Global Airport Ground And Cargo Handling Service Market Overview
Airport Ground And Cargo Handling Service Market Size was estimated at 45.4 (USD Billion) in 2022. The Airport Ground And Cargo Handling Service Market Industry is expected to grow from 47.24(USD Billion) in 2023 to 67.5 (USD Billion) by 2032. The Airport Ground And Cargo Handling Service Market CAGR (growth rate) is expected to be around 4.05% during the forecast period (2024 - 2032).
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
Key Airport Ground And Cargo Handling Service Market Trends Highlighted
The Airport Ground And Cargo Handling Service Market is witnessing significant growth driven by rising passenger traffic, increasing air cargo volumes, and the expansion of e-commerce. Technological advancements, such as automation and digitization, are enhancing efficiency and reducing costs, creating new opportunities for market players. Environmental sustainability is becoming increasingly important, leading to a shift towards greener ground and cargo handling practices.
Airports are investing in state-of-the-art cargo terminals and facilities to accommodate the growing demand for air cargo logistics. The market remains competitive, with established players focusing on expanding their reach and emerging players seeking strategic partnerships to gain market share.
Airport Ground And Cargo Handling Service Market Drivers
- Increasing Air Passenger Traffic
The main driver of growth of the Airport Ground And Cargo Handling Service Market Industry is the increasing number of air passengers. The International Air Transport Association reported that "the number of air passengers is expected to double by 2037, up from 4.5 billion in 2019 to 8.2 billion by 2037". The growth in air passenger traffic is driven by the rise of the middle class in emerging markets, the increased affordability of air travel, as well as the popularity of low-cost carriers.As the number of air passengers grows, so does the demand for ground and cargo handling services. These services are vital for the airports to function properly, and they include "loading and unloading of the passengers' luggage, replenishment of the on-board buffet, loading and unloading of cargo, recognition of aircraft, it is refueling, as well as cleaning and preparation of the aircraft for the next flight". Therefore, the demand for ground and cargo handling services is increasing, which is a driver for the Airport Ground And Cargo Handling Service Market Industry.
Growth of E-commerce
The global e-commerce growth is another factor that causes the increase in the Airport Ground And Cargo Handling Service Market Industry. The development of online shopping results in higher demand and, therefore, in the increased amount of air cargo. The situation is not likely to change in the future since e-commerce continues to grow. The growing amount of air cargo increases the burden on the airport's ground and cargo handling services.That is why the relevant industry is expected to grow in the future.
Expansion of Airport Infrastructure
Another major driver of growth for the Airport Ground And Cargo Handling Service Market Industry is the expansion of airport infrastructure. As the number of air passengers and the volume of air cargo grow, airports are expanding their infrastructure in response. The expansion of infrastructure indicates that new terminals and runways are constructed, as well as the development of new cargo handling facilities. The investment in the expansion of airport infrastructure is considerable, but it is necessary to support the efficient operations of airports.The expansion of airport infrastructure is projected to fuel the growth of the Airport Ground And Cargo Handling Service Market Industry in the future years.
Airport Ground And Cargo Handling Service Market Segment Insights:
Airport Ground And Cargo Handling Service Market Type Insights
The Airport Ground And Cargo Handling Service Market is segmented by Type into Passenger Services, Cargo Services, Ramp Services, Baggage Handling Services, and Security Services. Among these segments, Passenger Services held the largest market share in 2023, accounting for around 45% of the Airport Ground And Cargo Handling Service Market revenue. This dominance is attributed to the increasing number of air travelers and the growing demand for seamless and efficient passenger handling services. Cargo Services is another significant segment in the Airport Ground And Cargo Handling Service Market, with an estimated market share of approximately 30% in 2023.The growth of e-commerce and the increasing demand for air cargo transportation are driving the demand for efficient cargo handling services. Ramp Services, which include aircraft ground handling, fueling, and towing, is projected to witness steady growth in the coming years. The increasing number of aircraft operations and the need for efficient ramp management are expected to contribute to the growth of this segment. Baggage Handling Services, which involve the handling and transportation of passenger baggage, is another important segment in the Airport Ground And Cargo Handling Service Market.The growing number of air travelers and the need for efficient baggage handling systems are expected to drive the growth of this segment. Security Services, which include passenger and cargo screening, is a crucial segment in the Airport Ground And Cargo Handling Service Market, ensuring the safety and security of passengers and cargo. The increasing concerns over terrorism and other security threats are expected to drive the demand for security services in the coming years.
