jetnet iq q1 2014 snap! report · 2014. 4. 23. · business aviation summit () - it will be a...

JETNET iQ Snap!: 1st Quarter 2014 -‐ Private & Confiden?al

Prepared for: JETNET iQ Global Business Survey Respondents

!

!

!

JETNET iQ Snap! Q1 2014 Summary Report

March 31, 2014

Thank You, Merci, Obrigado, Muchas Gracias, אַ דאַנק, Danke, ありがとう, Grazie, ششككرراا, спасибо, 謝謝

Thank you for participating in our quarterly JETNET iQ Global Business Aviation Surveys. Your opinions and inputs are vital to the many people in the industry tasked with designing and developing aircraft, providing aviation services on the ground and in the air, financing / selling / and buying aircraft, and creating the operational framework for safe and efficient flight. JETNET has been a trusted source of aviation market intelligence since 1988. From humble beginnings in Utica, NY, we have built one of the finest research teams and business aviation databases in the industry. Our people are professional and dedicated, and our data products and services are unique and innovative. We are committed to continuous improvement as

we provide you with unprecedented global coverage, data connectability, and market insights wherever you are. If you are at EBACE in Geneva (May 20-22), please stop by the JETNET booth at Palexpo. If you are in New York City on June 3-4, 2014, please consider signing up for our 4th annual JETNET iQ Global B u s i n e s s A v i a t i o n S u m m i t (www.jetnetiq.com) - it will be a fast-paced day full of insights from leaders across the business aviation industry. Thank you again for participating in our quarterly survey, and we hope this JETNET iQ Snap! Report helps you take your business to a higher altitude.

Vincent Esposito President, JETNET LLC

JETNET iQ Snap!: 1st Quarter 2014 -‐ Private & Confiden?al March 31, 2014

JETNET iQ Snap! is one of the ways we would like to say thanks for the time and opinions you provide us when participating in our quarterly JETNET iQ Global Business Aviation Surveys. With seemingly endless demands on your time, we appreciate your help and want to provide you something back in return. In the attached pages you will find some of the latest market intelligence that we have collected and analyzed. Our goal is to be a resource to identify and work the issues that matter to the business aviation community. As an industry leader and aviation professional, you make a difference by participating in these surveys, providing us with objective and subjective perspectives into the state of the worldwide business aviation industry. JETNET iQ Snap! Reports reflect the co l laborat ive ins ights o f you, our respondents, and our JETNET iQ research

team. Collectively, we have extensive experience in business aviation, from executive offices and boardrooms, to the office cubicles, factory floors, design centers, situation rooms, cockpits, service hangars and flight lines of the industry. Much like a magnifying glass concentrates light and energy, JETNET iQ draws from a diverse set of intelligence sources to bring the power of this experience into sharp focus. Since early 2011, our JETNET iQ research team has been reaching out to you – fixed-wing turbine aircraft owners and operators - with our quarterly JETNET iQ Global Business Aviation Surveys. As always, we hope that this latest issue of JETNET iQ Snap! is useful and insightful to you.

Rollie Vincent JETNET iQ Creator / Director

[email protected]

Navigating by JETNET iQ


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JETNET: Worldwide leader in aviation market intelligence

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§  Main products: §  JETNET iQ §  JETNET Evolution / Mobile §  AERODEX §  Aviation Business Index (ABI) §  AvData §  JETNET CRM §  Helidex §  Rotodex §  BigPlanes - Commercial Airliner Database §  Sales Price Index (SPI)

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JETNET: Tracking more than 110,000 aircraft worldwide

JETNET


JETNET

March 31, 2014

§  Intelligence….quarterly

§  Focus: Business aviation research & forecasting

§  Main features §  Surveys – of aircraft owners and operators §  Reports – of current and forecast market conditions §  Summits – of industry thought leaders

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March 31, 2014

§  Turbine business aircraft owners and operators §  Quarterly §  Global §  On-line §  Multilingual §  Password-protected §  Password-linked

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March 31, 2014

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March 31, 2014

§  Thought leadership and networking conferences

§  4th Global Business Aviation Summit: §  June 3-4, 2014 - New York City §  http://www.jetnetiq.com/summit.shtml

JETNET iQ Summits


JETNET iQ

March 31, 2014

!R2!=!0.986!1969!+!2013!

!+!!!!

!2,000!!

!4,000!!

!6,000!!

!8,000!!

!10,000!!

!12,000!!

!14,000!!

!16,000!!

!18,000!!

!20,000!!

!22,000!!

$0!

$10,000!

$20,000!

$30,000!

$40,000!

$50,000!

$60,000!

$70,000!1969!

1970!

1971!

1972!

1973!

1974!

1975!

1976!

1977!

1978!

1979!

1980!

1981!

1982!

1983!

1984!

1985!

1986!

1987!

1988!

1989!

1990!

1991!

1992!

1993!

1994!

1995!

1996!

1997!

1998!

1999!

2000!

2001!

2002!

2003!

2004!

2005!

2006!

2007!

2008!

2009!

2010!

2011!

2012!

2013!

