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Passenger Air Transport in Germany - Market Research Report (2015-2030)

David Riemeier David Riemeier Frankfurt, Germany Last Updated: August 2025 WZ H51.10DE

Revenue

€28.4bn

2025

€28.4bn

Past 5-Year Growth

Profit

€XXX.Xm

Employees

52,589

Businesses

542

Wages

€X.Xbn

Passenger Air Transport in Germany industry analysis

German passenger air transport experienced an unprecedented 55.3% slump in industry revenue in 2020 due to the global coronavirus pandemic. Massive flight cancellations, capacity reductions and travel restrictions led to an almost complete standstill in air traffic. The insolvency of the airline Germania had already shaken the industry in the previous year and increased uncertainty among investors and customers. At the same time, competition intensified from foreign low-cost carriers (LCCs) such as Ryanair and Wizz Air, which significantly increased their market share through aggressive pricing strategies and an expansion of their route networks. These developments put additional pressure on established German airlines.

In the years between 2020 and 2025, industry sales rose by an average of 22.9% per year. This is due to the high growth rates after the pandemic, which, however, merely represent a recovery from the pandemic-related low. A slight increase is forecast for 2025. Sales are expected to grow by 0.3% to 28.4 billion euros. This growth will be driven by the gradual resumption of flight connections and the stabilisation of passenger demand. Over the past five years, the aviation industry's profit margin has stabilised at a low but stable positive level. The industry has benefited from the ongoing consolidation following the market exit of unprofitable providers such as Air Berlin and Germania. Despite this cautious recovery, the industry continues to face considerable challenges. Since 2022, geopolitical tensions - above all the war in Ukraine - have had an impact on operating costs in the form of permanently higher crude oil prices. As fuel costs make up a large proportion of total costs, they are driving up ticket prices. This reduces the purchasing power of private passengers and restricts business travel.

IBISWorld expects slight average growth of 0.3% per year until 2030 with a forecast industry turnover of around 28.9 billion euros. The ongoing market shakeout should enable the remaining airlines to operate more efficiently and strengthen their market position. In addition, climate change is increasingly becoming the focus of social and political attention. Government funding programmes, for example for the expansion and modernisation of Deutsche Bahn, are being significantly expanded. This is increasing competitive pressure in domestic German transport, as environmentally conscious customers are increasingly opting for alternative means of transport. The aviation industry therefore faces the challenging task of combining economic growth, competitive advantages and ecological responsibility in order to continue to operate successfully and sustainably in the future.

Trends and Insights

  • Competition from airlines from the Gulf and the Bosporus is increasing. Turkish Airlines has developed into a serious competitor on long-haul routes in recent years, particularly for the Lufthansa Group. The Gulf carriers benefit from the favourable location of their hubs and lower personnel costs.
  • The industry generates the largest share of its sales with flights to Europe excluding Germany. Intra-European flights are currently even more tourism-driven than usual.
  • The Süd region has the highest proportion of companies in the industry. As Bavaria is also relatively prosperous in rural areas, many small aviation companies have settled in the many small airfields in this federal state.
  • The high market concentration is due to the dominant position of Deutsche Lufthansa AG in German air transport. This has been further strengthened by the insolvencies of Air Berlin in August 2017 and Germania in February 2019.
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Industry Statistics and Trends

Market size and recent performance (2015-2030)

Industry revenue has grown at a CAGR of 22.9 % over the past five years, to reach an estimated €28.4bn in 2025.

Trends and Insights

The war in Ukraine is slowing the economic recovery from the pandemic

  • The outbreak of the war in Ukraine in spring 2022 led to considerable security policy interventions in air traffic. Numerous flight routes were cancelled or rerouted for security reasons, which put a strain on intercontinental traffic in particular. The mutual cancellation of overflight rights between the European Union and Russia also forced airlines to use longer and less efficient routes to Asia. This resulted in lost time and higher fuel costs.
  • Additional trends and insights available with purchase
Passenger Air Transport in Germany
Revenue (2015-2030)
IBISWorld Logo Source: IBISWorld

Industry outlook (2025-2030)

Market size is projected to grow over the next five years.

Trends and Insights

From the customer's perspective, LCCs serve as a driver for cheaper flight tickets

  • By 2030, the low-cost carrier (LCC) business model is likely to become even more established in Europe and especially in Germany. This will have a noticeable impact on the price structure and market dynamics in air transport. From the customer's point of view, LCCs act as significant downward price drivers. Through consistent cost efficiency, high capacity utilisation and lean processes, they are able to keep air fares permanently low. Adjusted for inflation, tickets are already cheaper today than they were ten years ago.

