Airlines in Chile Current Demand Behavior Analysis¶
Demand Behavior¶
The current demand behavior in the Chilean airline industry is primarily driven by individual consumers (B2C) traveling for leisure, tourism, or business, and to a lesser extent by businesses (B2B) utilizing air cargo services. The available data for 2024 and early 2025 indicates a significant volume of individual passengers and a growing trend in overall customer numbers, particularly within the passenger segment.
The dominant customer segment is B2C passengers. LATAM Airlines Group, the largest player, transported a record 82 million passengers across its network in 2024. They anticipated transporting 3.6 million domestic passengers within Chile during the summer season of 2024-2025. Furthermore, over 2 million passengers traveled between Brazil and Chile with LATAM in 2024. SKY Airline aimed to reach 9.5 million passengers across its network in 2024 and expected to carry 1.6 million domestic passengers in Chile during the summer of 2024-2025. JetSMART experienced a substantial 52% increase in passenger volume between 2022 and 2023, indicating strong growth in its customer base. The domestic market share data as of March 2025 shows LATAM with 61.7%, SKY with 25.8%, JetSMART with 11.8%, and Aerovías DAP with 0.8%, reflecting the large number of individual consumers served by these airlines.
The B2B segment primarily comprises businesses that require air transport for cargo, particularly "high-value cargo". [Value Chain Analysis: Introduction] This indicates a demand from businesses involved in logistics and trade where speed and reliability are critical. While specific numbers of business customers for cargo are not provided, the industry plays a "vital role in the logistics chain for high-value cargo," [Value Chain Analysis: Introduction] signifying a consistent demand from this segment.
Overall, the number of customers in the Chilean airline industry appears to be growing, largely propelled by the recovery and expansion in passenger traffic. LATAM achieved a "record of passengers" in 2024. JetSMART's significant passenger volume increase between 2022 and 2023 also highlights a growing customer base for low-cost travel. LATAM also gained domestic market share in Chile in 2024, further indicating growth in their customer numbers within the country. The anticipation of high domestic passenger numbers for the summer of 2024-2025 by both LATAM and SKY suggests continued strong demand and likely growth in the near term. While some international airlines have reportedly reduced frequencies or left the market, the overall trend from the major domestic and regional players points towards an increase in the number of customers served.
| Airline Group/Segment | 2022-2023 Passenger Volume Change | 2024 Passenger Volume (Select) | Summer 2024-2025 Domestic Passenger Projection (Chile) | March 2025 Domestic Market Share (Chile) | Growth/Decline Trend (Based on available data) |
|---|---|---|---|---|---|
| LATAM Airlines Group | N/A | 82 million (Group) | 3.6 million | 61.7% | Growing (Record passengers 2024, Market Share Gain) |
| SKY Airline | N/A | 9.5 million (Network Aim) | 1.6 million | 25.8% | Growing (Anticipated high summer volume) |
| JetSMART | +52% | N/A | N/A | 11.8% | Growing (Significant increase 2022-2023) |
| Aerovías DAP | N/A | N/A | N/A | 0.8% | Stable/Niche |
| International Airlines | Varied (Some reductions) | N/A | N/A | N/A (Operate International routes) | Mixed (Some reductions, some new routes) |
References¶
- Empresas del turismo anticipan para el verano 2024-2025 preferencias por destinos nacionales - Ladevi Chile. (2024, December 16). https://ladevi.cl/empresas-del-turismo-anticipan-para-el-verano-2024-2025-preferencias-por-destinos-nacionales-n-47231
- Cuatro aerolíneas internacionales dejan o reducen vuelos a Chile: sorpresa y preocupación de funcionarios - Aviacionline. (2024, April 15). https://aviacionline.com/2024/04/cuatro-aerolineas-internacionales-dejan-o-reducen-vuelos-a-chile-sorpresa-y-preocupacion-de-funcionarios/
- ¿Dónde ganó más participación Latam Airlines en 2024? Perú en internacional, Chile en el mercado doméstico - La Tercera. (2025, March 19). https://www.latercera.com/pulso/noticia/donde-gano-mas-participacion-latam-airlines-en-2024-peru-en-internacional-chile-en-el-mercado-domestico/753820/
- Turkish Airlines volará 4 veces por semana de Estambul a Santiago - Infotur Latam. (2024, December 17). https://infoturlatam.com/2024/12/17/turkish-airlines-volara-4-veces-por-semana-de-estambul-a-santiago/
- Latam consolida su operación en Chile y Brasil - Aviation Club Center. (2025, March 21). https://aviationclubcenter.com/2025/03/21/latam-consolida-su-operacion-en-chile-y-brasil/
- JETSMART TUVO VARIACIÓN EN PAXS TRANSPORTADOS - T News. (2025, January 6). https://tnews.com.pe/jetsmart-tuvo-variacion-en-paxs-transportados/
- LATAM Airlines alcanza récord de pasajeros y crecimiento financiero en 2024. (2025, February 3). https://www.americaeconomia.com/negocios-e-industrias/latam-airlines-alcanza-record-de-pasajeros-y-crecimiento-financiero-en-2024