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
Airport Ground And Cargo Handling Service Market Aircraft Type Insights
The Aircraft Type segment of the Airport Ground And Cargo Handling Service Market is expected to grow significantly in the coming years. Narrow-body aircraft are expected to account for the largest share of the market in 2023, and this trend is expected to continue in the future. Wide-body aircraft are also expected to experience significant growth as they are increasingly used for long-haul flights. Regional aircraft are expected to account for a smaller share of the market, but they are still expected to experience growth. Cargo aircraft are expected to experience the fastest growth in the coming years as the demand for air cargo continues to increase.This growth is being driven by the increasing number of air passengers and the growing demand for air cargo.
Airport Ground And Cargo Handling Service Market Service Level Insights
The Airport Ground And Cargo Handling Service Market revenue is expected to grow significantly in the coming years. The market is segmented based on service level, and each segment offers unique insights. Full-service ground handling is the most comprehensive service level, and it includes all aspects of ground handling, from check-in to baggage handling to ramp operations. Self-handling is a less comprehensive service level, and it typically includes only check-in and baggage handling. Third-party ground handling is a service level in which an airport contracts with a third-party provider to handle all or part of its ground handling operations.Co-handling is a service level in which two or more airlines share ground handling resources. In 2023, the full-service ground handling segment accounted for the largest share of the Airport Ground And Cargo Handling Service Market revenue. This segment is expected to continue to grow in the coming years as more airports outsource their ground-handling operations to third-party providers. The self-handling segment is expected to grow at a slower pace than the full-service ground-handling segment as more airports opt for third-party ground-handling providers.The third-party ground handling segment is expected to grow at a steady pace as more airports seek to reduce costs and improve efficiency. The co-handling segment is expected to grow at a slower pace than the third-party ground handling segment as more airports opt for full-service ground handling providers.
Airport Ground And Cargo Handling Service Market Cargo Type Insights
The Cargo Type segment plays a crucial role in the Airport Ground And Cargo Handling Service Market. In 2023, the General Cargo category dominated the market with a revenue share of around 65%. This segment includes non-perishable goods like electronics, machinery, and automotive parts. The Perishable Cargo segment is projected to witness significant growth over the forecast period due to the increasing demand for fresh produce and temperature-sensitive pharmaceuticals. The Dangerous Goods segment is expected to maintain a steady growth rate due to stringent regulations and specialized handling requirements.The Live Animals segment is anticipated to grow at a moderate pace, driven by the increasing popularity of pet travel and the transportation of livestock. The Pharmaceuticals segment is poised for substantial growth in the coming years due to the rising demand for efficient and reliable handling of temperature-controlled pharmaceuticals. These insights are essential for stakeholders to understand the dynamics and growth potential of the Airport Ground And Cargo Handling Service Market.
Airport Ground And Cargo Handling Service Market Technology Insights
Automated baggage handling systems, cargo management systems, ramp management systems, and security screening systems are key technologies used in the Airport Ground And Cargo Handling Service Market. Automated baggage handling systems are expected to account for a significant share of the market, owing to the increasing adoption of automated systems to improve baggage handling efficiency and reduce the risk of lost or damaged baggage. Cargo management systems are also gaining popularity, as they help airlines and ground handling companies optimize cargo operations and improve cargo tracking.Ramp management systems are used to manage and optimize aircraft operations on the ground and are expected to see significant growth in the coming years due to the increasing air traffic. Security screening systems are essential for ensuring the safety of passengers and cargo and are expected to continue to be a major investment area for airports and airlines. The Airport Ground And Cargo Handling Service Market reached $47.24 billion in 2023 and is projected to reach $67.5 billion by 2032, exhibiting a CAGR of 4.05% during the forecast period.
Airport Ground And Cargo Handling Service Market Regional Insights
The Airport Ground And Cargo Handling Service Market is segmented by region into North America, Europe, APAC, South America, and MEA. North America is the largest regional market, accounting for over 30% of the global revenue in 2023. The region is home to some of the world's busiest airports, including Hartsfield-Jackson Atlanta International Airport, Los Angeles International Airport, and O'Hare International Airport. Europe is the second-largest regional market, with a market share of around 25%. The region has a strong aviation industry, with major airports such as London Heathrow Airport, Paris Charles de Gaulle Airport, and Frankfurt Airport.APAC is the fastest-growing regional market, with a projected CAGR of 5.5% from 2023 to 2032. The region is home to some of the world's most populous countries, including China, India, and Indonesia, which are driving the growth of the aviation industry in the region. South America and MEA are smaller regional markets, but they are also experiencing growth.
