Air Travelers in America: Survey Highlights February 28, 2017

John P. Heimlich

Vice President & Chief Economist

Airlines for America

Chris Jackson

Vice President

Ipsos Public Affairs

Ipsos Research Approach

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» A4A again selected Ipsos, one of the top polling firms in the country.

» Ipsos conducted a poll January 6-13, 2017 on behalf of Airlines for America. For the survey,

a sample of 5,047 adults age 18+ from the continental U.S., Alaska and Hawaii was

interviewed online in English.

» The sample for this study was randomly drawn from Ipsos’s online panel, partner online

panel sources, and “river” sampling and does not rely on a population frame in the traditional

sense. Ipsos uses fixed sample targets, unique to each study, in drawing sample.

» After a sample has been obtained from the Ipsos panel, Ipsos calibrates respondent

characteristics to be representative of the U.S. population using standard procedures such

as raking-ratio adjustments. The source of these population targets is U.S. Census 2015

American Community Survey data. The sample drawn for this study reflects fixed sample

targets on demographics. Post-hoc weights were made to the population characteristics on

gender, age, region, race/ethnicity and income.

2

Source: Ipsos survey of American adults (January 2017)

Ipsos Poll Accuracy

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» Statistical margins of error are not applicable to online polls. All sample surveys and polls

may be subject to other sources of error, including, but not limited to coverage error and

measurement error. Where figures do not sum to 100, this is due to the effects of rounding.

» The precision of Ipsos online polls is measured using a credibility interval. In this case, the

poll has a credibility interval of plus or minus 1.6 percentage points for all respondents.

» Ipsos calculates a design effect (DEFF) for each study based on the variation of the weights,

following the formula of Kish (1965). This study had a credibility interval adjusted for design

effect of the following (n=5,047, DEFF=1.5, adjusted Confidence Interval=3.1).

3

Source: Ipsos survey of American adults (January 2017)

About Half the American Population Traveled by Airline in 2016

Almost 90 Percent of Americans Have Traveled by Airline in Their Lifetimes

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21

49 49

89

0

10

20

30

40

50

60

70

80

90

100

1971

1972

1973

1974

1977

1979

1981

1983

1984

1985

1986

1987

1988

1989

1990

1991

1992

1993

1997

2015

2016

Past 12 Months Ever

% of U.S. Adult Population That Flew…

Source: Gallup and Ipsos Public Affairs

4

On Average, American Adults Took 2.2 Airline Trips in 2016; Fliers Took 4.5 Trips

Six Percent of Americans and 11 Percent of Fliers Took Nine or More Trips

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11

2

3

6

5

13

13

20

27

9+ trips

8 trips

7 trips

6 trips

5 trips

4 trips

3 trips

2 trips

1 trip

2016 Airline Travelers % of 2016 fliers take X trips

6

1

1

3

3

6

6

10

13

51

9+ trips

8 trips

7 trips

6 trips

5 trips

4 trips

3 trips

2 trips

1 trip

0 trips

All American Adults % of all Americans take X trips

Average

4.5 trips

Average

2.2 trips

5

Source: Gallup and Ipsos Public Affairs

More Than Ever Before, Americans Are Traveling by Airline for Personal Reasons

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31

69

0

10

20

30

40

50

60

70

80

90

100

1977

1979

1981

1983

1984

1985

1986

1987

1988

1989

1990

1991

1992

1993

1997

2015

2016

Business Personal

% of Trips by Purpose

Source: Gallup and Ipsos Public Affairs

6

18%

51%

31%

Personal Non-leisure*

Personal Leisure

Business 1.4 0.7

2.3 1.1

0.8 0.4

4.5 2.2

Per 2016 Flier

Composition of Airline Trips Taken by Primary Purpose in 2016

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Half of 2016 Airline Trips Were Taken Primarily for Leisure; 31 Percent for Business

7

* Includes traveling to/from college, family event, job interview, funeral, medical matters

Per American

Propensity to Fly Varies Widely by Race/Ethnicity and Age Group

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2016 Airline Trips by Race/Ethnicity Among American Adults

2.2

1.1

2.6

3.4

1.1

2.2

2016 Airline Trips by Age Among American Adults

1.3

3.3

1.5

1.1

2.2

18-24 25-44 45-64 65+ All

8

Source: Ipsos survey of American adults (January 2017)

55%

13%

32%

Yes, but not elite Yes, have elite status No

Enrollment in Frequent Flier Programs

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68 Percent of 2016 Fliers Belong to at Least One Airline Frequent Flier Program

Only 13 Percent Reported Having Elite Status

9

Source: Ipsos survey of American adults (January 2017)

When Choosing an Airline, Price Is Top Consideration Regardless of Trip Purpose

Price and Schedule Are Most Important Criteria, Followed by Reliability and Comfort

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Criteria Rank Business

Score

Personal

Score

Affordability (airfare / ancillaries / taxes) 1 2.89 2.40

Flight schedule (routes, timings) 2 3.21 3.32

Reliability of on-time departure and arrival 3 4.00 4.11

Airline seat comfort 4 4.34 4.34

Customer service (reservation/gate agents, flight attendants) 5 4.59 4.75

Quality of inflight amenities (food / entertainment / WiFi) 6 5.27 5.19

Airline frequent flier program (earn/redeem/upgrade/status) 7 5.56 5.61

Environmental responsibility 8 6.13 6.27

When traveling for business/personal, how would you rank the following in terms of choosing

which airline to fly, with 1 being your first priority and 8 being your last priority?

