Charter & Other Nonscheduled Air Transportation Services
- ID: 1052614
- August 2015
- Region: United States
- 10 pages
- First Research
Brief Excerpt from Industry Overview Chapter:
Companies in this industry provide on-demand, nonscheduled domestic and international transportation of passengers and cargo. Major companies include US-based Air Transport Services, Atlas Air Worldwide, and NetJets, along with CHC Group (Canada), Thomas Cook Airlines (UK), Thomson Airways (UK), and VistaJets (Switzerland).
The US air charter services industry includes about 2,300 companies with combined annual revenue of about $14 billion.
Demand is driven by corporate profits and the needs of the US military. The profitability of individual companies depends on effective marketing and customer service. Large companies have advantages in fleet size and name recognition. Smaller companies can compete effectively by serving small local markets and offering lower prices. The industry is concentrated: the 50 largest companies account for about 65 percent of industry revenue.
PRODUCTS, OPERATIONS & TECHNOLOGY
Major services include domestic passenger travel (about half of industry revenue in the US market) and international passenger travel (20 percent). Other services include domestic and international freight transport and specialty flying services such as air ambulance and firefighting support.
Charter flights are used by wealthy individuals, large corporations, sports teams, the US military, and government agencies. In general, charter flight is more flexible, extensive, and efficient than traditional commercial air travel. Air charter planes have access to about 5,000 general aviation airports; scheduled commercial aircraft are restricted to the 500 US commercial airports, according to the General Aviation Manufacturers Association (GAMA).
Charter aircraft include small piston prop planes; helicopters; turboprop... SHOW LESS READ MORE >