New beginnings and Old News

It has been almost two years since my last blog posting. Lots of exciting changes during that time.

We are coming out of arguably the worst economic downturn of the jet age, and continue to fight uninformed opinions that general aviation is merely a symbol of luxury and excess. Political campaigns have even been based on this uninformed view, and people such as New Mexico’s Governor Susana Martinez selfishly deprecate private aviation as a symbol of  “waste and excess”…I’m sure the vast number of New Mexico’s residents employed in the aviation industry would disagree with the good Governor.

JetBlue or JetBoo?

I’m an airplane guy. I enjoy flying them, I enjoy flying in them, I enjoy talking about them. I suppose that is no secret, considering the topic of this blog.

Private jets and corporate air travel as a whole have hogged much ink as of late with multitudes of accusations, rebuttals, finger-pointing stints and such being broadcast via every media form imaginable. Of all the hype of late, perhaps none has been harder to ignore than the deafening silence of the “big 3″ CEO’s as they hung their heads and cowered instead of defending their business use of private aircraft as a necessary tool to conduct their business. So have they stopped using private air travel after their meetings in Washington? Of course not. It is a necessary business tool that they cannot do without…JetBlue disagrees.

JetBlue launched a comedic online campaign targeted at CEO’s in an attempt to lure them out of business aircraft and onto their commercial airline. The website is: WelcomeBigWigs   They depict helpless CEO’s as they attempt to book and check-in to their commercial flights, which JetBlue says, will give them the same access at a much cheaper cost.

National Business Aviation Association (NBAA ) President & CEO, Ed Bolen, isn’t laughing. He recently sent a letter to JetBlue President & CEO, David Barger, asking that he withdraw the false and maligning ads immediately. Bolen goes on to say in his letter that: “The online advertising campaign produced by JetBlue overlooks the fact that the people and companies in business aviation are among the airlines’ best customers,” Bolen said upon sending the letter. “Equally important, the ads disparage an industry that creates more than a million jobs and provides a lifeline to communities across America’s heartland – many of which aren’t served by JetBlue…”

One of the more interesting points presented by Bolen was that “NBAA’s Members purchase over $11 billion worth of commercial airline tickets annually.” Seems that while NBAA members do use their aircraft for business travel, it is not their sole means of transportation. If that doesn’t scream efficient use, I’m not sure what does.

While I agree with the points Mr. Bolen presents in his letter, I can’t fault JetBlue for a creative and timely advertising campaign. Don’t be naive about their supposed “attack” on general aviation – they know they aren’t going to draw very many executives away from using their best business tools, but what they have done is create additional brand awareness that will likely translate to more leisure bookings. In an economic time that is challenging to us all, strengthening and growing your brand is essential for survival. Just ask Richard Branson.

While clearly biased and full of holes, I applaud JetBlue’s creative approach!

Defending your jet

I came across an article from a few months ago, published in Business Jet Traveler and thought I’d share. I have copied the best section, below.

For years (if not forever) corporate users of business aviation have seemingly taken a vow of silence about the value their airplanes bring to them. That’s a mistake. Instead, you should prepare yourself and others who use your corporate aircraft so that you can all speak truthfully and confidently about the benefits these important assets provide to your company.

“The only people who really understand the value of business aviation are the ones who use it,” said Jeff Agur, managing director of the VanAllen Group, another aviation consulting firm. “To hide after something like this [the events in Washington] and hope it will all go away is simply not going to work.”

I personally make sales calls for work. A public city bus cannot get me to all of my clients’ offices. A bus runs on a schedule – not one that works for me. I need a personal car to do my job efficiently. The use of a private car allows me to bring revenue to the company more efficiently. I will stand up to any congressman or senator who questions my need of a personal car.

Maybe I should be a CEO…Job offers accepted!

Coach John Wooden is right…

It seems that a day doesn’t go by without seeing or reading something in the press about corporate aircraft. They’re either being touted as a company’s best tool, or slammed as excessive capital expenditures used as executive perks. So what are they, in fact? Well truthfully, they can be both I suppose…but in this day and age, the misuse of corporate aircraft is such a small percentage in relation to the amount of positive ROI that aircraft contribute to the bottom line of a company. I can’t help but ask myself then, why there are CEO’s and other company leaders out there who are scared (I’ll say it again, scared)  to admit to their shareholders that they are using every tool in their arsenal to help advance their companies’ interests? Why does it matter if the business tool is new customer relationship management software, an updated marketing campaign, or the company’s use of private aviation? As long as these tools  are helping the company grow and earn more revenue, then why would a CEO cower and not defend their use of that tool?  I think it comes down to character. A CEO can chalk it up to “…oh, it’s a sensitive topic right now” or “…airplanes are bad for our image” but in my humble opinion it comes down to one’s leadership ability. We need more leaders who will stand up during tough times, and not apologize for working efficiently – pushovers have no business at the top.

At the risk of sounding cliche, I leave you with a quote that sounds like something Coach John Wooden would have said: “Adversity doesn’t build character, it reveals it.”

