How to Enter New Aviation Markets: The Complete Guide for Parts Suppliers

Aviation is one of the most globalized industries in the world. With economic growth, it continues to expand further into new markets, despite tariffs and government hurdles, supply chain shocks, aging fleets, and other geopolitical turbulence.

Parts suppliers are entering new markets as a matter of business survival. Airlines, MROs, and aftermarket buyers are seeking partners who can help them keep aging fleets in service, reduce maintenance and inventory costs, and adapt to evolving passenger expectations.

This article provides a roadmap for suppliers looking to expand into new markets, from understanding market potential to navigating regulations and increasing visibility in the aftermarket.

We draw on proven best practices and expert insights, with a focus on actionable steps suppliers can take to succeed in a fractured, dynamic landscape.

Understanding aviation market potential

Before committing resources to a new market, suppliers must rigorously evaluate the market’s potential. Airlines themselves begin route planning with detailed feasibility studies, and suppliers should mirror that discipline. Market potential is shaped by a combination of passenger demand, cargo flows, and broader socio-economic factors such as GDP growth, political stability, and consumer behavior.

One effective approach is benchmarking: comparing the supplier’s existing performance and offerings against competitors and potential partners in the target region. This helps highlight gaps that can be filled with specialized inventory, faster logistics, or better pricing.

For example, industry experts warn that reliance on “wishful thinking” is a common mistake; feasibility studies and SWOT analysis are essential to validate demand and project profitability (LinkedIn: How do you select new markets and routes for airline expansion and diversification?).

Air traffic statistics, market research, and macroeconomic indicators can reveal whether a region is truly growing or contracting. Additionally, modern suppliers can use social media analytics to detect shifts in traveler behavior—such as trending destinations or sustainability preferences—well before they show up in official reports. Suppliers combining traditional forecasting with real-time digital signals can gain a holistic view of where opportunities lie.

Ultimately, entering a new aviation market is about alignment with airlines’ growth strategies. Suppliers that demonstrate they understand the nuances of a market, from slot constraints to fuel costs, position themselves as trusted partners rather than another transactional vendor.

Evaluating profitability and demand signals

Even if a market looks promising on the surface, profitability determines whether it’s worth entering. Airlines evaluate route profitability by combining revenue projections with cost structures, factoring in fares, load factors, seasonality, and loyalty potential. Suppliers must do the same, considering not just unit sales but also shipping costs, customs fees, and the reliability of payment cycles in a given market.

Traditional demand signals such as passenger growth and cargo volumes remain essential, but suppliers should also pay attention to less obvious indicators. For example, “spill analysis”—when routes operate at consistently high load factors and passengers are turned away—is a sign that airlines may soon need more aircraft capacity, which translates into higher parts demand (OAG). Similarly, unserved markets with high indirect traffic can indicate untapped opportunities for suppliers, especially if they align with emerging airline expansion plans.

Long-term brand positioning is also important. Airlines may launch routes that are not profitable immediately but strengthen their strategic image. Suppliers that anticipate this can establish relationships early on, ensuring they are part of the preferred vendor pool when the airline ramps up operations. Suppliers balancing hard financials with strategic foresight can choose markets that deliver both short-term revenue and long-term loyalty.

Navigating the regulatory environment

No market entry strategy is complete without addressing regulatory hurdles. Aviation remains one of the world’s most tightly regulated industries, and parts suppliers face particular scrutiny.

Requirements vary widely among jurisdictions, but most suppliers will encounter three common frameworks: FAA certification in the United States, EASA approvals in Europe, and local civil aviation authorities in emerging markets.

One major growth area is parts manufacturer approval (PMA) parts. Demand for PMA components is rising as operators seek cost-effective alternatives to OEM parts amid economic uncertainty. FAA-approved PMA parts provide safety and compliance assurance while lowering costs, making them increasingly attractive for airlines and MROs.

ASAP Semiconductor’s Internet for Aviation platform, for example, has expanded its PMA listings and refined search tools to help customers quickly cross-reference FAA-PMA parts with OEM equivalents (CBS 42).

