Uploaded August 2026 | Updated September 2026, 2 weeks ago
Business class isn’t just for corporate travelers anymore. Affluent vacationers are increasingly choosing premium cabins—and becoming one of the biggest drivers of airline profitability.
Steve Saxon, coleader of McKinsey’s Travel, Logistics & Infrastructure Practice, explains what’s behind the rise of premium leisure travel and what it means for airlines. He talks with Global Editorial Director Lucia Rahilly about why some travelers are willing to pay more for premium seats and how it’s prompting carriers to rethink everything from pricing to service to cabin design and product innovation.
In the full episode:
- Why airline profit margins remain so thin
- How seasonality and geopolitics affect airlines
- The rise of premium leisure travel
- How airlines are reinventing the premium experience
- How premium demand is changing airline economics
- How airlines price business and leisure travel
- How AI could change flight booking
- What this means for the future of airlines
Business class isn’t just for corporate travelers anymore. Affluent vacationers are increasingly choosing premium cabins—and becoming one of the biggest drivers of airline profitability.
Steve Saxon, coleader of McKinsey’s Travel, Logistics & Infrastructure Practice, explains what’s behind the rise of premium leisure travel and what it means for airlines. He talks with Global Editorial Director Lucia Rahilly about why some travelers are willing to pay more for premium seats and how it’s prompting carriers to rethink everything from pricing to service to cabin design and product innovation.
In the full episode:
- Why airline profit margins remain so thin
- How seasonality and geopolitics affect airlines
- The rise of premium leisure travel
- How airlines are reinventing the premium experience
- How premium demand is changing airline economics
- How airlines price business and leisure travel
- How AI could change flight booking
- What this means for the future of airlines
