Private jet capacity, pricing, labor, consolidation, demand, investment, new jet owners, offer challenges and opportunities for private aviation providers
Over 450 industry CEOs and leaders gathered last week in Miami for Corporate Jet Investor. For two days they hashed about issues relevant to the overall industry, with a large focus on private jet travelers who fly via jet cards, memberships, and charter.
Is the current record level of demand here to stay? Where will the industry find the capacity to meet that demand? Is more consolidation coming? How many big players are there left to buy? What is Amazonian pricing? When will the supply chain improve? Where have all the pilots – and line workers gone? Are they coming back? How will all the outside investment impact private aviation? What about on-time performance? What type of changes will you see to your jet card program? With dwindling supply, are small brokers on life support?
There are lots of reasons to fly privately and get value from your private jet card
Here are some reasons to fly privately
Why fly by private jet? Here are 10 reasons flying privately may help both your business and personal bottom line.
1. Save employee and executive time
When you choose private aviation, you save time by avoiding commercial airline terminals. That means no checking bags before your flight or waiting for them to be returned in one piece while you wait hopefully. You can typically arrive at an FBO for your private flight about 10 minutes before your scheduled departure. If you arrive early, and the pilots are ready, you can often leave early.
At the other end, you will likely be off airport grounds less than 10 minutes after you pull up to the terminal. Then, consider private flights operate from over 5,000 airports in the U.S. compared to under 500 airlines. In other words, you likely will find a closer airport.
Expect savings of between one hour per flight and four to five hours over the airlines.
Private jets aren’t just for big companies. Seventy-five percent (75%) of companies that use business aircraft have only one airplane, according to the National Business Aviation Association.
2. Increase traveler productivity and security
On your private flights, you can hold inflight meetings with your team and customers. Many private jets have in-cabin AV systems enabling to show promotional or educational films. Since you control who’s on the airplane, you can discuss confidential business plans. You don’t have to worry about running into competitors at the airport and protect your family and team against those who target airlines and airports for terrorist acts.
3. Reach multiple destinations quickly and efficiently
Owning, chartering, or buying into a jet card program makes you CEO of Your Airlines. As such, you can schedule nonstop flights to where you need to go when you need to go. That could mean stopping to see a facility in the morning, visiting a customer in the afternoon, and having dinner with a new partner in the evening, all in three different time zones.
4. Access communities with little or no airline service
With access to over 5,000 airports U.S. compared to just 500 with the airlines, you’ll save time by getting closer to where you need to be when you fly privately. In fact, 80% of private aviation flights are to and from small towns and communities.
5. Scheduling predictability
Airlines change schedules seasonally and by day of the week. Accessing private aviation enables you to fly when you need, where you need to go.
6. Move vital equipment and supplies
Many businesses use private aviation to transport tools, parts, equipment, and supplies for offices, factories, and customers that are time-sensitive or need to be delivered with certainty.
7. Minimize non-business hours away from home, increasing employee and executive satisfaction and retention
Happy workers are teams that generate more profits. Some 95 of Fortune magazine’s “100 Best Places to Work” companies use business aircraft. They perform higher on a host of other measures, too.
8. Enhance return to shareholders
An analysis of S&P 500 companies shows that those using business aviation outperform those that don’t by 70%. A Nexa Advisors study of the Small Cap 600 showed similar results. It also showed private aviation users outperformed non-users in revenue growth by 23%.
9. Support philanthropic and humanitarian efforts.
Business aircraft make 15,000 flights a year for humanitarian reasons.
This includes responding to disasters that have made national headlines. Remember the flooding in 2019 that cut off towns in Nebraska; Hurricanes Harvey, Maria, and Irma in 2017, when hundreds of pilots flew tons of emergency supplies to affected communities; and the 2010 earthquake devastated Haiti. Most recently, it was the Bahamas. In each case, private aircraft from PC-12s to Global Expresses provided a critical lifeline or an air bridge for relief efforts.
Humanitarian flying is an everyday fact of life in America. Business airplanes transport donated organs, provide medevac services, and reunite veterans with their families. Hundreds of companies make empty seats available on their business aircraft to fly patients to treatment centers and medical specialists. Groups like Corporate Angel Network help coordinate efforts.
10. Create more personal time to explore new places and pursue passions, hobbies, and increase time with family and friends
Instead of waiting for that delayed flight at O’Hare, or missing the last connection in Atlanta, flying privately means being on the sidelines for that soccer game or date night any night you choose. Private flying gives you the one thing you can never get back – lost time!
In an economy that may not be struggling for jobs, but certainly is struggling for decently paying jobs, employees on the line at its facility make between $50,000 and $80,000, according to executives.