Hong Kong-Seoul becomes Asia's 9th largest international airline route as LCCs capture 21% share
Cultural interest in Korea has helped the Hong Kong-Seoul route grow 65% over the years, pushing the route from being Asia's 13th largest based on international seats to ninth largest. LCCs have amassed a 21% market share, mostly at the expense of Cathay Pacific and Korean Air even though they have increased capacity. Asiana has slightly increased market share due to its very large growth, albeit from a smaller base. HK Express in Feb-2015 will operate 18 weekly flights. Jin Air will grow beyond a daily flight, which Jeju Air did earlier in 2014. The route also sees fifth freedom operators that aggressively compete on price.
Airline expansion has helped the number of Korean visitors to Hong Kong grow 22% while Hong Kong visitors to Korea have grown a faster 40% but from a lower base. Overall tourism expansion is lower than air capacity growth, suggesting local full-service airlines are growing to increase transfer traffic while fifth freedom operators have low load factors and limited demand between Hong Kong and Seoul.
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