Aerospace, Defence and Security Frost Radar™: Global Commercial Avionics Market, 2021

A Benchmarking System to Spark Companies to Action—Innovation that Fuels New Deal Flow and Growth Pipelines


RELEASE DATE
09-Dec-2021
REGION
Global
DELIVERABLE TYPE
Frost Radar

RESEARCH CODE
PC5B-01-00-00-00
SKU
AE01532-GL-MR_26056
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Frost Radar™: Global Commercial Avionics Market, 2021
Published on: 09-Dec-2021 | SKU: AE01532-GL-MR_26056

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With the COVID-19 pandemic severely hampering demand for air travel, the global aircraft utilization rate has declined steeply. This utilization rate is highest for narrow-body aircraft followed by regional jets, wide-body aircraft, and turboprop aircraft, which signifies that air travel demand for short-haul routes is higher than for long-haul routes. Restrictions on cross-border travel and the drop in business trips are the prime factors contributing to low demand for long-haul routes.

Low demand for air travel has forced the airlines to remove older aircraft from their in-service fleets to save on the cost of retrofit and aftermarket activities.

Avionics suppliers are working to update their legacy systems, such as the flight management system. They are monitoring mandates issued by the European Union Aviation Safety Agency (EASA) and the Federal Aviation Administration (FAA), the two major regulatory agencies, to best plan for and invest in products that will allow for the opportunity to gain retrofit contracts.

Leading commercial aircraft original equipment manufacturers (OEMs) generally prefer avionics solution providers that deliver comprehensive solutions that help their customers (airlines) gain strong aftermarket support. Significant investment is required to upscale their product offering for the commercial avionics market; therefore, scope is limited for small avionics companies to compete directly with the established players.

Considering the small number of industry participants that provide commercial avionics systems to the aviation industry, Frost & Sullivan independently plotted the top 12 companies in this Frost Radar™ analysis. The Frost Radar™ reveals the market positioning of each company using its Growth and Innovation scores as highlighted in the Frost Radar™ methodology. The document presents competitive profiles of each company based on its strengths, opportunities, and market positioning. We discuss strategic market imperatives and the competitive environment that vendors operate in as well as make recommendations for each provider to spur growth.

Author: Waseem A. K.

Strategic Imperative

Strategic Imperative (continued)

Growth Environment

Growth Environment (continued)

Frost Radar™: Global Commercial Avionics Market

Frost Radar™: Competitive Environment

Frost Radar™: Competitive Environment (continued)

Raytheon Technologies (Raytheon)

Honeywell

Thales

GE Aviation

Safran

Universal Avionics (UA)

Saab

BAE

Teledyne

Transdigm

Cobham

Meggitt

Strategic Insights

Significance of Being on the Frost Radar™

Frost Radar™ Empowers the CEO’s Growth Team

Frost Radar™ Empowers Investors

Frost Radar™ Empowers Customers

Frost Radar™ Empowers the Board of Directors

Frost Radar™: Benchmarking Future Growth Potential

Frost Radar™: Benchmarking Future Growth Potential

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Frost Radar™: Benchmarking Future Growth Potential 2 Major Indices, 10 Analytical Ingredients, 1 Platform

Growth Index

Growth Index (GI) is a measure of a company’s growth performance and track record, along with its ability to develop and execute a fully aligned growth strategy and vision; a robust growth pipeline system; and effective market, competitor, and end-user focused sales and marketing strategies.

  • Market Share (previous 3 years)
    This is a comparison of a company’s market share relative to its competitors in a given market space for the previous 3 years.
  • Revenue Growth (previous 3 years)
    This is a look at a company’s revenue growth rate for the previous 3 years in the market/industry/category that forms the context for the given Frost Radar™.
  • Growth Pipeline
    This is an evaluation of the strength and leverage of a company’s growth pipeline system to continuously capture, analyze, and prioritize its universe of growth opportunities.
  • Vision and Strategy
    This is an assessment of how well a company’s growth strategy is aligned with its vision. Are the investments that a company is making in new products and markets consistent with the stated vision?
  • Sales and Marketing
    This is a measure of the effectiveness of a company’s sales and marketing efforts in helping it drive demand and achieve its growth objectives.

