Private jet charter cost is a determinant for most people who want to use a private jet to travel. Charter companies try hard to beat their competitors when it comes to getting the most clients. However, with high operating costs, it is difficult to reduce their charges and this means that customers will prefer booking from their competitors. It is therefore important for charter companies and private jet operators to know how they can reduce their operating costs to maximize profits and stand out from the crowd. Here are a few tips on how to reduce the operating costs of private jets.
Fuel
Kerosene is very expensive. Private jet owners and charters can save money by working with a broker. While a broker will need to be paid, he will be able to deliver low prices. When you get fuel at cheaper prices, you will be able to reduce the overall operating costs of your jet.
Airport
Before charter companies dispatch their jets, it is important to consider which airports they will be flying to. There are a lot of airports and private jets have access to more airports than commercial airlines. Because takeoff and landing charges differ from one airport to another, even if their airports are close to each other. Someone taking off and landing at Landon City airport will end up paying more money than anyone taking off and landing at any other airport in London. It is therefore important for a private jet charter to know the airports they can land into and advise their clients appropriately to save on operating costs.
Catering
You can reduce costs on a small scale. One simple way you can do it is through catering. If you order supplies from the VIP handling company of the airport, you will pay more. On the other hand, if your flight attendants go to the supermarket while you are at a business meeting, the drinks will only cost a fraction of the price. While charter companies can still use the airport’s services, they can also make their own arrangements to save on operating costs.
Maintenance
Charter companies should ensure that their jets are well-maintained since good maintenance always pays off both in terms of the jet’s value and safety. When a plane is maintained properly, the resale price is higher.
Accommodation
If you run a charter company, it is important to think of where your crew overnight. Do they spend in a 5-star hotel or a decent 4-star hotel? There is potential for saving when it comes to accommodation. However, it is also important to know that taking your employees to a rowdy 2-star hotel will make them dissatisfied and this will lead to unproductiveness.
Auditing
To reduce the private jet charter cost of operation, it is important to be regimented during auditing. This way, your costs will be under control and you will be able to find opportunities for saving. You should maintain an open book policy that will enable you to retrace your financial processes to the last detail.
