While there’s a wide range of ways for flying private, on-demand charter provides a commitment-free platform, thus adapting to millennial’s consumer behavior. Although their lack of brand loyalty poses challenges for the entire sector.
The use of technology has shifted how business is done today compared to 10 years ago. It’s so dynamic that a business model itself is irrelevant if the right use of technology is not paired with a product of service. Moreover, the perception of what are the important things in life is rapidly shifting, led by the millennial generation, a group of people that today are in their late 20s and early 30s, some with an important financial capacity thanks to successful entrepreneurship, others not quite due to choosing to live longer with their parents and more time spent on education. Although all of them are linked to the shared economy and the seek for new experiences.
What does that have to do with private aviation?
Well, private charter aviation made a global shift towards technology during the past 5 to 10 years. Company’s realized that a change was needed, and that clients weren’t picking up the phone to charter a jet, but rather were seeking those providers with online booking systems, instant quotes and various payment methods, even cryptocurrencies. All actions supported by millennials’ consumer preferences.
Early adopters they call them. Those willing to test your service as soon it becomes available and usually building trends if aligned with expectations. In this competitive and immediate shared economy, you better get it right the first time, or on to the next one offering the “same service”, one click away.
While there’s a wide range of ways of getting in a private jet; from owning an aircraft to membership cards, fractional ownership and on-demand charter, the latter separates from any other executive travel model because it puts the air charter provider on the spot to do best job on every flight, as the customer has no obligations to return to the service provider as compared to a long-term pre-paid jet card.
Millennials and on-demand charter
Private charter companies like Monarch Air Group, based in Fort Lauderdale International Airport, understand that they’re in a privileged spot because their business model favors millennials’ commercial behavior, although they also impose a great challenge from a brand loyalty standpoint, due to an overall lack of commitment. In on-demand charters, the passenger selects any type of aircraft, jet or turboprop, to any destination. Depending on the length of the stay, clients can arrange for the plane to wait for them, book a new aircraft or, if they are on a financial tour, book it for a week.
The customer also selects any number of passengers and there are typically no blocked dates and most times an aircraft can be made available within several hours of a charter request. Another advantage is the price; there are no membership fees, no need to prepay for hours or spend anything more than the flight itself. Again, flexible.
“The more the options for the customer the better service you will provide. In today’s shared economy, adapting to the trends is key to fulfil the expectations. Private aviation is about flexibility and not long-term rigidness as many players in this segment somehow offer as a trait. If you want to engage with this new, well informed and educated group of customers, you need to adapt to their needs and not the other way around. Brand loyalty will come as a result”, states David Gitman, President for Monarch Air Group.
Established in 2006, Monarch Air Group is a leading provider of on demand private jet charter, aircraft management and long-term aircraft lease. Among Monarch’s customers are Fortune 500 corporations, leading entrepreneurs, Government agencies and world leading NGO’s.