Biggest companies in the Passenger Air Transport in Germany

Company
Market Share (%)
2025
Revenue (€m)
2025
Deutsche Lufthansa AG
12,732.7
Condor Flugdienst GmbH
1,984.7
TUIfly GmbH
348.3

To view the market share and analysis for all 4 top companies in this industry, view purchase options.

Products & Services Segmentation

Passenger Air Transport in Germany
Products & Services
IBISWorld Logo Source: IBISWorld

Industry revenue is measured across several distinct product and services lines, including Flights within Europe excluding Germany, German domestic flights and Flights to the rest of the world. Flights within Europe excluding Germany is the largest segment of the Passenger Air Transport in Germany.

Trends and Insights

Intra-European flights excluding Germany are of key importance for industry sales

  • Flights to Europe excluding Germany account for by far the largest share of industry revenue. These flights are less involved in complex transfer connections.
  • More insights available in the full report

Table of Contents

About this industry

Industry definition

The passenger transport sector in aviation includes scheduled and charter flights, the organisation of sightseeing and training flights, for example by air sports clubs, and the operation of air taxis. While the rental of aircraft including crew also counts as passenger transport in aviation, the rental of aircraft without crew is not included in this sector.

What's included in this industry?

Products and services covered in the Passenger Air Transport industry in Germany include Flights within Europe excluding Germany, German domestic flights and Flights to the rest of the world.

Companies

Companies covered in the Passenger Air Transport industry in Germany include Deutsche Lufthansa AG, Condor Flugdienst GmbH and TUIfly GmbH.

Purchase this report to view all 4 major companies in this industry.

Related Terms

Related terms covered in the Passenger Air Transport industry in Germany include low-cost-carrier (lcc), ancillaries and hybridcarrier.

Industry Code

WZ 2008

WZ 51.10 - Passenger Air Transport in Germany

Performance

Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.

Analyst insights

Competition from airlines from the Gulf and the Bosporus is increasing. Turkish Airlines has developed into a serious competitor on long-haul routes in recent years, particul...

In this chapter (4)

  • Current Performance
  • Outlook
  • Volatility
  • Life Cycle

Key metrics

  • Annual Revenue, Recent Growth, Forecast, Revenue Volatility
  • Number of Employees, Recent Growth, Forecast, Employees per Business, Revenue per Employee
  • Number of Businesses, Recent Growth, Forecast, Employees per Business, Revenue per Business
  • Total Profit, Profit Margin, Profit per Business

Charts

  • Revenue, including historical (2015-2024) and forecast (2025-2030)
  • Employees, including historical (2015-2024) and forecast (2025-2030)
  • Businesses, including historical (2015-2024) and forecast (2025-2030)
  • Profit, including historical (2015-2025)
  • Industry Volatility vs. Revenue Growth
  • Industry Life Cycle

Detailed analysis

  • Trends in supply, demand and current events that are driving current industry performance
  • Expected trends, economic factors and ongoing events that drive the industry's outlook
  • Key success factors for businesses to overcome volatility
  • How contribution to GDP, industry saturation, innovation, consolidation, and technology and systems influence the industry's life cycle phase.

Products and Markets

Learn about an industry's products and services, markets and trends in international trade.

Analyst insight

The industry generates the largest share of its sales with flights to Europe excluding Germany. Intra-European flights are currently even more tourism-driven than usual.

In this chapter

  • Products & Services
  • Major Markets

Key metrics

  • Largest market segment and value in 2025
  • Product innovation level

Charts

  • Products & services segmentation in 2025
  • Major market segmentation in 2025

Detailed analysis

  • Trends impacting the recent performance of the industry's various segments
  • Innovations in the industry's product or service offering, specialization or delivery method
  • Key factors that successful businesses consider in their offerings
  • Buying segments and key trends influencing demand for industry products and services

Geographic Breakdown

Discover where business activity is most concentrated in an industry and the factors driving these trends to find opportunities and conduct regional benchmarking.

Analyst insights

The Süd region has the highest proportion of companies in the industry. As Bavaria is also relatively prosperous in rural areas, many small aviation companies have settled in...

In this chapter (1)

  • Business Locations

Charts

  • Share of revenue, establishment, wages and employment in each region
  • Share of population compared to establishments in each region in 2025

Tables

  • Number and share of establishments in each region in 2025
  • Number and share of revenue each region accounts for in 2025
  • Number and share of wages each region accounts for in 2025
  • Number and share of employees in each region in 2025

Detailed analysis

  • Geographic spread of the industry across Europe, and trends associated with changes in the business landscape
  • Key success factors for businesses to use location to their advantage

Competitive Forces

Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.

