Eh, I dunno if its "simple as that"...there are so many variables involved (specifically kind of aircraft and amount/kind of utilization) that a sweeping statement like that (especially when you consider the astronomical monthly management fees involved with many fractional companies) is kind of reaching...

 

Chartering a Falcon 20 from IND to YYZ, sit and wait for five days then back to IND cost's $40,000.

 

Indeed; that kind of utilization makes somewhat more sense with a fractional.

On the other hand, doing 4-6 30 minute segments in a single day (when you're charged a minimum one hour per segment) is utilization that DOESN'T make more sense with a fractional vs. hourly charter.

Having bought only a quarter share but having the ability to launch three airplanes at once, all only counting against your 200 hours, makes fractional very attractive.

Doing mostly out-and-backs from your based airport, not so much.

Again...hours per year flown, kinds of aircraft needed, and how the aircraft are utilized all play a factor in the "most cost effective" argument of charter, fractional, or wholly owned & operated.

 

Lol, makes sense. I just wish I had the money to have a fractional and still be able to Charter with the same ammount of money.

 

I don't know about the fractional model having a bleak future, hard to say. I did speak with someone on the inside of NJ's a couple days ago and they said that NJ's has very serious financial troubles.

I personally don't think NJ's is going away because I think there is a market for the service they provide. They may not be as big in the future, but I don't think they're going away.

 

Me too...

Any party interested in having an aircraft should complete such due diligence regarding their mission requirements before committing to any one solution if the most cost-effective path is desired.

There's a lot of light jet operators (like my company) which utilize the airplane in a manner that makes a comparable light jet fractional share or charter VERY uneconomical...but also own a fractional share or card program for another airframe to supplement their in-house lift or provide additional capabilities when needed (unlike my company).

There's also a lot of light jet users who don't want to "hassle" with operating their own flight department so they utilize charter and/or frax exclusively for the "turn-key" convenience despite its higher price tag; I can think of at least one company local to me that falls into that category.

Bottom line:there are lots of solutions to fit a company or individual's needs depending on their desires for convenience and/or cost.

 

I see Fractional and charter guys defending their industry..... No need to go there, as soon as the reccession ends things should start to go back to normal, or at least stabilise.. Boilerup, I hope both of us get to keep our jobs ( in other words, I hope your charter company survives and NJA doesn't furlogh)....

I flew on a certain airline today, Santa Barbara-LAX-IAD. it took 10 hours to get home, and they lost my bag..... Do you see a big time movie star or someone's CEO dealing with that??? ever???

We're all vulnerable is this environment, but not as critical as some people make it sound

cheers

 

Thanks UCLA...but I'm pure 91

Don't mistake my posts as any sort of attack on the fractional model...they're not. I have lots of friends at NetJets (most in the bottom 500) and I too don't want to see anybody lose their livlihoods.

I simply want to reinforce the point that there are many solutions to the needs of those who utilize bizav (be them in-house, charter, frax, or a combination thereof) depending on the user's needs and requirements.

Here's to ALL of us seeing things continue to turn around!

 

I 2nd that one, man. I 2nd that.