Mexico’s airlines gaining greater share of international market; Interjet and Volaris still locked in battle for domestic supremacy

Aeromexico has been helping Mexican carriers to gain a greater share of the international market with a number of new route launches from Mexico City in 2015 including Panama (14 May), Toronto Pearson (4 May) and Boston (1 June). As a result, Aeromexico’s share of the international market has risen to over 15% during 2015.

Mexico’s aviation market continues to show signs of growing maturity. Since our last look at the market earlier in the year domestic and international passengers have grown steadily. Domestic demand is up almost 12% in the first five months of 2015, while international traffic is up just over 8%. The 17% increase in domestic traffic in March was the first time domestic passenger numbers have grown by more than 15% in a month since September 2011.

Chart - Mexican domestic traffic development Year-on-year change in passengers: 1/2006 to 5/2015

Source: DGAC Mexico.

International traffic has now grown for 47 consecutive months and Mexican carriers have started taking a growing share of the international market. Between February and May, Mexican carriers increased their proportion of international passengers from 21.5% to 29.1%. Aeromexico is still the dominant Mexican carrier, with 54% of international passengers among Mexican airlines, followed by Volaris (22%), Interjet (12%) and Aeromexico Connect (10%).

Chart - Mexican international traffic development Year-on-year change in passengers: 1/2008 to 5/2015

Source: DGAC Mexico.

Since the beginning of 2015, Aeromexico has added a number of new international routes from Mexico City to Medellin in Colombia (2 March), Ontario and Sacramento in California (both in early April), Toronto Pearson in Canada (4 May), Panama City (14 May) and Boston (1 June), as well as from Monterrey to Miami (26 March).

Interjet and Volaris still swopping #1 place in domestic market

The battle to be the leading carrier in the Mexican domestic market continues to be a closely-fought contest between two LCCs, Interjet and Volaris. The lead swopped several times in 2014 and after leading in December 2014 and January 2015, Volaris has been overtaken by Interjet since February. The Aeromexico group of airlines has had a combined share of between 34% and 38% during the first five months of 2015, but this is currently split between Aeromexico Connect and Aeromexico. The LCC share of the domestic market (Interjet, VivaAerobus and Volaris) continues to hover around the 60% mark.

Chart - Mexican domestic air travel market Airline passenger market shares: 1/2007 - 5/2015

Source: DGAC Mexico.


Comments

  1. enplaned says:

    The graph is market share by what? Seats? ASKs? RPKs? Passengers? Flights? And it would be a more meaningful graph to consolidate everything offered under a single brand. So, if AM Connect is marketed as Aeromexico, then the two should be consolidated.

    • The graph shows passenger share of passengers for each airline. Since DGAC shows Aeromexico and Aeromexico Connect separately so do we. The article points out that if we combine the two carrier brands then Aeromexico Group would be #1 carrier domestically.

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