JETCRAFT: EVER FORWARD
Jetcraft releases 5-Year Pre-Owned Market Forecast exploring new opportunities for business aviation.
With a history stretching back to 1962 (when Charles ‘Bucky’ Oliver first took ownership of FBO Raleigh-Durham Aviation) Jetcraft can safely say it is a global leader in business aircraft sales, acquisitions, and trades. For Q422 Jetcraft has released its 5-Year Pre-Owned Market Forecast. This in-depth document explores new opportunities for business aviation, the persistent growth of business jet transactions throughout 2022, and how the market will continue to thrive over the coming years.
The knowledge: Drawing upon 60 years of industry leading data-science, Jetcraft’s approach recognises the potential of untapped market opportunities.
SUMMARY
Chad Anderson, Chief Executive Officer, Jetcraft says: “This year’s report predicts that, after stabilizing in the wake of a post-COVID surge, pre-owned transactions should maintain their new higher base and growth rates, reaching 10,921 transactions valued at $66.6B over the forecast period.
“The market should be reassured as we predict a steady growth in total values will resume from their new, higher starting point.”
This in-depth document explores new opportunities for business aviation.
THE NUMBERS
Jetcraft noted that 2021 was a record year for business aviation. The annual total pre-owned transaction value came in at $14.5B, a near 40% increase on 2020, principally driven by Large and Midsize jet purchases. Jetcraft study also reports the share of pre-owned Jetcraft buyers under 45 has risen by 20% in the last five years. These buyers are driving a trend toward larger aircraft purchases, with their average transaction price hitting $25m, a 31% increase in comparison to their more mature counterparts. In total, 24% of pre-owned jet buyers in Europe are younger than 45, with this figure rising to 38% in the Middle East and Africa.
Ever Forward: Ever Forward is Jetcraft’s latest industry analysis offering a complete review of the pre-owned business jet market and assessment of buyer behavior to determine the number of transactions during the next five years and their associated value.
TRENDS
The Ever Forward report identified international growth areas for the sector, with the UHNWI population in Asia-Pacific set to increase by 33% over the next five years – a significant potential for pre-owned Large jet transactions in the region.
Anderson continues: “Our data shows that the profile of a typical pre-owned jet buyer has shifted internationally in recent years, with younger buyers making up a sizeable proportion of the market. This younger buyer persona offers real lifetime value to our industry, while the predicted growth of the UHNWI population also underlines the potential for the future of the sector.”
Our data shows that the profile of a typical pre-owned jet buyer has shifted internationally in recent years.
CONCLUSION
Jetcraft’s report also predicts a much more rational market over the next five years when compared with the 2004-2008 boom, with average purchase prices returning to pre-pandemic levels.
Jahid Fazal-Karim, Owner and Chairman of the Board, Jetcraft, adds: “We are now entering a post-pandemic business cycle from a new, higher starting point, with a predicted steady upward trajectory fuelled by more and younger first-time buyers entering the market, alongside strong demand for larger jets and a growing UHNWI population.”