Busine

ss'Je

t'Fleet'(u

nits)'.'Black'Line'

Real'GDP'in'cha

ined

'$20

05'($

US'billion

s)'.'Green

'Line'

EvoluDon'of'World'GDP'and'World'Business'Jet'Fleet''

World!GDP!

World!Business!Jet!Fleet!

The business jet fleet continues to grow even faster than the world’s economy

The Economy


JETNET iQ: The Economy

March 31, 2014

!350!! !172!! !118!!!841!! !557!!

!11,856!!

!189!! !169!!!515!!

!109!! !200!!!822!!

!437!! !146!! !228!! !127!! !218!! !124!! !133!! !167!!

7.3%!

6.0%!

4.0%!

3.0%! 2.9%! 2.8%! 2.7%! 2.5%! 2.3%! 2.2%! 2.0%! 1.8%! 1.8%! 1.6%!1.3%! 1.2%!

0.8%! 0.8%!0.5%!

/0.7%!

/2.0%!

/1.0%!

0.0%!

1.0%!

2.0%!

3.0%!

4.0%!

5.0%!

6.0%!

7.0%!

8.0%!

!/!!!!

!2,000!!

!4,000!!

!6,000!!

!8,000!!

!10,000!!

!12,000!!

!14,000!!

China!&!Hong!

Kong! In

dia!

Saudi!A

rabia!

Mexico!

United!Kingdom!

United!States!

Australia!

South!Africa!

Canada!

Turkey!

Switzerland!

Brazil!

Germ

any!

Portugal!

Austria!

Russian!

FederaUon!

France!

Spain!

Italy!

ArgenUna!

!Real!G

DP!Growth!Forecast!for!2014!(BLU

E!Line)!

Business!Jet!Fleet!(units)!/!M

arch!31,!2014!(RED!Bars)!

2014!GDP!Forecasts!and!"Top!20"!Business!Jet!Fleets!!

“Top 20” business aviation countries have widely divergent economic outlooks Economic forecasts as of April 19, 2014; Source: EIU

The Economy



March 31, 2014

350$

172$

118$

841$

557$

189$169$

515$

109$

200$

822$

437$

146$

228$

127$

218$

124$ 133$167$

279$

7.3%$

6.0%$

4.0%$

3.0%$2.9%$ 2.7%$ 2.5%$ 2.3%$ 2.2%$ 2.0%$ 1.8%$ 1.8%$ 1.6%$

1.3%$ 1.2%$0.8%$ 0.8%$ 0.5%$

.0.7%$

.1.9%$

.4.0%$

.2.0%$

0.0%$

2.0%$

4.0%$

6.0%$

8.0%$

$.$$$$

$100$$

$200$$

$300$$

$400$$

$500$$

$600$$

$700$$

$800$$

$900$$

China$&$Hon

g$Ko

ng$ India$

Saud

i$Arabia$

Mexico$

United$Kingdo

m$

Australia$

South$Africa$

Cana

da$

Turkey$

Switzerlan

d$

Brazil$

Germany$

Portugal$

Austria$

Russian$Fede

raTon

$

Fran

ce$

Spain$

Italy$

Argen

Tna

$

Vene

zuela$

$Real$G

DP$Growth$Forecast$for$20

14$(B

LUE$Line

)$

Busine

ss$Je

t$Fleet$(u

nits)$.$$M

arch$31,$2014$(RED

$Bars)$

2014$GDP$Forecasts$and$"Top$20"$Business$Jet$Fleets$$(excluding$the$United$States)$

The Economy



Mexico and Brazil have the next largest fleets after the USA; China is fastest growing

March 31, 2014

Economic forecasts as of Sept. 28, 2013; Source: EIU

3,000,000$

3,200,000$

3,400,000$

3,600,000$

3,800,000$

4,000,000$

4,200,000$

4,400,000$

4,600,000$

4,800,000$

5,000,000$

$8,000$

$9,000$

$10,000$

$11,000$

$12,000$

$13,000$

$14,000$

$15,000$

$16,000$

2001$ 2002$ 2003$ 2004$ 2005$ 2006$ 2007$ 2008$ 2009$ 2010$ 2011$ 2012$ 2013$

U.S.$B

usiness$Jet$Cycles$

$U.S.$G

DP$in$Billions$of$C

hained

$$20

09$$

(Seasona

lly$Adjusted$at$Ann

ual$R

ates)$$$$$

U.S.$GDP$and$U.S.$Business$Jet$Cycles$

Sources: U.S. BEA, FAA

The Economy



U.S. business jet cycles are slowly rebounding, but are still 16% below 2007 levels

March 31, 2014

Business Jet Fleet by Region


JETNET iQ: The Industry

March 31, 2014

!"!!!!

!5,000!!

!10,000!!

!15,000!!

!20,000!!

!25,000!!

1957!

1960!

1961!

1962!

1963!

1964!

1965!

1966!

1967!

1968!

1969!

1970!

1971!

1972!

1973!

1974!

1975!

1976!

1977!

1978!

1979!

1980!

1981!

1982!

1983!

1984!

1985!

