Navigating the Skies of Change: 14 Aviation Industry Trends That Will Reshape the Industry in 2023 & Beyond

Mar 09 2023

The aviation industry has undergone significant transformation over the years, and as we enter a new era, it is essential to keep up with the latest trends. The aviation industry hasn’t been on the precipice of as much change since the rise of low-cost airlines. New technological innovations will radically reshape how the industry progresses and faces challenges across the globe. As the PR nightmare faced by Southwest at the end of 2022 perfectly illustrated, paper doesn’t always work. Robust digital systems are needed to maintain the modern conveniences expected by today’s flyers. Here are industry trends in 2023 that are shaping the present and future of air travel.

The aviation industry is a complex ecosystem that involves a network of airlines, airports, regulatory bodies, manufacturers, software servicers, logistics, aviation marketplaces, and supporting industries. With the increasing demand for air travel, the industry is facing various challenges such as climate change, digital transformation, and changing customer preferences. The companies that rise to the occasion and understand these trends can adapt to this changing landscape.

1) Low-Cost Airlines Are Not going Away

The rise of low-cost airlines has disrupted the traditional airline business model. These airlines offer affordable fares to consumers by cutting down on in-flight services and amenities. The cost-cutting measures have helped these airlines to offer competitive prices and attract more customers. The trend has not only led to the expansion of air travel but has also created a new class of passengers who otherwise wouldn’t have flown.

2) Contactless Travel

The COVID-19 pandemic has accelerated the adoption of contactless travel. Airlines are leveraging technology to offer touchless services such as online check-ins, contactless payments, and digital boarding passes. The trend has not only improved the customer experience but has also helped to reduce the spread of the virus.

3) Aviation Logistics Software

The aviation industry is highly dependent on logistics and supply chain management to ensure efficient and cost-effective operations. With the advent of technology, aviation companies are increasingly turning to logistics software solutions to optimize their operations. Aviation logistics software can help companies manage inventory, track shipments, and streamline the supply chain.

One of the most significant advancements in aviation logistics software is the use of artificial intelligence (AI) and machine learning. AI can help airlines predict demand, optimize routes, and reduce costs by automating tasks and providing real-time data analysis. It can also help companies make data-driven decisions and improve the customer experience.

Another area of development in aviation logistics software is the use of blockchain technology. Blockchain provides a secure and transparent way to track shipments and manage inventory, reducing the risk of fraud and errors. It can also help companies automate transactions and improve supply chain transparency.

Many companies are currently working on innovations within the logistics and ERP software space. Look for new toolsets from the companies below in the coming years:

Ambry Hill Technologies – https://ambryhill.com/
- About: “specializes in cloud-based business management applications that are purpose-built for the aviation MRO & aftermarket community.”
- Products:
  - VistaSuite: Aviation MRO & Aftermarket Business Management Software
  - VistaQuote: cloud-based software; automates RFQ gathering and quote generating
  - VistaOne: Real-Time Data Resource Exchange
AvSight – https://avsight.net/
- About: “Built specifically for aviation, by a team with more than 30 years of experience in the industry.”
- Product: a cloud-based solution designed specifically to meet the needs of aviation aftermarket suppliers and MRO facilities; combines inventory management, quotes, repairs, sales orders, and finance.
ERP Aero – https://erp.aero/
- About: “software development company with a pipeline of products designed to digitalize and streamline operations of aerospace companies”
- Products;
  - ERP.aero: cloud platform to manage the purchase, lease, exchange, repair, and sale of aircraft parts
  - “RFP SaaS platform enables aircraft operators to automatically post aircraft parts or maintenance requirements and facilitate dynamic tender offers from verified suppliers.
Pentagon – https://www.pentagon2000.com/
- “PENTAGON 2000SQL ERP Systems provides a complete, user-friendly, feature rich and fully integrated environment that supports all of an enterprise’s business.”
SAP – https://www.sap.com/industries/aerospace-defense.html
- About: “As the market leader in enterprise application software, we’re helping companies of all sizes and in all industries run better by redefining ERP and creating networks of intelligent enterprises that provide transparency, resiliency, and sustainability across supply chains. Our end-to-end suite of applications and services enables our customers to operate profitably, adapt continuously, and make a difference worldwide.”

Aviation logistics software can also help companies comply with regulatory requirements and improve safety. For example, companies can use software to track and manage the maintenance of their planes and ensure compliance with safety regulations.

Overall, aviation logistics software is becoming an essential tool for airlines and aviation companies to improve their operations and stay competitive in the industry.

4) Supersonic Travel

For those that remember the convenience of the Concorde, ultra fast transportation between international hubs may be back on the table. Supersonic travel, which involves flying faster than the speed of sound, could revolutionize air travel by reducing travel time and increasing efficiency. Companies such as Boom Supersonic are developing supersonic planes that could cut travel time in half and make long-distance travel more accessible. However, there are still several technical and regulatory hurdles that need to be overcome before supersonic travel becomes a reality.

5) Sustainability & ESG Pressure

While Blackstone may be under attack, ESG mandates and governmental pressures will not go away. Unfortunately the aviation industry is under the microscope for its significant contribution to global greenhouse gas emissions. The industry is under pressure to reduce its carbon footprint and adopt sustainable practices. Airlines are investing in cleaner aircraft and biofuels to reduce their carbon emissions. While there are efforts under way to offset carbon in new and novel ways, the aviation industry has to be proactive. The trend has led to the emergence of eco-friendly airlines and airports that prioritize sustainable practices.

