean Air, Varig, Aeroflot), and with the participation of the state in the authorized capital of the airline on an equal basis with private investors.

The heyday of air transport came in the years after World War II, when national security considerations required control of the air fleet. Many airlines were still uncompetitive and needed government support.

By the 1980s It became clear that it was impossible to simultaneously earn the profit required by the government and meet the air transportation needs of the poorest segments of the population by operating flights on unprofitable routes. State ownership became ineffective, and the privatization of state airlines began. In some airlines, 100% of shares were transferred to private hands (British Airways, Air Canada, Japan Airlines, Air New Zealand). In others - only part (KLM). Airlines stopped using government subsidies and loan repayment guarantees.

The emergence of mega carriers. As the economy globalized, airlines began to rethink their future development paths. Large companies with an extensive network of overhead lines have become more resilient in an ever-changing market environment. They were the first to introduce a frequent flyer program, thereby creating their own image. Economies of scale have reduced the cost of air travel by distributing fixed costs over a larger number of units of production (passenger-kilometers, ton-kilometers). But the giant airlines became difficult to manage with an overgrown bureaucracy and had large overhead costs.

In the 1980s airlines chose a strategy to globalize their activities. Some sought rapid growth in traffic on international air routes (American Airlines). Other airlines absorbed less fortunate ones and thus achieved their own growth: Delta Airlines bought Western Airlines(1987); Northwest Airlines acquired Republic Airlines(1987); there was a merger US Airlines, US Air And Piedmont.

The first alliances that did not involve an exchange of property began to take shape on international routes. Airlines joining the alliance coordinate their flight schedules, provide their terminals to alliance partners, and together provide information about their services in computer reservation systems.

Alliances allow you to quickly increase production capacity, replenish your aircraft fleet, and obtain commercial rights that belonged to another airline. In addition, the takeover of an airline that has its own hub, allows you to make this airport your fortress, inaccessible to competitors. However, many problems arise in the development of alliances: airlines have different strategies for their development, unequal levels of service, inconsistent flight schedules and various tariff systems. Solving these problems requires a lot of time and effort on the part of employees of all airlines creating an alliance.

Intensifying competition in the air transportation market. There are two types of competition: intraspecific and interspecific. Intraspecific competition between airlines is called intraspecific. The airline is engaged in interspecific competition with telecommunications, with ground modes of transport, and with other consumer goods that people purchase instead of traveling by air.

Serious competition can come from consolidators and tour operators who create their own airlines (the East Line tour operator created the East Line Air airline). It is not enough for cargo consolidators to be able to transport their cargo as additional load on passenger flights. They require cargo planes, precise delivery times, and a smoothly functioning cargo booking system.

It's been 100 years since the world's first passenger took off in 1914. Today, 32 million flights are carried out annually, during which 3 billion passengers and 50 million tons of cargo are transported. The air transportation sector provides a total of 2.4 trillion worth of services. dollars based on the results of work for the year. Aviation has become an integral part of the global economy, closely interacting with international trade, becoming an integral part of it. Airplane flights have become available to the majority of the world's population, allowing them to travel between countries.

In the coming years (2014 – 2033), according to Airbus Global Market Forecast calculations, passenger traffic will increase annually by 4.7%. To carry passengers in 2033, 31,400 new passenger aircraft (100 seats and above) are needed with a total cost of 4.6 trillion. dollars. The passenger and cargo fleet in use today is 18,500 aircraft and is expected to increase to 37,500 by 2033. Of the total number of aircraft, 12,400 units are subject to replacement due to low operating efficiency and will be written off.

Aviation fleet for passenger and cargo transportation,

in use today is 18,500 aircraft

and should increase to 37,500 units by 2033.

Economic growth rates and population growth in rapidly developing regions such as Asia, Latin America, Africa and the Middle East are higher than in developed regions. For example, in Asia, the population will increase from 33% in 2014 to 63% in 2033 in relation to the total population of the planet. Urbanization of cities and concentration of wealth are occurring at an accelerated pace, the number of aviation mega-cities will double to 91. These cities will be centers for the creation and development of new industries, they will create the bulk of GDP and carry out more than 95% of long-haul transportation of passengers and cargo.

