JetSuite Expansion to the Northeast - Likely Impact on Fractionals?

[BentOver]

Just speculating, but I don't think a whole lot of NJA's business is based on those really short TEB-Nantucket flights... Of course they do them, and probably do alot compared to other operators.

But with NJA we're talking 2200+ revenue flights a week. Spread over a year those really short flights are most likely not even a blip on the radar... Just opinion though based on what I saw back a few years ago. And any business lost to a competitor is not good.

 

[gret]

No disrespect to JetSuite, but if you have any concern about a start-up impacting your business, you probably have bigger issues that deserve your attention.

 

[X-rated]

And any business lost to a competitor is not good.

It is if you would lose money if you flew it yourself.

I doubt any of the fractional managers would mind losing some of those high cost, low revenue short flights. Short flights are usually at low altitude and high fuel flow. You burn the crew, monopolized the airplane, and generate no profit, or worse. The Frac's have to accept those money losing flights because the owners have guaranteed availability, and they pay a flat hourly rate. I'm sure NJA would be thrilled if one of their GIV owners was willing to fly a 40 minute flight in someone else's Phenom 100. The problem is, none of them will want to.

 

[gunfyter]

It is if you would lose money if you flew it yourself.

I doubt any of the fractional managers would mind losing some of those high cost, low revenue short flights. Short flights are usually at low altitude and high fuel flow. You burn the crew, monopolized the airplane, and generate no profit, or worse. The Frac's have to accept those money losing flights because the owners have guaranteed availability, and they pay a flat hourly rate. I'm sure NJA would be thrilled if one of their GIV owners was willing to fly a 40 minute flight in someone else's Phenom 100. The problem is, none of them will want to.

This is true...

 

[Hawkered]

Where would they put their bags??

 

[gunfyter]

Where would they put their bags??

LOL That could be the beauty of it.....

 

[AftCG182]

I'm sure NJA would be thrilled if one of their GIV owners was willing to fly a 40 minute flight in someone else's Phenom 100. The problem is, none of them will want to.

They'll be doing it in one of our Piaggios...

 

[gunfyter]

How is the baggage space on the P-180?

 

[cldsfr79]

I think Jet Suite would have little to no impact on the fractionals. Clients who fly on very small jets charter with them because either they don't have the capital for fractional ownership or don't fly enough to make ownership financially feasible. However, some fractional owners may utilize uplift from a company such as this when flying their own aircraft wouldn't make financial sense (i.e., 1 pax flying 200 miles in a Citation X).

Fractionals, at least NJA, are starting to shift away from entry level jets and are focusing on more lucrative mid and large cabin clients. You can tell by NJA orders of the last year.

 

[AftCG182]

How is the baggage space on the P-180?

44 cu.ft, 350lbs total weight, 150 lb/sq.ft load limit.