6) Aviation MRO Solutions

Maintenance, repair, and overhaul (MRO) are essential functions in the aviation industry to ensure the safety and reliability of aircraft. With the increasing complexity of aircraft systems and components, the demand for innovative MRO solutions is also increasing. Here are some of the latest developments in aviation MRO solutions:

Predictive Maintenance

Predictive maintenance is an emerging technology that uses data analytics, machine learning, and AI to predict when maintenance will be required before a breakdown occurs. Predictive maintenance can help airlines reduce maintenance costs, minimize downtime, and improve safety. By using real-time data analysis, airlines can identify potential issues before they become critical and schedule maintenance accordingly.

Robotics and Automation

Robotics and automation are also transforming the aviation MRO industry. Robots can perform tasks that are hazardous or time-consuming for humans, such as inspection, cleaning, and painting. Automation can also reduce the risk of human error and improve the quality and consistency of MRO tasks.

Augmented Reality

Augmented reality (AR) is an emerging technology that is being used to improve the efficiency and accuracy of MRO tasks. AR technology can provide technicians with real-time instructions and data visualization, allowing them to identify and diagnose problems more quickly and accurately. AR can also reduce the need for specialized training and improve safety by providing technicians with a virtual view of the aircraft components.

Remote Monitoring

Remote monitoring is another emerging technology in aviation MRO. By using sensors and IoT technology, airlines can monitor the performance of their aircraft remotely and detect potential issues before they become critical. Remote monitoring can also reduce the need for on-site inspections and improve the accuracy of data collection.

Additionally there are many brilliant innovators working on new solutions to traditional problems like sourcing products efficiently. Look for innovations from the likes of:

Component Control – https://www.componentcontrol.com/
- About: “The leading developer of Quantum Control, an application specific MRO, manufacturing & logistics software for the aviation industry.”
ProMRO – https://promrosoftware.com/
- About: “ProMRO is designed for the MRO (Maintenance, Repair and Overhaul) industries with a focus on aviation or heavy equipment.”
Smart145 – https://smart145.com/
- About: “Smart145 is an MRO Software created with only one purpose, to make the MRO Shops and Suppliers more efficient.“
AeroParts Now – https://aeropartsnow.com/
- About: “AeroParts Now™ is the complete, end-to-end aircraft part sales platform that empowers you to respond, quote and sell faster than ever.”
Rotabull – https://rotabull.com/
- About: “The fast, simple, and connected way to sell and buy aircraft parts.”

Overall, these developments in aviation MRO solutions are transforming the industry, improving safety, efficiency, and cost-effectiveness. As the aviation industry continues to evolve, we can expect to see even more exciting innovations in MRO technology.

7) Sustainable Fuels

Sustainable fuels are an increasingly popular alternative to traditional aviation fuels, which are a major source of greenhouse gas emissions. Companies are developing new biofuels made from renewable resources, such as algae and waste products, that could significantly reduce the industry’s carbon footprint. Sustainable fuels could also reduce costs by diversifying the fuel supply chain and reducing dependence on volatile oil prices.

8) Executive Focus on Big Data

The aviation industry generates massive amounts of data every day. Airlines are using big data to gain insights into customer preferences, optimize flight routes, and improve operational efficiency. The trend has led to the emergence of data-driven airlines that rely on data analytics to make informed decisions. Expect infrastructural investment to continue ramping up.

9) Internet of Things (IoT) Integrations

The Internet of Things (IoT) is a network of connected devices that can communicate and exchange data. In aviation, IoT technology is being used to improve safety, efficiency, and passenger experience. Airlines are using IoT devices to monitor the performance of their planes and track maintenance needs. They are also using IoT sensors to collect data on passenger behavior, such as seat preferences and in-flight entertainment choices, to personalize the passenger experience.

10) Electric and Hybrid Planes

Electric and hybrid planes have gained a lot of attention in recent years, as they offer several advantages over traditional combustion engines. Electric planes produce zero emissions, making them more sustainable and environmentally friendly. They also have lower operating costs and require less maintenance than traditional planes. While the technology is still in its early stages, several companies, including Airbus and Boeing, are working on developing electric and hybrid planes that could revolutionize the industry.

11) Autonomous Flying

Autonomous flying has been a topic of discussion in the aviation industry for several years, and the technology is rapidly advancing. Autonomous planes could improve safety by reducing the risk of human error and providing real-time data on weather conditions and other factors that affect flight. They could also reduce costs by optimizing flight paths and reducing the need for human pilots. However, there are still several regulatory and safety concerns that need to be addressed before autonomous planes become a reality.

13) 3D Printing

3D printing has the potential to transform the aviation industry by reducing costs, increasing efficiency, and improving safety. Companies are using 3D printing to create complex parts and components that are difficult or impossible to produce using traditional manufacturing methods. This technology could also reduce the time it takes to manufacture parts and reduce waste, making the industry more sustainable.

3D printing allows MRO providers to create replacement parts and components quickly and cost-effectively, reducing downtime and increasing efficiency. 3D printing also enables the production of complex parts that are difficult or impossible to produce using traditional manufacturing methods.

14) Virtual and Augmented Reality

Virtual and augmented reality technologies are transforming the aviation industry by improving safety, training, and passenger experience. Airlines are using virtual reality to train pilots and flight attendants, simulating various scenarios and emergency situations. Passengers can also use virtual and augmented reality to explore destinations, plan trips, and experience in-flight entertainment in new ways.

Transforming the Future of Flight

The aviation industry has come a long way since the Wright Brothers took their first flight over a century ago. In recent years, we have seen significant advancements in aviation technology, resulting in improved safety, efficiency, and passenger experience. However, the industry faces several challenges, including safety, sustainability, and cost-effectiveness. To overcome these challenges, aviation companies are investing heavily in research and development to innovate and improve their products and services. Everyone in the airline industry must remain focused on preparing for and leveraging the many technological trends which will reshape air transportation in the years to come.