Airport Management Market Analysis

Global Airport Management Market Overview

Airport Management Market Size was valued at USD 0.5 billion in 2022. The airport management market industry is projected to grow from USD 0.6 Billion in 2023 to USD 1.9 billion by 2030, exhibiting a compound annual growth rate (CAGR) of 21.9% during the forecast period (2023 - 2030). The growing adoption of smartphones and tablets presents a lucrative potential are the key market drivers enhancing the market growth.

Source Secondary Research, Primary Research, MRFR Database and Analyst Review

Airport Management Market Trends

The increase in air traffic and the increasing demand for real-time data exchange among passengers are driving the market CAGR for airpot management. Additionally, the modernization of airport infrastructure and rising airport expansion projects fuel market expansion. The International Air Transport Association (IATA) estimates that by 2030, there will be 8.2 billion passengers worldwide. According to the IATA report, in the next 20 years, China will add 1 billion passengers while the United States adds 481 million. As a result, there is an increase in the number of airports, which increases the need for airport management services.

Growing IT spending by airports for operational improvement to support growth. The demand for AIS at airports has increased as a result of the growing adoption of next-generation technologies on airports to achieve higher operational efficiency and improve passenger experience. The market is expanding as a result of an increase in airline information technology (IT) spending. In order to improve the passenger experience, airports and airlines invested a record USD 50 billion in information technology (IT) in 2021, according to the SITA report.

Furthermore, A significant driver of the Airport Management Market is the steadily increasing IT spending on airports. Increased investment by businesses to reduce operating expenses (OPEX) and implement cutting-edge technologies like wireless connectivity, automated solutions, and check-in kiosks can be inferred from rising IT spending at airports. In order to give their customers more connected, convenient, and controlled travel experiences, airport authorities plan to offer a variety of infrastructure services as a result of growing investments in IT and telecommunications. Due to high IT & telecommunication spending in the airport sector, it is anticipated that this growth driver will have a significant impact in the medium and long terms of the forecast period. As a result, the airport management market revenue is increasing.

Airport Management Market Segment Insights

Airport Management Component Insights

The Airport Management Market segmentation, based on component includes software and services. In 2022, the software segment dominated, and it is predicted to command a market share by 2030. The software sector includes both the passenger and non-passenger systems. Airports may operate with greater freedom and mass-customize their products and services by utilizing the software. The increased demand for enhanced services by passengers is also propelling the service segment forward.

Figure 1: Airport Management Market, by component, 2022 & 2030 (USD billion)Source Secondary Research, Primary Research, MRFR Database and Analyst Review

Airport Management Airport Size Insights

The Airport Management Market has been divided all across the globe based on airport size class A, class B, class C, class D. This category controlled the majority of Class C airports due to their cheap operating costs and efficient management. Because they are located near the city core, these airports have fewer facilities and services yet provide lower landing costs. Passenger traffic at these smaller airports has consistently increased in recent years, owing to an increase in air travelers' choice for flexible travel alternatives, such as nonstop or direct flights between cities. As a result of increasing air travelers' preference for flexible travel alternatives, such as non-stop or direct flights between cities, passenger traffic at these smaller airport sites has been gradually expanding in recent years.

 Airport Management Application Insights

The Airport Management Market segmentation, based on application, includes security, content management, logistics, integration, collaboration, gate management, performance management, business applications and others. The Security sector dominated in 2021 and is predicted to dominate the market by 2030. The segment's growth has been aided by severe government rules governing airport and passenger safety, as well as the trade of illegal goods via air freight.

Airport Management Regional Insights

By Region, the study provides market insights into North America, Europe, Asia-Pacific and Rest of the World. According to revenue share, Asia Pacific dominated the world market for airport management. In nations like China, India, Japan, Malaysia, and Indonesia, there are more airports, and there is a rise in the number of travelers who use them. Governments at both the regional and national levels are also launching new initiatives to improve the infrastructure facilities available to air travelers.

Further, the major countries studied in the market report are The U.S., Canada, German, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.

Figure 2 AIRPORT MANAGEMENT MARKET SHARE BY REGION 2022 (%)Source Secondary Research, Primary Research, MRFR Database and Analyst Review

Europe airport management market accounts for the second-largest market share because countries like the United Kingdom, Germany, France, Russia, and others are investing more money in the aviation industry. Further, the German airport management market held the largest market share, and the UK airport management market was the fastest-growing market in the European region

The North America Airport Management Market is expected to grow at the fastest CAGR from 2023 to 2030. This is due to the largest aircraft fleet and a large number of airlines present throughout the United States. The market in North America is expanding as a result of the high number of airports and airline spending on airport modernization.  Moreover, China’s airport management market held the largest market share, and the Indian airport management market was the fastest-growing market in the North America region.

For instance, the Indian Finance Ministry declared in 2020 that 100 new airports would be constructed by 2030. The Indian government included USD 23.7 billion to support the nation's transport infrastructure in the union budget for the fiscal year 2020-2021.

Recent Development 

For Instance, Jul.24 2023, 

Noida International Airport (NIA), one of the 21 Greenfield airports in India, joined hands with Amadeus and signed an agreement. As a strategic technology partner, Amadeus will help NIA co-create digital passenger experiences. This deal will facilitate an innovative passenger processing system (PPS), including boarding, baggage reconciliation, common-use check-in, and DigiYatra-enabled biometric capabilities. Over 25 establishments, including an air traffic control tower, passenger terminal, office blocks, sewage & water treatment plants, and more, are coming up in the next couple of months.