Innovation Index

Innovation Index (II) is a measure of a company’s ability to develop products/ services/ solutions (with a clear understanding of disruptive Mega Trends) that are globally applicable, are able to evolve and expand to serve multiple markets and are aligned to customers’ changing needs.

  • INNOVATION SCALABILITY
    This determines whether an organization’s innovations are globally scalable and applicable in both developing and mature markets, and also in adjacent and non-adjacent industry verticals.
  • RESEARCH AND DEVELOPMENT
    This is a measure of the efficacy of a company’s R&D strategy, as determined by the size of its R&D investment and how it feeds the innovation pipeline.
  • PRODUCT PORTFOLIO
    This is a measure of a company’s product portfolio, focusing on the relative contribution of new products to its annual revenue.
  • MEGATRENDS LEVERAGE
    This is an assessment of a company’s proactive leverage of evolving, long-term opportunities and new business models, as the foundation of its innovation pipeline.
  • CUSTOMER ALIGNMENT
    This evaluates the applicability of a company’s products/services/solutions to current and potential customers, as well as how its innovation strategy is influenced by evolving customer needs.

Significance of Being on the Frost Radar™

Companies plotted on the Frost RadarTM are the leaders in the industry for growth, innovation, or both. They are instrumental in advancing the industry into the future.

  • GROWTH POTENTIAL
    Your organization has significant future growth potential, which makes it a Company to Action.
  • BEST PRACTICES
    Your organization is well positioned to shape Growth Pipeline™ best practices in your industry.
  • COMPETITIVE INTENSITY
    Your organization is one of the key drivers of competitive intensity in the growth environment.
  • CUSTOMER VALUE
    Your organization has demonstrated the ability to significantly enhance its customer value proposition.
  • PARTNER POTENTIAL
    Your organization is top of mind for customers, investors, value chain partners, and future talent as a significant value provider.

Have questions about this research or need deeper insights?
Speak directly with our analytics experts for tailored recommendations.

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With the COVID-19 pandemic severely hampering demand for air travel, the global aircraft utilization rate has declined steeply. This utilization rate is highest for narrow-body aircraft followed by regional jets, wide-body aircraft, and turboprop aircraft, which signifies that air travel demand for short-haul routes is higher than for long-haul routes. Restrictions on cross-border travel and the drop in business trips are the prime factors contributing to low demand for long-haul routes. Low demand for air travel has forced the airlines to remove older aircraft from their in-service fleets to save on the cost of retrofit and aftermarket activities. Avionics suppliers are working to update their legacy systems, such as the flight management system. They are monitoring mandates issued by the European Union Aviation Safety Agency (EASA) and the Federal Aviation Administration (FAA), the two major regulatory agencies, to best plan for and invest in products that will allow for the opportunity to gain retrofit contracts. Leading commercial aircraft original equipment manufacturers (OEMs) generally prefer avionics solution providers that deliver comprehensive solutions that help their customers (airlines) gain strong aftermarket support. Significant investment is required to upscale their product offering for the commercial avionics market; therefore, scope is limited for small avionics companies to compete directly with the established players. Considering the small number of industry participants that provide commercial avionics systems to the aviation industry, Frost & Sullivan independently plotted the top 12 companies in this Frost Radar™ analysis. The Frost Radar™ reveals the market positioning of each company using its Growth and Innovation scores as highlighted in the Frost Radar™ methodology. The document presents competitive profiles of each company based on its strengths, opportunities, and market positioning. We discuss strategic market imperatives and the competitive environment that vendors operate in as well as make recommendations for each provider to spur growth. Author: Waseem A. K.
More Information
Deliverable Type Frost Radar
No Index No
Podcast No
Author Waseem Ahmed Khan
Industries Aerospace, Defence and Security
WIP Number PC5B-01-00-00-00
Keyword 1 Commercial Avionics Market
Keyword 2 aerospace avionics market
Keyword 3 avionics market share
Is Prebook No
GPS Codes 9000-A1

Frost Radar™: Global Commercial Avionics Market, 2021

$4,950.00

Special Price $3,712.50 save 25 %

In stock
SKU
AE01532-GL-MR_26056