Great news from the recent IATA show, which reveals that air travel demand has increased to just over six percent in May 2018, when compared to the same time period last year. This also reflects an increase of year-over-year rise of six percent, as of April 2018.
Other numbers show that capacity heightened to over five percent, and load factor increased by a 0.1 percentage point to just over 80 percent.
As IATA’s CEO and Director General Alexandre de Juniac stated, the month of May was solid when it comes to demand growth. He went on to relay that some moderation was also shown, and increased airline costs resulted in a decrease of stimulus via lower air fares.
One to specifically look at was that jet fuel prices are anticipated to be up close to 26 percent when compared to last year, as noted by de Juniac. He went on to state that the high load factor for May also marks that air connectivity demand is strong.
In other IATA stats, airlines’ traffic within North America increased by just over 4.9 percent this past May when compared to the same month last year, with a solid rebound from 0.9 percent yearly growth in April, marking it as a huge low from over the past 36 months. Capacity increased to 3.4 percent, the load factor rose to 1.2 percentage points, hitting 82 percent. De Juniac stated that as the U.S.’s domestic economy is currently comparatively strong, the weakened demanded performance seen in April could have been reflective of year-over-year unfavorable comparison when it came to 2017, when the increase in growth started.
Overall, Travelweek reported the good news is that demand is high, especially in a world where there is so much vacationing uncertainty thanks terrorist acts, as well as unpredictable weather disasters, which both play such a key role in decision making and travel plans or flying in general.