The average U.S. domestic airfare declined 39.9% in the third quarter of 2020 to $245, the lowest inflation-adjusted average quarterly airfare in Bureau of Transportation Statistics (BTS) records dating back to 1995. The previous low was $262 in the second quarter of 2020. By comparison, Wichita’s average airfare fell 36%, to $254 from $397 in 2019.
Adjusted for inflation (constant 2020 dollars) the average U.S. Q3 2020 airfare was:
- Down 29.9% from 3Q 2019 ($349)
- Down 6.7% from 2Q 2020 ($262)
- Down 40.0% from 3Q 2015 ($408)
As passenger demand fell, so did airfares. U.S. airlines reported 27 million originating passengers in the third quarter of 2020, down from 86 million passengers a year earlier. Wichita passengers in the third quarter were down 56% from last year, a decrease of 327,948 originating passengers.
The weakness in fares was also compounded by nearly absent corporate travel demand, which led legacy carriers to discount tickets to compete for price-sensitive leisure travelers. Bookings for corporate air travel were 83% below 2019 levels as of mid-January 2021, according to data from Airlines for America (A4A).
Among the top 100 U.S. airports, ICT ranked the 96th largest airport and ranked 39th in domestic airfares.