1986!

1987!

1988!

1989!

1990!

1991!

1992!

1993!

1994!

1995!

1996!

1997!

1998!

1999!

2000!

2001!

2002!

2003!

2004!

2005!

2006!

2007!

2008!

2009!

2010!

2011!

2012!

2013!

Africa! Asia!Pacific! Europe! Former!Soviet!Union! LaDn!America!&!Caribbean! Middle!East! North!America!

2%!6%!

14%!

1%!

12%!

2%!63%!

By#Region Total#FleetAfrica 460****************Asia*Pacific 1,072*************Europe 2,656*************Former*Soviet*Union 204****************Latin*America*&*Caribbean 2,428*************Middle*East 468****************North*America 12,363************Total 19,651############

Business#Jet#Fleet#as#of#Mar#31#2014

World business jet fleet was 19,651 jets on March 31, 2014

Business Jet Fleet by Manufacturer



March 31, 2014

NORTH&AMERICA Fleet&as&of EUROPE Fleet&as&of FORMER&SOVIET&UNION Fleet&as&ofOEM Mar&31&2014 OEM Mar&31&2014 OEM Mar&31&2014Bombardier 2,694//////////////// Bombardier 593////////////////// Bombardier 64////////////////////Cessna/Citation 4,334//////////////// Cessna/Citation 921////////////////// Cessna/Citation 19////////////////////Dassault/Falcon 1,229//////////////// Dassault/Falcon 472////////////////// Dassault/Falcon 29////////////////////Embraer 327////////////////// Embraer 114////////////////// Embraer 21////////////////////Gulfstream 1,615//////////////// Gulfstream 212////////////////// Gulfstream 21////////////////////Hawker/Beechcraft 1,501//////////////// Hawker/Beechcraft 245////////////////// Hawker/Beechcraft 32////////////////////Other 663////////////////// Other 99/////////////////// Other 18////////////////////Total 12,363&&&&&&&&&&&&&& Total 2,656&&&&&&&&&&&&&&& Total 204&&&&&&&&&&&&&&&&&&

MIDDLE&EAST Fleet&as&ofOEM Mar&31&2014Bombardier 93//////////////////Cessna/Citation 60//////////////////Dassault/Falcon 59//////////////////Embraer 37//////////////////Gulfstream 81//////////////////Hawker/Beechcraft 70//////////////////Other 68//////////////////Total 468&&&&&&&&&&&&&&&&

LATIN&AMERICA&&&CARIBBEAN Fleet&as&of AFRICA Fleet&as&of ASIA&PACIFIC Fleet&as&ofOEM Mar&31&2014 OEM Mar&31&2014 OEM Mar&31&2014Bombardier 591////////////////// Bombardier 85/////////////////// Bombardier 249//////////////////Cessna/Citation 808////////////////// Cessna/Citation 107////////////////// Cessna/Citation 221//////////////////Dassault/Falcon 156////////////////// Dassault/Falcon 62/////////////////// Dassault/Falcon 79////////////////////Embraer 176////////////////// Embraer 17/////////////////// Embraer 63////////////////////Gulfstream 176////////////////// Gulfstream 60/////////////////// Gulfstream 231//////////////////Hawker/Beechcraft 353////////////////// Hawker/Beechcraft 111////////////////// Hawker/Beechcraft 162//////////////////Other 168////////////////// Other 18/////////////////// Other 67////////////////////Total 2,428&&&&&&&&&&&&&&&& Total 460&&&&&&&&&&&&&&&&&& Total 1,072&&&&&&&&&&&&&&&

Business Jet Fleet by Size Category



March 31, 2014

0%#4%# 7%#

10%#

10%#

18%#7%#29%#

15%#

Total#fleet:#North#America#

Airliner'Jets' Large'Ultra'Long0Range'Jet'Large'Long0Range'Jet' Large'Jet'Super'Mid0Size'Jet' Mid0Size'Jet'Super'Light'Jet' Light'Jet'Very'Light'Jet'

2%# 4%#11%#

14%#

8%#24%#

8%#

19%#10%#

Total#Fleet:#Africa#

6%#14%#

14%#

14%#7%#17%#

3%#14%#

11%#

Total#Fleet:#Asia#Pacific#

2%# 8%#14%#

13%#

9%#11%#

8%#

16%#

19%#

Total#Fleet:#Europe#

7%# 9%#13%#

29%#12%#

14%#

2%#4%# 10%#

Total#Fleet:#Former#Soviet#Union#

1%#2%#4%# 7%#

6%#

19%#

7%#37%#

17%#

Total#Fleet:#LaEn#America#&#Caribbean#

14%#8%#

16%#

23%#7%#

18%#

3%# 8%# 3%#

Total#Fleet:#Middle#East#

1%#4%# 8%#

10%#

10%#

17%#7%#

28%#

15%#

Total#Fleet:#North#America#

New business jet delivery units have remained relatively flat for 3 years; New business jet delivery value in 2013 was about $21B based on equipped list prices

Business Jet Deliveries (units)



March 31, 2014

1" 1" 20" 22" 11" 40"

