Low-cost Airlines Traffic Evolution in South-East Europe

Low-cost airlines take up an increasing share in the structure of the aviation market. Currently, there are more than 40 low-cost airlines operating in Europe and they generate 38 percent of total passenger traffic and 23 percent of total Instrumental Flight Rules (IFR) operations [1, 2, 3]. There are contrary opinions about the future of low-cost business model ; from the scenario of survival of two or three biggest low-cost airlines in Europe, to the scenario of taking the role of primary operators in most European short and medium haul routes. This paper elaborates business model of lowcost airlines and defines forecasting methods of growth of air transport with the aim of forecasting traffic share of low-cost airlines operations in South-East Europe.