The countries of Latin America, Africa and the Asia-Pacific region will see an increase in interregional and domestic passenger traffic. For example, India's domestic air passenger traffic will increase, reaching 10th place in terms of traffic volumes by 2033.
The growth of the aircraft fleet will continue in European countries with the rapid pace of replacement of inefficient aircraft models with new models that allow saving up to 20% of fuel compared to previous models

.
The trend of development of domestic transportation in China continues over the next 10 years and will take 1st place in the total volume of air traffic in the world among all countries. The market for aircraft sizes and models will change. There will be a reorientation of companies towards wide-body aircraft models for transporting passengers on long-haul routes. The companies' demand is 9,300 units of wide-body passenger airliners and small aircraft in the next 20 years, with a total cost of 2.5 trillion. dollars. This will represent 30% of total aircraft deliveries during the forecast period and 55% of their value.

There is especially high demand for models with similar characteristics - Airbus 350 XWB and Airbus 330 neo.

Demand for wide-body aircraft stands at 7,800 units for 250 to 400-seat models and 1,500 units for over 400-seat models to operate on the busiest routes, reflecting growth in intercity passenger traffic in Asia-Pacific (50%), Middle East (16%), Europe (15%) and North America (9%).

The Airbus company occupies a leading position in this market segment; the wide-body models A330, A350, A380 presented on the aircraft market have a steady demand among airlines in the model range from 200 to 500 seats.
The company's narrow-body models, especially the Airbus 320 neo, are leaders among models in this class. Demand until 2033 is 22,000 new aircraft worth 2.1 trillion. dollars or 79% of the total quantity and 45% of the cost of all supplies.
Demand for narrow-body aircraft will remain high in Europe and North America, at around 22% and 21% respectively.

Demand is expected to grow rapidly in China and India, with a total volume of 38% for the entire Asia-Pacific region.

Due to growth in traffic, aircraft capacity has increased by 40% compared to the 1980s. The use of more capacious A380 aircraft made it possible to relieve some of the increased load on the transportation of air passengers.

International passenger air transportation market

For the global aviation industry, 2016 was quite successful: according to IATA, the growth in passenger turnover in the world compared to 2015 was 5.9%. The volume of passenger traffic on regular flights increased by 5.7%, to 3.8 billion passengers. The percentage of passenger occupancy in the global industry, according to preliminary estimates, amounted to 80.2%, which is 0.2 p.p. lower than the 2015 result.

In 2016, transportation developed most dynamically in the Middle East region. The growth in passenger turnover compared to 2015 was 10.8%.

The second place in terms of growth rates is occupied by the market of the Asia-Pacific region, where passenger turnover increased by 8.9%.

In the European region, passenger turnover increased by 3.8%. The main driver of the European market was the growth of international transportation. This dynamics is due to an increase in transportation capacity by 3.8%, as well as a decrease in revenue rates due to the development of the low-cost transportation segment and lower fuel costs.

The North American market showed an increase in passenger turnover by 3.2%, which was ensured by the steady economic growth of the United States of America and positive dynamics of transportation in the domestic market.

Industry revenues, according to IATA, decreased by 2.4% compared to the previous year and amounted to $701 billion. Traditionally, the bulk of them were revenues from passenger transportation – 71.9%. The decline in revenue was due to a reduction in jet fuel costs, which allowed air carriers to reduce revenue rates without compromising profitability.

According to preliminary IATA estimates, the industry's net profit at the end of 2016 is $35.6 billion, which is the highest figure in the industry over the past ten years.

Passenger traffic on regular flights of the global industry
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Growth rates of passenger turnover and maximum passenger turnover of the global industry

Note. Minor deviations in the calculation of percentage changes, subtotals and totals in the graphs of this annual report are due to rounding.