212"

323"

141"

229"211"

118"84"

173"

253"305"287"

247"302"

333"397"

473"

556"

465"

288"324"297"

211"220"220"264"263"251"251"265"254"

317"307"

436"501"

637"

747"788"

727"

546"588"

707"

854"

1094"

1274"

926"

797"

682"672"670"

133"

1957"

1960"

1961"

1962"

1963"

1964"

1965"

1966"

1967"

1968"

1969"

1970"

1971"

1972"

1973"

1974"

1975"

1976"

1977"

1978"

1979"

1980"

1981"

1982"

1983"

1984"

1985"

1986"

1987"

1988"

1989"

1990"

1991"

1992"

1993"

1994"

1995"

1996"

1997"

1998"

1999"

2000"

2001"

2002"

2003"

2004"

2005"

2006"

2007"

2008"

2009"

2010"

2011"

2012"

2013"

2014"

Jet"Deliveries"

18%$CAGR$2003,2008$

21%$CAGR$1996,2001$

18%$CAGR$1976,1981$

Down 48%

Down 47%

Down 31%

New turboprop deliveries showed a 26% upswing from 2012 to 2013

Business Turboprop Deliveries (units)



March 31, 2014

1" 8" 5" 10"13" 5" 16"27"

48"29"17"26"31"

110"162"

301"

202"187"

158"169"198"

337"315"

297"

403"

452"

588"608"

775"

903"

566"

329"

285"

416"

209"210"229"

286"258"

234"215"

235"

152"

256"266"273"

306"326"

340"382"

283"294"

354"353"

418"436"

527"

460"

391"359"

329"

416"

73"

1952"

1953"

1954"

1955"

1956"

1957"

1958"

1959"

1960"

1961"

1962"

1963"

1964"

1965"

1966"

1967"

1968"

1969"

1970"

1971"

1972"

1973"

1974"

1975"

1976"

1977"

1978"

1979"

1980"

1981"

1982"

1983"

1984"

1985"

1986"

1987"

1988"

1989"

1990"

1991"

1992"

1993"

1994"

1995"

1996"

1997"

1998"

1999"

2000"

2001"

2002"

2003"

2004"

2005"

2006"

2007"

2008"

2009"

2010"

2011"

2012"

2013"

2014"

20%$CAGR:$1975.1981$

14%$CAGR:$

1994.2001$

14%$CAGR:$

2005.2008$

Down""68%"

Down""38%"

The percentage of pre-owned jets for sale is approaching pre-recession levels

Pre-Owned Business Aircraft Inventory



March 31, 2014

0%#

2%#

4%#

6%#

8%#

10%#

12%#

14%#

16%#

18%#

20%#

#)####

#500##

#1,000##

#1,500##

#2,000##

#2,500##

#3,000##

2006# 2007# 2008# 2009# 2010# 2011# 2012# 2013# 2014#

Business#Jets#and#Turboprops#for#sale#Apr#2006#)##Apr#2014#

##of#Jets#for#sale# ##of#Turboprops#for#sale# %#of#Jets#for#sale# %#of#Turboprops#for#sale#

2006 2007 2008 2009 2010 2011 2012 2013 2014Business0Jets 12.4% 11.3% 11.5% 17.4% 15.6% 14.5% 13.8% 13.1% 12.1%Turboprop 9.3% 8.0% 8.3% 12.0% 11.1% 10.7% 9.2% 7.8% 7.9%

Jets0Available0for0Sale0as0%0of0World0Fleet0(as0of0April01)

The percentage of pre-owned jets for sale is approaching pre-recessionary levels

Pre-Owned Business Jet Inventory



March 31, 2014

Airliner'Business'10.1%'

Large'Ultra4Long'Range'8.9%'

Large'Long'Range'9.7%'

Large'Jets'11.2%'

Super'Mid4size'Jets'11.8%'

Mid4size'Jets'14.9%'

Super'Light'Jets'7.8%'

Light'Jets,'13.4%'

Very'Light'Jets'12.2%'

Total'Jets'12.1%'

Total'Turboprops'7.9%'

0.0%'

2.0%'

4.0%'

6.0%'

8.0%'

10.0%'

12.0%'

14.0%'

16.0%'

18.0%'

20.0%'

22.0%'

24.0%'

2007' 2008' 2009' 2010' 2011' 2012' 2013' 2014'

AircraK'for'sale'as'a'%'of'total'fleet'Apr'2006'4'Apr'2014'

Annualized U.S. business jet cycles through Feb. 2014 are up 3.1% over the prior year

U.S. Business Jet Utilization



March 31, 2014

!274!!!265!!

!285!!!283!!!283!!!283!!!292!!!289!!!295!!

!317!!

!297!!!287!!!290!!!291!!

!338!!!321!!

!314!!!319!!!315!!!326!!

!336!!!343!!

!331!!!319!!

!307!!!311!!

!358!!

!336!!!342!!!330!!!319!!

!333!!!329!!!343!!

!334!!

!311!!!312!!!324!!

!349!!!335!!

!344!!!328!!!322!!

