Plane Conversations

Part 4 in a Series on Social Media and Business Aviation: Written In Collaboration with Jay Deragon

Over the past few weeks I have posted several articles on social media – the new method of communicating to the market. I am an admitted novice in the world of social media and technology, but my eyes are starting to open to the possibilities created when social technology and business aviation collide.

We have discussed the opportunity social media presents to fight the war the airlines have declared on general aviation by getting our message out in an unfiltered way.  We have also discussed social media as a means to increase our visibility to the market as well as to communicate with that market in order to innovate and better meet its needs on its own terms. All of these are game changing strategies.

So now I want to ask some what ifs!

What if there was a social grid or network built for the purpose of becoming the e-marketplace for private and business aviation travel solutions? What if this social network allowed, encouraged and facilitated the market to come together to aggregate a demand that is currently outside of the supply that  traditional channels of distribution make available to the market?

What if the market could then go to the suppliers of private aviation and request trips or routes of travel where individual travelers could buy seats, filling the aircraft, driving the price down?  Maybe the price would still not be as low as mass transit airline travel, but still would be much lower than today’s pricing of private aircraft flights.

What if travelers could input their travel profiles into the social grid in such a way as to speak to the entire market and to form affinities around common travel patterns? Would travelers be willing to share their travel  information with the market in a profile, sharing where they go, when and how often? Would travelers talk to each other about their travel needs if those conversations led to more new, innovative and efficient travel solutions than have ever existed before?

What if all air charter providers and small scheduled airlines (niche airlines) could input supply into the grid, including empty legs?  What if on-demand charters were quoted instantly so that the market had real time visibility to the solutions they need? What if all of these suppliers could participate on a level playing field and in a system that costs the users only when a transaction takes place?

What if the other parts of the business travel supply chain were able to participate as well? Would the hotels, resorts, rental car and limousine services have an interest in participating in the grid?

What if private aviation operators could collaborate to create a bigger market?  What if we woke up someday and realized that we’ve been monopolized by technology controlled by some organization that isn’t even in our business? What if we all created a new collective “social grid” in which the general market of travelers realized they could use our system rather than the old commercial system?

What if we could collectively reinvent ourselves as an industry with the aim of serving the larger market? What would be required? Who would agree to collaborate? Who would agree that if we don’t, someone else will?  And we’ll all lose when we should have been leading all along?

If we could simply start to build a dialog around all of these questions what could we do? Should we do it? If not, then let’s not even try to answer these questions.  Let’s keep doing what we’ve been doing. Einstein once said “insanity is doing the same thing over and over and expecting different results.”  What happens if we all decide to be sane?

If you think we need to do something else then join me and invite others to join us in creating a new future where we can all win.

Who will jump into the dialog? Who will invite others to do so as well? Is there anyone out there?

Where are the answers to all of these “what ifs”? Could they be out there in the market of conversations that could create the new system that creates the answers?

The answers are out there in the minds of people wanting to create a new future. Are you one of them?

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In previous posts I have written about the greatest value proposition private aviation brings to the table – time.

Have you thought about how much time you really have and how you want to spend it?

Time is for sure a finite resource we possess.

So, let’s propose that on average we may live 80 years on this earth. If we do the math and calculate our resource of time using the measurement of hours then we have 700,800 units to spend. Unlike other resources we possess these units spend at a rate of 24 per day whether we want to spend them or not.

Now, I am pushing 50 years of age; so, I have already spent about 438,000 units of my time resource. As a percentage of the average human allocation of personal time resource ,I have about 37.5% or 262,800 units of my time left here on planet earth.  

Other interesting facts to bring into the analysis –

There is no guarantee that you or I will make the average. Some of us don’t get there and some of us exceed the average and none of us have much of a choice in the matter. We can take better care of ourselves, raising the odds of increasing the resource; but, we don’t have total control over it. For those out there who like to control everything that is a very uncomfortable notion.

The Bucket List

One of my favorite movies of the past few years is the movie “The Bucket List” starring Jack Nicholson and Morgan Freeman. Two guys of unequal economic status find themselves in a similar predicament - both diagnosed with a terminal illness, struck with the realization that their time is almost up.

Most of you reading this have seen the movie; so, you will know what I mean when I ask the question: What is in your bucket list? Morgan Freeman’s character in the movie came to a realization at the end of the story that maybe the best use of his time was spending with the people he loved the most. 