Russian passenger air transportation market

In 2016, the total volume of the Russian market, including foreign carriers, decreased by 4.1% compared to 2015 and amounted to 102.8 million passengers. In particular, 88.6 million passengers were carried on flights of Russian airlines, 3.8% less than a year earlier. Passenger turnover of Russian air carriers decreased by 5.0% and amounted to 215.6 billion passenger kilometers (pkm). At the same time, the volume of carrying capacity decreased by 6.6% to 265.8 billion seat kilometers (kkm), as a result of which the percentage of passenger seats occupied by Russian airlines increased by 1.4 percentage points, to 81.1%.

During the reporting period, factors such as a decrease in the purchasing power of the population caused by the weakening of the national currency, restrictions on flights to Turkey, Egypt, and Ukraine introduced at the end of 2015, and a corresponding decrease in sales in the outbound tourism market continued to have an impact.

These factors determined the decline in the tourist (charter) segment. According to TCH, the volume of charter passenger traffic in 2016 decreased by 27.0% compared to the previous year, including international charter traffic decreased by 39.8%. As a result, the number of passengers transported on international routes (including transportation carried out by foreign airlines) in 2016 decreased by 15.1% compared to 2015 and amounted to 46.4 million people.

The domestic transportation segment maintained positive dynamics: the number of passengers increased by 7.3% compared to the previous year and amounted to 56.4 million people, which was due to the development of domestic tourism, including due to the reorientation of outbound tourism flows. The average occupancy of passenger seats on domestic airlines was 79.5%, which is 2.9 p.p. higher than in 2015.

Passenger traffic on the Russian market (including foreign airlines)
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Source: TCH, Rosaviatsia

Passenger traffic on the Russian market (excluding foreign airlines)
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Source: Rosaviatsia


Passenger turnover on the Russian market (excluding foreign airlines)
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Source: Rosaviatsia

Maximum passenger turnover on the Russian market (excluding foreign airlines)
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Source: Rosaviatsia

Dynamics of the percentage of passenger seats occupied in the Russian market (excluding foreign airlines)
%

During 2016, the volume of air traffic on the Russian market decreased, but in the fourth quarter the decline stopped and passenger traffic increased by 10.6% compared to the previous year. The change in trend is associated with the effect of a low base of comparison, with the weakening of negative factors affecting the development of air transportation (including the stabilization of the exchange rate) and the correction of income rates in the industry, which, together with the indicated effect of the exchange rate, determined a decrease in the ruble cost of travel for passengers.

Aeroflot Group is one of the key drivers of growth in the Russian air transportation market, ensuring transport accessibility and mobility of the population. Excluding Aeroflot Group, which showed positive dynamics in passenger traffic, the market decreased by 12.5% ​​compared to 2015.

Dynamics of growth rates of 1 passenger traffic of Russian and foreign airlines in 2016


Source: TCH, Rosaviatsia

Dynamics of growth rates of 1 passenger traffic of Aeroflot Group and the Russian market in 2016


Source: TCH, Rosaviatsia


Source: TCH, Rosaviatsia

1 Compared to the same period of the previous year.

The Russian air transportation market is highly consolidated - the five largest players account for 70.4% of passenger traffic. Aeroflot Group is the undisputed leader in this market. At the end of 2016, Aeroflot Group’s share amounted to 42.3% of the total volume of traffic on the Russian market, including transportation by foreign airlines (36.7% in 2015). Aeroflot Group's market share increased throughout the reporting period, with the largest increase noted in the first and second quarters.

The growth of Aeroflot Group's market share is ensured by an effective business model and strategy, which determined the Group's resistance to external economic and market factors. The growth of the Group’s share is also associated with the redistribution of shares of Transaero airline (which ceased operations in October 2015) and foreign carriers reducing their presence in the Russian market. An additional influence on the growth of Aeroflot Group’s market share was exerted by activity in the segment of international transit transportation, primarily between Europe and Asia. Excluding international transit, the “net” market share of Aeroflot Group in 2016 was 40.0%. The definition of a pure market is a more correct reflection of the market share due to the fact that passengers traveling between points in Europe and Asia with a transfer in Moscow are not related to the Russian market, and the very fact of attracting these passengers has a positive economic effect not only for the company, but also for the Russian economy as a whole.

