Private Jet Charter Investment or Lavish Expeniture?

With economic distress business travel should be controlled and contained, but the focus of some professionals has been to consider private jets as an unnessasary expense rather than an investment. Panic arised among the corporate world with media focus on lavish expenitures of private jet usage, one-liners from late night television attacking top executives expensing a private jet on the corporations dollar.

Of course around the globe businesses, politicians and even governments have been questioning the real benefits of private jet charter as a means of travel. More specifically they question is chartering a private plane for business travel a mere luxury, an expense they can afford not to invest in, or can they afford not to.

Just because a few executives got caught with their hand in the till sort of speak, executive private jet usage rarely represents the true nature of business travel. This panic catapulted the entire private jet charter industry, and the travel industry as a whole, into the limelight scrambling to keep those priavte jet charters in the air. They were faced with showing that in hard economic times that the old standard of face-to face meetings is still the way to close the deal.


What truley is at stake to recess versus progress is emense; nearly $193 Billion in foregone corporate profits, new net sales of $810 billion, 5.1 million jobs and $101 million in tax revenue.


On behalf of the NBTA, National Business Travel Association, IHS Global Insight presented the incremental return on investment associated with optimizing business travel to drive sales through these tough economic times. They accomplished this by estimated the incremental return on investment for 15 distinct industries and demostrated the following results.


■Business Travel Contributes to Sales: A significant and measurable relationship exists between business travel expenditures and sales volumes.

■Sizable Returns on Investment: An average incremental return on investment of 15:1; or for every dollar spent, the average company would realize a $15 increase in incremental profit resulting in increased sales.

■Returns on Investment by Industry: these returns vary across each of the 15 industry segments investigated by the study.

■New Net Sales of $810 Billion: Industry-wide movement to optimal travel expenditures levels could yield $810 billion in new net sales for 2009.

■Massive Stimulative effect on U.S. economy: Increasing travel expenditures to optimal levels would create $1.5 million new jobs and generate more than $101 billion in tax revenue.

As a result cutting private jet charter service as an unnessary expense, a significant important part of business travel, as well as the travel industry as a whole, illustrates how business travel reductions not only limit corporate profits, but are also dramatically impacting the U.S. economy.
 
Aeroshares Charter, LLC is an aircraft charter provider specializing in one way jet travel. Aeroshares Charter now owns Charter Auction and CharterAuction.com. AeroShares Charter is located in Portsmouth, NH (50 miles North of Boston). Please contact us at 800-961-JETS (5387) or by email at charter@aeroshares.com for great prices on all of your air charter needs!