Other trends include the pilot shortage, struggle of on-demand brokers to offer instant, guaranteed pricing, and desires of jet card buyers for high-touch, high-level service
While a shortage of pilots in business aviation has been pushing up crew salaries by as much as 20%, buyers of jet cards and on-demand charter can look forward to continued favorable pricing, according to executives attending Corporate Jet Investor’s annual Dealmakers Conference being held this week at the Fontainebleau Miami Beach.
If you are looking for the lowest price, our fastest two minutes of comparing private aviation options (again) shows an answer that might be a surprise
If you are flying between 10 and 100 hours per year (fractional ownership starts at 50 hours and requires a three to five-year commitment plus financing your share) jet cards and on-demand charter are generally the two easiest options. While on-demand charter enables you to choose a specific aircraft, due to operational reasons the aircraft you select sometimes changes, and if your broker is sourcing your plane from a fleet operator, often times your tail number isn’t confirmed until close to your flight time. With jet cards you are more typically buying into a jet size category – Light Jets, Midsize Jets, etc. although some programs offer specific jet types.
While private aviation has struggled to get back to pre-Recession levels, the number of companies selling Jet Cards has doubled
Since the Great Recession of 2008 private aviation has struggled. Flight hours dropped significantly and now just a decade later are returning to levels equal to before the financial meltdown. Orders and deliveries of new private jets still haven’t recovered, yet one area of private aviation has been growings – Jet Card Memberships.
Jet Card Membership Programs provide users convenience when they fly privately, but finding the true hourly rate you will be paying often takes a bit of work
You ask your assistant to go to a few private jet card membership websites and check out the hourly rates. She follows your instructions and puts them in a comparison chart for you. That was easy! Then you join. You get your first invoice, and shock, the prices you are paying have nothing to do with the rates on the website. It reminds you of that $29 per day car rental that ended up costing you $79.
Private Jet Card Memberships can be a good solution, but there are considerable differences beyond hourly rate
Business aviation in America is big business, impacting all 50 states and generating over a million jobs and $219 billion in economic contribution, according to the National Business Aviation Association. Private jets are time machines, enabling you to conduct business more efficiently, spend more time at your vacation destination and give you more time to spend with your family or pursuing your passions instead of sitting in airports. In-flight time also becomes more productive, networking with customers, holding internal meetings and getting work done that’s harder to do in a public space such as a commercial flight. In fact, commercial airlines such as Delta Air Lines, Emirates, Qatar Airways, Korean Air, Lufthansa, Saudia, Hainan Airlines and even JetBlue (with JetSuite) either own or have partnerships with private jet operators.