Aviation

With Zoom and its competitors enjoying something of an extended “moment” during the past year, as videoconferencing and webinars replace in person meetings and conferences, you may be forgiven for thinking that such platforms have always been here, so ubiquitous have they become during the COVID-19 Pandemic. While recognising the lifeline Zoom, Google Meet and other apps have offered for remote workers, there are inherent limits to what they can offer in terms of replicating real life experiences.
So, as parts of the world start to emerge from lockdown, will executives return to business travel – and in particular to private aviation – at the same levels they enjoyed pre-pandemic? Or will organisations see the cost savings offered by conducting meetings online and move to curtail executive travel?

On 2nd June, Quaynote`s half-day virtual conference, “Zoom versus Business Jets” will debate the attractions – and limitations – of doing business in a videoconferencing app as opposed to hopping onto a private plane to meet important clients face-to-face.

In the build-up to Zoom versus Business Jets, we asked conference presenters for their views. For Tom Chatfield, CEO, whose company Camber Aviation is officially supporting Quaynote`s conference, business is best done in person. “Collaborating on new projects, building partnerships and creating business opportunities begins with a conversation. Video conferencing allowed us all to communicate and continue to do business during over a year of lockdowns,” acknowledges Chatfield, “but I am convinced that business is best done “live”. This is how solid relationships and trust are built.”
Michael Farley, CEO & Founder at Outlier Jets agrees that in person travel will continue in the future, especially at the executive level. Recognizing that actually owning a jet is not appropriate for everyone, his company analyzes individual client`s travel needs to assess the best solution. “Sometimes the right solution is the occasional charter while other times the Outlier Jet Card or aircraft acquisition may be the most suitable answer,” explains Farley.
Some of those we spoke to believe that zoom works well for some types of meetings, but not for others. Tim Callies, an aircraft designer at Callies Grafe Design reports that his company has successfully met with clients and contacts over zoom during the pandemic. He does however draw a distinction when it comes to first meetings between the designer and client. “Especially when it comes to presenting the emotional, artistic part of the design (sketches, materials, shapes), we believe that a direct meeting is indispensable. Moreover, at a dinner together, it is not only the professional aspect that counts, but also the more personal, private aspect,” explains Callies.

There was some acknowledgement that the ability to cut costs might drive organisations to reduce business travel in the future and replace it with more videoconferencing. A more specific concern for the business aviation industry, however, is to do with the environment. “COVID has shone a spotlight on the role business travel plays in climate change,” says Toby Edwards, co-CEO at Victor. He continues, “So the trend may change but not because of video conferencing, rather because responsible businesses will avoid unnecessary travel in the future.” In other words, businesses are more likely to reduce their travel as a result of the environmental impact of flying, than due to cost considerations alone. Tim Callies also believes that what he calls the “Great Thunberg Movement” has helped to create sensitivity regarding the environment. “Corporations are keen to use environmental protection as a “trademark” towards their customers,” he notes.

Interestingly, organizers of leading events than serve the business aviation industry have seen their audiences double or even triple during the pandemic. “The virtual audiences we’ve created during the pandemic are significantly larger than the days when we just had in person meetings / events,” confirms Jeffery Lowe, CEO at Asian Sky Media. He points to concerns about health & safety, cost savings and higher efficiency as factors that continue to drive the trend for online shows and conferences.

So, do the advantages afforded by meeting clients and other key contacts personally far outweigh the costs? “Absolutely not. 2020 saw the best business jet transaction levels in at least three years, “asserts Lowe. “And all achieved despite a pandemic, with its quarantines, lock downs, travel restrictions, you name it. We all found ways to still connect with people and get business done.”
When all is said and done, however, there`s no denying that international travel opens up possibilities and creates experiences that are not possible via zoom. “Video conferencing is great to continue to build business relationships, but are a poor replacement for vacations,” points out Tom Chatfield. “Who wants to visit the Maldives, Italy or Jamaica virtually? There was lots of time to do that during lockdown – now people want to travel, to get out into the world and rediscover the joys of travel.”

There was praise for the UK CAA /DfT negotiation team and how it handled the block permits issue – from speakers Bernhard Fragner, GlobeAir. Derek Thomson, Air Charter Scotland and Glen Heavens, Synergy Aviation.

“They have been a role model for all,” said Bernhard and deserve applause. “We had a transparent three months as EU operators coming into the UK and as the deadline neared they gave Austria notice that they needed to have a reciprocal process in place for UK operators or it would be withdrawn, he said. Yet Austria delayed – only jumping into action at the end of March when it was clear the UK would not extend without such reciprocity.

We were then being cleared on a flight by flight arrangement and it’s complex but a reciprocal position (with UK) has now been reached. The Associations have been most helpful, he added.

There was some talk about the UK aircraft registry with Martyn Fiddler’s Adrian Jones talking up importing to the UK directly – to avoid paying EU tax. (Like Channel Islands and Guernsey). The UK is actually a good closing jurisdiction he suggested. “Have an MRO company on standby in the UK to assist should there be an issue,” he said.

Glen Heavens agreed, suggesting work should be done on this to raise awareness of the appeal of the UK registry.

You can read the full article below:

https://www.blueskynews.aero/issue-606/Brexit-the-UK-CAA-DfT-was-a-role-model-say-Quaynote-Webinar-delegates.html

“We`ve witnessed the single greatest wealth creation event of our lifetimes,” announced Paul Jebely, managing partner, Pillsbury, Winthrop, Shaw, Pittman Law (pictured at the bottom of this article), at Quaynote`s recent online conference, The Future for Superyachts, Business Jets and Luxury Property. “And apparently, there was a global pandemic,” he adds.

Whether it is individuals who have achieved new levels of wealth and now feel financially comfortable buying a business jet or superyacht for the first time, or those who desire the expediency and safety of travelling by private jet or isolating on a yacht during and after the COVID pandemic, there is now an array of new entrants in both markets and more cross-over than ever before.

So, if your ultra high net worth principal or client tells you they are thinking of buying a private jet for the first time, how can you assist them? Maybe you have already guided them in purchasing a superyacht but acquiring a business jet entails unique set of challenges and pitfalls that you and your client must successfully navigate.

Fortunately, help is at hand. We assembled a unique panel of international experts at The Future for Superyachts, Business Jets and Luxury Property who steered us through the process of buying a jet, from determining budget and whether ownership the right solution generally, to finance (and leasing) options, to aircraft operation, (re-) configuration, maintenance and preservation – and a great deal in between.

Before embarking on this journey however, how can you determine whether aircraft ownership is right for your client? Owning a jet is an expensive business, as we will see later on, so you and your client should consider carefully whether the benefits of ownership outweigh the costs. “Owning a business jet makes sense when you travel a lot, say 200-300 hours per year,” states Alexandra Asche (pictured below), European sales director at Global Jet Capital (Switzerland). If the client is travelling less than this, then it might make sense financially to look at other options like chartering a plane, rather than ownership.

You can read the full article here: https://www.onboardonline.com/superyacht-news/financing/my-client-is-buying-a-private-jet-now-what/