Can you understand the frustration people have when they are stuck in the airport terminal because of a flight delay or cancellation? I will bet you anything that sitting in  the Chicago O’Hare terminal on Friday afternoon is not on anyone’s bucket list.

What I will tell you in this post and future posts through stories and different points of view is that the value proposition private aircraft travel brings is in the form of time buyback.

Why do business travelers use private aircraft for the travel they must do to grow their business even when it may cost much more? Because more than anyone, the savvy executive understands the value of his or her time. They know that they don’t have enough time in the day to get everything done under normal conditions; and, they certainly don’t relish the idea of wasting time sitting in an airline terminal.

What’s it worth to be home on Friday afternoon with the most important people (MIPs) in your life? What would you pay to be sitting with them in front of the fireplace versus sitting in the terminal building with a group of frustrated travelers who want to be home with their MIPs?

I look forward to the day when we , in the business of private jet travel, can make it more affordable for those of you who value your time.

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Sometimes we wonder why people don’t understand what we are saying. Lots of time people wonder what are we saying. In these instances there is a gap in understanding who is communicating what and why.

Understanding comes from knowledge. When we talk to people who have specific knowledge about something that we don’t have sometimes it is difficult to put the conversation into context. Most of us try to put new knowledge into context with old knowledge we have. It doesn’t work.

The Mind Frame of Private Aviation

Ever had someone view a problem differently than those who have the problem? When you are not close to a problem sometimes your perspective sees things that those close to it can’t.  The reason is that paradigms, beliefs based on experience, become barriers to seeing things differently and, more importantly, paradigms inhibit innovation.

The news from private aviation and aviation in general is depressing. Airlines losing money, private aviation is upside down and inside out. If you haven’t noticed, many are believing things are as bad as they seem and communicating “bad news” to each other. Bad news begets bad news which reinforces beliefs that just propagate more bad news. On the other hand some ignore “bad news” and choose to believe it is only temporary and that good times will be back soon.  Then the harsh reality hits and the only reaction is “cut cost” so we can survive.  Sound familiar?

A Shrinking Market Doesn’t Expand

Have you seen the latest report from NetJets?  Not good, major cuts and reductions. This seems to be the flavor of the day and subsequently we will see many more doing the same. Why? Because the old market you’ve been serving is indeed shrinking and not likely to come back. So when a market shrinks you have basically two choices. Shrink with it or expand your market.

To expand a market you need two things. Innovation that improves your offering and a market that will consume your offering. Now when it comes to air travel there is an obvious market of consumption that is being fed by commercial airlines. Yet the experience created by that market is at an all time low.   The idea of commercial airline innovation is representative of what Southwest has done. Yet Southwest cannot effectively serve the entire market and the experience is still dreadful.

Improve & Innovate Private Aviation

As I watch and read the events unfolding in private aviation the solution seems obvious to me. Then again, I am outside the industry but that could be a good thing. As a strategist I see several things that must change in order for the private aviation industry to not only survive but thrive. These are:

1. Expand your reach. Most travelers have never experienced and are unaware of the value and benefit of private aviation. This means you must communicate but do so in the terms markets can understand. You must also become relational. In other words - drop the elitist attitudes.
2. Leverage technology. Technology is exploding daily. The technology is social in that it enables you to reach markets like never before. But the technology is only as good as your knowledge of how to use it effectively and efficiently.
3. Collaborate Rather Than Compete: If you all are chasing the same old market and that market is shrinking, then to expand, you must collaborate. Competing for a smaller pie means you all get less. Collaborate and expand your collective market by using knowledge about new models, methods and markets ripe for an alternative to commercial travel. This will require new thinking and that will require new knowledge. Learn together.
4. Innovate or Die:Let’s face it. Your model doesn’t work. Your capital is shrinking and you’re facing a slow but obvious decline. Innovation comes from thinking outside your existing system and working together to create new markets, new models and increased revenue for all. Innovation doesn’t come from silo mentality. It comes from collaboration and ideation. What is that? It comes from “collaborating with crowds.”
5. Don’t Wait For Tomorrow: A sense of urgency is needed and the current market ought to give you enough urgency to do 1 -4 above immediately. Tomorrow isn’t likely to bring you the markets you want, rather, they are waiting for you. The markets are waiting for you to change, move and communicate like never before.