!340!!!324!!

!351!!!340!!

!312!!!320!!!314!!

!348!!!342!!!349!!

!335!!!338!!!348!!

!337!!

!368!!

!336!!!338!!!338!!!325!!

!231!!!225!!!239!!!241!!!240!!!239!!

!248!!!248!!!252!!

!272!!

!253!!!242!!!244!!!243!!

!277!!!269!!!268!!!267!!!266!!

!274!!!273!!

!291!!!278!!

!262!!!263!!!259!!

!297!!

!279!!!286!!!280!!

!270!!!282!!!278!!

!291!!!282!!

!257!!!259!!!272!!

!286!!!279!!

!288!!!271!!!267!!

!289!!

!271!!

!297!!!281!!

!256!!!265!!!262!!

!286!!!285!!!291!!!276!!!282!!

!294!!!285!!

!313!!

!280!!!277!!!278!!!270!!

!43!!!40!!!46!!!43!!!42!!!44!!!44!!!41!!!43!!!45!!!44!!!45!!!46!!!48!!

!61!!!53!!!47!!!52!!!49!!!52!!

!62!!!52!!!53!!!56!!

!44!!!53!!

!62!!!57!!!56!!!50!!!49!!!51!!!51!!!52!!!52!!!54!!!53!!!53!!!62!!!56!!!56!!!57!!!55!!!53!!!53!!!54!!!59!!!56!!!55!!!52!!

!62!!!57!!!59!!!59!!!57!!!55!!!52!!!55!!!56!!!60!!!60!!!55!!

Jan!20

09!

Feb!2009!

Mar!2009!

Apr!2009!

May!2009!

Jun!20

09!

Jul!200

9!Aug!2009!

Sep!2009!

Oct!2009!

Nov!2009!

Dec!2009!

Jan!20

10!

Feb!2010!

Mar!2010!

Apr!2010!

May!2010!

Jun!20

10!

Jul!201

0!Aug!2010!

Sep!2010!

Oct!2010!

Nov!2010!

Dec!2010!

Jan!20

11!

Feb!2011!

Mar!2011!

Apr!2011!

May!2011!

Jun!20

11!

Jul!201

1!Aug!2011!

Sep!2011!

Oct!2011!

Nov!2011!

Dec!2011!

Jan!20

12!

Feb!2012!

Mar!2012!

Apr!2012!

May!2012!

Jun!20

12!

Jul!201

2!Aug!2012!

Sep!2012!

Oct!2012!

Nov!2012!

Dec!2012!

Jan!20

13!

Feb!2013!

Mar!2013!

Apr!2013!

May!2013!

Jun!20

13!

Jul!201

3!Aug!2013!

Sep!2013!

Oct!2013!

Nov!2013!

Dec!2013!

Jan!20

14!

Feb!2014!

Business!Jet!OperaEons!recorded!by!FAA!('000!cycles/month)!

Total& Domes+c& Interna+onal&

Total Cycles 324,792 4,101,712 Change vs. prior month -3.9% 0.3%Change vs. prior year 3.5% 3.1%Change vs. 24 months ago 0.1% 3.2%

Total Domestic Cycles 269,818 3,416,030 Change vs. prior month -2.9% 0.2%Change vs. prior year 3.2% 3.1%Change vs. 24 months ago -0.7% 2.5%

Total International Cycles 54,974 685,682 Change vs. prior month -8.7% 0.4%Change vs. prior year 5.3% 2.6%Change vs. 24 months ago 4.4% 7.0%

Trailing 12 Months

DOMESTIC)CYCLES

INTERNATIONAL)CYCLES

TOTAL)CYCLESFAA)BUSINESS)JET)OPERATIONS)4)FEB)2014

Annualized European cycles are down 0.1% for business aviation over the prior year

European Business Aircraft Utilization



March 31, 2014

!1,856!!!1,852!!

!2,175!!

!2,366!!!2,362!!

!2,035!!!2,236!!

!1,938!!!1,797!!

!1,546!!!1,539!!

!1,675!!!1,867!!

!1,781!!

!2,048!!!2,322!!!2,289!!

!1,981!!!2,096!!

!1,880!!!1,701!!

!1,427!!!1,504!!

!1,664!!!1,734!!

!1,779!!!2,003!!

!2,257!!!2,218!!!2,000!!

!2,101!!

!1,842!!!1,690!!

!1,446!!!1,497!!

!1,651!!!1,731!!

Mar!2011!

Apr!2

011!

May!2011!

Jun!20

11!

Jul!201

1!

Aug!2011!

Sep!2011!

Oct!2011!

Nov!2011!

Dec!2011!

Jan!20

12!

Feb!2012!

Mar!2012!

Apr!2

012!

May!2012!

Jun!20

12!

Jul!201

2!

Aug!2012!

Sep!2012!

Oct!2012!

Nov!2012!

Dec!2012!

Jan!20

13!

Feb!2013!

Mar!2013!

Apr!2

013!

May!2013!

Jun!20

13!

Jul!201

3!

Aug!2013!

Sep!2013!

Oct!2013!

Nov!2013!

