Ah, the holidays –long lines and overcrowded airports. (Image: Jim Glab)
Are you flying somewhere over the holidays? You’ll have plenty of company: The U.S. airline industry is predicting a substantial increase in passenger traffic for the year-end holiday period. And the airlines’ global trade organization sees continuing growth and prosperity into the New Year for its members – while passengers can look forward to more crowded planes and higher fares.
Airlines for America (A4A), the trade group for U.S, carriers, says it expects the number of passengers over the year-end holiday period to increase by 1.7 million over the same period a year ago, or 3.5 percent. That means a total of 51 million air travelers during the holidays, which A4A defines as the 21 days from December 15 to January 4.
The biggest airport crowds will be seen on the Thursday and Friday before Christmas (December 21 and 22), A4A said, with a passenger volume of 2.7 million each day. That compares with a typical daily passenger count of 2.25 million in 2016. The organization noted that U.S. airlines are scheduling thousands of extra seats over the holiday period by adding more departures and using larger aircraft on their busiest routes.
The least busy travel days will be December 16, December 24, December 25, and January 31, A4A said. The organization noted that more people are traveling this season than last year due to “an improving economy and sub-inflation air fares.”
All this adds up to increased prosperity for the airlines, a trend that will accelerate in 2018, according to the International Air Transport Association, the airlines’ global trade group.
Don’t miss: How to be a Holiday Travel Pro!
Allow plenty of time for TSA screening. (Image: Jim Glab)
In a new report, IATA said North American airlines are expected to see net profits of $16.4 billion in 2018, up from $15.6 billion this year. North American carriers are expected to increase capacity by 3.4 percent next year, IATA said, while traffic is expected to grow by 3.5 percent.
And what happens when passenger demand increases faster than passenger capacity? Fares go up. IATA said that North American airlines lead the world in financial performance, accounting for almost half the total profits of the global airline industry.
The same trend will be seen globally, IATA said, with 2018 passenger numbers expected to grow 6 percent to 4.3 billion. That’s on top of a 7.5 percent increase this year. But worldwide airline capacity is expected to increase only 5.7 percent next year. “This will push up the average load factor to a record 81.4 percent, helping to drive a 3 percent improvement in yields,” IATA said. Worldwide, the group expects airlines’ average net profit per passenger to increase from $8.45 this year to $8.90 in 2018. Translation: Fewer empty seats and higher fares in the New Year.
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Mara says
December 11, 2017 at 8:08 pmJanuary 31?
Professor Plum says
December 8, 2017 at 12:44 pmJust saw on CNBC that Delta is charging $60 for first checked bag in international basic economy. Regular economy gets 1 checked bag free. They show an example where basic economy is exactly $120 cheaper than regular economy: $1263 roundtrip basic, $1383 roundtrip regular. So it’s a wash (unless you check no bags). BUT it allows Delta to advertise fares as “low” as $1263. What a bunch of deceptive crap. Why not have “super-basic” fares for $10 — with a $1373 “oxygen” fee (unless you can hold your breadth from JFK to LHR)…
Brian David Crawford says
December 8, 2017 at 7:48 amBecause depending on the destination you could spend 2 weeks driving there and back? 80 hours on the road in a minivan sounds way worse than 12 hours on a plane.
FedUP says
December 7, 2017 at 6:56 pmGod awful. Why do people subject themselves to this. What happened to the road trip, especially for families. Take you 5+ families in your minivan.