Are Premium Cabins the Future for Airlines?
Are Premium Cabins the Future for Airlines?
Skift Take
Report Overview
In this report, we quantify the revenue value premium cabins bring to airlines, a contentious topic in the airline and business travel world. Despite representing a small fraction of the total seat capacity for most full-service carriers, premium cabins contribute significantly to total passenger revenue.
We also look into how full-service carriers have shifted their focus to revenue growth through investments in premium cabins in the post-pandemic world, rather than prioritizing cost competitiveness. This has helped them win the recovery battle, as revenues from premium cabins continue to outpace those from economy cabins.
Our latest report also explores how long full-service carriers can maintain their dominance in premium travel and whether low-cost carriers will disrupt the market with their premium offerings.
What You'll Learn From This Report
- How airlines competed before the pandemic
- Why cost inflation is an issue in the post-pandemic period
- Why premium cabin revenues are rising
- How full-service carriers won the recovery battle by relying on premium cabins
- Whether low-cost carriers can challenge full-service carriers on premium travel