It bothers me that too many companies are being run by short-sighted individuals, willing to cave to pressures they know aren’t accurate or informed.

In the Press.

There’s no doubt that if you are reading this blog, you’ve also been paying attention to the lambasting that business aircraft have received in the last while courtesy of lawmakers, journalists and general “experts” of I’m-not-sure-what.

While I feel like composing a lengthy verbal attack on these nay-sayers, I will stick with with providing you with the opinion of others…much smarter than me.

The first opinion I want to share is from someone who is stranger to none and wiser than most. His bank account has more zero’s before the decimal than mine does after, so I tend to listen to what he has to say. While he did not initially understand the benefits of private air travel, a corporate aircraft has become an Indispensible part of his arsenal. Let’s hear what he has to say:

Warren Buffett speak out for Business Aviation

Ditch it.

That is the message that Hawker Beechcraft Corporation is pitching to company CEO’s in their new advertising campaign.

It didn’t take long for Hawker to follow-up to Cessna’s RISE. campaign, but they have taken a very different approach. Instead of encouraging CEO’s to keep their jets and continue flying, they are telling them to ditch the jets in favor of a more efficient aircaft model – not surprisingly, their own King Air 350i. They claim the ‘new’ 350 is greener and more efficient than light jets, making it the greenest aircraft in the sky. Hawker Beechcraft takes advantage of the massive PR blunder committed by the Detroit auto CEO’s and goes on to say that if they had arrived in Washington, DC aboard a King Air 350, they wouldn’t have endured the criticism they did for landing in a Gulfstream. Cute.

While there are those out there that cling to the old days of “2 engines are better than 1,” that just isn’t true with today’s modern engines. While being only partly facetious – do you look at an F-16 as an inferior aircraft because it only has 1 engine? I find it hard to believe that burning 2 engines can be more efficient than using 1. When I think of turboprop efficiency, I think of the Pilatus PC-12. Am I way off?

Regardless, it is clear that manufacturers are looking for new ways to push their product in today’s economy, and I say good on them. While some have kept more orders on the books than others, this period is a little like hitting the ‘reset’ button on a piece of electronics. Time to get back to the proverbial drawing board and regroup.

I wonder which OEM will be the next to announce a new ad campaign….?

Have a great Thursday.

RISE.

RISE. – ABOVE THE SKEPTICS. THE NAYSAYERS. TO THE CHALLENGE

That is the tag line of Cessna Aircraft Company’s newest campaign launched today, aimed at what they say is “a misinformation on the business use of general aviation aircraft…” The release goes on to quote Jack Pelton, Cessna’s Chairman, President & CEO as saying “we think it’s time the other side of the story be told, and that support be given to those businesses with the good judgment and courage to use business aviation to not only help their businesses survive the current financial crisis, but more quickly forge a path toward an economic upturn.”
(http://www.cessna.com/NewReleases/FeaturedNews/NewReleaseNumber-1192265227094.html)

This is the first OEM that I have seen respond to current economic conditions by shifting their focus away from product-based advertising of specific aircraft, to a message of Keep Flying! RISE. will surely shakeup the advertising gurus at other manufacturers as they look for new ways to convey the message that aircraft are unmatched business tools.

The following is an excerpt from the new RISE. website. There is one ad posted to date, sure to energize some boardroom bravado: “Timidity didn’t get you this far. Why put it in your business plan now?” Amen.

From www.CessnaRise.com

It goes without saying these are challenging times for our industry. We’ve seen flight departments shuttered, aircraft placed up for sale, jobs lost. Here at Cessna, we have adjusted production rates and our own employee numbers to accommodate current conditions. But we feel strongly we must do more. Not just for Cessna, but for our customers and, for our industry.

We’ve all read the articles and seen the pundits portraying business aviation as needless excess, and those that use it as being out of touch with the realities of the day. We think its time the other side of the story be told, and that support be given to those with the courage to stare down the beast, and use business aviation to not only help their businesses survive the current financial crisis, but more quickly forge a path toward an economic upturn. We think it’s time to rise.

We have begun replacing our normal product-focused advertising with a new series of messages we call the Leadership Campaign. At this most challenging of times, it is vital a clear voice of reason be heard. This campaign is intended to provide that voice and, in so doing, salute those with the courage to rise above adversity and lead the world to a fiscal turnaround.

These new ads have been purposefully created to contrast the seemingly endless stream of misinformation surrounding business aviation with what we know instead to be true: That no one has ever saved their way into prosperity, and that there are few better tools for productivity and efficiency, than a well-deployed business aircraft.

We want this campaign to serve as a rallying point for business aviation customers world-wide, carrying the message that it is, indeed, okay to fly – and highlighting the fact that the use of business aviation will play a vital role in the global economic recovery.

Regardless of the aircraft, of the manner of aviation program one chooses, we believe the most important thing is to keep flying – making the absolute most out of the multitude of advantages business aviation provides. Because, in so doing, customers will emerge from today’s conditions even stronger than before, replacing the uncertainty that surrounds many, with the confidence and courage to light the way for all.