Dec!2013!

Jan!20

14!

Feb!2014!

Mar!2014!

Average!Daily!Flights!F!Business!AviaHon!in!Europe!March!2011!F!March!2014!

0.6%!

F3.8%!

F5.8%!

F1.9%!F3.1%!

F2.7%!

F6.3%!

F3.0%!

F5.3%!

F7.7%!

F2.2%!

F0.7%!

F7.1%!

F0.1%!

F2.2%!F2.8%!

F3.1%!

0.9%!0.2%!

F2.0%!

F0.7%!

1.3%!

F0.5%!F0.8%!

F0.1%!

Mar!2012!

Apr!2

012!

May!2012!

Jun!20

12!

Jul!201

2!

Aug!2012!

Sep!2012!

Oct!2012!

Nov!2012!

Dec!2012!

Jan!20

13!

Feb!2013!

Mar!2013!

Apr!2

013!

May!2013!

Jun!20

13!

Jul!201

3!

Aug!2013!

Sep!2013!

Oct!2013!

Nov!2013!

Dec!2013!

Jan!20

14!

Feb!2014!

Mar!2014!

Change!over!Previous!Year!!

§  Multilingual owner / operator surveys §  Utilization patterns and expectations §  Brand perceptions §  Purchase criteria / inhibitors §  Purchase / selling intentions §  New product preferences §  Special topics of interest (examples)

§  New products §  The environment §  China, etc.

JETNET iQ Surveys: Quarterly, multilingual, worldwide

JETNET iQ Quarterly Surveys


JETNET iQ: The Survey

March 31, 2014

JETNET iQ Surveys: Since Q1 2011, >6,500 respondents from 115 countries

JETNET iQ Survey Respondents



March 31, 2014

!503!! !506!! !506!! !518!! !506!! !507!! 507! !524!! !507!! 512! !507!! 506! 508!

!55!! !56!! !49!! !50!! !59!! !55!! !60!! !63!! !50!! !54!! !46!! 52! 52!

Q1!2011!

Q2!2011!

Q3!2011!

Q4!2011!

Q1!2012!

Q2!2012!

Q3!2012!

Q4!2012!

Q1!2013!

Q2!2013!

Q3!2013!

Q4!2013!

Q1!2014!

Number!of!completed!respondents! Number!of!countries!

North!America!53.5%!LaCn!

America!&!Caribbean!21.3%!

Europe!9.7%!

Africa!4.7%!

Middle!East!2.6%! Asia!Pacific!

8.3%!

Regional!locaCon!of!respondents!Q1!2011!L!Q1!2014!

62.6%%13.0%%

13.0%%

4.3%%1.8%%5.3%%

0.0%%North&America&

La.n&America&&&Caribbean&

Europe&

Africa&

Middle&East&

Asia&Pacific&

Former&Soviet&Union&

60.9%%14.7%%

11.6%%

3.7%%1.9%%

6.4%%0.8%%

World%Fleet%by%geographic%

region%

Q1 2014 Survey

Outer circle (Respondent Fleet)

Inner circle (World Fleet)

By Aircraft Base Location Survey Respondents’ Location



March 31, 2014

Q1 2014 Survey



By Aircraft Size Category Survey Respondents’ Fleet



March 31, 2014

8%#

15%#

5%#

10%#

8%#10%#9%#

7%#

1%#1%#

9%#

17%#Very%Light%Jet%

Light%Jet%

Super%Light%Jet%

Mid1Size%Jet%

Super%Mid1Size%Jet%

Large%Jet%

Large%Long1Range%Jet%

Large%Ultra%Long1Range%Jet%

Airline%Business%Jet%

Airliner%Jet%Converted%

Single1Engine%Turbo1Prop%

MulB1Engine%Turbo1Prop%

9%#

15%#

4%#10%#

5%#6%#5%#3%#1%#15%#

27%#World#Fleet#by#Size#Category#

17%$

25%$

9%$2%$14%$

19%$

2%$3%$

9%$Bombardier*

Cessna*

Dassault*Falcon*

Embraer*

Gulfstream*

Hawker*Beechcra;*

Pilatus*

Piper*

Other*

13%$

27%$

6%$2%$7%$

25%$

4%$5%$11%$

World$Fleet$by$

Manufacturer$

Q1 2014 Survey



By Aircraft Manufacturer Survey Respondents’ Fleet



March 31, 2014

Q1 2014 Survey By Job Title Survey Respondents’ Roles



March 31, 2014

Business'owner'/'shareholder'/'

partner'16%'

CEO'/'COO'/'CFO'/'President'/'

Managing'Director'12%'

Vice'President'/'Senior'

Management'2%'

General'Manager'/'Director'

9%'

Chief'Pilot'/'head'of'flight'

operaFons'32%'

Dispatcher'/'Scheduler'/'Flight'

Coordinator'13%'

Head'of'maintenance'

5%'

Pilot'7%'

Vice'President'/'Director'of'AviaFon'

4%'

AviaFon'Professionals'

61%'

Senior'Management'/'

General'Manager'39%'

Q1 2014 Survey

By Involvement in Last Fixed-Wing Turbine Aircraft Purchase Survey Respondents’ Roles



March 31, 2014

I"influenced"the"

purchase"decision"39%"

I"provided"informa7on"suppor7ng"

the"purchase"decision"27%"

I"was"not"involved"in"

the"purchase"decision"11%"

I"was"the"decision>maker"23%"

Regional Average Utilization per Aircraft in Prior 12 Months Survey Respondents’ Flight Operations



Q1 2014 Survey

March 31, 2014

!345!! !334!!

