“The number of airline passengers in China has been growing at a CAGR (Compound Average Growth Rate) of 9.1% between 2010 and 2015, largely thanks to the prosperous tourism market. The growth of the civil aviation market is led by the more rapid growth in the international segment, which has not only enjoyed double-digit growth in the same period, but also witnessed a rise in the growth rate itself.
The rapid growth of the international segment has encouraged both international airlines and domestic airlines to increase investment in this segment, which means that more severe competition can be expected.”
In this report, Mintel answers the following key questions:
What are the main channels consumers use to buy plane tickets?
What are the important consideration factors when consumers choose airlines and flights?
What kind of services will airlines have opportunities to charge an extra fee for?
What are consumers’ preferences between domestic airlines and international airlines?
What are consumers’ attitudes towards frequent flyer membership?
Definition
This market covers passenger airlines, including both domestic and international airlines with a flight service in mainland China. Market size is based on numbers of passengers taking off or landing in mainland China, reported as passenger traffic volume. This includes passengers carried by domestic airlines, as well as those carried by airlines in Hong Kong, Macau, Taiwan and international airlines.
Exclusions: freight-only flights, non-paying travellers.
Segments:
Mainland: this includes numbers of passengers on flights starting and ending within mainland China.
Hong Kong, Macau and Taiwan: this includes regional flights connecting mainland China with Hong Kong, Macau and Taiwan.
International: this includes numbers of passengers on flights to or from China starting or ending in a foreign country.
Mintel divides consumers into three groups based on the number of flights they took in the past 12 months: high-frequency flyers (seven flights or more), medium-frequency flyers (three to six flights) and low-frequency flyers (one to two flights).
Methodology
This is a marketing intelligence report published by Mintel. The consumer research exclusively commissioned for this report was conducted by a Chinese licensed market survey agent (see Research Methodology China for more information).
For the purposes of this report, Mintel commissioned a quantitative research survey carried out online to explore consumer attitudes towards airlines.
Fieldwork was conducted in May 2015, in four tier one cities and six tier two and three cities of 3,000 internet users aged 20-49. The tier one cities are Beijing, Shanghai, Guangzhou, and Chengdu. The tier two and three cities are Shijiazhuang, Kunming, Changsha, Jilin, Ningbo and Zhuhai.
Unless otherwise stated, photographs in this report were taken by Mintel analysts.
Abbreviations
| CAAC | Civil Aviation Administration of China |
| CAGR | Compound Annual Growth Rate |
| CNTA | China National Tourism Administration |
| GDP | Gross Domestic Product |
| IPO | Initial Public Offering |
| KLM | Koninklijke Luchtvaart Maatschappij |
| MIIT | Ministry of Industry and Information Technology |
| NBS | National Bureau of Statistics |
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