The determinants of airport passenger demand in the Philippines

• Main Authors: Alvarez, Hansel Brian L., Amis, Paolo Martin M.
• Format: text
• Language: English
• Published: Animo Repository 2006
• Subjects: Airports > Philippines > Management; Airports > Planning; Aircraft occupants > Philippines; Civil Engineering
• Online Access: https://animorepository.dlsu.edu.ph/etd_bachelors/4910
• Institution: De La Salle University

There are around 85 national airports in the Philippines. The problem in our country is that most of the existing airports are underutilized. Domestic passenger movement volume is concentrated in some routes. The study aims to identify the factors that may affect the passenger demand for airports. Factors being considered were provincial population, distance, airfare, average family income, population within the catchment area, travel time, and flight frequency. In order to identify the factors that have a significant effect on the domestic passenger movement volume, correlation analysis was used. Student t-test is also used to predict the p-value and identify the how strong the relationship of each of the variable with respect to passenger demand. Regression analysis allows this study to illustrate the relationship with respect to the passenger movement volume. In running the analysis, the research was able to arrive at two major determinants. The first variable would be the combined effect of the population from destination and distance. Populated destinations tend to attract more passengers. Furthermore, rarely does a passenger consider air transportation at short distances. The second variable would be the flight frequency. Before a consumer can consider taking air transportation, flight to its destination should be available in the first place. Identification of these determinants is very functional especially in airport planning which includes capacity expansion. As a result, the study suggests that population, distance and flight frequency should put into consideration in increasing the passenger demand for a given airport.