Urban Air Mobility - changing the competitive landscape in New Zealand as barriers to entry are lowered

10 October, 2019

Two-thirds of the global population will live in cities by 2050 and the number of megacities is predicted to rise from 33 to 43 within the next decade. With rising populations, comes a need for greater mobility solutions.

With flying cars among the next steps forward in innovation, it could ultimately be a partial solution to the pilot crisis that is already impacting the commercial aviation sector, particularly on short haul and regional routes. But, this progress will depend on regulatory authorities developing robust standards, willingness to embrace new technology and the buy-in from aviation insurers.

As one the discussion topics at the forthcoming CAPA New Zealand Aviation Summit and CAPA New Zealand Corporate Travel Summit, CAPA - Centre for Aviation will delve into the subject of integrating traditional aviation with the disruptors and the potential challenges and impacts this presents to the industry, now and in the future.

The panel discussion will look if urban mobility is an opportunity for airlines or a threat, whether airlines are likely to be the first to adopt this new technology, what will be the likely competitive impact for airlines that operate short-haul and regional routes, especially for the corporate travel market, and how disruptors and established airline players can complement each other and provide sustainable, integrated and optimised air travel solutions.

As the foremost authority on aviation in the world, CAPA - Centre for Aviation's events provide cutting edge knowledge about strategic market trends and dynamics to help attendees make informed decisions, delivering the information and connections needed to inspire and improve business. The CAPA New Zealand Aviation Summit and CAPA New Zealand Corporate Travel Summit will take place in Auckland on 16-17 October 2019.

New Zealand tourism aims to be a NZD50billion industry by 2025, and they're well on their way to achieving this. North Asia has emerged as a large and rapidly growing market, driven primarily by tourism inbound to New Zealand. China is a particularly important driver of recent and anticipated tourism growth with Chinese visitor numbers overtaking the US and UK in 2012 to become the country's second largest source market (after Australia). Chinese visitors to NZ have since more than doubled from 197,000 (2012) to 418,000 (2017).

In addition, spending by domestic tourists has also surged to NZD23.0 billion in the latest year, up +6.5% (NZD1.4 billion) underpinned by strong increases across the accommodation, hospitality, passenger transport, and retail sectors.

For New Zealand travellers, passport ownership remains at one of the highest levels in the world - potentially because it is also one of the worlds' strongest passports (gaining them entry into 181 countries without a visa). These factors have contributed towards a rapidly growing international market over the last five years.

While Australia still tops the list for New Zealand outbound traffic, the US has grown to be one of the most popular destinations for outbound travellers due to a combination of new direct routes and competitive airfares. In 2017, 300,000+ New Zealanders visited the United States. With a new generation of long-haul aircraft enabling routes of increasing range, carriers such as Air New Zealand are working on offering new routes which in turn will offer opportunities for further outbound travel.

The CAPA New Zealand Aviation Summit and CAPA New Zealand Corporate Travel Summit will be held on 16-17 October to explore these issues, as well as the commercial and operational pillars underpinning strategic decision making at local and international carriers. It will gather 200+ aviation and corporate travel experts including CEOs from airlines and airports across New Zealand and the Pacific Islands plus a selection of leaders serving the region.

The Summit is the ONLY platform that delivers a true end to end knowledge and networking experience for the aviation and travel industry, attracting players from across the entire travel ecosystem - from airlines, airports and hoteliers through to intermediaries and travel managers.

This event, hosted at the Crowne Plaza Auckland, regularly ranked as one of New Zealand's leading business hotels, is a must attend for those seeking to learn from, network and collaborate with today's travel industry leaders!