COVID-19 has impacted the way we live for the past two years. Obviously, it also had a lot of impact on businesses as they had to live with unpredictable circumstances. Many businesses have had to close during the pandemic, some partially, others permanently.
With restrictions, health issues, border closures, limited travel, one of the hardest hit businesses has been the aviation industry. Indeed, in 2020, most flights had to be canceled for a few months following the global outbreak of the virus. Many companies have filed for bankruptcy, others have had to reduce their costs in an unprecedented proportion in this industry. In addition, many airlines turned to the government for money and subsidization to be able to survive this period.
With airline restrictions, the private jet industry was seen as an opportunity. Indeed, it was one of the best alternatives to travel because it made it possible to comply with the health regulations of the time. It was a great opportunity to travel because it complied with all the regulations, depending on the country, the only obstacle was the restrictions in place at customs.
So, one of the best ways to travel back then was to hire a private jet. Indeed, companies like AEROAFFAIRES, a French on-demand private jet rental company, were seen as an excellent opportunity to travel for business and personal reasons. As it is still one of the most convenient ways to travel today, visit their website https://aeroaffaires.com to learn more about travel options.
What is the state of the aviation industry today?
Now, in mid-2022, the aviation industry is back to a steady pace, but it will take time to recover from this period. Indeed, the International Civil Aviation Organization (ICAO) has stipulated that international air passenger traffic fell by 60% in 2020. Recovering from such a blow will take a few years. Indeed, according to a McKinsey study, the industry is expected to be smaller for years to come and predicts that traffic will not return to 2019 levels until 2024. Additionally, in 2020, industry revenue was 328 billion dollars, or about 40% of the previous one. year.
There are a few consequences of COVID-19 on the airline industry that are having a serious impact today. One of the main impacts is the shortage of air freight. Indeed, one consequence is that air freight will be undersupplied for some time. Also, another impact is the lack of personnel on board for the airlines. Indeed, like other industries like transportation and delivery, many people have found that being away from home and not seeing family is no longer possible. Low wages and other work inconveniences make this an industry that is also understaffed.
In addition, this whole situation leads to an increase in the price of the ticket for the customer. Indeed, as most airlines are in debt and many people still want to travel due to two years of restrictions, some airlines have drastically increased their prices for commercial flights. This is because the industry has issued a lot of debt, over $180 billion in 2020. So, they will have to raise ticket prices for a while in order to generate more revenue. Many airlines are on the verge of closing due to the impact of COVID-19 on their business.
The boom in demand for the private jet rental industry
One sector of the aviation industry that has grown during this pandemic is that of private jets. Indeed, for reasons stated at the beginning of this article, many people have turned to private jet charter services in order to fly for leisure and business purposes.
Business travel will take longer to recover, studies suggest, it could wait until 2024 to reach pre-pandemic levels. One reason is remote work and other flexible arrangements.
This has increased the demand for private jet flights. Indeed, private jet rental companies have seen an increase in demand, particularly an expansion of their flying customer base welcoming new private jet users. The flexibility, health safety and speed of private jet flights have attracted many people, from business to leisure customers.
AEROAFFAIRES is a company that provides the best quality private jet travel for business and leisure. Now that COVID restrictions are mostly lifted, chartering a private jet is one of the best ways to travel. AEROAFFAIRES also emphasizes the customer experience, security and guarantees you the best prices adapted to your needs.