If you are ready, say so. If you are not, well then, stand aside and let those that are change their minds and thus change your industry.

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Private aviation is feeling the effects of the economic downturn with growing job losses and plummeting business confidence. This has translated into cuts in private aircraft usage; so, many in the private charter brand category are looking for ways to reach the business market in a more cost-effective way. In a departure from traditional marketing practices, private aviation brands ought to be  increasingly turning to the web for promoting their proposition as well as seeking out new audiences that would like to find alternative ways to travel. The problem is that although private aviation businesses all have web presences now, many fail to realize the full potential of this new thing called social media.

Since private aviation is considered a luxury, one wonders whether  other luxury brands are using social media. According to the Luxury Institute the trend towards e-commerce is already happening in the US:

• In 2008, 33% of luxury brands had e-commerce sites.
• In 2009, 66% percent had e-commerce sites.
• Luxury consumers are individuals who make $419,000+ per year.
• 48% of them are on Facebook, and 14% of them are on Twitter.

How Does Private Aviation Stack Up?

While all private charter businesses  now have established websites, generally their approach to digital marketing (specifically, search, social & target marketing) is often sub-optimal and fails to unleash the full potential of this channel and the related technology. This is because the aviation industry has failed to educate itself as to the power of this thing called social media.  This is evident by:

• Insufficient senior management buy-in (e.g. formal corporate KPI’s for digital marketing)
• Organizational ‘silos’ causing disconnects between ‘digital initiatives’ and ‘physical initiatives’ – for example the industry continues to use old media channels and chases the same old audience rather than trying to expand the audience.
• Lack of clarity around the objectives (selling vs branding vs engaging) – this then reflects as a lack of an online strategy, leading to confusion and a total lack of knowledge and understanding
• Small marketing budgets, if any, allocated for online activities while still using expensive off-line channels to message a shrinking market of listeners
• Within the online budget, poor use of distribution tools and conversational content. The Aviation Industry needs education on various other channels that would produce much better outcomes (such as search and social).
• A tendency to consider this thing called social media as something buyers of charter service don’t use. Wrong again, the largest adoption of this new technology is from people in the age bracket of 45 – 55 and their average income is in the high six figures.  Does that sound like a market operators should reach?

From my prospective, while the private aviation industry moans about a depressed market, few if any show evidence of innovative ways to expand their market and reach a larger audience.  Many operators take the attitude that their service is too costly for the larger audience.  Really? Then how about leveraging a larger user base, fill your seats and subsequently lower your cost per seat, per leg?   Doing so would enable your market to expand and applying the innovation afforded by social technology would allow you to reach the larger audience efficiently and effectively.

There is an old saying “If you keep doing what you’ve always done you’ll get what you’ve always got but today you’ll get less.” How are those old ways working for you?  Not good huh? Then innovate!

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Destination: Wentworth Mansion, Charleston, South Carolina

Mode of Transport: Jetstream 32  

Closest Airport to Charleston: Charleston International Airport

When I first discovered that I would be traveling by private aircraft to Charleston, South Carolina, and staying in a historic mansion built in 1886, I knew this would be the most unique trip I have taken yet.  I’ve been to big cities like New York and Chicago, beautiful beach destinations like Destin, Florida, but I have never experienced the historic Old South.  What’s more, Charleston is among the country’s oldest cities.  With more than 300 years of history, Charleston has had many historic “firsts” – the first shots of the Civil War, the first decisive patriot victory of the American Revolution, the first playhouse in the nation, and the first museum in America.  So, it is fitting that I write about my “first” experience in this beautiful and charming city.

 I arrived, had my walking shoes on, and was ready to explore!  Charleston is made for walking. I started down at Waterfront Park overlooking Charleston Harbor.  The surrounding streets are residential, and it’s easy to imagine what life was like here 150 years ago. A walk along the waterfront will carry you past grand mansions to White Point Gardens (East Battery Street and Murray Boulevard). It was at this oak and palmetto lined sanctuary where townspeople watched the first shots fired on nearby Fort Sumter in 1861.  Historic forts are the most visited attractions in the Lowcountry area, and there are many ways to discover these and other gems of the city.  Indeed, the best way to enjoy the historic district is on foot or by bicycle. The city’s bicycle shops offer various types of rental vehicles – bicycles, tandems, and pedal carriages. There are also horse-drawn carriage tours and boat tours.  The themes of the tours vary from architecture, gardening, Civil War history to African-American culture and Jewish heritage. 

