The global population is rising at a relentless pace and so is the need for robust and dependable travel infrastructure. Steadfast lifestyle improvements of consumers at a global stature is widening the need for adequate aircraft for seamless transportation needs at both domestic as well as international domains.

Of late, airlines and aircraft operators are experiencing the urgent need for massive infrastructure development in terms of new airlines as well as improved aircraft to accommodate large scale global demands. In order to keep the expenses under check aircraft leases make the best deal for airlines operators and stakeholders. Besides being equipped with sufficient aircraf

The global population is rising at a relentless pace and so is the need for robust and dependable travel infrastructure. Steadfast lifestyle improvements of consumers at a global stature is widening the need for adequate aircraft for seamless transportation needs at both domestic as well as international domains.

Of late, airlines and aircraft operators are experiencing the urgent need for massive infrastructure development in terms of new airlines as well as improved aircraft to accommodate large scale global demands. In order to keep the expenses under check aircraft leases make the best deal for airlines operators and stakeholders. Besides being equipped with sufficient aircraft vessels, several lease agreements also offer highly skilled aviation crew as well as substantial maintenance regimen, at affordable pricing strategy.

Hence, the aircraft leases help in limiting the financial crunch amongst airlines operators. Additionally, aviation industry is a highly volatile industry wherein operational changes are a norm. Coping adequately with such fast altering capacity needs is a daunting task, which further expedites reliance on leasing organizations to ensure uninterrupted operations, while keeping expenses moderate. Factors as such are rippling multifold growth in global aircraft ACMI (Aircraft, Crew, Maintenance, and Insurance) leasing market in the forthcoming years.

Novel Route Testing and Seasonal Routes Necessitate Reliance on Aircraft AICE Leasing

Novel route testing as well as seasonal routes are regular aviation events. However, both these instances amplify the need for aircraft ACMI leasing to prevent uncalled for service disruption. A noteworthy difference between a dry and wet aircraft AICE leasing is that in the former the lessor exercises absolute control over the leased aircraft as well as crew. While in the latter, administrative control rests with the lessee. However, both variants are accounted to keep growth agile in global aviation AICE leasing market in the coming years.

Wet lease type aircraft ACMI leasing has been consistently garnering surged consumer attention. The wet lease type leasing is a short tenure agreement between the lessor and the lessee. Situations such as urgent cover which is characterized by a sudden, unanticipated breakdown of aircraft or unavailability of trained aviation personnel.

Such challenging situations are optimally managed by wet lease in the aviation industry to inhibit disruptions in routine functions. Yet another instance when wet leasing comes handy  is planned maintenance activities of aircraft vessels which leads to elongated down turn causing hindrances in regular flight activities.

Air Lease Corp En Route Staggering Growth in Aircraft ACMI Leasing Despite Odds

Despite significant volatility in aviation industry, aircraft ACMI leasing is apparently far from losing ground. Post the grounding of Boeing's Max aircraft, followed by losses incurred by Wow Airlines, companies such as Air Lease Corp are likely to remain rooted in the ever changing global aviation ACMI leasing market. According to recent developments, the company has successfully leased out over eleven brand new aircraft vessels to various airlines and has a hefty 300 plus new aircraft ready for delivery in a span of next five years. Although the leasing body suffered implications of recent bankruptcy of Wow Airlines, it has reinforced its leading stance and is en route to mark tangible growth ratios in forthcoming years.

Continuing its growth spurt in global aircraft ACMI leasing market, Air Lease Corporation has recently announced the addition of two new A321 aircraft to Air Canada in their endeavor to aid all fleet needs and future expansion projects of the airlines. Developments as such are new success stories, emphasizing impressive growth outlook for global aircraft ACMI leasing landscape.

Overview: Global Aircraft ACMI Leasing Market

Notable spike in air travel is attributed to cause rippling growth in global aircraft ACMI leasing market in the foreseeable future. Besides impressive consumer inclination towards air travel, the global aircraft ACMI leasing market is also poised to witness steady growth with several new projects aiming to improve aviation infrastructure. Emergence of additional new international as well as domestic airlines coupled with improved airports are all targeted to strike substantial growth spike. The global aircraft ACMI leasing market will witness a hefty growth and is expected to expand at an impressive CAGR of 5.4% during 2919-25, reaching a valuation of approximately 7.07 billion in 2025.

In terms of dynamic segmentation global aircraft ACMI leasing market is diversified into type, plane type, body type, and provider type. Based on lease type the market is segregated into wet and dry lease. By plane type, business jets and commercial jets are accounted as major segments. In terms of body type global aircraft ACMI leasing market is bifurcated into narrow, wide, turboprop, and regional jets. Broker and direct are major provider type segments in global aircraft ACMI leasing market.

The wet lease type segment is poised to incur maximum revenue generation on the back of greater consumer adoption. This is attributed to a couple of functional features of wet lease aircraft ACMI. Wet lease offers a range of superlative functional assistance such as professionally skilled crew support, lucrative hourly insurance system, and additional maintenance support. The wet lease segment is anticipated to clock a CAGR of 5.9% during 2019-25. The commercial plane type segment is also likely to remain profitable.

Further, across regional growth analysis of global aircraft ACMI leasing market, Europe will remain atop revenue generation curve. The region is one of the fastest growing and is likely to invest tremendously in infrastructure development projects which will resonate perfectly with steady growth pace of global aircraft ACMI leasing market. Following suit, North American region will also remain a profitable regional hub owing to similar growth propellants, aforementioned.

Takeaways:

• Rising Consumer preferences for air travel over other contemporary travel modes is a major growth trigger.
• Tangible rise in disposable income and concomitant improved lifestyle will echo consumer preferences for aviation.
• Notable investments in airport infrastructure development will aid in emergence of new airports as well as airlines.
• Mature economies such as Europe and North America will continue to remain at the helm of revenue generation curve, backed by ample infrastructure development projects.
• Wet lease type aircraft ACMI leasing segment will witness maximum user adoption at the backdrop of multiple functional attributes.
• Leasing companies investing heavily in novel aircraft delivery expeditions despite acute volatility in aviation landscape.