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Global Business Aircraft Market Shows Signs of Recovery as Economic Uncertainty Elevates Finds Frost & Sullivan - Offering aircraft management service packages will help manufacturers' profits take flight - AeroSpace.Frost.com
Global Business Aircraft Market Shows Signs of Recovery as Economic Uncertainty Elevates Finds Frost & Sullivan

 

NewswireToday - /newswire/ - Mountain View, CA, United States, 2014/06/05 - Offering aircraft management service packages will help manufacturers' profits take flight - AeroSpace.Frost.com.

   
 
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Since the economic slowdown in 2008, the global sales of business aircraft has been less than 50 percent of the annual sales in 2007; however, as aircraft fleets get older, and the economy improves, pent-up demand will stimulate purchases.

New analysis from Frost & Sullivan's Global Business Aircraft Market finds the market earned revenue of $19.28 billion in 2013 and estimates this to reach $25.74 billion in 2020. Asia-Pacific, China, India and the Middle East will witness significant growth, although North America and Europe will remain the largest markets.

"The operating efficiency of novel designs is driving the global business aircraft market,” said Frost & Sullivan Aerospace and Defense Research Director Wayne Plucker. "The procurement of large airframes, in particular, is at record levels and will continue to rise.”

However, the adoption of medium and light jets has gone down as Europe and North America struggle to break the shackles of the downturn. Economic stagnation and high costs have also decreased the number and extent of modification programs in these regions. Many aircraft may not return to service while the modification projects that do take place are limited to the replacement of worn materials and compliance avionics.

In addition, innovation in the global industry has taken a hit as consolidation activities gather momentum and competition weakens. Acquisitions and business failures have reduced the number of market participants, and the larger companies that remain are reluctant to take risks with new designs. In fact, aircraft manufacturers are focusing on improving production rates, as their traditional metrics do not work well in the low end of the production spectrum.

"Meanwhile, service offerings have evolved into one of the more promising segments of the market,” noted Plucker. "Operators and aircraft brokers that provide a host of aircraft management packages will be well-positioned for success in the global business aircraft market.”

Global Business Aircraft Market is part of the Aerospace (aerospace.frost.com) Growth Partnership Service program. Frost & Sullivan's related studies include: Global Helicopters Market Assessment, Global Cabin Interiors Market, Global In-flight Entertainment Market Assessment, and U.S. DoD and Civil Helicopter Markets. All studies included in subscriptions provide detailed market opportunities and industry trends evaluated following extensive interviews with market participants.

Connect with Frost & Sullivan on social media, including Twitter, Facebook, SlideShare and LinkedIn, for the latest news and updates.

About Frost & Sullivan
Frost & Sullivan (frost.com), the Growth Partnership Company, works in collaboration with clients to leverage visionary innovation that addresses the global challenges and related growth opportunities that will make or break today's market participants.

Our "Growth Partnership” supports clients by addressing these opportunities and incorporating two key elements driving visionary innovation: The Integrated Value Proposition and The Partnership Infrastructure.

The Integrated Value Proposition provides support to our clients throughout all phases of their journey to visionary innovation including: research, analysis, strategy, vision, innovation and implementation.
The Partnership Infrastructure is entirely unique as it constructs the foundation upon which visionary innovation becomes possible. This includes our 360 degree research, comprehensive industry coverage, career best practices as well as our global footprint of more than 40 offices.

For more than 50 years, we have been developing growth strategies for the global 1000, emerging businesses, the public sector and the investment community. Is your organization prepared for the next profound wave of industry convergence, disruptive technologies, increasing competitive intensity, Mega Trends, breakthrough best practices, changing customer dynamics and emerging economies?

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Global Business Aircraft Market / ND57-22

 
 
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Global Business Aircraft Market Shows Signs of Recovery as Economic Uncertainty Elevates Finds Frost & Sullivan

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