CEOs reveal industry trends in Latin America and the Caribbean

Nassau, October 30, 2024 – The ALTA AGM & Airline Leaders Forum 2024 featured the panel “CEO Vision,” providing a strategic analysis of the rapid transformations shaping the aviation sector. Moderated by Gabriela Frias, anchor of CNN, the discussion explored the main challenges and trends influencing aviation in Latin America and the Caribbean, with an emphasis on innovation and sustainability.

Tracy Cooper, CEO of Bahamasair, highlighted the importance of expanding connections between Latin America and the Bahamas: “In the Bahamas, 80% of our tourists come from North America, while Latin America, with a larger population, represents only 5 to 7% of our visitors. We need to rethink this dynamic to strengthen connections with LAC.”

Pedro Heilbron, CEO of Copa Airlines, commented on the trends that will impact the sector in the coming years: “Regions with policies that attract investments and reduce taxes will perform better. An example is Cartagena, where the reduction of fees has led to rapid growth in traffic. This flexibility is essential for the sector, especially during recovery periods.”

Roberto Alvo, CEO of LATAM Airlines Group, emphasized the need to consider regional particularities: “We cannot align ourselves with the policies of more developed countries. We need to analyze our own reality and foster a specific path that values the characteristics of Latin America and the Caribbean.”

Regarding litigation, John Rodgerson, CEO of Azul, shared a company strategy to reduce litigation: “We decided to expand dialogue with the regions where we operate. In a single state in Brazil, 120,000 people sued us, so we brought flights there and invited everyone to the discussion table, creating a more direct connection with the community and highlighting the economic importance of air operations for the local GDP.”

Connectivity also is a priority for Avianca. “After the pandemic, the industry has done an incredible job of becoming more efficient and also transporting more people with better fares. In our case, this year we opened more than 20 new routes, returned to four destinations, and resumed operations to five others for the first time. Now, one of the challenges that persists in deepening access is the high cost of tasks and taxes in the region, which can account for up to 50% of the total ticket price,” stated Frederico Pedreira, CEO of Avianca.

The panel provided a comprehensive view of the decisions being made to tackle the sector's challenges and promote sustainable growth aligned with regional needs, positioning Latin America and the Caribbean’s aviation sector as resilient and innovative in a global landscape.