Aeroflot Group's closest competitors are S7 Group (12.8%), UTair Group (6.8%), and Ural Airlines (6.3%). The share of foreign carriers in the Russian market was 13.9%.

Dynamics of Aeroflot Group’s share in the Russian market by passenger traffic, taking into account foreign companies

2012 2013 2014 2015 2016
International airlines 28,4% 27,0% 26,1% 29,3% 39,4%
Domestic airlines 32,6% 36,1% 38,0% 44,6% 44,6%
Total 30,0% 30,5% 31,0% 36,8% 42,3%

International air transportation has made it possible to quickly transport people or goods over long distances. This greatly simplified the work of large companies. The importance of air transport is increasing due to the globalization of the world economy. As a result, international trade is strengthened even between distant countries. Air transportation statistics only prove the important role of aviation in market relations.

Application of air transport

Air cargo transportation involves the transportation of various goods. These may include food, expensive equipment, and documents. Narrow-profile companies often carry out air transportation of dangerous goods that can harm property and even human health (acid, explosive substances).

Air transport statistics show that the share of air transport in global cargo traffic is 0.6–2%. In value terms, the figure reaches 35–40%.

However, according to IATA (International Air Transport Association), air cargo transport is showing a slowdown in growth. The main reason is military action. As a result, there is a decline in world trade.


However, this is not the only reason. Recently, air transport has shifted towards sea and railway transport. Much lower. Factors influencing the cost of cargo transportation:

  • product parameters (weight, individual characteristics);
  • urgency of delivery;
  • route (preferably without breaks and stops - direct flight);

There are basic tariffs that are set by IATA. They are the same for everyone. Whereas airlines can set separate fares for different destinations. Cost of air transportation of goods in Russia:

Air transportation statistics in the Russian Federation for the first 2 months of 2017 recorded an increase of 24% compared to the same period in 2016. The total volume was 150.5 thousand tons. Of these, 115.3 are international destinations. The share of regional air transportation is 35.2 thousand tons. Experts predict an increase in volumes in the coming years:

Air cargo transportation from China is in great demand among large commercial companies in Russia. Tariffs for cargo transportation (in dollars):

Transportation of passengers

The global air passenger market experienced growth in 2016. According to IATA, the figures increased by 5.9% compared to the previous year. Global air travel statistics show that the volume of scheduled flights increased by 5.7% (3.8 billion passengers). Highest scores:

  1. Middle East – 5.7%.
  2. Asia-Pacific region – 8.9%.
  3. European region – 3.8%.
  4. North American region – 3.2%.

The industry's revenue was $701 billion. Of these, 71.9% came from passenger air transportation.

Air transportation statistics in Russia in 2016 recorded a decrease of 4.1%. The total volume was 102.8 million passengers. Of these, 88.5 million people were transported by Russian airlines. This is 1% more than in 2017 (87.8 million). Passenger turnover growth is expected only from 2018:

In Russia, air transportation subsidies have been in place for 8 years. People can buy discounted air tickets at reduced fares. The state bears part of the costs. As a result, tourist flows increase due to the affordability of air tickets.

In Russia, the most subsidized routes are from the Far East and Kaliningrad. Air travel statistics show that in 2017, 160 thousand residents of Kaliningrad took advantage of the preferential program to fly to the European part of the country. However, today government subsidies in the air transportation market have been reduced by 17%. Of this amount, 8.76 billion rubles were allocated.

Transportation rules

Each country has its own rules for air transportation of passengers or baggage. This ensures the necessary level of flight safety and is a guarantee of high-quality air transportation services. However, carrying luggage on board an aircraft is one of the main organizational issues.

The rules for air baggage transportation do not have a single global standard. Each state or airline sets its own requirements. For example, when flying to Dubai, you cannot take books of a religious nature with you if they are not related to Islam.

