Stronger global trade conditions are helping support demand for premium class travel, particularly to and from Asia, the International Air Transport Association said.
IATA noted that the premium markets’s share of passenger revenues rose to 26.3 percent in the first seven months of 2017 from 26.0 percent a year ago.
“The stronger global trade backdrop has helped support premium passenger demand growth so far in 2017, particularly on markets to, from and within, the key manufacturing region of Asia,” IATA said in its financial monitor of August to September.
“By contrast, premium demand has lagged behind economy in a number of cases, most notably between Europe and the Middle East,” it added.
“All told, premium’s share of total passengers was stable at 5.3% during the first seven months of 2017 compared to the same period a year ago. However, premium’s share of revenues rose to 26.3 percent from 26 percent over the same period.”
IATA said that global airline share prices rose by 0.9% in September, the first month-on-month increase since June, but showed declines in Asia Pacific and Europe.
“The increase in global airline share prices in September was driven by a gradual recovery in the North American index, after two sharp monthly declines. By contast, the Asia Pacific and European share price indices both saw modest declines during September -1.1% and -0.6% respectively,” according to IATA.
IATA also said that the number of available seats in the global airline fleet went up by 0.7% in August from the previous month.