Five private jet predictions for 2019
This article was written by Monarch Air Group. The opinion of the authors does not necessarily correspond with that of the editorial team. Want your opinion to be featured on AeroTime? Send us a line at email@example.com.
It’s never too early to look ahead. With the end of third quarter of the year looming, private jet providers can envision what’s coming their way by reading this year’s trends and market shifts. But as in every industry, there’s always room for uncertainties and surprises. Monarch Air Group, private aviation operator based in Fort Lauderdale, predicts what’s on the horizon for 2019.
The private jet market will grow. It will grow in actors (providers), clients and in aircraft availability. The aircraft sales market is a bit flat worldwide, which at the other end supports the growing pool of used planes, therefore increasing aircraft availability for operators and brokers alike. Another area of growth will come from users; entrepreneurs and millennials ready to experience the amenities of private travel alongside their unique perspective and expectation: go digital or go home.
But who will pilot all these available private aircraft? Boeing predicted that during the next 20 years there will be a worldwide demand of almost 800,000 pilots, almost 100,000 of them in the business market. Furthermore, that shortage is still felt today for private jet operators, which must compete with a more predictable schedule, signing bonuses or long-term stability that commercial airlines bring to the table for pilots.
Outsourcing the service
It has been informed in the past that owning an aircraft isn’t what it used to be. True. Increasing costs, the need to fly at least 400 hours a year to make it cost-efficient, scheduled maintenance, within others. And this is the reason why charter companies, and all the varieties of deals in the market (jet cards, fractional ownership, on-demand charters) have registered growth. Nevertheless, this trend will reach the corporate level as well, with companies outsourcing their private jet needs instead of owning their own aircraft, thus increasingly reducing costs.
Customer experience will be paramount
With so many players in the market; small, medium and large operators and brokers stating they are the leading providers, customer experience will be the key variable that will determine loyalty. And not only the inflight customer service, but the whole private jet experience, from digital booking, flexibility, overall cancellation policies and aircraft availability, just to name some traits. Although private aviation is still reserved for a few, that pool of ‘unique’ people is getting larger, and quickly, so tightening up the customer experience by aligning with today’s purchasing and service habits will be the key for success.
Flexibility over luxury
If you want luxury, you can buy a 50-meter yacht. More than ever, private aviation is about arriving 10 minutes before the flight and getting the most cost-efficient way to destination. Privacy and comfort aside, flexibility is what separates with other means of transportation; the possibility to land at any airport in the world and to fully adapt to the client’s needs. Private operators and brokers need to start shifting the way they communicate their service, because time, not luxury, is today’s currency.
AirAsia Group to raise funds via private placement
AirAsia Group announced it would raise funds through private placement. ...
Koeran Air to raise cash for Asiana takeover
Korean Air said it would raise a stock sale for Asiana Airlines takeover....
United Airlines takes strict strategy of annual cost-cutting
Having posted their largest net loss since 2005, United Airlines plans to cut up to $2 billion of annual costs through 2...