The baggage weight limit is also affected by the ticket price (for example, economy or business class) and the type of aircraft. If the weight of items exceeds the established norm, then air transportation of baggage will be possible with additional payment. For air travel safety, most airlines do not allow the following items:

  • knives;
  • knitting needles;
  • razors, blades;
  • corkscrews and other piercing and cutting objects.

To avoid possible problems, you need to find out the list of prohibited items in advance. Air travel regulations also do not recommend placing precious metals, securities, fragile items or money in luggage. Air travel statistics show that luggage is lost every 90 seconds worldwide.

Traveling with children

Parents are increasingly taking them with them during flights. Therefore, airlines have developed rules that ensure safety on board the aircraft. You must have documents confirming the age of the baby with you. Aeroflot provides passengers with baby bassinets if they give notice 24 hours before takeoff.

When transporting children by air, the safest seats are provided - the first row or at the beginning of the cabin. If the child is under two years old, discounts are provided. The cost of air transportation will be only 10% of the ticket price for an adult. If there are two children, there may be discounts of up to 50%.

Transportation of pets

During transportation, you must comply with the rules for organizing air transportation, as well as the requirements of customs and veterinary services. Not all animals are allowed on board the plane. Each airline has its own list. There are two ways to transport animals by air:

  1. Take it with you to the salon (a cat or a dog is allowed if the weight of the pet with the container does not exceed 8 kg).
  2. Transport in special containers in the luggage compartment.

Most companies do not allow pets in the cabin. Transporting pets is considered additional cargo, so companies set special rates for air transportation. To fly within the territory of the Russian Federation or the CIS, you will also need a veterinary passport of the animal.

Documents for air transportation of pets to other countries:

  • international veterinary certificate;
  • certificate of breeding value of the transported animal.

Air transportation within Russia and abroad is possible if the pet is older than 3 months and has been vaccinated against. Some countries have additional requirements. For example, it is prohibited to import fighting dogs into Italy or Spain.

Air transport services are the most dynamically developing sector in international trade in services. The pace of development of international air transportation at the end of the 19th - beginning of the 20th century. significantly outstripped the growth rates of world GDP and industrial production (9-11% per year with world GDP growth of 3.5% per year).
The contribution of the civil aviation services market to the local, regional and global economy consists of the associated multiplier effect of the economic sectors interacting with it. These are air transport (passenger and cargo air transportation), aviation industry (aircraft manufacturing, engine manufacturing, component production), maintenance and repair. In addition, this includes airfield services, passenger services at airports, leasing operations, flight safety, etc.
The International Civil Aviation Organization (ICAO) estimates that the sector contributes around US$3 trillion to the global economy, equivalent to 8% of global GDP.
In international transport, passenger transport dominates. They account for about 70% of all traffic, while freight traffic accounts for 30%.
The number of people employed in the field of air transport services is about 25 million people, most of whom are concentrated in companies engaged in international air transport.
Table 2. Key performance indicators of the airline industry
(2001-2009)

Source: YATA Financial Forecast. 2010. March.
Despite the increase in passengers and cargo carried, the airline industry has one of the lowest profit margins. This is explained by the high level of competition. Air transportation is carried out largely by monopolies for air navigation services, monopolies of airports, fueling companies, service companies, and insurers. Therefore, in order not to reduce operating profits, airlines are increasing the volume of air transportation, which has grown one and a half times over the last decade, amounting to 4,300 billion passenger km in 2008.
The leaders in global passenger transportation to all countries are airlines from the USA, EU countries, Japan and China.
As for traffic by region, 31% of total traffic (passenger, cargo, mail) was carried by North American airlines, 29% by Asia and the Pacific, 28% by European airlines, 6% by Middle East airlines, 4% — Latin America and the Caribbean and 2% — African airlines.
Table 3. Rating of airlines by passenger turnover (2010)