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
Airport Ground And Cargo Handling Service Market Key Players And Competitive Insights:
Major players in the Airport Ground And Cargo Handling Service Market industry are constantly striving to gain a competitive edge by adopting various strategies. Leading Airport Ground And Cargo Handling Service Market players are focusing on expanding their global footprint, enhancing their service offerings, and investing in technological advancements to improve operational efficiency and customer satisfaction. The Airport Ground And Cargo Handling Service Market is characterized by a highly competitive landscape with the presence of both established and emerging players. Key players in the market include Swissport International, dnata, Worldwide Flight Services, Menzies Aviation, and Air Serv. These companies are engaged in intense competition to secure contracts with major airports and airlines around the world. Strategic partnerships, acquisitions, and mergers are common among the leading players to strengthen their market position and expand their service capabilities. Technological advancements, such as the adoption of automation and data analytics, are transforming the Airport Ground And Cargo Handling Service Market landscape, enabling players to optimize operations, reduce costs, and improve customer service.Swissport International is a leading provider of ground and cargo handling services at airports worldwide. The company offers a comprehensive range of services, including passenger handling, baggage handling, cargo handling, aircraft cleaning, and lounge management. Swissport has a strong global presence, with operations in over 50 countries and partnerships with over 300 airlines. The company's focus on operational excellence, customer service, and innovation has made it a preferred partner for major airports and airlines worldwide. Swissport's commitment to sustainability and environmental responsibility has also set it apart in the industry.dnata, a subsidiary of the Emirates Group, is another major player in the Airport Ground And Cargo Handling Service Market. The company offers a wide range of services, including ground handling, cargo handling, travel services, and airport retail. dnata has a strong presence in the Middle East, Africa, and Asia, with operations in over 35 countries and partnerships with over 200 airlines. The company's focus on customer satisfaction, operational efficiency, and innovation has enabled it to secure contracts with some of the world's busiest airports. dnata's commitment to digital transformation and the adoption of smart technologies has also positioned it as a leader in the industry.
Key Companies in the Airport Ground And Cargo Handling Service Market Include:
- Worldwide Flight Services
- Swissport International AG
- Sky Handling Partner
- AeroGround
- WFS Worldwide Flight Services
- Swissport International
- ICTS International
- Menzies Aviation
- dnata Ground Handling Services
- Celebi Aviation Holding
- Airport Terminal Services
- Aviapartner Ground Handling
- Fraport Handling
- Air Handling Services
Airport Ground And Cargo Handling Service Market Industry Developments
The Airport Ground And Cargo Handling Service Market is projected to reach USD 47.24 billion by 2023, exhibiting a CAGR of 4.05% during the forecast period of 2024-2032. The market has witnessed significant growth in recent years due to factors such as increasing air passenger traffic, globalization of trade, and the rise of e-commerce.Recent developments in the market include the adoption of automation and robotics to improve efficiency and reduce costs. Additionally, the integration of advanced technologies such as IoT and AI is enhancing the overall performance of ground-handling services. The industry is also seeing a shift towards sustainability, with a focus on reducing carbon emissions and implementing environmentally friendly practices.Key players in the market include dnata, Swissport International AG, Worldwide Flight Services, Menzies Aviation, and Air Serv International. These companies are investing in new technologies and expanding their operations to meet the growing demand for efficient and reliable ground-handling services.
