[imagesource: Nicholas Air]

The private aviation industry is soaring right now.

Last year’s surge in bookings from people old and new to the private jet game has only become more intense, with private flights in the US up 2,2% this month compared to June 2021 (according to Argus, which tracks monthly activity).

This ferocious hunger for private flying has put the industry in a bit of a tailspin, as companies hustle for more jets, pilots, and acquired competitors.

Robb Report reckons all this effort and money being poured into the industry from various private jet operators is not going to be enough to sidestep the supply shortage amidst the industry’s unprecedented levels of demand.

Simply put, booking a private jet has become more difficult than ever, with Doug Gollan, founder of the industry buyer’s guide Private Jet Card Comparisons comparing it to playing musical chairs.

“More of the chairs are taken, and everyone is looking for a free seat.”

Image: Nicholas Air

To make matters more interesting, the acquisition of more planes – there were more than a dozen since January, according to Jet Card Comparisons – won’t help create additional capacity:

“When Competitor A goes and buys Competitor B to grow its fleet, it’s just added more demand at the same time,” Patrick Gallagher, NetJets’ president of sales, marketing and service, told Robb Report. “They’re not necessarily creating any new capacity that they didn’t have before.”

Instead, the industry’s unprecedented consolidation means that brokers need to work harder to source airplanes, Gollan said. “What used to be five or six calls, or three or four calls or emails, are now 10 or 20 calls and emails trying to find a plane. On peak days, or if there is a mechanical issue and you need a replacement, it can be calling 40 or 50 operators to find a plane.”

The world’s largest fractional ownership operator, NetJets, wants to give its customers more aircraft choices, so the company is investing $3,7 billion to grow its fleet by 20% over the next two years.

Image: Nicholas Air

WheelsUp, another private aircraft company, also wants to expand its business.

There are tons of private aviation companies trying to take things up a notch, but as Nicholas Air President Peder Von Harten warns, one needs to be discerning.

Via The Hustle, the demand is also fuelled by high-flying CEOs:

Corporate spending on private jets for CEOs and board members in the US hit a 10-year high in 2021…

Meta led the pack, and was the only tech company in the top five…

Jettly CEO Justin Crabbe doesn’t seem concerned about demand slowing anytime soon, telling FT, “it’s quite difficult to go back to flying commercial” after experiencing private flights.

It’s definitely a good time to be in the private jet game.

[sources:robbreport&hustle]