The Amadeus Air Traffic Travel Intelligence Report showed low cost airlines are dominating the UK market with more than half (52%) of the 93m people who travelled from a British Airport in 2012 using LCCs. This is a 4% rise on 2011 results.
What else did we find and in which countries? See the list belowâ€¦
Europe- low cost flights account for 38% of all Europe 2012 air traffic, a rise on the previous 36.5%. Spain has the highest share of LCC traffic in Europe at 57%, followed by the UK at 52%. This LCC penetration represents the biggest market share, regionally, in the world. Europe was the second biggest and fastest growing region with a total of 680m passengers.
America- 30% of air traffic in North America was from budget airlines, the second highest LCC penetration after Europe. North America was also the third biggest and fastest growing region with 597m passengers. Some of the most significant growth was in Latin America at 6%.
Asia- Low cost carrier penetration is 18.6%, however, Asia is the biggest and fastest growing region with 787m passengers and 9% growth. Most of the busiest routes of last year were in Asia at 7/10. Asia is also the world's most competitive aviation market with 75% of routes served by three or more airlines.
Middle East- Low cost carriers represent 14% of all air travel in the Middle East. The region is growing rapidly as a flight hub with European and Asian traffic routed via the Middle East growing by 20% from 2011-2012. The three key airports: Doha, Abu Dhabi and Dubai all showed high traffic volumes, serving around 15% of all air traffic between Asia and Europe and from Europe to the Southwest Pacific.
The airline industry generally has become far more competitive over the past 3 years. The percentage of air traffic served by one or two airlines has fallen by 2% each year from 39% in 2010 to 35% in 2012.
How can low cost airlines compete?
Amadeus head of travel intelligence Pascal Clement, Head said: "The rapid pace of change and increasing competitiveness of the global airline industry, as evidenced by this data, means airlines and the wider travel industry increasingly need to base operational decision-making on data insights and analytics, in order to identify opportunities and risks as they emerge.
"This data provides good news for the airline industry, showing that passenger air traffic has increased in every region of the world from 2011 to 2012. As in 2011, this growth is led by Asia, however, the data points to a further opportunity in the region, where the majority of traffic is on a small number of busy routes."
What do you think? Why has low cost increased?
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