The global   low cost carrier market   was valued at   USD 270.42 billion in 2023   and is projected to grow from   USD 316.97 billion in 2024   to   USD 1,054.19 billion by 2032 , at a strong   CAGR of 16.2%   during the forecast period. In 2023,   Asia Pacific   dominated the market, holding a   38.73% share .

Low cost carriers (LCCs) provide affordable air travel by excluding many traditional services from ticket prices. Typically, these airlines operate fleets consisting of a single aircraft type. Market growth is fueled by factors such as the   ease of travel, rising economic activities, rapid expansion of tourism, increasing urbanization, changing consumer lifestyles, and growing preference for low-cost and ancillary services .

Fortune Business Insights™ published these findings in a report titled   “Low Cost Carrier Market, 2024–2032.”

List of Key Players in the Low Cost Carrier Market

• Air Asia (India)
• Ryanair (Ireland)
• Indigo (India)
• Scoot (Singapore)
• Southwest Airlines (U.S.)
• Eurowings (Germany)
• flydubai (UAE)
• Virgin Australia (Australia)
• JetBlue Airlines (U.S.)
• Wizz Air (Hungary)
• Spirit Airlines (U.S.)

Information Source:

https://www.fortunebusinessinsights.com/low-cost-carrier-market-108420

Segmentation Insights

Increasing Fleet Size by LCC Operators to Propel Growth of Wide Body Segment
By aircraft type, the market is segmented into   narrow body, wide body, and others . The   wide body segment   is anticipated to register the fastest growth during the forecast period, driven by rising fleet expansions by LCC operators worldwide.

Rising Passenger Travel in LCCs to Drive Growth of Domestic Segment
By destination, the market is bifurcated into   domestic and international . The   domestic segment   is expected to record the fastest growth due to   decreased airfares, point-to-point connectivity, and standardized fleets , while the   international segment   is projected to dominate overall market share.

Increasing Long Haul Routes to Drive Growth of Long Haul Segment
By haul, the market is divided into   long haul and short haul . The   long haul segment   led the market in 2022 and is expected to expand significantly, owing to the addition of long-haul routes by LCC operators globally.

Geographically, the market is analyzed across   North America, Europe, Asia Pacific, the Middle East & Africa, and Latin America .

Report Coverage

The report provides:

• Key market   drivers, restraints, opportunities, and challenges .
• Detailed   regional insights .
• A comprehensive   list of major players .
• Strategic initiatives adopted by leading companies.
• Recent   industry developments , including partnerships, mergers, acquisitions, and product launches.

Drivers & Restraints

Rising Global Air Passenger Travel to Fuel Market Expansion
Declining airfares have led to a surge in passenger traffic, boosting LCC adoption worldwide. Enhanced fleet efficiency, cost reductions, and optimal utilization of aircraft enable operators to provide significant discounts, further driving growth. Additionally, even business travelers are increasingly choosing LCCs as organizations look to reduce corporate travel expenses.

However,   intense competition   related to ticket pricing, punctuality, network coverage, and service offerings may present challenges to market growth.

Regional Insights

Strengthened Low Cost Carrier Networks to Boost Growth in Asia Pacific
Asia Pacific generated   USD 83.53 billion in 2022   and held the largest share of the global market. Growth in the region is supported by expanding LCC networks that promote inter-regional travel. For example, in 2023,   Indigo Airlines   introduced new routes such as Bengaluru–Dubai, Lucknow–Dammam, Kochi–Bahrain, and Ahmedabad–Jeddah.

Europe   is projected to hold the second-largest market share during the forecast period, supported by the increasing presence of LCC operators.

Competitive Landscape

Adoption of LCC Fleets by Leading Players to Strengthen Market Position
The global market features prominent players such as   Ryanair, Air Asia, Scoot, and others , who are expanding their fleets to maintain a competitive edge. The adoption of cost-efficient LCC aircraft is enabling these airlines to scale operations. For instance, in August 2023,   Flynas   (Saudi Arabia) expanded operations by launching new airline routes.

Notable Industry Development

• June 2023   –   Norse Atlantic Airways   launched a new route between Rome and New York, operating its Boeing 787 Dreamliner aircraft to provide passengers with affordable long-haul travel options during the summer season.