Airport Ground And Cargo Handling Service Market Segmentation Insights
- Airport Ground And Cargo Handling Service Market Type Outlook
- Passenger Services
- Cargo Services
- Ramp Services
- Baggage Handling Services
- Security Services
- Airport Ground And Cargo Handling Service Market Aircraft Type Outlook
- Narrow-body aircraft
- Wide-body aircraft
- Regional aircraft
- Cargo Aircraft
- Airport Ground And Cargo Handling Service Market Service Level Outlook
- Full-service ground handling
- Self-handling
- Third-party ground handling
- Co-handling
- Airport Ground And Cargo Handling Service Market Cargo Type Outlook
- General cargo
- Perishable cargo
- Dangerous goods
- Live animals
- Pharmaceuticals
- Airport Ground And Cargo Handling Service Market Technology Outlook
- Automated baggage handling systems
- Cargo management systems
- Ramp management systems
- Security screening systems
| Report Attribute/Metric |
Details |
| Market Size 2022 |
45.4(USD Billion) |
| Market Size 2023 |
47.24(USD Billion) |
| Market Size 2032 |
67.5(USD Billion) |
| Compound Annual Growth Rate (CAGR) |
4.05% (2024 - 2032) |
| Report Coverage |
Revenue Forecast, Competitive Landscape, Growth Factors, and Trends |
| Base Year |
2023 |
| Market Forecast Period |
2024 - 2032 |
| Historical Data |
2019 - 2022 |
| Market Forecast Units |
USD Billion |
| Key Companies Profiled |
Worldwide Flight Services, Swissport International AG, Sky Handling Partner, AeroGround, WFS Worldwide Flight Services, Swissport International, ICTS International, Menzies Aviation,dnata Ground Handling Services, Celebi Aviation Holding, Airport Terminal Services, Aviapartner Ground Handling, Fraport Handling, Air Handling Services |
| Segments Covered |
Type, Aircraft Type, Service Level, Cargo Type, Technology, Regional |
| Key Market Opportunities |
Increase in air travel demand. Growth in ecommerce and express delivery Technological advancements Expansion of cargo terminals Outsourcing of ground handling services |
| Key Market Dynamics |
Increasing air passenger traffic Growing ecommerce and air cargo demand Technological advancements Sustainability and decarbonization Airport privatization and consolidation |
| Countries Covered |
North America, Europe, APAC, South America, MEA |
Frequently Asked Questions (FAQ) :
The Airport Ground And Cargo Handling Service Market is expected to reach a market size of USD 47.24 billion in 2023 and is projected to register a CAGR of 4.05% to reach USD 67.5 billion by 2032.
The key regions in the Airport Ground And Cargo Handling Service Market are North America, Europe, Asia-Pacific, and the Rest of the World (ROW). North America is expected to hold the largest market share, followed by Europe and Asia-Pacific.
The key applications of Airport Ground And Cargo Handling Services include passenger handling, baggage handling, cargo handling, and other related services. Passenger handling includes services such as check-in, boarding, and deplaning. Baggage handling includes services such as baggage claim, lost and found, and special baggage handling. Cargo handling includes services such as freight forwarding, customs clearance, and warehousing.
The key competitors in the Airport Ground And Cargo Handling Service Market include Dnata, Swissport, Menzies Aviation, Worldwide Flight Services, and Air Serv. These companies provide a range of services to airlines and airports around the world.
The key trends in the Airport Ground And Cargo Handling Service Market include the increasing demand for air travel, the growth of e-commerce, and the adoption of new technologies. The increasing demand for air travel is leading to a greater need for ground and cargo handling services. The growth of e-commerce is also leading to an increase in the demand for cargo-handling services. The adoption of new technologies, such as automation and artificial intelligence, is also expected to have a significant impact on the market.
The key challenges facing the Airport Ground And Cargo Handling Service Market include the rising costs of labor, the increasing complexity of regulations, and the need for investment in new technologies. The rising costs of labor are putting pressure on margins, and the increasing complexity of regulations is making it more difficult to operate efficiently. The need for investment in new technologies is also a challenge, as these technologies can be expensive to implement and maintain.
The key opportunities for growth in the Airport Ground And Cargo Handling Service Market include the expansion of emerging markets, the development of new technologies, and the increasing demand for air travel. The expansion of emerging markets is creating new opportunities for ground and cargo-handling service providers. The development of new technologies is also creating new opportunities for growth, as these technologies can improve efficiency and productivity. The increasing demand for air travel is also leading to new opportunities for growth, as airlines are looking for ways to improve their customer service and reduce their costs.
The key factors driving the growth of the Airport Ground And Cargo Handling Service Market include the increasing demand for air travel, the growth of e-commerce, and the adoption of new technologies. The increasing demand for air travel is leading to a greater need for ground and cargo handling services. The growth of e-commerce is also leading to an increase in the demand for cargo-handling services. The adoption of new technologies, such as automation and artificial intelligence, is also expected to have a significant impact on the market.
The Airport Ground And Cargo Handling Service Market is expected to register a CAGR of 4.05% from 2024 to 2032.
There have been several key mergers and acquisitions in the Airport Ground And Cargo Handling Service Market in recent years. In 2021, Swissport acquired Worldwide Flight Services, and Dnata acquired Air Serv. These acquisitions have helped to consolidate the market and create larger, more global players.
