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Aviation Asset Management Market Analysis

  • Report ID: GMI4747
  • Published Date: Sep 2022
  • Report Format: PDF

Aviation Asset Management Market Analysis

Based on type, the narrow body aircraft segment is anticipated to exhibit over 6% CAGR during the study period and record a sizeable valuation by 2030. The segment growth can be credited to the surging air traffic and the booming domestic air travel industry across emerging economies. The increasing demand for Low-Cost Carrier (LCC), diminishing air travel expenses, and the rapid proliferation of business and medical tourism will boost the adoption of aviation asset management solutions for narrow body aircraft in the forthcoming years.

In terms of purchase type, the finance lease segment is set to expand at over 5% CAGR over the forecast period. Finance lease purchases enable airlines to use newer aircraft with higher specifications than they could actually buy without involving any large upfront investment. Leasing companies have been putting in efforts to introduce flexible payment structures tailored to match the business's cash flow. This, in tandem with the growing demand for Asset-Backed Securitization (ABS) across the commercial aircraft industry will stimulate the aviation asset management market outlook.

Aviation Asset Management Market Size By Service

With regard to services, leasing service segment is poised to register significant growth and surpass USD 140 billion by 2030. Leasing services offer a set of benefits, such as capacity flexibility, financial liquidity, rapid expansion, reduced maintenance costs, and fleet consistency. The ongoing advancements in urban mobility solutions and aircraft infrastructure will spur the demand for aviation asset management in the foreseeable future. Meanwhile, declining leasing rates and constantly increasing fuel cost will favor the leasing service segment share.

Regarding end-use, the airline operators segment is poised to depict a CAGR of over 5% from 2022 to 2030, owing to the upsurge in air traffic which has accelerated the demand for commercial and passenger aircraft. As per IATA 2022, the total revenue passenger kilometer (RPK) is likely to recover by almost 60% in FY2022. Looking at this trend, the airline operators across the globe have been focusing on increasing their fleet size. The ease of financial leasing and acquisition of new aircraft to aid the expanding air traffic will create new growth prospects for the aviation asset management market in the coming years.

Aviation Asset Management Market Share By Region

Asia Pacific aviation asset management market accounted for over 50% revenue share in 2021 and is anticipated to grow substantially through the projected timeframe. The growth is attributed to the escalating investments by government and public-private firms focused on improving the existing airport infrastructure. The growing emphasis on the adoption of zero-emission technologies across the aviation sector backed by government support will positively influence the regional market landscape.

Authors: Suraj Gujar

Frequently Asked Questions (FAQ) :

The market size for aviation asset management exceeded USD 170 billion in 2021 and is likely to exhibit over 5% CAGR from 2022 to 2030, due to the proliferating demand for asset management services across the aviation sector.

The finance lease segment could depict more than 5% CAGR over the forecast period, attributed to the presence of a flexible payment structure and low upfront investments.

The airline operators segment is speculated to witness more than 5% CAGR from 2022 to 2030, owing to the surging air traffic and increasing acquisitions of new aircraft through financial leasing.

Notable players in the aviation asset management market include Boeing Global Services, GE Capital Aviation Services, Aercap Holdings NV, Airbus Group, BOC Aviation, Avolon, and others, including Air Lease Corporation, ST Engineering, Dubai Aerospace, and SMBC Aviation.

Aviation Asset Management Market Scope

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Premium Report Details

  • Base Year: 2021
  • Companies covered: 21
  • Tables & Figures: 346
  • Countries covered: 20
  • Pages: 250
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