Global Business Jet Rental market is projected to grow at a CAGR of 17.50% during the forecast period to reach US$21660.04 million by 2029, from US$7005.679 million in 2022.
A business jet refers to an aircraft that is turbofan-powered and is intended to transport small groups of people. Based on the aircraft type, the market is divided into light jets, mid-size jets, and large jets. Some of the most prevalent types of business jets are single-pilot airplanes, propeller-driven jets, turbine aircraft, and piston jets.
These aircraft are usually used for business trips, leisure travel, short-haul flights, and VVIP transportation by individuals, and also by private and government organizations. They can also be transformed for various objectives, such as rapid parcel delivery, emergency evacuation, and military cargo transportation.
As airline travel becomes remarkably stressful, tiresome, and time-consuming due to an escalation in the number of customers every day, a huge quantity of customers are starting to favour business jets for travel because of its benefits. Such enhanced demand is expected to favourably impact the business jet rental market as well.
Moreover, the advantages offered by business jet rentals, such as fewer people, lack of crowds and queues, high hygiene levels, direct flights, and flying as per one's schedule, contribute to the growth of the market. The introduction of new aircraft programs, coupled with a growing number of high-net-worth personnel, is anticipated to propel the growth of the market.
Additionally, more than 91 lakh passengers benefited from the Digi Yatra facility. These statistics underscore the rapid expansion of the aviation industry, thereby contributing to the overall surge in demand for the business jet rental market.
There are several cities which are not well connected in terms of ease of travel. Certain areas lack airports and aerodromes; others lack convenient landing space; and still others are inaccessible from city limits.
In the Private segment, individuals or corporations directly rent jets for their specific requirements, circumventing operators. On the other hand, in the Operators segment, companies possess and manage fleets of business jets, providing charter services to clients.
Moreover, huge domestic investment and customer spending are also among the factors boosting the expansion of this market in North America. The regional business aviation network, including producers, suppliers, dedicated airports, and Fixed Base Operators (FBOs), has observed rapid expansion, making it one of the most attractive regions for business aviation across the globe.
In addition, the availability of airports across the region facilitates business travel with ease. As North America is the largest region by area, business travelers must opt for the speediest mode of transport to save time. This further results in the growing demand for business jets.
A business jet refers to an aircraft that is turbofan-powered and is intended to transport small groups of people. Based on the aircraft type, the market is divided into light jets, mid-size jets, and large jets. Some of the most prevalent types of business jets are single-pilot airplanes, propeller-driven jets, turbine aircraft, and piston jets.
These aircraft are usually used for business trips, leisure travel, short-haul flights, and VVIP transportation by individuals, and also by private and government organizations. They can also be transformed for various objectives, such as rapid parcel delivery, emergency evacuation, and military cargo transportation.
Market Drivers:
Technological advancements as a growth driver:
Technological advances in the aviation sector and interior cabin products are anticipated to make this growth probable and successful. As business jet rentals are being used for more than one activity now to meet the different needs of individuals, people are gradually apprehending their advantages. These jets provide comfort, optimum performance, convenience, ease of travel, and shorter fleet time, and hence are hugely adding to their enhanced demand.As airline travel becomes remarkably stressful, tiresome, and time-consuming due to an escalation in the number of customers every day, a huge quantity of customers are starting to favour business jets for travel because of its benefits. Such enhanced demand is expected to favourably impact the business jet rental market as well.
Moreover, the advantages offered by business jet rentals, such as fewer people, lack of crowds and queues, high hygiene levels, direct flights, and flying as per one's schedule, contribute to the growth of the market. The introduction of new aircraft programs, coupled with a growing number of high-net-worth personnel, is anticipated to propel the growth of the market.
Increasing aviation demand in developing economies:
The rise in disposable income coupled with advancements in aviation infrastructure is driving the growth of the global business jet rental market. Government data from India indicates significant developments in the aviation sector in 2023, with the inauguration of 60 new regional routes and the awarding of 54 new RCS Routes under UDAN.Additionally, more than 91 lakh passengers benefited from the Digi Yatra facility. These statistics underscore the rapid expansion of the aviation industry, thereby contributing to the overall surge in demand for the business jet rental market.