 History seems more alive here, somehow.  Perhaps it’s the cobblestone streets, the gas-lit lantern alleyways, or the beautiful, Victorian influenced mansions.  I was fortunate enough to stay in the charming, yet opulent, Wentworth Mansion.  Built in 1886, this mansion was the private residence of a wealthy cotton merchant.  Today, it features 21 luxurious rooms and suites, all with whirlpool tubs and fireplaces.  The most appealing feature of this hotel, one of the finest hotels where I have been a guest, is that the original look and feel of the residence has been preserved perfectly.  With hand-carved marble fireplaces, intricate woodwork, Tiffany stained glass windows and never-ending detail, you will most certainly feel like a lady or gentleman of an era gone by.        

The service at Wentworth Mansion is the best I have ever experienced – anywhere in the world.  This is a big statement, but completely deserved.  The staff are friendly, knowledgeable and on a mission to make your stay as delightful as possible.  I definitely recommend dining in their restaurant, Circa 1886.  Nestled in the gardens behind the mansion, in what was once the carriage house, Circa 1886 provides an intimate setting, first-class service and an exquisite menu.      

After exploring the city, shopping on wonderful Market Street, and relaxing in my magnificent hotel room, the only other thing that I HAD to do was visit the beach!  Growing up near the beach, and then moving to land-locked Tennessee, it is a given that I head to the beach any opportunity I have.  The Isle of Palms is beautiful, and the people there were friendly, as I know Southerners to be.  I found a new friend at the beach (Samson the Great Dane) and began to explore what quickly became my new favorite city.  Alas, Sunday brought  my time to head back home before my explorations were complete.

Some other time, Charleston, some other time.

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Private aviation uses the term “legs” to indicate lanes of travel from point A to B. In order to optimize the productivity of an aircraft the destination flight needs to be booked as well as the return flight. However, most return flights from B to A go empty and the originator of the charter has to pay for unused “legs and seats”.

Seems to me that such a scenario represents sub-optimization of the aircraft. Sub-optimization is a waste of an asset and increases the cost of using the asset; thus, limiting the market of users of the asset. Make sense?

Now if we examined new methods aimed at optimizing use of private aviation the answer lies in filing both legs, or expanding legs, and seats with business travelers wanting to go from different points within a “leg” to another point.  The model is exactly how commercial aviation maximizes sales of seats within legs they have determined as “used frequently” by the general public.

Applying New Methods To Private Aviation

Private aviation has a much larger reach in terms of probable destinations for business travelers.  The private aviation industry serves a larger scope of available destinations than does commercial aviation. The problem is that each operator runs their “legs and seats” in a silo of distribution and market awareness. Most operators serve regular customers and wait for the phone to ring to initiate a flight. In other words, operators usually wait until the market comes to them rather than going to a larger market of probable travelers needing to get to and from a destination.

Each private aviation operator runs a sub-optimized system and, given today’s economic climate, they are all feeling the reduction of old utilization models and have assets sitting around waiting to be used. The collective waste of all these sub-optimized systems represents billions of dollars annually and many operators will not survive.

What If?

What if there was a new system aimed at optimization of all available equipment, planes, legs and seats? What if  each operator’s individual system was effectively and efficiently communicated to the general market of business travelers? In other words, if an open source grid of  legs and seats were made available to anyone and everyone, and said grid was effectively communicated to the general public of business travelers, what would happen? The likely results would be the the ability to lower the cost of private aviation, which would expand the market to the general public of business travelers. Subsequently, operators would have the opportunity to optimize legs, seats and related assets. The general business traveler would be given the opportunity  for a much more efficient and accommodating experience than commercial travel and while saving time and money. While the cost may be slightly higher than using fixed routes on commercial aircraft, the time saving and experiential factor would easily justify the increase cost.

Sound crazy? Not really when you consider the power and reach of social technology which could easily communicate available legs and seats to a very large audience.  The technology to create an entire private aviation social grid is readily available and the use of social technology would provide the reach to the general business traveler.

