COVID-19 has immensely impacted commercial travel due to customers current fear of travel. However, these factors have caused changes in private aviation demand, a sector that has seen immense growth as a result. More guests want to fly private to avoid airports where transmission is more likely.
Many companies have introduced incentive flying programs as well to offset buyer weariness. FET tax has also been suspended the rest of 2020 which is another advantage to flying private during this time. President and Cofounder of Alliance Aviation Group, Christopher Tasca provided insight on changes in private aviation demand due to COVID-19.
“As a result of the COVID-19 pandemic, some providers in our industry have ceased operation, even filed for bankruptcy. Here at Alliance, we saw this as an opportunity to further procure our network of dedicated aircraft, aside from the fleet we own and operate, our partners are our brand. We are happy to report we have added new partners to this network, that operate the Phenom 300, Challenger 300/350 and Global 5000. In addition to the added inventory for our members and charter customers, the federal excise tax forgiveness highlighted in CARES program decreased the cost of travel for the remainder of 2020 by 7.5%.”