Market Restraint:
Lack of adequate infrastructure:
A considerable challenge for the business jet rental market is the lack of infrastructure in several nations. Developing economies such as Nigeria, India, China, and Malaysia have the potential market for business jet rentals, but the infrastructure of these countries makes it unsuitable for the business jet rental market to grow.There are several cities which are not well connected in terms of ease of travel. Certain areas lack airports and aerodromes; others lack convenient landing space; and still others are inaccessible from city limits.
The global business jet rental market can be segmented into Private and Operators.
The worldwide market for renting business jets can be categorized into two main end-user segments: Private and Operators.In the Private segment, individuals or corporations directly rent jets for their specific requirements, circumventing operators. On the other hand, in the Operators segment, companies possess and manage fleets of business jets, providing charter services to clients.
North America is anticipated to hold a significant share of the global business jet rental market.
North American market is expected to account for a notable share in terms of revenue and is anticipated to continue its dominance over the market throughout the forecast period. The presence of leading players and the widespread adoption of private jet rentals among end-users, particularly in the US, are factors driving the growth of the market in this region.Moreover, huge domestic investment and customer spending are also among the factors boosting the expansion of this market in North America. The regional business aviation network, including producers, suppliers, dedicated airports, and Fixed Base Operators (FBOs), has observed rapid expansion, making it one of the most attractive regions for business aviation across the globe.
In addition, the availability of airports across the region facilitates business travel with ease. As North America is the largest region by area, business travelers must opt for the speediest mode of transport to save time. This further results in the growing demand for business jets.
Market Developments:
- November 2023- Victor, Europe's premier on-demand jet charter company, announced that it had been successfully acquired by an Abu Dhabi-based Aviation Investment Group. The acquisition represented a natural progression in Victor's quest to become the foremost on-demand private jet broker globally. With backing from its new shareholders, Victor was now positioned favorably to pursue growth, enter new markets, and solidify its standing within the industry.
- March 2023- Vista acquires Jet Edge. Vista announced that it had agreed to acquire the private aviation services platform of Jet Edge, the fastest-growing North American charter operator. At the time of the announcement, Jet Edge had a run rate of 60,000+ yearly flight hours, exclusively in the large-cabin and super-midsize category.
- February 2022- Vista acquires Air Hamburg. Vista expedited industry consolidation by acquiring Air Hamburg, Europe's premier charter operator. Air Hamburg had established itself as one of the most reputable full-service private aviation companies, serving over 1,000 destinations in Europe alone. It held the distinction of being the largest private jet operator in terms of flight volume across Europe.
Market Segmentation:
By Type
- Light
- Medium
- Large
By End-use
- Private
- Operators
By Geography
- North America
- USA
- Canada
- Mexico
- South America
- Brazil
- Argentina
- Others
- Europe
- Germany
- France
- UK
- Spain
- Others
- Middle East and Africa
- Saudi Arabia
- South Africa
- Israel
- Others
- Asia Pacific
- China
- Japan
- India
- South Korea
- Indonesia
- Taiwan
- Thailand
- Others
Table of Contents
1. INTRODUCTION
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET DYNAMICS
5. GLOBAL BUSINESS JET RENTAL MARKET BY TYPE
6. GLOBAL BUSINESS JET RENTAL MARKET BY END-USE
7. GLOBAL BUSINESS JET RENTAL MARKET BY GEOGRAPHY
8. COMPETITIVE ENVIRONMENT AND ANALYSIS
9. COMPANY PROFILES
Companies Mentioned
- NetJets
- Wheels Up
- VistaJet
- XO global LLC
- Magellan Jets
- Jettly
- JetSuite
- Victor
- GlobeAir
- Oxygen Aviation
Methodology
LOADING...
Table Information
| Report Attribute | Details |
|---|---|
| No. of Pages | 124 |
| Published | March 2024 |
| Forecast Period | 2022 - 2029 |
| Estimated Market Value ( USD | $ 7005.68 Million |
| Forecasted Market Value ( USD | $ 21660.04 Million |
| Compound Annual Growth Rate | 17.5% |
| Regions Covered | Global |
| No. of Companies Mentioned | 10 |
