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JetSuite Expansion to the Northeast - What is Likely Impact?

johnsonrod

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How can this not hurt existing Part 135 operators in the Northeast? Customer relationships matter - but, some of these prices seem very low and I am sure JetSuite will aggressively market in the area. It's ironic that Neelman of JetBlue is the money now behind this operation that may compete (to a lesser degree) with JetBlue for business passengers in the NE. True also we are talking about a Phenom 100 which only provides 4 seats and is perhaps not as comfortable as PC12s or other light jets in the NE. But why charter a bigger airplane if you can cheaply charter 2 Phenom 100s to accomodate your load of 4+ passengers? If your travel requirements are primarily throughout the NE (i.e., TEB-Nantucket, Marthas Vineyard or even Toronto), and you have a family of 4, then JetSuite probably looks good - especially in comparison to other charter or fractional options. No mention on whether NE-Florida would be included - could a Phenom 100 make it nonstop from HPN to Boca Raton with 4 full seats, baggage, etc.?

The charter market is already saturated in the NE - right? I was previously unaware of the "membership" amounts because I thought JetSuite just required hourly fees. Sounds like a good deal for passengers and more competitive pricing (squeezing margins) for operators. Well, I guess they will be hiring more pilots in the NE (or hiring the pilots let go by former 135 operators).

See press release below:

JETSUITE EXPANDS SERVICE TO THE NORTHEAST: REVOLUTIONARY WEB & MOBILE PRICING ANNOUNCED

Home » Press-releases » JETSUITE EXPANDS SERVICE TO THE NORTHEAST: REVOLUTIONARY WEB & MOBILE PRICING ANNOUNCED

IRVINE, CALIFORNIA (June 27, 2012) – JetSuite, the world’s most experienced Phenom operator, continues to expand with the announcement of new service in the Northeast and a revolutionary booking methodology offering guaranteed price quotes online. Since it’s 2006 fleet launch order for Embraer Phenoms, JetSuite now offers service to hundreds of airports throughout the Northeast’s major metropolitan areas such as New York, Washington D.C., Boston and Toronto
“Our mission is to make private air travel accessible to more people than ever before,” explains JetSuite CEO Alex Wilcox. “Expanding our services to the Northeast brings us to the biggest market in the world.”
With its national expansion, JetSuite will capture discerning private jet customers throughout the Northeast, adding service to hundreds of airports including Teterboro (TEB), Martha’s Vineyard (MVY), Bedford (BED) and Exclusively flying a fleet of brand-new Embraer Phenom 100s, JetSuite operates the most spacious, fuel-efficient jet in its class, allowing the company to offer some of the most competitive fares in the industry while maintaining the luxury and benefits of private air travel.
Timed with the Northeast expansion, JetSuite is also announcing a revolutionary booking methodology on their completely redesigned website, making it the first private aviation company in history to quote a price online - and guarantee it. The new Jetsuite.com website introduces an unprecedented level of transparency and consumer-friendliness to the world of private air travel, “de-mystifying private jet pricing once and for all,” Wilcox adds.
JetSuite offers three levels of membership at low, hourly rates (see table below) to which airport fees are added based on elements including local cost of fuel, fixed-base operator fees, government charges and the average cost of positioning to the airport. Consumers will be able to easily compare various fees on the new JetSuite.com to determine the best airports for their trips. JetSuite's lowest airport fees can be found at low cost airports in the Southwest and Northeast United States. As the company continues to grow, airport fees will go down in other areas.

In celebration of its Northeast expansion, JetSuite is offering special rates to and from some of the area’s top travel destinations this summer, bringing its rates to less than half the price of major competitors. Sample rates* for the entire 4 passenger jets include:

*all rates are one-way and based on a $50k JetSuite card purchase. Round-trip pricing can be even less.
JetSuite also continues to offer its popular SuiteDeals on its Facebook page, where select destinations and flights for the following day are offered at prices as low as $499 to the first fan that comments with a qualified booking request.
As other private jet companies continue to raise their rates, the relative value of JetSuite has never been greater for consumers, and JetSuite continues to lead the way with the most efficient private jet brand in the market.
For more information, visit www.jetsuite.com or www.facebook.com/JetSuiteAir
About JetSuite
Based in Southern California, JetSuite Air is redefining private aviation as the first and only private jet operator to exclusively offer a fleet of all-new Embraer Phenom 100 aircraft, the most fuel-efficient jet in its class. The company’s vision is to enable private air travel to more people than ever before through affordable, no obligation programs. Under the leadership of CEO Alex Wilcox, a former JetBlue founding executive, and guided by investors David Neeleman (JetBlue founder) and Tony Hsieh (Zappos CEO), JetSuite provides service from various SuiteSpots throughout the Southwest and elsewhere to and from airports in the United States, Canada and Mexico. JetSuite is rated Platinum by ARG/US, the highest possible safety rating in the private
jet industry. JetSuite was created in 2006 and first took flight in early 2009.
 
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