A New Weight to Worry About for Airlines: The Rise of Slimming Americans Could Save Fuel Costs.
As the US population sheds pounds, airlines are taking note – and it could mean significant savings on fuel. According to a recent analysis by Jefferies Research Services, if just 10% of Americans lose weight, the overall impact would be substantial, resulting in lower fuel consumption and subsequently cost savings for carriers.
A heavier plane requires more fuel, which directly correlates with its weight. Airlines have long been looking for ways to reduce their aircraft's weight, from serving pit-less olives to using thin paper stock. However, they cannot control passenger weight – a limitation that leaves them hoping for the best as Americans get slimmer.
If the top four US airlines – American, Delta, Southwest, and United – were to see an average weight drop of 2% among their passengers, it would translate into $580 million in fuel savings annually. This represents a 1.5% reduction in fuel costs, while also boosting earnings per share by 4%.
To illustrate the potential benefits, Jefferies used a Boeing 737 Max 8 aircraft as an example. With its current total takeoff weight of 181,200 pounds, if passengers slim down to weigh 162 pounds on average, that would bring the plane's weight down to 177,996 pounds. This represents a significant reduction in fuel consumption and savings for airlines.
The implications of this trend are far-reaching, with broader usage of weight loss medications potentially leading to further weight loss across society. With pharmaceutical companies developing weight loss pills and obesity rates falling, the potential impact on airline costs is undeniable.
For now, it seems that Americans' waistlines are having an unintended consequence – saving airlines a pretty penny in the process.
As the US population sheds pounds, airlines are taking note – and it could mean significant savings on fuel. According to a recent analysis by Jefferies Research Services, if just 10% of Americans lose weight, the overall impact would be substantial, resulting in lower fuel consumption and subsequently cost savings for carriers.
A heavier plane requires more fuel, which directly correlates with its weight. Airlines have long been looking for ways to reduce their aircraft's weight, from serving pit-less olives to using thin paper stock. However, they cannot control passenger weight – a limitation that leaves them hoping for the best as Americans get slimmer.
If the top four US airlines – American, Delta, Southwest, and United – were to see an average weight drop of 2% among their passengers, it would translate into $580 million in fuel savings annually. This represents a 1.5% reduction in fuel costs, while also boosting earnings per share by 4%.
To illustrate the potential benefits, Jefferies used a Boeing 737 Max 8 aircraft as an example. With its current total takeoff weight of 181,200 pounds, if passengers slim down to weigh 162 pounds on average, that would bring the plane's weight down to 177,996 pounds. This represents a significant reduction in fuel consumption and savings for airlines.
The implications of this trend are far-reaching, with broader usage of weight loss medications potentially leading to further weight loss across society. With pharmaceutical companies developing weight loss pills and obesity rates falling, the potential impact on airline costs is undeniable.
For now, it seems that Americans' waistlines are having an unintended consequence – saving airlines a pretty penny in the process.