Source: Ipsos survey of American adults (January 2017)

35%

44%

14%

5%

1%

43%

42%

10%

5%

1%

Very satisfied

Somewhat satisfied

Neutral

Somewhat dissatisfied

Very dissatisfied

2015

2016

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85 Percent of 2016 Fliers Reported Being Somewhat or Very Satisfied

Satisfaction Up From 2015; Those Who Were “Very Dissatisfied” Unchanged at 1 Percent

Satisfaction with “Overall Experience With Air Travel” in 2016

11

Source: Ipsos surveys of American adults (December 2015 and January 2017)

Those Aged 18-34 Exhibit the Highest Levels of Air Travel Satisfaction*

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Satisfaction* % Among 2016 Fliers by Age, Gender and Household Income

* Somewhat or very satisfied

12

Source: Ipsos survey of American adults (January 2017)

85.1 90.1

83.3 81.3 86.5

83.5 84.7 86.8 83.7

0

10

20

30

40

50

60

70

80

90

100

All 18-34 35-54 55+ Male Female < $50K $50-99K $100K+

48

39

10 2

0.3

All were satisfactory

Most were satisfactory

About half and half

Most were unsatisfactory

All were unsatisfactory

48% of 2016 Fliers Said All Flights Satisfactory; 39% Said Most Were Satisfactory

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Source: Ipsos survey of American adults (January 2017)

Of all the flights you took in 2016, what amount were satisfactory to you?

Overwhelming Majority of 2016 Fliers Reported Satisfaction With Most/All Flights

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% of 2016 Fliers Reporting That Most or All 2016 Flights Were Satisfactory

14

Source: Ipsos survey of American adults (January 2017)

87.0 89.4 86.6 84.7 88.3 85.6 86.5 89.1

85.4

0

10

20

30

40

50

60

70

80

90

100

All 18-34 35-54 55+ Male Female < $50K $50-99K $100K +

The Vast Majority (81%) of Complaints to U.S. Airlines Are Resolved Satisfactorily

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81

19

Yes No

15

In 2016, if you submitted a complaint directly to a U.S. airline, did the

airline address your complaint satisfactorily?

Source: Ipsos survey of American adults (January 2017)

2016 Fliers Most Satisfied With Checking In, Followed by Shopping/Booking Flights

Fliers Gave All Six Categories an Average Score Exceeding 3

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Phase of Trip Rank Avg. Score (1-5)

Checking in for the flight 1 3.94

Shopping for/purchasing ticket 2 3.90

Boarding process 3 3.70

Reliability of on-time departure and arrival 4 3.69

Awaiting checked baggage upon arrival at destination 5 3.55

Getting through security 6 3.46

In 2016, on a scale of 1 (lowest) to 5 (highest), how would you

rate your overall satisfaction with each of the following?

Source: Ipsos survey of American adults (January 2017)

Flier Satisfaction Rises Markedly With Enrollment in Expedited Screening Programs

Airline/Government Collaboration Boosting Participation in DHS Trusted Traveler Programs

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Very, 36%

Very, 50%

Very, 68%

Somewhat, 46%

Somewhat, 38%

Somewhat, 24%

Neither

TSA Pre✓®

Global Entry

% of 2016 Fliers Indicating “Very Satisfied” With Overall Air Travel Experience

Sources: Ipsos survey of American adults (January 2017), Transportation Security Administration, Customs and Border Protection

17

Millions of Persons Enrolled in DHS Trusted Traveler Programs (Dec. 31)

0.8

2.0

4.2

3.1

4.0

5.3

2014

2015

2016

TSA Pre✓ Global Entry/NEXUS/SENTRI

92%

88%

82%

43

30

8

6

13

Costs outweigh benefits

Not aware of the program

Too difficult to enroll

Refuse to share personal info

Other

Among 2016 Fliers, Cost Is Biggest Barrier to Enrollment in Expedited Screening

But 30% of Respondents Claim to Be Unaware of Either TSA Pre✓® or CBP Global Entry

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Source: Ipsos survey of American adults (January 2017)

What is the primary reason you are not enrolled in either of these expedited screening programs?

15

63

18

4

Strongly favor

Somewhat favor

Somewhat oppose

Strongly oppose

78% of Americans Support Separation of Air Traffic Control (ATC) Operations and

Safety As Long As Federal Government Continues to Oversee/Regulate Safety

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Source: Ipsos survey of American adults (January 2017)

Some have proposed that an effective way to modernize the air traffic control system would be

to transfer day-to-day operations to an independent non-profit with continued federal regulatory

oversight of safety. Such an approach would be more in line with international best practices. Do

you favor or oppose such a plan?

Most Americans Will Fly as Much or More in 2017 as They Did in 2016

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28%

56%

17%

More Same Fewer

20

Including both business travel and personal travel, do you think you

will take more or fewer airline trips in 2017 than you did in 2016?

Source: Ipsos survey of American adults (January 2017)

Those Who Plan to Fly More in 2017 Cited Personal Need/Desire as Primary Factor

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43%

17%

15%

11%

8%

7%

Personal need/desire

Increase in income/wealth

Business need

Air travel affordability

Airline schedule convenience

Other

21

What is the primary factor that will result in more air travel in 2017?

Source: Ipsos survey of American adults (January 2017)

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