GREAT EXPECTATIONS: SURVEY REVEALS BUSINESS AVIATION INDUSTRY IS OPTIMISTIC FOR 2013

More than a third of business aviation professionals expect to see some growth in 2013, based on industry research conducted by PrivateFly.com

Over a third of business aviation professionals expect the global industry to grow in 2013, according to an industry survey* conducted by PrivateFly.com and in association with BlueSky Business Aviation News.

35 per cent of participants said they expected to see some return to growth, with 8 per cent predicting growth of over 5 per cent. Another 38 per cent predict a static year for the industry, with a less-optimistic 26 per cent expecting the recession to continue to bite for business aviation.
One commented: “One has to be optimistic in our industry otherwise why continue to be involved”.

The survey was conducted in December amongst an audience of global business aviation professionals. Findings included the following (an infographic summary is also available):

• Bombardier Aerospace is expected to be the aircraft manufacturer to show the most growth (39 per cent), followed by Embraer (31 per cent).
• Demand for ad hoc charter looks set to increase, with over half expecting this to be the most successful industry sub-sector this year – above fractional ownership, full ownership and block hours or card programs.
• Gulfstream’s G650 is tipped to be the aircraft launch to make the biggest impact, followed by Embraer’s Legacy 450.
• Price is considered by most to be the biggest buying priority for the private aviation customer in 2013, followed by safety and trust/professional service.
• Asia was tipped by most (65 per cent) as the region to show most growth in the year ahead, followed by the Middle East and South America.
• Europe looks set to be a shifting landscape for aircraft operators this year, with 60 per cent expecting to see most operator consolidation in this region.
• Despite the overall feeling of optimism, most in the industry (71 per cent) still see economic conditions as being the single biggest inhibitor to business in 2013.
• 74 per cent of respondents expected corporate use, rather than personal leisure flights, to fuel growth in the coming year.

Adam Twidell, CEO of PrivateFly.com commented: “The results of the research do indicate a growing optimism within the business aviation industry. No-one is predicting 2013 to be a boom year, but there is certainly a sense of a slow and steady recovery.

“When it comes to aircraft, it’s clear that size will definitely matter. It was no surprise to see Gulfstream’s G650 and long-range jet manufacturer Bombardier both tipped to have a strong year.
The trend towards operators to focus on larger jets, which offer better operating margins and are well-suited towards the longer distances required by customers in emerging markets, has been apparent for some time.

The importance of price as a key decision driver for the private jet traveller of 2013 is clear - as you would expect in these still-challenging market conditions. This is underlined by the expectation that ad hoc charter will outstrip other, less flexible and higher cost business models such as fractional ownership.

At PrivateFly we recognise that the private jet customer of 2013 will be more demanding than ever – on both price and service. Businesses which can meet these demands, while still running a commercially-viable operation, will be the winners in this year’s predicted recovery.”

Tim Harlow, Publisher and Managing Editor of BlueSky Business Aviation News commented:
"Despite the many hurdles our industry needs to overcome in 2013, it's clear from this survey that the overall feeling is one of cautious optimism. By adopting a positive approach and anticipating the coming year's potential pitfalls, we can hopefully take confident strides towards restoring our industry to its former growth path."

-Ends-

Notes to editors:

*Results are based on 389 global responses, generated from readers of BlueSky Business Aviation News; PrivateFly’s industry database; and through targeted social media.
The full results of the survey and an infographic summary are available at www.privatefly.com/privatejet-services/business-aviation-survey.html. The infographic is also available as an image on request.
About PrivateFly: PrivateFly is a booking service that makes it quicker, easier and more cost effective to arrange private jet charter. Integrated with over 7000 aircraft registered worldwide, PrivateFly is the only online aggregator for private jet charter in Europe.
PrivateFly combines online efficiency and transparency with offline expertise to offer a full-service VIP charter service.
PrivateFly.com was awarded Website of The Year in Flight International’s 2011 aviation industry ‘Webbies’ awards, the judges describing it as “the iTunes” of aviation.
Founded in 2008, PrivateFly is based in St Albans, Hertfordshire. In September 2011 it secured investment fundraising of £2 million.
For further information please contact:
Katrina Suppiah
T: +44 (0)20 8543 6582 Publicité Ltd
E: k.suppiah@publicite.co.uk