For Instance, Jul.25 2023, 

The Croatian airport, Zagreb, announced that it has begun using new IT solutions developed by TAV Technologies, creating a better passenger experience, and increasing operational efficiency. The Common Use Passenger Processing System (CUPPS) with PAX Analyzer solution and Travel Document Authorization System (TDAS) will create a unified check-in, boarding, and passenger flow management structure. These technology solutions can manage the overall passenger journey by streamlining passenger touchpoints at Zagreb Airport.

For Instance, Apr. 16, 2023, 

state-owned airport operator Airport Authority of India announced its plans to provide airport management services to ring-fence its future revenues. Airport management services have become necessary to diversify revenue and maintain a steady pool.

The government plans to lease the top 25 AAI-owned airports to private companies. These airport management services include handling airport operations, airside & terminal operations, and others (parking, food & beverage outlets, etc.). AAI will also provide air traffic management and navigation services to the airports. 

For Instance, Mar. 27, 2023, 

GMR Infrastructure Limited (GIL) announced a Composite Scheme of Amalgamation and Arrangement of GMR Airports (GAL) with GMR Airports Infrastructure. With the backing of ADP and other shareholders, GMR is well-positioned to grow and thrive in the competitive airport infrastructure market. The merger is a strategic move for GMR Group, building a strong and sustainable business.

Airport Management Key Market Players & Competitive Insights

Leading market players are making significant R&D investments in order to diversify their product offerings, which will drive the aviation component MRO market's expansion. Important market developments include new product releases, contractual agreements, mergers and acquisitions, greater investments, and collaboration with other organizations. Market participants are also engaging in a number of strategic actions to increase their global footprint. The MRO industry for airplane components must provide affordable products if it wants to grow and thrive in a more competitive and challenging market environment.

One of the primary business strategies employed by manufacturers in the global airport management industry to benefit customers and expand the market sector is local manufacturing to reduce operational costs. Some of the biggest benefits to medicine in recent years have come from the airplane component MRO industry. Major players in the airport management market, such as  Microsoft Corporation (US), Blip System (Denmark), Huawei (China), isco (US), SAP SE (Germany), Amadeus IT Group (Spain) and others, are looking to grow their customer bases in the untapped airport management market globally.

Sita Air is a Nepalese airline based in Kathmandu that operates internal flights throughout the country. The airline was founded in 2003. The airline's main hub is Tribhuvan International Airport, with other hubs in Pokhara and Nepalgunj. The airline acquired its air operators certificate in 2000 and was created in October 2000, but owing to political upheaval in Nepal, it was unable to operate until 2003.  The operation began on February 6, 2003, with a single Dornier 228; a second plane was added in April 2003. In February 2022, SITA Airport Management Systems automated routine procedures to streamline operations at London Luton Airport (LLA). These streamlined operations enhanced productivity and operational efficiency, saving time and money for London Luton and other airports that used this method. The successful implementation of such projects is expected to assist organizations in gaining more clients in the coming years.

Perth Airport (IATA PER, ICAO YPPH) is an international, domestic, and general aviation airport serving Perth, Western Australia's capital city. It is Australia's fourth busiest airport in terms of passenger movements, and it serves the cities of Belmont, Kalamunda, and Swan. Perth Airport and Jandakot Airport, the other civilian airfield within the mainland Perth metropolitan region located about 20 kilometers (12 miles) south-southwest of the airport's general aviation area,[3] [a] observed a total of 362,782 aircraft movements in 2017. In October 2022, Perth Airport has erected new self-service kiosks and bag drop units, and has stated that it will begin testing biometric passenger screening, with a Singapore Airlines flight being the first to do so. Expansion of existing airports expands the market as well.

Key Companies in the airport management market include

• Microsoft Corporation (US)


• Blip System (Denmark)


• Huawei (China)


• Cisco (US)


• SAP SE (Germany)


• Amadeus IT Group (Spain)


• Recent Developments

Airport Management Industry Developments

In October 2022, SITA, an air transport communications and information technology firm, announced a collaboration with Versa Networks and the debut of SITA Connect Go, a multi-tenant edge secure SD-WAN (Software-Defined Wide Area Network) developed jointly by both businesses for the air transport industry.

In June 2022, Finavia chose Amadeus' cloud-based Airport Operational Database (AODB) for ground handling operations at Helsinki Airport and 19 smaller airports in Finland as part of its airport modernization plan. The successful implementation of such projects is expected to assist organizations in gaining more clients in the coming years.

Airport Management Market Segmentation

Airport Management By Component Outlook

• Software


• Services

Airport Management By Airport Size Outlook

• Class A


• Class B


• Class C


• Class D

Airport Management Market By Application Outlook

• Security


• Content Management


• Logistics


• Integration


• Collaboration


• Gate Management


• Performance Management


• Business Applications


• Others

Airport Management Regional Outlook

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  North America

  
  
  
  
  • US
  
  
  • Canada
  
  
  
  


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  Europe

  
  
  
  
  • Germany
  
  
  • France
  
  
  • UK
  
  
  • Italy
  
  
  • Spain
  
  
  • Rest of Europe
  
  
  
  


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  Asia-Pacific

  
  
  
  
  • China
  
  
  • Japan
  
  
  • India
  
  
  • Australia
  
  
  • South Korea
  
  
  • Australia
  
  
  • Rest of Asia-Pacific
  
  
  
  


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  Rest of the World

  
  
  
  
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    Middle East

    
    
  
  
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    Africa

    
    
  
  
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    Latin America