Airlines and maintenance providers need such partners who can deliver parts that meet stringent safety standards, backed by transparent documentation. Suppliers entering new markets should invest in certification pathways early and emphasize compliance in all of their marketing materials.

Building local partnerships and distribution channels

Even the most competitive suppliers struggle without local presence or strong partnerships. Distribution networks determine how quickly a supplier can respond to urgent needs, especially in Aircraft on Ground (AoG) situations where downtime translates into significant revenue loss. AoG logistics depend on a well-integrated supply chain, proactive inventory planning, and access to regional pooling arrangements (AviTrader).

Suppliers entering new aviation markets must evaluate whether to partner with local distributors, open forward-stocking locations, or leverage digital procurement platforms. Each option has trade-offs. Local distributors provide cultural fluency and existing customer relationships, but at the cost of margins while forward-stocking reduces lead times but increases carrying costs, and digital platforms improve visibility but may lack the hands-on support airlines expect.

Partnerships can also extend to alliances with MROs or logistics firms that provide last-mile delivery and 24/7 support. For example, pooling agreements allow multiple airlines to share inventories, and suppliers who participate can secure steady demand while spreading risk. In fast-growing markets, collaboration often outperforms pure competition.

Leveraging data and technology

Modern aviation supply chains are increasingly data-driven. Predictive analytics and AI tools can forecast part failures, optimize stocking strategies, and identify high-demand products before shortages occur.

Suppliers who adopt these tools can better align their inventory with real-world airline needs, gaining a lasting competitive advantage. AviTrader highlights one aviation company who saw a 75% success rate in sourcing parts during AOG events, with average response times of just 16 minutes (AviTrader).

Technology also helps suppliers understand and anticipate customer behavior. Demand analysis, unserved route tracking, and spill analysis highlight where air traffic is growing and where suppliers should prepare capacity.

Meanwhile, customer data platforms (CDPs) and journey orchestration systems enable suppliers to personalize outreach and improve engagement. Relay42, for example, emphasizes predictive AI to suggest the most effective cross-sell opportunities in real time (Relay42).

Beyond forecasting, technology strengthens compliance and transparency. Digital sourcing platforms can cross-reference PMA and OEM parts, ensuring buyers have accurate compatibility data.

Understanding aftermarket buyer behavior

In today’s aftermarket, buyers are not simply looking for the lowest cost. They expect suppliers to demonstrate professionalism, reliability, and ease of engagement. According to ILS, buyers are widening their search for new suppliers due to persistent part shortages, and suppliers who optimize visibility are more likely to capture attention (ILS).

Practical steps include maintaining a complete digital profile, listing surplus and exchange parts, and highlighting repair capabilities.

Tools like AeroGenie and Inventory AI enable suppliers to respond automatically to RFQs around the clock, eliminating the delays that frustrate buyers operating in multiple time zone. Engagement platforms allow direct communication with buyers, supporting faster transactions and stronger relationships.

Equally important is credibility. Buyers are quick to dismiss suppliers who appear unprofessional—for example, those using personal email accounts or failing to list certifications.

Suppliers entering new markets should treat every digital touchpoint, from marketplace listings to profile descriptions, as an extension of their storefront. A polished, well-differentiated presence often determines whether an RFQ leads to a contract.

Building partnerships and alliances

Suppliers entering new aviation markets rarely succeed alone. Strategic partnerships can accelerate market entry, lower costs, and build credibility with buyers. These alliances may include joint ventures with regional distributors, collaborations with MRO facilities, or agreements with OEMs for shared logistics and warehousing.

Partnerships also play a crucial role in risk-sharing. For example, pooling agreements allow airlines to access shared parts inventories across networks, minimizing downtime during Aircraft on Ground (AoG) situations (AviTrader). Suppliers tapping into third-party logistics providers or asset management companies can scale faster without bearing the full burden of global stocking.

Suppliers should also consider partnerships beyond aviation. Hotel chains, rideshare companies, and even financial institutions are increasingly part of the broader travel ecosystem.

