Azul and Trip grow their combined domestic market share in Brazil to almost 15%; GOL cutting domestic capacity

One contributor to the growth was Copa Airlines, which connected its Panama City hub with Recife in north-eastern Brazil.

In June, international traffic grew at Brazil’s airports by 10%. One contributor to the growth was Copa Airlines, which connected its Panama City hub with Recife in north-eastern Brazil.

Since our last look at the Brazilian market, which showed that Brazil’s airports had seen a drop in passenger numbers in April for the first time since May 2009, the market has returned to growth with domestic passenger numbers growing by 14% in May, 13% in June and 9% in July. International traffic also grew healthily in May (by 7.5%) and June (by 10%), but fell by 1.1% in July.

Brazilian airports traffic development Year-on-year change in passengers: 1/06 to 7/12

Source: Infraero

Azul and Trip which announced plans to merge earlier this year have seen their combined share of the domestic market (as measured by RPKs – Revenue Passenger Kilometres) grow from 13.9% in January to a new high of 14.6% in July.

Brazilian domestic market Domestic market share of RPKs: 1/08 to 7/12

Source: ANAC

According to ANAC data for the first seven months of 2012, domestic capacity (ASKs) has grown by 7.5% compared with the same period last year. Azul has grown its ASKs by 37%, while Trip has grown by 61%. TAM the leading domestic airline has grown its capacity by just 1.1% while GOL has actually cut its capacity by 1.6%. In July, GOL’s capacity (ASKs) was down 9% compared with July 2011. Load factors in the domestic market have remained almost unchanged in the first seven months of this year at 71.4%, down from 71.5% in the same period last year.


Comments

  1. helder portugal says:

    GOL is buing WebJet. The second biguest brasilian airline is buing the fourth brasilian airline.
    The business was made in 2011 and Competition Regulator is going to pronounce in 26 September.
    There is nothing about this acquisition in the article.

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