Can you tell I want to go back to using private aviation vs. commercial? I am trying to stir thinking out of the box and collaboration for the benefit of all. Leadership and innovation would be needed to capture market opportunity. Does this make any sense?

What say you?

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This is part 2 in a series on Social Media and Business Aviation

Business Aviation is in a battle and the fight is over the business traveler.

The battle is against the airlines and those in politics and big media who have for economic reasons aligned themselves with the airlines. It is all about money.  That is what we are fighting over. The business traveler so coveted, yet mistreated, by the airlines spends billions a year on air travel and the airlines don’t want to cede the business traveler over to us.

We didn’t start the fight, they did.

All we did was come up with a better solution for certain travelers who need to get to their markets in a more efficient way. The other guys didn’t like it; so, they picked a fight.

The easy thing for the airlines to do would be to stop the fight and admit that they are what they are: Mass transit by air between big cities. There is nothing wrong with that. We need mass transit systems – airlines, trains, metro rail, and buses to get us where we need to go. Mass Transit works efficiently to move a lot of people to the same place at the same time. It doesn’t work everywhere in this country because it simply doesn’t exist in many parts of the country.   

I personally think there is enough room out there for the airlines and business and general aviation to peacefully coexist but the airlines don’t seem to think so. So we battle!

As I have stated in previous posts we have primarily been on the defensive in this battle defending our position and value to the market place. They attack and we defend. I have also stated that it is time we go on the offensive with our message. We have never had that ability before because it was always the small guys against the big guys and the big guys had more money and control over the message.  

So how do we go on the offensive?

Social Media!

We now have the ability to communicate our message, our value proposition, to the market like never before. The evidence is clear about this by the mere fact that you are reading this post. I am not a journalist. I am a CEO of a general aviation services company. Posting this blog gives me the opportunity to weigh in on the fight - to give my opinion and state my case for why my business should exist. And those who read what I say have the opportunity to agree, disagree, or add to the conversation by commenting on this site or writing their own post on their own blog site.  

I recognize that if I don’t communicate to the market with relevance and value and, more importantly, listen and respond to the market, I won’t be heard. I will be ignored.

As I have spent time trying to learn and understand this form of communication called the blog and social media ( and I admit to still being a rookie at this), I have discovered some interesting things that many of you may already know.

• I don’t see many CEOs for the airlines communicating directly to the market. To me, it looks as if they have outsourced their communications to Advertising and PR firms and are pushing the message out to the market without the feedback loop that social media offers.  For the most part, these guys are holed up in their offices trying to figure out how to survive.
• Southwest, Virgin America and JetBlue seem to be doing a pretty good job with using Twitter as a means to communicate fare sales, build brand loyalty and provide a feedback loop for customer service issues. The other big guys seem to be doing almost nothing in this area. Twitter is a good tool but it is not the be-all and end-all for communicating to the market.
• On our side of the battle, the associations that represent us have awakened to the power of social media and are taking it on with a zeal. I appreciate the ground breaking that these associations are doing to get our message out. It is starting to have an impact.  It is viral and it’s time we catch the virus.

However, I feel strongly that we cannot delegate our communications to the trade associations. They can lead the charge eloquently; but, if we are not in the battle with them, then it is a few voices against the powerful and well-funded voices of the opposition. It is no longer about who has the most money to buy advertising, politicians and big media. Money can’t control the message anymore unless we sit on the sidelines and let it.  

Here is how we win by taking the field in an offensive play.

If those of us whose livelihoods and jobs depend on the prosperity of business aviation will start communicating to our markets through this great new tool called social media, we will force the other team out of the battle. Let’s connect to our friends on Facebook and Linked In, and twitter our message and write blogs on our value and comment when others write for us and against us. Let’s encourage our peers in the industry to join in! Let’s listen to the market of travelers who are desperate for better solutions and give them what they want. When we do that they become our voices in a more powerful way than we can be. The market’s voice is heard when they spend their money.   

There are thousands of small businesses and large businesses in this country and around the world that exist because of  value that business and general aviation brings to the economy. Can you envision thousands communicating though social media the value of what we do and the other side, although well-funded and powerful, letting their message be advertising? They can’t buy their message anymore though advertising! No one can.