Source: Airline Business 2010. Aug. P. 28.
The increasing internationalization of post-industrial society is leading to a sharp increase in the intercountry movement of people, goods and services. By 2020, the volume of air traffic in the world, according to forecasts of leading aviation companies, will increase to 7000–9000 billion passenger-km compared to 3000 billion passenger-km at the end of the 20th century.
To implement the projected volume of air transport services, it is planned to significantly increase the fleet of aircraft. In the early 2000s, the fleet of passenger aircraft numbered 12 thousand units. (the entire fleet is 13.7 thousand units). By 2008, it amounted to 21 thousand units, and according to forecasts of leading air carriers, it will reach 36 thousand aircraft by 2020. New generation aircraft - economical, comfortable, high-speed - will allow direct passenger transportation to almost anywhere in the world. These are the Boeing 787 Dreamliner, the next generation wide-body aircraft A 350 XWB (Airbus), the Israeli G250 created by Gulf Stream Aerospace, the fastest jet aircraft in the super-midsize class, the military transport Airbus A400M, etc.
The global air cargo fleet has doubled every 10 years over the past three decades and currently numbers 1,700 units. (for comparison: in 1970 - less than 100). By 2020 it could reach 3,200 aircraft.
Progress in the creation of more fuel-efficient aircraft, the introduction of technical innovations, and the use of logistics management schemes will help reduce operating costs and reduce tariffs for international passenger transportation.
One of the most effective methods to improve airline competitiveness is revenue management.
The key to a revenue management program is the ability to maximize revenue from every seat on a flight. The main emphasis is on managing demand and maximizing aircraft load.
The offer is characterized by varying the quality of services, segmenting consumers according to price sensitivity, an effective policy for hedging fuel costs, and building a tariff system. An effective tariff structure is based on the value of the service, taking into account the necessary costs, and maximizing income.
A special role is given to maximizing income along the network of connecting route segments, since many passengers fly with transfers (in the USA - 40-70% of passengers). This requires a combination of revenue management systems and computer reservation systems. When applying this system, it is advantageous to give preference to a high-income passenger if there is a free seat, but not to take away seats from two or more local passengers, each of whom takes a seat on only one leg, since their total payments can be significantly higher than that of one passenger . As a result of implementing a revenue management system, American Airlines generated more than $1.4 billion in revenue over three years in the early 1990s.
The efficiency of air transportation increases from the use of code-sharing agreements.
Code-share is the sharing of an aircraft from one company by several air carriers. The flight is operated by one company, and other carriers can sell seats on this plane at their own rates, under their own code and flight number. The benefits of the code sharing system are obvious. The number of its own flights is being reduced, but due to the partnership, the frequency of flights is maintained. In addition, thanks to code sharing, more convenient connections appear in case of transfers through a hub airport.
Aviation companies also use the overbooking strategy to reduce losses from unloaded aircraft due to no-show passengers. Later they present tickets to the company for a refund.
The overbooking strategy is to offer more tickets for sale than there are seats on the plane, in the hope that some passengers will not fly on that plane. (Overbooking more passengers than tickets.)
If more passengers come to boarding than there are seats in the cabin, the company sends the passenger on the next flight, and if the departure time is delayed, it provides compensation in the form of a range of services (meals, hotel room, monetary compensation).
Finally, the efficiency of air transportation increases significantly when global air carrier alliances are created. Until the 90s of the XX century. Leading national airlines acted on the global market independently, without entering into partnerships with airlines from other countries. However, growing integration processes and the desire of air carriers to increase volumes and reduce the cost of transportation are increasingly leading to the creation of alliances, active cooperation and cooperation between global transport companies. Consolidation allows you to get rid of excessive competition, optimize the route network and organizational structure of the company, and strengthen your position in the market. Currently, the most famous global alliances1 are Star Alliance, Sky Team and One World.
Star Alliance was formed in 1997 and carries about 500 million passengers per year. It unites 24 airlines, 55 base (hub) airports located in major regions of the world: in Europe - 22, Asia-Pacific - 17, North America - 14, in Africa - 2.
Sky Team was founded in 2000 and carries 462 million passengers. It consists of 11 full members (including Aeroflot) from 12 countries, 19 base (hub) airports: in Europe - 7, in North America - 5, Asia-Pacific - 4, Latin America - 2, in Africa - 1.
One World was created in 1999 and carries about 330 million passengers per year. It unites 10 airlines from 14 countries, has 24 base (hub) airports: in Europe - 7, Asia-Pacific - 7, North America - 4, Latin America - 5, in the Middle East - 1.
All three alliances include airlines from the USA (6), China (4), Spain (3); and in two alliances - Great Britain (2), Finland (2), Japan (2), South Korea (2) and Mexico (2).
An analysis of global air carrier alliances allows us to identify the following general principles for their construction:
1. Leadership of large companies based in the largest hub airports of the main regions of the world market.
2. Conclusion of agreements between the alliance participants on joint operation, code sharing, mutual recognition of transportation documentation (interline), pro-rate tariffs, etc.
3. Ensuring high and uniform standards of flight safety (IOSA) and quality of services.
4. Use of unified programs to reward frequent flyers.
5. Application of advanced aviation technologies (intermodal transport, electronic ticketing, self-check-in kiosks, radio frequency identification of baggage).
6. Use of global distribution systems (Sabre, Amadeus, Galileo, Worldspan, etc.) and the main sales channel for passenger transportation - the agent network. As world practice shows, airlines sell up to 20-25% of their transportation themselves, and 75-80% of tickets are sold through a network of transportation sales agents. In the USA, Saber is the leader in the computer booking market, in Europe - Galileo and Amadeus, in Russia - SITAACB Gabriel.
7. Coordinated commercial and tariff policy, coordination of the route network and regular schedule, high degree of financial independence of airlines.
8. Reducing costs through the joint use of own (rented) passenger air terminals (lounges), provision of ground handling and airport services on a reciprocal basis.
In addition, it is planned to diversify the main production activities, sell paid services, and create a management company to quickly coordinate the activities of participants.

