The low-cost air travel segment has been increasing exponentially, particularly between 2001 and 2020. Of all aspects of low-cost products and services, flights registered the most impressive growth, considering that in 2001 they represented only 5% of the global market and by 2020 already had a combined share of 45%.
According to a report by Dinheiro Vivo, this is also one of the few sectors in which consumers with high incomes choose not to pay more for a service, such as for a short or medium-haul flight, privileging low-cost options.
In Portugal, 55% of consumers opt for low-cost air travel. Another 45% opt for low-cost land transport. In the hotel sector, 52% opt for hotels at lower prices.
In the air travel segment, price is more important than quality and brand. In Portugal, the difference is 24 percentage points, with price (59%) taking precedence over quality (35%). Only 6% of Portuguese say that their main criterion for choosing is the brand itself.
That's the ones which can still afford to fly. And there's less of those each day.
By Fred Doe from Algarve on 23 Jun 2023, 16:37