Recession-Proof Your Aircraft with the Jet Linx Aircraft Management Program
With economic winds shifting and signs pointing to a potential recession in 2023, the private aviation industry must brace for a potential downturn.
No matter what may unfold in the coming months, the changing economic tides won’t disrupt the largest and most uniquely positioned aircraft management companies like Jet Linx. How do we know this? Because it has happened before. During the Great Recession of 2007 to 2012, the private jet industry’s revenue flight hours dropped 26%, while Jet Linx’s revenue flight hours surged by over 200%.
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Refined for more than 20 years and orchestrated by a team of aviation industry experts, the Jet Linx Aircraft Management program has successfully navigated through volatile economic environments as well as unprecedented global disruptions such as the COVID-19 pandemic. Jet Linx Aircraft Management clients also benefit from something that few other operators can provide: dependable revenue generation for their aircraft.
“The Jet Linx model promises revenue generation for Aircraft Management clients through the internal demand created by the Jet Linx Jet Card program. We know our Jet Card Members will continue to fly with us because they’ve placed money on account, trust our Five-Star service standards and they know they can depend on us in any type of environment. This is how we deliver revenue hours in times when overall industry demand is forecasted to drop,” explained Ron Silverman, Jet Linx Chief Commercial Officer.
With a well-established Jet Card program, Jet Linx Aircraft Management clients benefit from maximum revenue hours to lower their expenses, and Jet Linx Jet Card Members will continue to benefit from guaranteed access to private jets of all sizes. When an Aircraft Owner places their asset into the Jet Linx fleet, it will be made available to thousands of Jet Card Members nationwide. The Jet Linx Fleet Optimization team ensures that the aircraft remains available to our Aircraft Owners while balancing schedules for maximum revenue generation from Jet Card Member trips.
Fears of private aviation users returning to commercial travel as seen in past economic downturns looks unlikely. Flying commercial – currently a hassle made only worse in a recession – will mean costlier flights, decreased route availability, and many more delays and cancellations. For luxury and business travelers, returning to the uncertainty of commercial airline travel is no longer an option. The Jet Linx Jet Card program provides guaranteed access for Members, and maximized revenue generation for Aircraft Owners, a win-win situation.
Factors like price sensitivity may still drive private jet passengers in the charter market away in a recession, but Jet Linx Jet Card Members value the consistent flight experience they receive with a guaranteed highest standard of safety, guaranteed availability of all aircraft sizes and guaranteed, competitive hourly rates.
“Rather than entering a crowded FBO, our Jet Card Members and Aircraft Owners are greeted by name at the door of their private, local Jet Linx terminal. Our private Base locations offer upscale lounges with complimentary beverages and snacks, as well as secluded workspaces. Upon arrival, pilots are waiting and ready to takeoff as soon as the passenger gives notice. Even in the realm of luxury travel, nobody competes with Jet Linx Five-Star service standards,” said Silverman.
The symbiotic relationship between the Jet Linx Jet Card and Aircraft Management programs provides greater strength and flexibility for Jet Card Members that can’t afford to miss a meeting or a special moment. This industry-unique model has proven to outperform others in uncertain times and continues to improve after more than two decades of service.
Leveraging National Infrastructure for Reduced Operating Expenses
While the Jet Linx Jet Card program provides maximized revenue generation, other facets of the Jet Linx model provide additional value to Aircraft Owners. Jet Linx offers what smaller, local operators cannot: a national infrastructure and a large fleet leveraged so our Owners receive discounts on fuel, maintenance, parts, insurance, pilot training and more.
“I have seen some of the low rates for aircraft management that we might come up against, but none of these companies could begin to offer the added value of our Aircraft Management program, which is why we will never chase their prices. Our competitors do not offer private terminals, guaranteed revenue, or extensive discounts on fuel, maintenance, and other vital components of aircraft ownership. When the industry faces uncertain times, aircraft owners should find greater security in our ability to fill seats and manage assets in a way that simply would not be possible with another local operator,” said Silverman.
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Some aircraft owners might be tempted to opt for a management company solely based on their advertised monthly management fee, but for the long-term health of an asset there is no better solution than the infrastructure, programs and support of a national aircraft management company. At a local level, Jet Linx Aircraft Owners benefit from local executive management, local Base Chief pilots, local Maintenance teams and local Flight Concierge teams that provide personalized service. Jet Linx also provides a national backbone of support in the form of departments dedicated to Safety, Human Resources, Accounting and Finance, Flight Coordination, Fleet Optimizations, Charter Sales Support and more.
“We know what it costs to operate an aircraft safely, efficiently, economically, and properly. We have infrastructure that the mom-and-pop organizations cannot offer. Instead of seeing our fleet shrink, we expect to grow our fleet in the upcoming months because the practices we’re seeing with smaller operators is not sustainable. Our Aircraft Management program provides a resilient solution to managing an asset in the long-term,” Silverman added.
When private jet demand falls across the industry due to economic or other factors, smaller organizations do not have an internal source of revenue hours to rely on. Aircraft owners that were tempted by low management rates with smaller management companies will see their revenue hours shrink as organizations struggle to fill hours from the charter market. Meanwhile, Jet Linx Aircraft Owners will benefit from sustained internal demand and the added benefits of a national infrastructure.
Whether the economy is up or down, for the short-term and long-term health of your asset, the Jet Linx Aircraft Management program soars above the rest.
Learn more by contacting Jet Linx today.
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