The  power is no longer concentrated in the hands of a few when it comes to communications. It is now in the hands of the market. If the numbers are true, and there a 1.2 million of us out here in the US who make our living supporting this mode of travel called business and general aviation, then we are not just the supplier to the market, we are also part of the market.   

Battles can be won with words. Edward Bulwer-Lytton said “The pen is mightier than the sword.” Or could it now be that the blog is more powerful than the dollar?

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I have been blessed and cursed at the same time. As a management consultant the use of my time is the critical elements that fuels my personal economy. Early in my career I decided that having a private plane was a valuable tool in saving me time and allowing me to be more productive.

I started out using a single engine Cessna then quickly moved up to an MU2 for speed and distance. Then I went to a Lear 25 and the last aircraft I had was a Lear 35. Over a period of roughly ten years I became accustomed to the luxury and utility of having my own aircraft to take me where  and when I wanted to go. To say the least the experience spoiled me and after selling my business I could no longer afford or justify having a plane for personal or professional use.

Back To Commercial

After taking some time off from the business world I decided to get back in the game. Being back in the game ultimately means travel is inevitable. They say “once a consultant always a consultant“ and so I find myself back into consulting but focused on helping organizations use  social technology for business purposes.

Over the last five years I have had to travel frequently and unfortunately it has been on commercial airlines. To say that the experience is a big time waste and anti-social is to put it mildly. Commercial air travel is at its lowest point of experience and efficiency.  I am sure everyone can and will relate.  So I ask and desire to go back to private aviation but seek ways to do so without the traditional excessive cost of ownership.

Private Aviation Needs To Change

The private aviation industry, like all industries, gets stuck believing in old business models and subsequently fails to see alternative models. Business models change as markets shift. If you haven’t noticed all markets are shifting not only because of the old economy but because of a new economy.

The new economy is about communication, deep and wide. The new economy is being transformed from the fundamental way we are revolutionizing communications. Communication is the foundation of society, of our culture, of our humanity, of our own individual identity, and of all economic systems.  Communication, and its ally computers, is a special case in economic history. Not because it happens to be the fashionable leading business sector of our day, but because its cultural, technological, and conceptual impacts reverberate at the root of every business including private aviation.

Private aviation is no longer in the business of just flying rather it is in the business of communications using every kind of media available. Think about it. The industry uses terms like “legs, charter, FBO’s” and a host of other nomenclature that most people don’t understand.  Given the current economic pressures on private aviation operations one must ask “how, what, when, where, why and whom are they communicating to?”.  It seems that most are communicating to the same limited and depressed market of existing private aviation users.  How is that working for you? In other words everyone is chasing a smaller piece of an old pie rather than working together to increase the size of a new pie and making it available to more people.  Get it?

Wouldn’t it make sense to expand the market of private aviation users? To do so operators would have to work together to find ways to lower the overall cost of private aviation. What if all those empty legs and available seats were made available to the general public? Could you communicate and fill the planes at a per seat cost rather than a “total plane cost”? If you did would the public opt in for a seat?

You could and the public would respond and quickly become spoiled by the experience. However, to optimize the use of planes you’d have to cooperate with every operator and help each other optimize the entire system. That may be hard to do unless the industry begins to think differently and agrees to collaborate. Who is willing to try? If you don’t you’ll end up fighting for what you currently have which is less.

Somebody please help me get back to private aviation. Got any empty seats?

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 In a recent New York Times article, Jane L. Levere  discusses the plummeting demand for business and first class travel seats on the world’s major airlines. The recession we have been in for the last 6 quarters has forced most of us to rethink the value proposition of every dollar we spend and travel is not immune to the rethinking process.

The NYT article says “‘In building up their premium classes, airlines have been building themselves a castle in the air that’s ultimately unsupportable,’ said Peter Morris, the chief economist in London for Ascend Worldwide, an aviation consulting company. ‘Unless the business world carries on expanding its needs for these services, the castle, to some extent, will come crashing down.’ ‘With cuts in corporate travel budgets, there is now much less willingness to pay up to eight times the fare on long haul for the extra legroom and Champagne offered by business class,’ he added.”

The article goes on to say:  ”Airlines charge a lot more to sit in the front of a plane. Consider these prices that United Airlines charges for a round-trip flight between O’Hare International in Chicago and Hong Kong. An economy-class seat is listed at $810, a business-class seat at $8,770 and a first-class ticket $17,524. For what it calls Economy Plus on that flight, the price is $1,068.”

