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Jet card prices rise while usage rules ease

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Jet card prices rise while usage rules ease
Policy
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Aviation International News | Aviation International News

According to recent research from Private Jet Card Comparisons, the prices for fixed- and capped-rate jet cards with guaranteed availability have increased by 1.8% in the first half of 2024. Despite this rise, sellers have eased usage conditions by reducing peak days, lowering daily minimums, and shortening lead times for booking charter flights.

Doug Gollan, president and editor-in-chief of Private Jet Card Comparisons, described the situation as mixed: “It’s a good news, bad news situation,” he said. “After declining from their 2022 highs in 2023, jet card pricing has now stabilized and is inching back up.”

The study found that the average hourly price for jet cards at the end of the second quarter was $10,953. This figure is 6.8% lower than in the fourth quarter of 2022 but remains 30.3% higher than late 2020 when the CARES Act waived the federal excise tax of 7.5%.

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Compared to pre-COVID levels in 2019, hourly rates are now 23.6% higher. However, daily minimums for light, midsize, and super-midsize jets have continued to decline below those of 2019, offering cost benefits for shorter flights.

Gollan noted that these changes are significant for certain customers: "Short flights to avoid connecting in airline hubs or long drives are a popular reason to use private jets, so the decrease in daily minimums is important for those customers."

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