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Airport Ground Transportation Market is Expected to Reach US$ 22 Bn in 2022 and is Estimated to Cross US$ 32.57 Bn at a CAGR of ~ 4% During Forecast Period of 2022-32

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Airport Ground Transportation Market is Expected to Reach US$ 22 Bn in 2022 and is Estimated to Cross US$ 32.57 Bn at a CAGR of ~ 4% During Forecast Period of 2022-32

The airports are the most common type of transportation medium for international travelers and tourists. An airport can have multiple terminals, and aircrafts are assigned specific terminal for landing. The terminal and main airport building can be far, and passengers cannot walk to the aircrafts from building and other way around with luggage.

To make the transfer of passenger and luggage from building and aircraft, there are several vehicles, scheduled according to the flights or can be booked by passengers according to their convenience.

This airport ground transportation is sometimes organized by airline, as a service included along with flight. Sometimes, third party transportation is used by travel agencies and sometimes, passengers can get their own vehicle, using applications and websites of transportation providing agencies. These vehicles are usually buses, taxis and sometimes trains, if available.

The airport ground transportation market very niche, and there are not many popular service providers. There are only few airlines, providing these services to passengers, and there are not many dedicated organizations in this sector. As the market is not dominated by any recognized organization, there is lots of potential for taxi hailing and cab providing agencies, along with airlines to invest and start providing airport transportation to passengers.

Key Takeaways from the Airport Ground Transportation Market Study:

·         The North America, Europe and Asia Pacific regions hold a market share of ~24%, ~22% and ~35% respectively.

·         Online booking channels are leading for the booking of Airport Ground Transportation tickets.

·         The Airport Ground Transportation sector have contributed ~15%-20% in Airport Services market.

“With The Limited Number of Service Providers, There Is a Huge Potential for Newcomers in Airport Transportation Services Market.” – FMI Analyst said.

Impact of COVID-19

The public transportation industry was severely affected by the COVID-19 pandemic. To avoid spread of virus and to eliminate the virus, public transportation systems were completely shut down as a result of the shutdown and additional limitations on public gatherings.

The airport transportation mainly had shuttles and buses, which carried multiple passenger at one time to and from aircrafts. Due to gathering restrictions, these buses were not allowed to carry any passengers. As a result, most of the passengers had to use cabs and taxis to get to airport. Along with cabs, minibuses were also working, with limitation of passenger and proper sanitation and social distancing.

Even nowadays, there are specific rules and regulations, followed by these transportations, as there are chances infection of the virus by contact.

Who is winning?

The airport transportation sector does not have any big names, it mainly has airlines, local cabs and taxi providing agencies, along with few hotels and traveling agencies. All these companies provide buses and taxis to passengers, taking them to and from airport and within airport, from terminal to terminal. There are also special services provided to VIP passengers who paid for premium services.

§  The key players in this sector are Dnata, Fraport AG, Swiss Port International AG, Transdev, and taxi operating companies like Ola, Uber, Meru, Super Shuttle, Hertz, Alamo, Avis, etc.

Budapest Airport Connects Hungary and China with New Agreements

Budapest Airport continues bridging the gap in aviation connectivity between China and Hungary through its most recent airport agreements signed during the Hungarian-Chinese Forum last week. The agreement involves two Chinese airports (Xi’an Xianyang and Zhengzhou Xinzheng International) that further support Budapest Airport’s goal for providing primary logistics and distribution support for China in the Central and Eastern European regions.

Péter Szijjártó, minister of foreign affairs and trade, represented Hungary at the forum and commented on the agreement at the signing ceremony:

“Between two countries ­like these – with quite a distance between them geographically – strong economic cooperation is only possible if they are well-connected, which is why aviation connections, direct flights between Hungary and China, are of key importance. For this reason, we are delighted that a cooperation agreement between the airport of Xi’an and Budapest Liszt Ferenc International Airport is signed, as this agreement may link additional Chinese cities to the network where direct flights are available from Hungary, from Budapest. In addition to economic ties, our connections in tourism can also be developed further. Last year, a record number of 256 thousand Chinese tourists visited Hungary, representing a growth rate of 14 percent.”

Budapest Airport reported that it doubled its weekly capacity in cargo flights between Budapest, Hong Kong and Zhengzhou as a result of support from Hungarian diplomats and trade promotion experts. Additionally, the recent agreement further enhances opportunities to develop freight flows between Chinese locations and Budapest.

“The foundation stone was laid with the direct connection to Zhengzhou, and now it is time to further intensify our cooperation with our new Chinese partners, and thus exploit the enormous potential in the freight business in particular. Zhengzhou, Xi’an and Budapest share a great dynamic of growth, and we are very confident that we can mutually benefit from this cooperation,” said Jost Lammers, the CEO of Budapest Airport.