Flying high: Strong growth in passenger numbers has supported revenue expansion

The Airports industry consists of operators that administrate international, national, civil or military airports or public flying fields, as well as businesses that support airports by offering services such as air traffic control and ground service activities. The industry is largely dependent on the performance of UK airlines as operators provide support activities to both passenger and freight operators. In recent years, airports have increasingly diversified their sources of revenue, expanding into other commercial markets such as retail concessions, other property and car parking more.

Industry Statistics & Market Size
Annual Growth 14-19
Forecast Growth 19-24

Industry Threats & Opportunities

  • Though revenue has grown in recent years, a number of regional airports have closed
  • Smaller airports have struggled in recent years, having been unable to compete with low-cost carriers
  • Though expansion at Heathrow has been approved, construction is not likely to begin for a number of years
  • Industry Report - Industry Locations Chapter

    Airports and other air transport services in the United Kingdom tend to be located close to large urban populations and areas with high levels of economic activity, although regulations and noise level concerns cause them to be located at a distance from heavily urbanised areas. Good infrastructure links and environmental considerations may also determine where airports are located.The South East, the East of England and the South WestThe main three regions for the industry are the South East, the East of England and the South West, which account for a combined 49.4% of all industry establishments. The South East is the closest region to mainland Europe and has a large share of the UK population. The...purchase to read more.

    Additional Insights for the Airports Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Airports Industry are

  • Must comply with government regulations
  • Superior financial management and debt management
  • Optimum capacity utilisation
  • IBISWorld analysts also discuss how external factors such as Demand from scheduled passenger air transport and Demand from freight air transport in the Airports industry impact industry performance..

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    What's in this report

    What is the Airports Industry?

    This industry includes businesses operating international, national or civil airports or public flying fields. It also includes operators that support airports by offering services such as air traffic control and ground service activities.

    Industry Products
  • Aeronautics
  • Retail concessions
  • Car parking
  • Aircraft services
  • Air traffic control
  • Property
  • Industry Activities
  • Operating airport terminals
  • Controlling air traffic
  • Performing ground service activities
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Demand from scheduled passenger air transport
  • Demand from freight air transport
  • Demand from non-scheduled passenger air transport
  • Business confidence index
  • Real household disposable income

  • Current Performance
  • Steady ascent
  • Regulatory framework
  • Competition and ownership
  • Chart: Revenue Growth

  • Industry Outlook
  • Pressing charges
  • Bumpy landing
  • Taking off
  • Table: Airports Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Airports Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Scheduled Passenger Air Transport
  • Non-Scheduled Passenger Air Transport
  • Freight Air Transport

  • Key Selling Industries
  • Air Transport Equipment Rental & Leasing
  • General Public Administration Activities
  • Private Security Activities
  • Road & Motorway Construction

  • Products & Services
  • Aeronautics
  • Retail concessions
  • Car parking
  • Aircraft services
  • Other
  • Air traffic control
  • Property
  • Chart: Airports Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Scheduled UK airlines
  • Retailers
  • Scheduled overseas airlines
  • Passengers
  • Other
  • Chartered UK airlines
  • Chartered overseas airlines
  • Chart: Major Market Segmentation for the Airports Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
  • Profit
  • Wages
  • Depreciation
  • Purchases
  • Rent and utilities
  • Other costs
  • Chart: Cost Structure Benchmarking – Sector vs Airports

  • Basis of Competition
    Internal competitionExternal competition
    Barriers to Entry
  • Table: Barrier to Entry Checklist for the Airports Industry

  • Industry Globalization
    Heathrow Airport Holdings Ltd, Manchester Airports Holdings Ltd, Gatwick Airport Limited,
  • Table: Heathrow Airport Holdings Ltd - financial performance
  • Table: Manchester Airports Holdings Ltd - financial performance
  • Table: Gatwick Airport Limited - financial performance

  • Capital Intensity
  • Chart: Level of Capital Intensity for the Airports Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Airports Industry
  • Industry Revenue (2010-2024)
  • Industry Gross Product (2010-2024)
  • Establishments (2010-2024)
  • Businesses (2010-2024)
  • Employment (2010-2024)
  • Wages (2010-2024)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Fixed-Base Operator
  • A private enterprise that provides aircraft refuelling, taxis, parking, hangar space and ramps.
  • Mainline Flight
  • A flight that is run by an airline's main operating unit.
  • Market Power Test
  • A Civil Aviation Authority test determining whether the airport operator has, or is likely to acquire, substantial market power in a market.
  • Passenger Traffic
  • The volume of passengers that pass through British airport terminals.
  • What Our Customers Say

    Why buy this report?

    The Airports market research report provides key industry analysis and industry statistics, measures market size, analyzes current and future industry trends and shows market share for the industry’s largest companies. IBISWorld publishes the largest collection of industry reports so you can see an industry’s supply chain, economic drivers and key buyers and markets.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Airports:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Airports market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Airports, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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