51% of airports’ revenue has not recovered to levels seen pre-pandemic
92% identify attracting new airlines and upgrading legacy technologies and systems as top commercial priorities
89% seek federal funding, including from President Biden’s Bipartisan Infrastructure Law, to bolster continued growth
November 28, 2023: A new report from AeroCloud, the intelligent airport management platform that improves collaboration and operational efficiencies, reveals that despite a surge in air travel, 48% of U.S. airport leaders express apprehension about their financial stability. Post-pandemic recovery exhibits regional disparities, as 37% of airport leaders report lingering debt levels, reflecting an uneven economic rebound.
Findings from the Getting on the Runway to Growth report, a comprehensive survey of 100 U.S. airport leaders conducted as part of a global study involving 200 airport leaders, show that 51% of U.S. airports haven’t seen their revenues recover to levels seen pre-pandemic. Recognizing the importance of growth, U.S. airport leaders plan to prioritize two key initiatives including increasing growth margins (93%) and optimizing and increasing capacity for take-off and landing slots (95%) to capitalize on the current surge in air travel.
However, U.S. airports face several hurdles in achieving this growth:
George Richardson, CEO and co-founder, AeroCloud, said: “The U.S. aviation outlook is robust, yet numerous airports are struggling with the challenge of meeting escalating passenger demand. While 89% of U.S. airports underscore the importance of securing federal funding, such as the Biden Infrastructure Bill, as a key commercial priority for long-term growth, they still have immediate concerns surround staff shortages and terminal capacity limitations. Presently, airport leaders are prioritizing exploring strategies to optimize their operations and maximize existing capacity, aiming to accommodate more airlines and passengers and thereby enhance their revenue.”
Getting on the runway to growth
Airport leaders identified four areas where they see opportunities to boost their growth:
George Richardson continued, “Numerous airports in the U.S., mirroring the global trend, still depend on legacy systems and technologies. This diminishes their efficiency in managing existing assets and their ability to onboard new airlines, a crucial factor in capitalizing on the increase in passenger demand for air travel.
“In fact, 43% of U.S. airport leaders revealed they still utilize Excel and Word documents for storing and managing operational information, such as for gate management and the RONs (Remain Overnights). Relying on manual processes and legacy systems poses massive hurdles to their revenue growth. Airports must look towards the future to secure the next stage of their growth by embracing the advantages of artificial intelligence, computer vision and the cloud.”
For recommendations on where airport leaders should focus investments to drive the biggest impact on their operations, revenue and growth, download AeroCloud’s Getting on the Runway to Growth report. https://bit.ly/47KLbYj.
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