!284!!

!373!!

!442!! !434!!

!"!!!!

!50!!

!100!!

!150!!

!200!!

!250!!

!300!!

!350!!

!400!!

!450!!

!500!!

Total! North!America!

La6n!America!&!Caribbean!

Europe! Rest!of!World!

Weighted!by!Fleet!Size!

Average!nu

mbe

r!of!fl

ight!hou

rs!per!airc

raJ!

Average!flight!hours!per!year!!

Q1 2014 Survey By Average Passengers per Aircraft in Prior 12 Months Survey Respondents’ Flight Operations



March 31, 2014

!4.28!!!3.87!!

!5.64!!

!3.79!!

!5.48!!

All!Regions! North!America!

La<n!America!&!Caribbean!

Europe! Rest!of!World!

Average!Passengers!by!Region!

!4.28!! !4.44!!!3.91!!

!4.28!!!4.72!!

All!Respondents!

Turboprop!Operators!

Small!Jet!Operators!

Medium!Jet!Operators!

Large!Jet!Operators!

Average!Passengers!by!Size!

34%$

Not$yet$reached$the$low$point$

20%$

At$the$low$point$

Past$the$low$point$

Op5mism$about$the$industry$All$Respondents$

46%$

Where is the Business Avia:on Industry In the Current Business Cycle?

Q1 2014 Survey Current Market Sentiment Survey Respondents’ Sentiment



March 31, 2014

1.5%%

3.6%%

4.9%%

5.1%%

6.6%%

7.1%%

8.0%%

9.4%%

9.8%%

11.7%%

12.8%%

19.7%%

Other&

Public&opinion&of&business&avia4on&

Will&get&a&be7er&deal&on&a&new&business&aircra:&if&I&wait&a&year&

Using&alterna4ve&flight&solu4ons&(charter,&commercial,&jet&card,&frac4onal,&etc.)&

Availability&of&financing&or&capital&for&purchase&

No&compelling&aircra:&that&meet&my&organiza4on's&needs&

Opera4ng&cost&too&high&

Decline&in&business&ac4vity&

Inability&to&sell&current&aircra:&

Purchase&price&or&tradeKup&cost&too&high&

Uncertainty&about&economy&/&regulatory&environment&

Do&not&need&addi4onal&aircra:&

Purchase%inhibitors%

Aircraft Purchase Inhibitors Q1 2014 Survey Top 3 Inhibitors – Weighted Average

“Which of the following factors are most likely to prevent or delay your organiza?on from purchasing a business aircraN over the next 12 months?”



March 31, 2014

Do#not#know#/#uncertain#

Down#30%#or#more#

Down#25%#

Down#20%#

Down#15%#

Down#10%#

Down#5%#

No#change#

Up#5%#

Up#10%#

Up#15%#

Up#20%#

Up#25%#

Up#30%#or#more#

2.0%%

1.5%%

0.2%%

0.9%%

0.5%%

2.0%%

1.6%%

42.4%%

15.5%%

16.7%%

5.8%%

5.8%%

1.6%%

3.5%%

3.8%#

0.4%#

0.2%#

0.7%#

0.0%#

0.7%#

1.5%#

37.1%#

14.9%#

17.1%#

8.7%#

6.7%#

3.3%#

4.9%#

Compared#with#your#past#12#months,#what#changes#do#you#expect#in#your#total#annual#flight#hours#over#the#next#24#months?#

Next%12224%months%

Next%12%months%

Weighted#average#for#next#12#mths#=##

4.9%#

Weighted#average#for#next#12N24#mths#=#

7.0%#

Respondents expect to fly 4.9% more hours in the next 12 months vs. prior 12 months

Aircraft Utilization Next 12 and 12-24 Months versus Prior 12 Months



March 31, 2014

Gulfstream, Beechcraft and Falcon are the top 3 rated business aircraft manufacturers

Brand Reputations Aircraft Manufacturers on a 1-10 Scale, where “10” = Highest



March 31, 2014

0%#

10%#

20%#

30%#

40%#

50%#

60%#

70%#

1# 2# 3# 4# 5# 6# 7# 8# 9# 10# Uncertain#

%#of#respo

nses#

Brand#reputa<on#=#Business#aircra>#OEMs#

Bombardier#Challenger# Bombardier#Global# Bombardier#Learjet# Cessna#Cita<on#

Cessna#Caravan# Dassault#Falcon# Embraer#Legacy# Embraer#Lineage#

Embraer#Phenom# Gulfstream# Hawker# Beechcra>#

Rolls-Royce is the top-rated jet engine manufacturer brand, slightly ahead of Pratt & Whitney Canada

