This is the 5th issue of Biz Jet Buzz, the business aviation newsletter that educates and entertains in equal doses.

Get smarter about the business jet market and enjoy the process. What’s not to like?

This is what I’ve got for you this month:

• 🌎 Where the world’s jet fleet lives and why the US dominates

• 📈 Fleet growth since the dawn of business aviation and Elvis’ red jet

• 🧭 Biz Jet Buzz Market Index Update

• 📊 Jet Market Mondays: Falcon 2000 | 2000EX EASy | 2LX | 2LXS

• 🗞️ Biz Av News - Congrats Bombardier!

• 🥖 AI Jet of the Month - Paris is buzzin’!

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Sheesh! Lot’s of transactions in Q2! 🤯

Where the fleet lives and how it’s grown

It took 40 years for the world’s business jet fleet to grow to 10,000. In the last 20 years that number has more than doubled.

There’s around 24,000 business jets on the planet. This is where they live.

North America completely dwarfs every other region when it comes to jet ownership.

How can a country with 4% of the world’s population own 68% of the world’s jets?

I know what you’re thinking... “Come on Colin, that’s an easy one! It’s all bout the money honey.

But it ain’t that simple.

The U.S. has only 40% of the world’s millionaires, only 30% of the world’s billionaires and accounts for only 25% of the world’s GDP.

Ok, ok, I know I just used the word ‘only’ three times for percentages of a significant magnitude. We can all agree that the U.S. is the world’s wealthiest country! But none of those percentages come close to 68%.

There’s more to this story than just the dollar bill!

I’ve been back and forth to the U.S. for the last 20 years, but only in the last 18 months have I really appreciated how vast it is.

A 5 hour drive in Ireland will get you from one side of the country to the other.

On roads like this…

Drive 5 hours in the U.S. and you’ll barely, if even, make it across a state line.

If you’re a business owner or exec that needs to visit an office, factory, outlet in every state, you’re travelling by plane. If you’re a successful business owner, you’re buying your own, hopefully from me. 😉

25% of the world’s GDP = $25 trillion = A lot of businesses = A lot of business owners/execs needing jets.

There’s more…

Apart from other tangible reasons such as tax incentives for corporates to buy jets, there are historical and cultural aspects that can’t be overlooked.

The modern business jet has American DNA. Like the first humans can be traced back to South Africa, the first business jets can be traced back to California.

The Lockheed JetStar, developed in the ‘50s was the world’s first purpose built business jet. The French jets before it were military aircraft flying civilians around.

Elvis Presley had one of these bad boys. It’s red with a red velvet interior - baller! It’s Jimmy’s now - baller!

The JetStar first flew in 1957 and sparked the dawn of business aviation.

Since then there’s been no stopping jet development and the growth of the world’s fleet.

Note the curve shape. Around the year 2000 the fleet started to grow exponentially. This all ended in tears with the 2008 financial crisis.

Not only did the demand for jets drop, but the market had also been over supplied leading up to the crash. A double whammy for jet values which I discuss in detail in Biz Jet Buzz #3.

Now, look at the Biz Jet Buzz Market Index below. It took 10 years for the market to recover and find its balance again.

Finally, thanks the to the boost in demand from the pandemic and the consistent, conservative supply from the manufacturers, we should expect stable depreciation from here on out.

It’ll be very interesting to see what the index reads over the next 12 months as the market finds its new balance.

Once again, a huge welcome if you’re a newbie. You’re an early adopter and I value your interest and feedback tremendously!

Live the buzz! 🐝

Colin

I'm Colin, I help jet owners and corporates upgrade, sell or find the perfect jet as part of a global team of aviation experts.

If you’re enjoying this, pay me back by forwarding to a friend or colleague.

Biz Jet Buzz Market Index