Jet card

A Private Jet Card is a private aviation product that enables holders to use different aircraft at agreed-upon fixed hourly rates. Jet cards are offered by large and small fleet operators and charter brokers.[1] On a jet card's pros list is convenience: Users don't have to exchange contracts or make payments each time they arrange a flight.[2] There are many as 65 variables between jet card companies, according to Private Jet Card Comparisons, a buyer's guide to jet card programs.

Traditional Jet Card programs are prepaid hours of occupied flight time on a given aircraft or size of aircraft.[1] Some programs include not only jets, but turboprops. The term “jet card” can also refer to prepaid private jet charter programs that have similar attributes.[3]

Virtually every private jet provider now offers some form of a Jet Card or membership option. Notable Jet Card providers include, Delta Private Jets, Flight Options, Airstream Jets, Marquis Jet (NetJets), Sentient, Jetsuite, Magellan Jets and Flexjet.[4][5]

Jet card history

The first Jet Card was created in 1997 by the founder of Sentient Jet, a charter broker located near Boston. The Jet Card was developed in response to the highly popular fractional ownership programs of the time offered by NetJets and Flight Options. The attraction to fractional ownership and ultimately the Jet Card was the consistency in pricing over charter and the reduced complexity of owning a jet, which were the only other options prior to NetJets. [6]

The term “jet card” was devised to create a marketing product for what equates to block on-demand charter.[7] There are over 250 Jet Card programs on the market, with the number of providers having doubled in the past 10 years.[8]

Jet cards offering turboprops and piston aircraft instead of jets are increasing. As of June 2018, there are 14 providers that offer turboprop and piston aircraft jet cards.[9]

Jet card types

Jet Cards have evolved from the original card in 1997 which simply made charter pricing more consistent by guaranteeing fixed hourly rates to membership programs which offer free or discounted empty leg/re-positioning leg flights and individual seats on private jet shuttles.

Here are some examples of the varying types of Jet Cards offered today:

  • The standard charter-based Jet Card - The most common type of jet card offered by charter brokers and operators. Customers pre-purchase hours or place money on account which is deducted at fixed hourly rates. Flights are sourced through the existing charter market.
  • Mileage-based pricing Jet Card - Pricing based on distance as opposed to time. Mileage-based pricing is transparent and quantifiable.[10] Airstream Jets’ Distance Card charges by distance rather than flight time and the farther you fly, the lower the per-mile cost.[11]
  • Dynamic Priced Jet Card - Customers place a deposit on account and receive options based on market availability. Customers may select specific aircraft and are not committed to a fleet or required to use their deposit within any specific time frame.
  • Capped Rate - A development from always paying a fixed hourly rate, customers are still protected with a maximum hourly rate but retain the ability to get lower rates dependent on market availability and notice given.
  • The fractional ownership jet card - Cards from Marquis Jet and FlexJet sell flight time in 25 hour increments on a specific jet type which is sourced from their fractional ownership fleets.
  • Owned fleet jet card - Popularized by XOJet, a charter operator with a fleet of Citation X's and Challenger 300's. The jets are configured similarly to increase quality and consistency. The fleet is backed up using the existing charter fleet during peak travel periods.
  • Jets by the seat - A new class which was popularized by JetSmarter offers individual seats on private jets for certain routes after paying an annual membership. The seats can come from empty leg/re-positioning legs and/or shuttle flights which are scheduled private jet shuttles. Additional fees often apply for these seats.
  • Custom Jet Cards - Launched in 2018 by several providers, including Air Charter Service, DashJet and Prive Jets, custom jet cards create programs tailored to individual customers, including standards for sourcing aircraft, lead-time for making reservations, service area and hourly or fixed segment pricing. [12]

As industry expert (and founder of Jet Card Comparisons) Doug Gollan explains,"While most jet card buyers typically focus around hourly rates, there are dozens of differences between programs, many that will impact what you will actually pay and which ones will best fit your needs. With over 50 providers and more than 300 offerings, here’s a quick cheat sheet that will help you focus on the policies and protocols that will make a difference for you. And while generally speaking, jet cards start at between 10 and 25 hours and entry-level jet card program deposits range from $50,000 to $150,000, remember the devil is in the details."[13]

Jet card cost

Jet Card purchase prices start at around $50,000.[14]

See also

References
  1. "Jet Card Guide". Sherpareport.com. Retrieved 2017-04-28.
  2. "Do you want a Jet Card to ride?". reuters.com. 2012-10-26. Retrieved 2017-04-28.
  3. "PRIVATE JET CARD COMPARISONS-Know before you buy frequently asked questions". privatejetcardcomparisons.com. Retrieved 2017-04-28.
  4. "Notable Jet Card Providers". bjtonline.com. 2014-08-14. Retrieved 2015-10-13.
  5. "Part 3: Who's Who In Private Jet Cards And Prepaid Private Jet Charter". forbes.com. 2017-04-12. Retrieved 2017-04-28.
  6. "The Evolution of the Jet Card". PriJet.com. 2018-03-29. Retrieved 2015-08-10.
  7. "The_Definitive_Guide_to_Supplemental_Lift" (PDF). NBAA.org. 2011-10-11. Retrieved 2015-10-09.
  8. https://privatejetcardcomparisons.com/ Private Jet Card Comparisons
  9. Private Jet Card Comparisons https://privatejetcardcomparisons.com/2018/06/17/these-14-jet-card-membership-programs-offer-turboprops-and-piston-aircraft/
  10. "DISTANCE CARD™ - Jet Card featuring distance-based pricing". airstreamjets.com. 2018-01-05. Retrieved 2020-01-29.
  11. "MORE WAYS TO TAKE OFF". bjtonline.com. 2019-03-28. Retrieved 2019-04-12.
  12. Forbes https://www.forbes.com/sites/douggollan/2018/12/04/custom-jet-cards-are-the-hot-new-fashion-trend-in-private-jet-travel/#1257e3485442
  13. Forbes https://www.forbes.com/sites/douggollan/2019/01/23/the-complete-guide-to-everything-need-to-consider-before-buying-a-jet-card/#1229ddd6609a
  14. "The Best Private Jet Cards". barrons.com. 2017-07-14. Retrieved 2017-09-19.
This article is issued from Wikipedia. The text is licensed under Creative Commons - Attribution - Sharealike. Additional terms may apply for the media files.