Airlines like JetBlue have demonstrated how partnerships with non-aviation players—such as Uber—can elevate the passenger experience (Relay42). For suppliers, aligning with adjacent industries can create new channels for value delivery, positioning them as more than just parts providers.

Leveraging digital platforms and marketplaces

Digital visibility is now as critical as any physical distribution network. Aviation suppliers entering new markets must embrace platforms that connect them directly to buyers and decision-makers. Online marketplaces like ILS and Internet for Aviation allow suppliers to showcase inventory, certifications, and repair capabilities while leveraging advertising and messaging tools to attract attention.

Marketplaces are also data engines. Every interaction—from RFQs to chat messages—generates insights into buyer demand. Suppliers who analyze these data streams can anticipate demand spikes, optimize pricing, and position themselves competitively. AI-driven platforms are already enabling predictive matching of parts with buyer requirements, compressing sourcing times from hours to minutes (CBS42).

Suppliers treating digital platforms as primary engagement tools rather than secondary channels can establish brand authority, reach wider audiences, and close deals faster in unfamiliar aviation markets.

Financing and investment considerations

Breaking into new aviation markets is capital-intensive. Suppliers must weigh upfront investments in certifications, warehousing, staffing, and digital infrastructure against projected revenue streams. Financing strategies can vary widely: some firms bootstrap through reinvested earnings, while others secure external funding from banks, private equity, or strategic investors.

Investment planning also ties directly to supply chain resilience. For example, maintaining forward-stocking hubs near high-traffic regions ensures rapid response to AoG incidents but requires significant working capital (AviTrader).

Conversely, reliance on centralized inventories reduces costs but introduces risks of delay. By modeling both scenarios with market data, suppliers can balance liquidity with operational agility.

Additionally, investment in technology platforms is no longer optional. Customer data platforms (CDPs) and predictive AI tools deliver measurable ROI by boosting cross-sell rates and satisfaction (Relay42). These systems often pay for themselves by reducing manual inefficiencies and enabling proactive customer engagement.

Overcoming regulatory and certification barriers

No supplier can enter a new aviation market without navigating regulatory frameworks. Certification requirements differ widely across jurisdictions, covering everything from airworthiness directives to documentation for Parts Manufacturer Approval (PMA). Suppliers aiming to expand internationally must plan for these hurdles upfront.

The recent growth in FAA-PMA demand illustrates how alternative certification pathways can become market differentiators. As operators look for cost-effective, reliable components, suppliers offering PMA-certified parts are gaining traction (CBS42). Buyers are unlikely to engage with suppliers who lack transparent documentation and traceability.

Being able to demonstrate compliance with both FAA and EASA requirements allows a supplier to serve U.S. and European markets without delay. The most successful suppliers treat certification not as a cost but as a credibility investment that accelerates market penetration.

Building long-term relationships with airlines and MROs

Market entry doesn’t end at the first contract. Sustained success in aviation relies on cultivating durable partnerships with airlines, MROs, and OEMs. Trust is built over time through consistency, responsiveness, and proactive support. Suppliers who engage with multiple stakeholders—from procurement teams to engineers—position themselves as thought partners rather than mere vendors.

Relationship-building also means providing technical support, training sessions, and collaborative planning for fleet upgrades add strategic value. Leveraging real-time digital tools can strengthen ties through faster communication and problem resolution. These continuous touchpoints help ensure suppliers remain visible and relevant—even outside of purchasing cycles.

Case studies: Lessons from successful market entries

Examining real-world examples highlights best practices for suppliers expanding into new aviation markets.

Breeze Airways

Breeze Airways’ approach to identifying unserved domestic U.S. routes through data-driven demand analysis shows how pinpointing gaps can lead to rapid growth (OAG). For suppliers, a similar methodology applies: map where parts demand consistently outpaces supply and align capabilities to fill those gaps.

