Private Charter’s Dirty Secret- Aircraft Mechanicals – Part 4

Schedule Disruptions

The construction of modern aircraft consists of 25 miles or more of internal wiring. These machines are engineering marvels. With dozens of systems, such as state-of-the-art navigation, onboard radar, FADEC,  fly-by-wire controls, cabin entertainment, wireless and satellite communications, these aircraft are not as simple as their steam gauge forbearers.

When I started in this industry in the early 2000’s, mechanical issues were easier to resolve. Aircraft systems were not quite as complex as they are today, and the market was smaller, meaning the aircraft were utilized less often. This resulted in far fewer maintenance events and schedule disruptions per year.

Even when mechanical issues inevitably arose, finding a recovery aircraft was a more manageable task. In general, aircraft schedules were lighter, and it was much easier to find a replacement aircraft that would fit within the original schedule and budget.

As the market has become hyper-efficient (increasing over-all aircraft utilization), not only do aircraft tend to have maintenance events more frequently, but the chances of finding a replacement aircraft with last-minute schedule availability, matching the desired route of travel, has become a more difficult task. What this means for the typical charter customer is that when a mechanical situation arises, they should expect longer recovery times and higher prices.

The GiveJet Difference

In the case of a mechanical situation, charter providers will often charge the customer an additional premium for replacing the originally scheduled aircraft.  In other words, if you’re on the return portion of your trip, and your aircraft experiences a mechanical interruption, not only has your schedule been inconvenienced as you wait for the replacement aircraft, but you will likely have to pay additional fees for that replacement aircraft. These fees can skyrocket into tens of thousands of dollars in worse case scenarios.

Why does this happen? Keep in mind, unlike commercial airlines, most of the 1,500+ private aircraft in the US are owned by non-affiliated individuals. In the new “efficient market”, customers rarely fly on the same aircraft. As a result, there’s not much incentive for the aircraft owner to pay for a customer’s replacement aircraft, in the event of a mechanical interruption.

From the aircraft owner’s perspective, the mechanical event was painful enough. They must absorb the lost revenue for the un-flown portion on the flight, they must also pay for high maintenance costs to repair the plane away from base, they need to airline crew and ship replacement parts on an expedited bases, and they lose revenue for un-flown trips while the aircraft is down for maintenance.

After an aircraft maintenance issue has occurred, unfortunately the typical aircraft owner is not concerned with how the passengers get to their next destination. The passengers are on their own in this situation. This is another reason why brokers are so valuable. Ultimately, it’s the broker’s responsibility to rebook the passengers as quickly and efficiently as possible.

The dirty secret in the charter industry is that most operators and brokers are not prepared to shoulder the potential thousands of dollars it can cost to rebook the client on a replacement aircraft. This burden is commonly put on the passengers in the form of extra costs. From the passenger’s perspective, a mechanical disruption can put them in a very uncomfortable position. The feeling of being shaken down for more money, in a moment when your entire schedule has been flipped upside down, at no fault of your own, just seems wrong, or at the very least, bad business. This is an unfortunate side of the charter industry. It’s also why fractional and jet card programs have seen their popularity skyrocket in the last twenty years, as a beneficial feature of both programs is the inclusion of mechanical recovery at no extra cost.

GiveJet is one of the few companies in the industry who stand by their customers (both pay-as-you-fly customers and jet card customers) in these moments. I can confidently say that in almost twenty years of business, we have never once charged a client an additional fee for a recovery aircraft. We offer mechanical interruption insurance included at no extra charge on every flight. We feel like that’s the right thing to do for our loyal customers. This value added feature completely differentiates us from our competition.

The next time you decide to charter, allow the professionals at GiveJet to take the reins. You’ll have peace of mind knowing that your charter provider has your back.