The Role of e-Commerce in the Success of Low-cost Carriers

• Main Authors: Ginanneschi Marco, Piu Pietro
• Format: Article
• Language: English
• Published: Editura Universităţii „Alexandru Ioan Cuza” din Iaşi / Alexandru Ioan Cuza University of Iasi Publishing house 2018-12-01
• Series: Scientific Annals of Economics and Business
• Subjects: e-commerce; e-consumers; low-cost carrier; Ryanair; Granger-causality; L10; L93; C53; C63
• Online Access: http://www.degruyter.com/view/j/saeb.2018.65.issue-4/saeb-2018-0029/saeb-2018-0029.xml?format=INT

This research aims to answer the question if e-commerce favoured in a special way the growth of low-cost carriers within the civil aviation market. After defining low-cost and traditional carriers’ business models, data on transported passengers were collected for three countries (Italy, Germany and Spain) and confronted with the number of e-consumers. Despite a significant correlation in all the three markets, only in Italy our hypothesis has been supported by Granger causality, and the regression analysis allows to forecast a future characterized by a growing dominance of LCCs. Although the definition of an econometric model will require further studies, the distinctive features of the Italian market might represent a starting point for future research on the complex relationship between e-commerce and air transport.