Brand Reputations Jet Engine Manufacturers on a 1-10 Scale, where “10” = Highest



March 31, 2014

0.0%$

10.0%$

20.0%$

30.0%$

40.0%$

50.0%$

60.0%$

70.0%$

1$ 2$ 3$ 4$ 5$ 6$ 7$ 8$ 9$ 10$ Uncertain$

%$of$respo

nden

ts$

General'Electric' Honeywell' Pra1'&'Whitney'Canada' Rolls9Royce'

Pratt & Whitney Canada is the dominant turboprop engine manufacturer brand, followed by Rolls-Royce

Brand Reputations Turboprop Engine Manufacturers on a 1-10 Scale - “10” = Highest



March 31, 2014

Bombardier*12%*

Cessna*11%*

Dassault*Falcon*19%*

Embraer*12%*

Gulfstream*19%*

Hawker*and*Beechcra?*

2%*

Hondajet*10%*

Pilatus*4%*

Other*11%*

According to Q1 2014 survey respondents, Gulfstream and Dassault Falcon provide the most innovative aircraft designs

Aircraft Brands “providing most innovative design”



March 31, 2014

“Which business aircraP brand do you think provides the most innovaRve designs?

14.8%&

11.2%&9.9%&

GULFSTREAM&G3650& FALCON&5X& HONDAJET&

Top&3&models&3&worldwide&&"Most&innovaNve&design"&

According to Q1 2014 survey respondents, the Gulfstream 650 is the most innovative design, followed by the Falcon 5X and the HondaJet

Aircraft Brands “providing most innovative design”



March 31, 2014

“Which business aircraP model do you think provides the most innovaRve design?

Business Jet Delivery History & Forecast


JETNET iQ: The Forecast

March 31, 2014

0"

200"

400"

600"

800"

1000"

1200"

1400"

2003"

2004"

2005"

2006"

2007"

2008"

2009"

2010"

2011"

2012"

2013F"

2014F"

2015F"

2016F"

2017F"

2018F"

2019F"

2020F"

2021F"

2022F"

Deliveries"(units)"

Business"jet"deliveries"<"historical"and"forecast"by"size"category:"2003"<"2022"

Personal"Jet" Very"Light"Jet" Light"Jet" Super"Light"Jet" Mid<Size"Jet"

Super"Mid<Size"Jet" Large"Jet" Large"Long<Range"Jet" Large"Ultra"Long<Range"Jet" Airline"Business"Jet"

Deliveries"2013<2022:""9,426"units"

0"

200"

400"

600"

800"

1000"

1200"

1400"

1957"

1960"

1962"

1964"

1966"

1968"

1970"

1972"

1974"

1976"

1978"

1980"

1982"

1984"

1986"

1988"

1990"

1992"

1994"

1996"

1998"

2000"

2002"

2004"

2006"

2008"

2010"

2012"

2014F"

2016F"

2018F"

2020F"

2022F"

Deliveries"(units)"

Business"jet"delivery"forecast"by"size"category:"Historical"E"2022"

Personal"Jet" Very"Light"Jet" Light"Jet" Super"Light"Jet" MidESize"Jet"

Super"MidESize"Jet" Large"Jet" Large"LongERange"Jet" Large"Ultra"LongERange"Jet" Airline"Business"Jet"

About JETNET iQ Launched in January 2011, JETNET iQ is a forecasting and premium advisory service for the business aviation market, designed to help customers “Know More”. Available on an annual subscription basis, JETNET iQ has 3 main elements: 1) JETNET iQ REPORTS are the definitive analytical reference for the business aviation industry, incorporating state-of-the-industry analyses, proprietary aircraft owner/operator surveys, and detailed 10-year delivery and fleet forecasts, updated quarterly. 2) JETNET iQ SUMMITS provide fast-paced thought-provoking insights into the state of the industry, and unique networking opportunities. 3) JETNET iQ RESEARCH serves the needs of clients with customized research and analysis requirements on a project-by-project basis. For more information on JETNET iQ, please log on to www.jetnetiq.com or contact Rolland Vincent, JETNET iQ Creator / Director at 1-972-439-2069 or [email protected].


About JETNET Since 1988, JETNET has delivered the most comprehensive and reliable business aircraft research to its exclusive clientele of aviation professionals worldwide. JETNET is the ultimate source for information and intelligence on the worldwide business, commercial, and helicopter aircraft fleet and marketplace, comprised of more than 100,000 airframes. Headquartered in its state-of-the-art facility in Utica, NY, JETNET offers comprehensive user-friendly aircraft data via real-time internet access or regular updates. For more information on JETNET LLC, please log on to jetnet.com or contact Paul Cardarelli, JETNET Vice President of Sales, at 800-553-8638 (USA) or [email protected]; for International inquiries, please contact Karim Derbala, JETNET Managing Director of Global Sales, at 41.0.43.243.7056 or [email protected].


jetnet iq q1 2014 snap! report · 2014. 4. 23. · business aviation summit () - it will be a...

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