Market Trends of Private Jet Charter Services Industry
Mid-Size Jets Segment is Expected to Show Highest Growth During the Forecast Period
The mid-size jets segment will showcase remarkable growth during the forecast period. Mid-size jets typically have a range of four-five hours of flight for up to eight passengers. With a greater range and higher performance than the light Jet, the mid-size jets remain an economical choice in luxury travel for jet charter needs.
Mid-size jets feature larger cabin space as compared to light jets. These jets combine transatlantic capability with the speed and comfort of a wide-body, high-altitude aircraft. Some of the popular and widely used models of mid-size jets are Learjet 75, Phenom 300, Hawker 800XP/900XP, Citation Excel, and others.
Many mid-size jets, such as the Hawker 900XP and the Cessna Citation Excel, can accommodate up to 8-12 passengers comfortably, with configurations that can be customized to meet specific needs. Mid-size private jets are equipped with the latest technology and safety features, ensuring a smooth and secure flight experience. Modern avionics systems, such as the Garmin G5000 and Collins Pro Line Fusion, provide pilots with comprehensive and intuitive flight information, while fly-by-wire controls enhance aircraft stability and responsiveness.
Flexjet, Magellan Jets, NetJets, Nicholas Air, OneFlight, Star Jets, and VistaJet each offer aircraft-specific options with guaranteed availability and fixed rates that cover midsize, including super mid private jets. Super mid-size jets have gained higher popularity as they are mostly selected due to many of the perks of a Heavy Jet, but not the added price. With intra-continental capabilities, an entire group can fly comfortably for 5-8 hours without refueling. These jets can have a fully equipped galley and oversized restroom and offer larger baggage capacity. Such benefits will continue to attract more customers to opt for mid-size jets for charter flights.
North America to Dominate the Market During the Forecast Period
North America holds the highest shares in the market and continues its domination during the forecast period. Factors such as the presence of many HNWIs, increasing demand for newer generation aircraft, and the evolution of new aircraft ownership models have propelled the business prospects of the market players in the US.
According to the Global Wealth Report conducted by Credit Suisse, as of the end of 2020, there were 21.95 million millionaires in the US, and it is expected to grow by 28% to 28.06 million by 2025. According to Forbes, the number of US billionaires rose from 614 in 2020 to 724 in 2021. Thus, the demand for private jet charter services will be driven by the presence of millionaires and billionaires in the country.
XO Global LLC, a leading charter service provider based in the US, deploys turnkey solutions to offer an asset-light alternative to full jet ownership and the rigid, non-refundable jet card and fractional jet ownership models. The company operates a fleet of 116 owned aircraft and 1,500 partner operator aircraft to provide a distinguished level of service even while booking single seats on shared flights. In April 2022, Wheels Up, the leading brand in private aviation in the US, announced that it officially closed its acquisition of Air Partner plc, a UK-based global aviation services group with operations in 18 locations and four continents.
Such developments are envisioned to drive the business prospects of the players in the North American charter jet services market in the upcoming period.