Russian air transportation market

Russia's share in the global volume of passenger air transportation is 2.4% (122.5 billion passenger-km). The level of development of aviation services is characterized by data on the number of passenger seats offered per resident of the country in one year. In the USA - this is 3 passenger seats per year (population 300 million people), in China - 0.3 seats per year (per 1.3 billion population), in India - 0.1 passenger seats (per 1.1 billion people), in In Russia, each of its 140 million people is offered 0.4 passenger seats.
At the end of 2008, there were 175 airlines in Russia, and at the end of 2009, their number decreased to 165. The number of passengers served in 2009 amounted to 45 million 107 thousand people. Aeroflot ranks first in terms of passenger turnover and the number of passengers on domestic and international routes. It transported 8.76 million people in 2010, and the seat occupancy rate was 69.5%.
The next place is occupied by Transaero - 5 million people and 81.5%, respectively. Other leading airlines, Globus and Airlines, carried 5.6 million passengers.
International air transportation is carried out in conditions of fierce competition. In recent years, the number of international carriers entering the Russian market has increased. Emirates, Thai Airways, Etihad, Niki, United, Singapore Airlines and others opened flights to Moscow.
On the Russian side, Aeroflot remains virtually the only significant player on international airlines. Other international carriers - Transaero, Sibir, UTair - do not always have the opportunity to operate on attractive routes. One of the reasons for this is bilateral intergovernmental agreements regulating air traffic between Russia and other states. They limit the ability of most Russian companies to enter the international aviation market. Unable to independently operate on international routes, Russian airlines actually transfer their passengers from regional flights to foreign companies.
Russian airlines, in order to compensate for their losses, sign agreements with foreign airlines, which give them the opportunity to sell transfer transportation at special rates, issuing a single ticket for their transportation segment and for a partner airline flight. However, they cannot engage in dialogue with foreign airlines on an equal basis due to the inability to independently enter transportation lines.
Measures to solve air transport problems are: renewal of the aircraft fleet, development of airports, training of highly qualified specialists. This also increases flight safety, insures flight personnel against accidents and insures the air carrier's liability to third parties.

 

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