Monday, May 29, 2006
Business Aviation: Air Charters Selling Empty Legs
Capitalizing on the trend for air charter operators to sell empty legs -- approximately 40 percent of flying in Europe alone -- to travelers, CharterMatrix.com is trying to bring the convenience of air charters to the general population. (RAN, May 15) CharterMatrix is selling those empty legs at a discount since the person who originally chartered the jet has already paid for the jet to return to pick him or her up. The company expects the trend -- little known to the average passenger -- to grow owing to the advent of the very light jets.
CharterMatrix.com allows travelers to search on interactive maps, "just pointing and clicking their way to a charter flight." The passenger clicks on the departure state for a list of empty legs departing the state. The site also offers region-to-region searches and other tools to help locate both air charter companies or private jets. It has also set up an auction concept for those not finding a flight. A passenger can submit his or her travel needs and charter companies can bid for them.
Indeed, owner Terry Cooper, a Gulfstream pilot, expects the market to grow by 100 to 200 percent annually once the VLJs come on line in a few years after being introduced later this year. "My company allows customers, charters companies and charter brokers to communicate," said Cooper. "I'm like Travelocity. CharterMatrix is the means of getting a trip into the hands of people who want it."
Targeting the first-class-passenger market, Cooper said this service makes more accessible. However, it would still cost between $3,000 and $8,000 for one person to take advantage of the empty flight that returns the aircraft to its base or who takes the flight back to pick up the original passenger. The per/person cost would come down as more people are booked on the same deadhead flight. The revenues earned defray the cost of the deadhead trip for the original purchaser. Terry Cooper, 714-969-1861

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