Today we talk about a special segment in aviation, the business jets. It is a multi-million-dollar business that is expected to grow by 2030 due to the emergence of e-VTOL and other factors like the desire of people to get faster to their destinations if they can afford it. The biggest growth in this segment is found in North America and this can be attributed to the presence of a large number of high-net-worth individuals coupled with the existence of major business jets manufacturers such as Textron, Bombardier, Gulfstream Aerospace, Piper Aircraft and even Boeing, which has a specialized branch inside the company called Boeing Business Jets (BBJ). Moreover, there are many active airports in North America and, due to the large distances between major cities, some people prefer this means of transportation rather than commercial flights. Other companies like Embraer, Dassault and Airbus are also providing business jets for private individuals or to rental companies.
These airplanes are characterized by type: light, mid-sized, large or airliner. The larger segment dominated the market in 2021 with a share of 27% and a revenue of 7.64 billion dollars. Currently, Boeing Business Jets and Airbus Corporate Jets are transforming usual jets like the Boeing 737 or Airbus A320 in luxurious private jets.
A lot of criticism was raised towards some of the people that went by airplane to a climate conference in 2021, when 118 private jets landed in Glasgow and Edinburgh. Some of them responded back saying that they used sustainable aviation fuel which produces less emissions. The prediction is also that eVTOL aircraft will replace the traditional helicopter in big cities like New York, Singapore, and London. The COVID-19 pandemic has also greatly impacted the aviation industry, leading to stringent airport rules and a preference for business trips. This factor also accelerated the growth of large private jets. Passengers who used to fly first class on a commercial airline have now increasingly switched to private flying. Honeywell’s survey showed nearly 74% of new private flight users expect to keep the same level of flying in 2023 as they did in 2022. Honeywell also forecast up to 8500 new business jet deliveries worth $274 billion from 2023 to 2032, up 15% from last year’s outlook, while usage in 2022 is expected to climb 9% higher.
To sum up, the business jet market is still growing, and it is one of the few markets that grew during the pandemic, so it is a good idea to think about working in this domain.