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Digital Technology Investment and Profit-Driven Business Models Drive Passenger Flow Management Market


News provided by

Frost & Sullivan

09 Nov, 2017, 12:09 GMT

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As passenger numbers increase, airport efficiency gains are at a premium. Digital platforms will be the solution, finds Frost & Sullivan's Airports Specialists.

LONDON, Nov. 9, 2017 /PRNewswire/ -- The number of airports reaching saturation point will drive the growth of the business intelligence market. With growing demand in air travel, operators face challenges to ensure a better passenger experience and efficient terminal operations.  As such, the market is expected to grow significantly from $76.1 million in 2016 to $184.0 million in 2025. Saturation at airports and constrained revenues have also led operators to transition to a profit-driven business model and increase investments in digital technologies.

In Analysis of the Global Airport Passenger Flow Management Market, Forecast to 2025, the Airports Team at Frost & Sullivan sheds light on three key segments that are gaining prominence in the passenger flow management (PFM) market: Passenger Detection, Passenger Tracking & Queue Management, and Mobility & Location-based Service Platforms. Global demand for air travel has increased steadily with 2016 registering a year-on-year growth of 6.0%. This rise in demand, particularly at capacity-constrained Tier I and Tier II airports, has led to encumbered passenger flow and longer wait times, leading airport operators to seek PFM solutions that help optimize capacity and enhance efficiency.

For more information, please visit: http://frost.ly/1ye

"The need of the hour is for the development of low-cost technology with standardized metrics that can be integrated with existing platforms, but flexible enough to scale in relation to the complexity of airport operations," said Airports Senior Research Analyst Renjit Benjamin. "Currently, there is a proliferation of niche technology providers. This paves the way for forging partnerships and acquisitions and increasing product and technology R&D to meet airport requirements."

Physical constraints in European airports have led to the rapid adoption of analytic and flow solutions to optimize resources and manage passenger flow. In the US, airports operate under stringent regulations and budget restrictions, making it slower for suppliers to penetrate. Airports in APAC are gradually increasing the implementation of flow solutions, providing growth opportunities for suppliers. However, airports endeavor to develop solutions in-house with local expertise and partnerships.

Players should focus on automation and digital technology engenders data generation which is leveraged by various PFM platforms to manage operations and push relevant information to passengers. Further factors propelling growth opportunities include:

  • Growth of digitally connected passengers.
  • Availability and accessibility to wireless technology.
  • Innovations in digital platforms and emergence of airport IoT and Big Data analytics.
  • Importance of critical KPIs such as passenger satisfaction, shorter queue length, increased retail dwell time, reduced operational bottlenecks (greater productivity).
  • Development of value added applications that connect passengers with airport and flight information through their personal devices.

"The high growth rate of PFM solutions will result in an integration with operational platforms leading to a single source of information for operators to track, monitor and manage airport operations," noted Benjamin. "This will give rise to opportunities to develop solutions that cut across various airport segments and manage total airport operations."

Global Airport Passenger Flow Management Market, Forecast to 2025 is part of Frost & Sullivan's Global Aerospace, Defense & Security Growth Partnership Service program.

About Frost & Sullivan
Frost & Sullivan, 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. For more than 50 years, we have been developing growth strategies for the global 1000, emerging businesses, the public sector and the investment community. Contact us: Start the discussion

Global Airport Passenger Flow Management Market, Forecast to 2025
MCDB-22

Contact:

Edyta Dębowska
Corporate Communications – Europe
P: +48 22 4816203
E: edyta.debowska@frost.com

http://ww2.frost.com
twitter: @FrostADS
LinkedIn: Aerospace, Defence and Security

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