Did they say eight times the fare to ride up front?! Or is it seventeen times? Lets just go with the eight times for now.

What do I get for an eight times multiple of the back of the bus fare?  I get more space, but not eight times more space.  I get a good meal and nice wine or even champagne and friendlier service, for sure.

Here’s what I don’t get for the eight times multiple – I don’t get there any faster.

I still arrive at the same time the poor guys in the back arrive.  I don’t skip the security lines (okay maybe I get to go in the fast lane in some places) and I still have to take my shoes off as I go through the metal detector.  I can’t always go non-stop.  I still get to experience the joys of big hub airports.  And when the flight gets delayed due to traffic congestion at the big hub airport,I still get to sit and wait.

Even though I am in the business of private aviation, I still ride the airlines since sometimes from a price standpoint it just makes sense.  On a rare occasion, I have ridden in the front of the bus.  It is nice.  But not nice enough to pay an eight times multiple – at least in my humble opinion.

As we come out of  a recession and money starts flowing again, my prediction (which the airlines and industry experts will agree with) is that the premium seats up front are not going to sell as well as they used to at that unrealistic multiple of pricing.  Travelers need more than legroom and nice champagne for that price.

What they really want is more of their most precious commodity. Time! And that is the one thing the airlines cannot deliver any better today than they have been able to do in the past. In fact, with increased hub traffice, they are only going to get worse in the time savings category.

For all of you who are rethinking the value proposition of the seats up front in the mass transit system we call the airlines - take a look at private air transportation in all of its forms.  We can give you the leg room and the champagne and privacy.  But most importantly, we can give you back your time.

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General Aviation has been playing defense, but it’s time to put the offense on the field.

It seems that our industry of general aviation (everything that has to do with airplanes but the airlines) is constantly under attack from certain segments of the press, the airlines and politicians.  Airlines don’t want general aviation to succeed because they see their most profitable customers running away in droves to find better solutions.  One of those solutions is the use of private aircraft.  Maybe the airlines should figure out how to take care of their customers instead of spending time trying to kill all the other alternatives.

The groups that represent us such as NBAA, NATA, GAMA and AOPA have done a good job defending the value of general aviation in this country and what our side of the industry of air travel represents in terms of jobs and productivity in the economy.  With the exception of the No Plane No Gain Campaign, we have had to be on the defensive so far.  Why?  Because we didn’t have a means to get our message through on a day to day basis and we were at the mercy of the mainstream media.

It’s time we go on offense instead of hunkering down in the corner of the ring and waiting on the next punch.  I believe we need to start throwing a few punches ourselves.

I find interesting a recent comment by Jonathan Ornstein, CEO of Mesa Air Group, in the September 17  USA Today article about federal funding for non-airline airports.  Based on his history, his comment that ”congressmen are spending millions building runways at these little airports.  That is just a complete waste of money,” seems a little hypocritical to me.

Mr. Ornstein has built one of the most financially successful regional airlines in the world.  In the humble beginnings of Mesa Airlines, and for many years after, he took advantage of the government subsidy program called Essential Air Service (EAS), which is funded through the US Department of  Transportation.  In short, this program provides subsidies to airlines who fly into small airports that cannot support airline service on a purely free market basis.  The same little airports that were once and may be again, the very ones he deems a “waste of money.”

Congress continues to fund EAS each year based on the logic that small communities need air service for economic development.  If you are hours away from a large airport with commercial airline service, how are businesses going to get to your community to do business?  It’s about jobs and economic development.

So when it is convenient for Mr. Ornstein, he has no problem taking advantage of government subsidy to grow his business but when it is not, he finds it a “complete waste of money.”  He has a right to his opinion but it seems clear to me that his opinion is self-serving for his business and not based on the facts and the bigger picture.  The facts demonstrate that both small and large airports benefit the economic development of the communities they serve.  He should reflect a little on how he built his business and whether he was bringing value to those small communities across the western US when he served those EAS markets, all the while making a profit at the expense of those of us who pay our taxes.

I, for one, am glad he made a profit serving those communities; but, I am just getting a little tired of the hypocrisy of these airline guys.

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