Analyst insights

The high market concentration is due to the dominant position of Deutsche Lufthansa AG in German air transport. This has been further strengthened by the insolvencies of Air ...

In this chapter (4)

  • Concentration
  • Barriers to Entry
  • Substitutes
  • Buyer & Supplier Analysis

Key metrics

  • Industry concentration level
  • Industry competition level and trend
  • Barriers to entry level and trend
  • Substitutes level and trend
  • Buyer power level and trend
  • Supplier power level and trend

Charts

  • Market share concentration among the top 4 suppliers from 2020-2025
  • Supply chain including upstream supplying industries and downstream buying industries, flow chart

Detailed analysis

  • Factors impacting the industry’s level of concentration, such as business distribution, new entrants, or merger and acquisition activity.
  • Key success factors for businesses to manage the competitive environment of the industry.
  • Challenges that potential industry entrants face such as legal, start-up costs, differentiation, labor/capital intensity and capital expenses.
  • Key success factors for potential entrants to overcome barriers to entry.
  • Competitive threats from potential substitutes for the industry’s own products and services.
  • Key success factors for how successful businesses can compete with substitutes.
  • Advantages that buyers have to keep favorable purchasing conditions.
  • Advantages that suppliers have to maintain favorable selling conditions.
  • Key success factors for how businesses can navigate buyer and supplier power.

Companies

Learn about the performance of the top companies in the industry.

Analyst insights

Lufthansa AG wants to focus more strongly on the pure flight business again. This strategy also includes the sale of the European business of the airline caterer LSG Sky Chef...

In this chapter

  • Market Share Concentration
  • Companies
  • Company Spotlights

Charts

  • Industry market share by company in 2021 through 2025
  • Major companies in the industry, including market share, revenue, profit and profit margin in 2025
  • Overview of Deutsche Lufthansa AG's performance by revenue, market share and profit margin from 2019 through 2025
  • Overview of Condor Flugdienst GmbH's performance by revenue, market share and profit margin from 2019 through 2025
  • Overview of TUIfly GmbH's performance by revenue, market share and profit margin from 2019 through 2025
  • Overview of revenue, market share and profit margin trend for one additional company

Detailed analysis

  • Description and key data for Deutsche Lufthansa AG, and factors influencing its performance in the industry
  • Description and key data for Condor Flugdienst GmbH, and factors influencing its performance in the industry
  • Description and key data for TUIfly GmbH, and factors influencing its performance in the industry
  • Description, key data and performance trends for one additional company

External Environment

Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.   

Analyst insights

Many regional airports in Germany are heavily subsidised. This is often justified by local politicians with the argument that although the airports have no economic benefit f...

In this chapter

  • External Drivers
  • Regulation & Policy
  • Assistance

Key metrics

  • Regulation & policy level and trend
  • Assistance level and trend

Charts

  • Regulation & Policy historical data and forecast (2015-2030) 
  • Assistance historical data and forecast (2015-2030) 

Detailed analysis

  • Demographic and macroeconomic factors influencing the industry, including Regulation & Policy and Assistance
  • Major types of regulations, regulatory bodies, industry standards or specific regulations impacting requirements for industry operators
  • Key governmental and non-governmental groups or policies that may provide some relief for industry operators.

Financial Benchmarks

View average costs for industry operators and compare financial data against an industry's financial benchmarks over time. 

Analyst insights

The aviation industry is not very profitable due to very high fixed costs. The main reason for the particularly low profit margin in the current year is the high cost of mate...

In this chapter

  • Cost Structure
  • Financial Ratios
  • Key Ratios

Key metrics

  • Profit margin, and how it compares to the sector-wide margin
  • Average wages, and how it compares to the sector-wide average wage
  • Largest cost component as a percentage of revenue
  • Industry average ratios for days' receivables, industry coverage and debt-to-net-worth ratio

Charts

  • Average industry operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2025
  • Average sector operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2025
  • Investment vs. share of economy

Data tables

  • Cash Flow & Debt Service Ratios (2015-2030)
  • Revenue per Employee (2015-2030)
  • Revenue per Enterprise (2015-2030)
  • Employees per Establishment (2015-2030)
  • Employees per Enterprise (2015-2030)
  • Average Wage (2015-2030)
  • Wages/Revenue (2015-2030)
  • Establishments per Enterprise (2015-2030)
  • IVA/Revenue (2015-2030)
  • Imports/Demand (2015-2030)
  • Exports/Revenue (2015-2030)

Detailed analysis

  • Trends in the cost component for industry operators and their impact on industry costs and profitability 

Key Statistics

Industry Data

Data Tables

Including values and annual change:

  • Revenue (2015-2030)
  • IVA (2015-2030)
  • Establishments (2015-2030)
  • Enterprises (2015-2030)
  • Employment (2015-2030)
  • Exports (2015-2030)
  • Imports (2015-2030)
  • Wages (2015-2030)

Top Questions Answered

Unlock comprehensive answers and precise data upon purchase. View purchase options.

