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Airport Baggage Handling System Market 2020 | Growth, Analysis, Applications, forecast Year 2018 – 2025 and Focusing on Top key vendors

Airport Baggage Handling System Market
Press Release

Growth of commercial aviation is due to increased growth of international trade, changes in the government mandates and policies, rise in tourism level and impact of foreign direct investments (FDI) in the aviation sector play a significant role in determining the industry trajectory.

These factors have resulted in increased competition among the commercial aviation companies both from manufacturer and supplier side. A smart-designed luggage handling system helps to improve passenger convenience thereby reducing the aircraft turnaround time. This system includes conveyors, identification devices, screening devices, sorting devices, and destination-coded vehicles.

A baggage handling system performs tasks including movement of baggage from check in points to loading in the cart of the aircraft. In case of transit flights, the systems tasks include movement of luggage between two aircrafts and moving luggage from inbound aircraft to the claim section.

Rise in travelling among baby boomers and modernization of existing airports drive the growth of the market. However, high initial and maintenance cost of baggage handling system (BHS) and unfavorable consequences of system failure hinder the market growth. Conversely, implementation of robotics at airports would create new opportunities to the market.

The global airport baggage handling system market generated $8.50 billion in 2017, and is expected to reach $14.51 billion by 2025, registering a CAGR of 6.7% from 2018 to 2025.

The key market players analyzed in the report include Siemens AG, Beumer Group, G&S Airport Conveyor, Vanderlande Industries B.V., Daifuku Co. Ltd., Pteris Global Limited, Fives Group, Grenzebach Group, Logplan LLC, and Glidepath Group. These market players have adopted several strategies including partnership, expansion, collaboration, joint ventures, and others to gain a stronghold in the industry.

North America accounted for more than one-third share of the total revenue in 2017 and is expected to maintain its dominant position by 2025. This is due to the large number of airports in the region and modernization of existing airports. However, LAMEA region would grow the highest CAGR of 9.6% from 2018 to 2025, owing to increase in developments and modernization of airports.

Barcode segment contributed more than three-fourths share of the total revenue in 2017, owing to their widespread implementation worldwide. This segment would continue its dominance during the forecast period. However, RFID technology segment would grow at the highest CAGR of 8.7% from 2018 to 2025, owing to its high baggage tracking accuracy and technological advancements in this technology.

Conveyors segment contributed more than two-thirds share of the total revenue in 2017, as it is the most commonly used traditional method of carrying baggage of various sizes and shapes. This segment would maintain its lead by 2025. However, destination coded vehicles segment would contribute the highest CAGR of 7.8% from 2018 to 2025, owing to higher accuracy and lower baggage mishandling cases as compared to conveyors.

Assisted service segment accounted for the highest share, i.e. nearly 90% of the total revenue in 2017, as it is a globally adopted method of assist passengers, especially non-frequent flyers. This segment would continue to dominate the global market throughout the forecast period. However, the self-service segment would grow at the fastest CAGR of 8.3% from 2018 to 2025 due to high efficiency, less waiting time, and large number of self-service counters.

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Top Impacting Factors Such as –

  1. Anticipated growth in air travel
  2. Renewal of Airports
  3. Technological Advancements
  4. High upfront and maintenance cost of baggage handling system (BHS)
  5. Utilization of robotization in the airports

Key Findings of the Airport Baggage Handling Systems Market:

  • Based on airport class, the class A segment led the global airport baggage handling systems market in 2017. However, the class B segment is anticipated to grow at the highest CAGR during the forecast period.
  • North America held a major market share in 2017.
  • By technology, the barcode segment dominated the global airport baggage handling systems market in 2017.
  • LAMEA is anticipated to exhibit the highest CAGR in the near future.

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This post was originally published on Denton Chronicle