Domestic traffic growth in Vietnam has slowed to less than 10% in 2017, following four consecutive years of high double-digit gains. The Vietnamese domestic market was one of the fastest-growing domestic markets in the world from 2012 to 2016, but is expected to grow at a more modest rate of 10% to 15% per annum over the next few years.
Vietnam Airlines has regained domestic market share in 2017 by growing faster than the overall market, for the first time since the launch of VietJet in late 2011. Vietnam Airlines should capture a 43% to 44% share in 2017, compared to 42% in 2016.
Vietnam’s two low cost airlines, Jetstar Pacific and VietJet, have focused expansion almost entirely on the international market in 2017. VietJet matched Vietnam Airlines' 42% share in 2016, but in 2017 has ceded domestic market share, failing to meet its objective of reaching 50% domestic market share.
To access CAPA Premium Analysis you need a CAPA Membership
Your window into the latest insights
CAPA employs an industry-leading Analyst team based in Europe, North America, Asia and Australia who offer unique perspectives and independent and accurate commentary of critical industry developments globally. CAPA Members rely on our Analysis to unlock valuable insights and actionable intelligence to keep ahead of the game.
Big picture strategic view
Our Analysts don’t just report the news - they take a big picture strategic view of aviation dynamics, issues and trends and analyse the implications of these developments for you.
The CAPA Analyst team is based globally to ensure our CAPA Members have access to independent, unique perspectives covering an entire spectrum of daily, worldwide commercial aviation developments.
Customise your Alerts
CAPA Members can use CAPA Alerts to receive daily, weekly or monthly and customised updates on our Analysis.
I'm very impressed by the factual and detailed analysis CAPA is always doing.- CEO, Airline Member
Phone: +61 2 9241 3200 | Email: firstname.lastname@example.org