40 IAviation
Clockwise from
this page top:SIA
suites; on board an
Emirates Executive
private jet; Vistajet’s
Challenger 850
interior; Etihad’s The
Residence; and a
Victor jet charter
Of course, with flat-bed seats in business class
rapidly becoming the norm for long-haul flights, more
and more companies have come to realise that their
employees can still enjoy a healthy rest when flying in
business, with little to no adverse effects on productivity.
Several Chinese airlines have also removed first class
from their domestic fleets in response to dwindling
demand that stems from Beijing’s continuing
anti-graft campaign. China Southern announced in
2014 that it would rebrand the first class cabin on its
domestic aircraft as business class, in order to win
back government officials who have been banned
from flying in first class in compliance with China’s
economic austerity initiative.
A STEP UP FROM FIRST
Of course, some companies still have the financial
muscle to fly their executives in first class – but is that
the only option for them? The private jet market is
booming and an attractive travel option for the
ultra-affluent, especially when travelling in a group.
The price discrepancy may initially raise eyebrows
- after all, a return flight between Los Angeles and
London on a Privatefly jet would set you back about
US$160,000, while the same flight on American Airlines
(AA) in first class would only cost about US$11,500.
The key differentiator here is that on a commercial
carrier, customers are paying for a single seat, whereas
the hefty US$160,000 fee is for an entire Gulfstream G2
aircraft that seats 12. However, booking 12 first class
seats on AA would cost a total of US$138,000 – just 14
per cent less than the cost of chartering a private jet.
For companies seeking to ferry multiple employees
from one place to another, chartering a jet begins to
make real economic sense – especially given the added
comfort, convenience and kudos.
The old saying that“time is money”is another
contributing factor to the appeal of flying private.
Unlike commercial airlines, which have to adhere
to strict flight operation schedules, private jets are
typically more open to fitting into their passengers’
personal schedules.“Travellers are not required to arrive
at the airport two hours before departure, and there
is no fixed schedule,”says private jet travel provider
Vistajet’s chief commercial officer Ian Moore.“They
simply need to arrive at a private terminal 15 minutes
before departure.”
Complete privacy is also a notable perk of flying
private, notes Moore.“Confidential business discussions
can be had during flight without worrying that people
sitting nearby might overhear the conversation.”
These benefits have been well noted, and the
private jet industry is picking up pace, following
a slump during the financial crisis. According to a
study conducted by RnR Market Research, the global
business jet market, worth US$20.9 billion back in
2013, is projected to grow to US$33.8 billion by 2020.
While North America continues to lead the way in
this field, Asia is rapidly gaining traction, with majorJUNE (^2016) businesstraveller.asia