- The Air Monitor 2025 by Amex GBT Consulting provides deep insights into the shifting landscape of air travel, including factors influencing ticket prices, new distribution capabilities, and evolving sourcing strategies.
- The report underlines environmental commitments in the aviation industry, with sustainable aviation fuel (SAF) and blockchain solutions like Avelia playing a crucial role in achieving emission-reduction targets.
The latest Air Monitor 2025 report by Amex GBT Consulting offers a comprehensive analysis of the future of air travel. It highlights key trends in industry sourcing strategies, ticket pricing, and environmental commitments. This insightful report serves as a knowledge hub for those looking for well-researched forecasts and strategies in the aviation industry.
One of the significant trends highlighted in the report is the increase in airline capacity, driven by airlines’ shift towards narrower aircraft. These aircraft can accommodate more passengers while maintaining frequent departure times. However, despite the higher frequency of flights, the report suggests that popular routes may still face availability issues.
The report delves into the factors influencing ticket prices, such as new labor contracts, geopolitical tensions affecting fuel prices, and airline surcharges. It suggests that new contracts may lead to higher operational costs, which could, in turn, result in increased ticket prices. Geopolitical issues can also drive up fuel prices, impacting ticket costs because fuel is the largest operational expense for airlines. Furthermore, the report mentions that in 2025, surcharges will extend to costs in other areas, including the Global Distribution System and environmental overheads.
The Air Monitor also discusses the New Distribution Capability (NDC), predicting that as more airlines adopt NDC content, pricing strategies will become more flexible. This will allow airlines to offer more price points and adjust fares based on factors like supply and demand, competitor fares, and customer willingness to pay.
The report highlights the industry’s focus on environmental commitments, emphasizing the role of sustainable aviation fuel (SAF) in mitigating carbon emissions. In particular, it features Avelia, a blockchain, book-and-claim solution that enables investment in SAF and supports companies’ sustainability targets.
Finally, the report covers sourcing strategies in the changing aviation landscape. With airlines taking a tougher stand in negotiations due to increased operating costs, it offers five results-oriented strategies, including prioritizing valued factors, steering conversations to reflect needs, leveraging data, choosing appropriate loyalty programs, and focusing on the total ticket price.
For smaller travel programs, the report recommends reviewing contracts with airlines, joining loyalty programs, and considering a travel management partner to help streamline processes such as booking, approval for international trips, and expense integration.
The Air Monitor 2025 provides a comprehensive airline industry forecast, offering valuable insights and strategies for navigating the evolving landscape of air travel.
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