APOC Aviation and Setna iO

APOC Aviation and Setna iO demonstrated the power of predictive maintenance and proactive stocking strategies to minimize AOG downtime (AviTrader). Their ability to anticipate customer needs and pre-position parts across multiple geographies secured them competitive advantage in new markets and loyalty from operators.

Together, these examples underscore a central truth: success depends on merging data-driven insights with operational flexibility. Suppliers that combine analytics with agile execution consistently outperform those that rely on legacy or reactive approaches.

FAQs

What is the fastest growing aviation market in 2026?

The South Asia market, particularly India, is projected to be the fastest-growing aviation market in 2026.

An Airports Council International (ACI) forecast anticipates that India’s Compound Annual Growth Rate (CAGR) for air passenger traffic from 2023 to 2027 will reach approximately 9.5 %, surpassing China’s 8.8 % during the same period. In particular, India is expected to exceed China in 2026, with projected growth rates of 10.5 % versus 8.9 % (Aviation A2Z).

Supporting this outlook, Boeing projects that Indian and South Asian airlines will add 2,835 commercial jets to their fleets over the next 20 years—a nearly fourfold increase—underlining the scale of growth expected in the region (Reuters).

Is the domestic aviation market growing?

The U.S. domestic market overall is mature, but certain regional airports and cities are experiencing explosive growth—primarily secondary airports and underserved regions where low cost-cost carriers (LCCs) are aggressively expanding.

Tweed New Haven Airport (HVN, Connecticut) and Sonoma County Airport (STS, California) have seen significant growth in recent years. Passenger departures are up 1,100% from HVN (2024 to 2019) while traffic is up 60% at STS (CT Insider, SF Chronicle).

Departures are up at HVN since ultra-low-cost-carrier, Avelo Airlines, established New Haven as its base in 2021. There, the airline added low-cost flights to Florida and other leisure destinations which drove the hub’s four-figure departure growth.

Meanwhile, carriers like Alaska Airlines and Avelo are targeting Bay Area travelers who want to avoid the congestion at busy SFO and OAK hubs.

Other factors pushing expansion include broader expansion of low-cost carriers like Allegiant, Breeze, and Frontier which target smaller airports with lower fees and limited competition, a post-pandemic boom in domestic leisure travel (rebounding faster than international travel demand), consumer preference of regional airports over busy mega-hubs, and population migration to more lower cost-of-living states like Florida, Texas, and Arizona (CT Insider).

How long does it take an MRO provider to enter a new market?

For an aviation Maintenance, Repair, and Overhaul (MRO) provider, entering a new market often takes two to five years, if not more, to establish full operational capacity and profitability. The specific timeline is influenced by the scale of the expansion, market complexity, and regulatory requirements.

Sustainability, digitalization, and resilience

The next decade will be shaped by three converging forces: sustainability mandates, digital transformation, and supply chain resilience. Regulators and customers alike are pushing for greener operations, making eco-certified PMA parts and fuel-efficient solutions a competitive necessity (IATA).

Resilience will remain paramount. Geopolitical shifts, pandemics, and raw material shortages have proven that fragile supply chains cannot withstand global shocks. Suppliers entering new aviation markets must design redundancy into sourcing strategies and diversify logistics hubs (CBS42). Those that adapt early will be best positioned to thrive.

Conclusion: A strategic guide for market entry success

Entering new aviation markets requires far more than simply showing up with parts to sell. Suppliers must conduct rigorous market assessments, adopt smart digital tools, tailor strategies to regulatory and cultural contexts, and, above all, build enduring trust with airlines and MROs. Each step adds a layer of resilience and credibility that transforms short-term wins into long-term market presence.

For suppliers ready to scale globally, the opportunity has never been greater. Airlines are actively seeking innovative, reliable partners to help them meet rising demand, control costs, and advance sustainability goals.

👉 Ready to accelerate your market entry? ePlaneAI helps aviation suppliers analyze demand, streamline procurement, and position their offerings directly in front of airlines and MROs worldwide. Connect with ePlaneAI today to unlock smarter, data-driven pathways into new aviation markets.