What is the market size of the Passenger Air Transport industry in Germany in 2025?

The market size of the Passenger Air Transport industry in Germany is €28.4bn in 2025.

How many businesses are there in the Passenger Air Transport industry in Germany in 2025?

There are 542 businesses in the Passenger Air Transport industry in Germany, which has grown at a CAGR of 1.6 % between 2020 and 2025.

How may import tariffs affect the Passenger Air Transport industry in Germany?

The Passenger Air Transport industry in Germany is unlikely to be materially impacted by import tariffs with imports accounting for a low share of industry revenue.

How may export tariffs affect the Passenger Air Transport industry in Germany?

The Passenger Air Transport industry in Germany is unlikely to be materially impacted by export tariffs with exports accounting for a low share of industry revenue.

Has the Passenger Air Transport industry in Germany grown or declined over the past 5 years?

The market size of the Passenger Air Transport industry in Germany has been growing at a CAGR of 22.9 % between 2020 and 2025.

What is the forecast growth of the Passenger Air Transport industry in Germany over the next 5 years?

Over the next five years, the Passenger Air Transport industry in Germany is expected to grow.

What are the biggest companies in the Passenger Air Transport industry in Germany?

The biggest companies operating in the Passenger Air Transport industry in Germany are Deutsche Lufthansa AG, Condor Flugdienst GmbH and TUIfly GmbH

What does the Passenger Air Transport industry in Germany include?

Flights within Europe excluding Germany and German domestic flights are part of the Passenger Air Transport industry in Germany.

Which companies have the highest market share in the Passenger Air Transport industry in Germany?

The company holding the most market share in the Passenger Air Transport industry in Germany is Deutsche Lufthansa AG.

How competitive is the Passenger Air Transport industry in Germany?

The level of competition is moderate and increasing in the Passenger Air Transport industry in Germany.

Methodology

How are IBISWorld reports created?

IBISWorld has been a leading provider of trusted industry research for over 50 years to the most successful companies worldwide. With offices in Australia, the United States, the United Kingdom, Germany and China, we are proud to have local teams of analysts that conduct research, data analysis and forecasting to produce data-driven industry reports.

Our analysts start with official, verified and publicly available sources of data to build the most accurate picture of each industry. Analysts then leverage their expertise and knowledge of the local markets to synthesize trends into digestible content for IBISWorld readers. Finally, each report is reviewed by one of IBISWorld’s editors, who provide quality assurance to ensure accuracy and readability.

IBISWorld relies on human-verified data and human-written analysis to compile each standard industry report. We do not use generative AI tools to write insights, although members can choose to leverage AI-based tools within the platform to generate additional analysis formats.

What data sources do IBISWorld analysts use?

Each industry report incorporates data and research from government databases, industry-specific sources, industry contacts, and our own proprietary database of statistics and analysis to provide balanced, independent and accurate insights.

Key data sources in Germany include:

  • German Federal Statistics Office (Destatis)
  • European Statistics Office (Eurostat)
  • United Nations Comtrade

Analysts also use industry specific sources to complement catch-all sources, although their perspective may focus on a particular organization or representative body, rather than a clear overview of all industry operations. However, when balanced against other perspectives, industry-specific sources provide insights into industry trends.

These sources include:

  • Industry and trade associations
  • Industry federations or regulators
  • Major industry players annual or quarterly filings

Finally, IBISWorld’s global data scientists maintain a proprietary database of macroeconomic and demand drivers, which our analysts use to help inform industry data and trends. They also maintain a database of statistics and analysis on thousands of industries, which has been built over our more than 50-year history and offers comprehensive insights into long-term trends.

How does IBISWorld forecast its data?

IBISWorld’s analysts and data scientists use the sources above to create forecasts for our proprietary datasets and industry statistics. Depending on the dataset, they may use regression analysis, multivariate analysis, time-series analysis or exponential smoothing techniques to project future data for the industry or driver. Additionally, analysts will leverage their local knowledge of industry operating and regulatory conditions to impart their best judgment on the forecast model.

IBISWorld prides itself on being a trusted, independent source of data, with over 50 years of experience building and maintaining rich datasets and forecasting tools. We are proud to be the keystone source of industry information for thousands of companies across the world.

Learn more about our methodology and data sourcing on the Help Center.

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