In general, the on-demand private jet charter model provides better value. However, this holds true only if your broker ensures a backup option for every trip. This approach makes your flight just as reliable as a fractional model, but significantly more cost-effective.
Fractional models tend to be pricier, sometimes charging double the rate of a charter. Additionally, fractional flights can experience delays of up to six hours, making them both more expensive and less convenient.
The fractional model also limits flexibility. Clients are tied to a specific aircraft model and must continue to pay for it until they return. In contrast, private jet charters have a minimum trip time starting at just two hours, offering better value.
For instance, a client who usually flies with seven passengers might book a midsize jet on a fractional model. If they suddenly have 10 passengers, they would need to upgrade to a larger jet and incur penalties. With a charter, the client could simply book a larger jet without penalties and even switch back to a smaller one for the return trip if desired.
Is it more cost-effective to charter a private jet or use a fractional model for international flights?
Chartering is usually cheaper due to the availability of empty leg flights and floating fleets. An empty leg flight charges only for the direct journey, avoiding the cost of the return trip. A floating fleet uses multiple aircraft flying point-to-point, switching crews as needed, which saves money on return flights. Typically, the operator charges for flight time plus 40%.
Both methods are more economical than the fractional model. For example, flying from New York to London on a Gulfstream G-IV SP might cost $60,000 – $65,000 with a floating fleet, whereas the same flight could exceed $100,000 on a fractional model.
Which option provides access to more aircraft: private jet charter or fractional model?
Chartering offers greater flexibility. You can request specific aircraft models or ones that are only a few years old. There are more aircraft available under Part 135 charter than in all the fractional model fleets combined.
How does the quality of charter aircraft compare to fractional aircraft?
Fractional aircraft fleets are typically five years old or younger. Chartering allows clients to choose aircraft of any age, depending on their preference. For example, if you charter a large jet, you can select one with an enclosed rear cabin for privacy, unlike the Challenger 604 on a fractional model where you might have to sleep in front of other passengers.
What is the initial investment difference between on-demand private jet charter and fractional?
Fractional models require a substantial upfront investment. These are the following cost to consider when by fractional with Netjets:
- Your investment to buy the share
- Monthly Management fee
- Depreciation of the aircraft from 7% to 15% annualy
- 90 Buy-Back program percentage to add on
- Peak Period Days
- 10-15% additional costs for fuel, crew, etc
In contrast, the Jet Card membership model for frequent fliers requires a $100,000 deposit. These funds cover all flight costs and can be topped up anytime. There are no upfront costs or penalties with InsiJets’ Jet Card, and clients can withdraw at any time and get a full refund of unused funds.
What are the benefits of owning a fraction of a jet?
Clients pay more for the fractional model due to tax benefits associated with aircraft ownership. However, at the end of the five-year term, it often makes sense to renew and buy into another model to avoid taxes. For frequent flights under two hours or for those preferring a specific aircraft type, fractional ownership can be advantageous.
While fractional models are often perceived as more reliable, a good broker with backup flights can make chartering just as reliable.
How does client experience differ between on-demand private jet charter and fractional?
Fractional models tend to be impersonal, often directing you to a call center for trip scheduling. This means you’ll need to repeat your details and preferences each time, as you’re likely to speak with a different representative.
Conversely, when you book a charter flight through InsiJets, you are assigned a dedicated aviation expert. This expert gets to know your unique needs, your family’s preferences, and your business requirements. Whether it’s the age of the aircraft or the need for Wi-Fi, your flight is customized to suit you.
The quality of the crew and the service remains consistent between charter and fractional models.
How do food, safety, and amenities compare between on-demand private jet charter and fractional?
While fractional models may include perks like car service, this is built into the overall cost. Charters offer better value with itemized billing and more flexible amenities tailored to your preferences. Catering services are the same for both models, using the same companies, with additional charges for extra services.
Safety standards are also comparable. For U.S. charters, clients should request ARGUS Gold, ARGUS Platinum, or Wyvern-rated operators to ensure high quality. All trips with InsiJets meet these standards.
Beware of brokers offering unusually low prices without proper due diligence, as their pilots may lack experience.