Published on : Monday, February 10, 2014
Leaving back the recession in last few years, the global airline industry is expecting an enterprising 2014. The ongoing travel demand and the stability in the fuel prices have infused new hopes for the airline industry and thus predicting 2014 to be the most profitable year in recent times.
However, the passengers have a very little to take away from this news. The airline industry might be making good money, but there is a very less possibility of airlines to slash air fares for travelers. However, according to the airline industry experts the imposing pressure of the low-cost airlines will keep the major airlines away from dramatic fare hikes.
Major airlines probably will invest more of their profits in roomier seats, better entertainment systems and tastier food. That would enable them to offer costlier seats and extra charges for fliers ready to move up from the economy section.
International Air Transport Association (IATA) predicted that the world’s airline industry will reap in a combined $19.7 billion profit this year, surpassing the previous high of $19.2 billion in 2010. Moreover, the merger of the United States’ largest airlines will help boost profits by eliminating redundant services and cutting competition.
The direct result of the airline industry growth will witness the airlines to invest more in onboard services, raise wages of airlines workers, update equipments and add seats.