Wheels Up primarily operates a fleet of Beechcraft King Air turboprops, but it had a complicated business model that offered capped hourly rates and a pricing model that hurt the company’s prospect of being profitable.
its King Air to most destinations—Liotta says Volato wouldn’t follow suit and that it has been better instead to keep its fleet concentrated in areas where it can provide value, which means turning down customers if needed. Finally, as for why he thinks his company might not go the way of Jet It, Liotta says that, aside from operating a suitable business model and a streamlined operation, Volato simply offers a better service. “When you look at Jet It, not only were they charging less than made sense, when you speak to the customers, many of them were also unhappy with the service offering,” he says. “Some felt that it was worth it because it was so cheap, but most of them were unhappy with it. So, we are very careful about our service.” Liotta says listening to customers has ultimately been the distinguishing factor, and even former Jet It customers now enrolled in his offering are “pleasantly surprised to see how good this can be even with just the same airplane.” WHERE DO WE GO FROM HERE? In some ways, the industry got the marketing campaign it collectively couldn’t have afforded, but it didn’t have its act together. It sold people on the benefits of private aviation to be able to tap into more than 5,000 airports around the country and broaden their reach, including the economic benefits to small communities, regional employment numbers, infrastructure investment, head-turning innovation in new aircraft designs,
and the comfort and conveniences of private flights and FBOs. Still, when it came to the operations, the industry missed the boat. But if Liotta is correct, the cream will rise to the top, and the operators running efficient businesses will flourish as the market becomes more efficient. THINKING MORE BROADLY “It’s time for us to self-reflect and work together, especially in the Part 135 space,” Liotta says, explaining how that should include addressing the faulty business models along with safety, regulations, and workforce issues to ensure long-term success. There’s another angle, too. Whenever pilots find themselves flying in an unusual attitude, they know they ought to get back to level flight. Perhaps after this bubbly market, there needs to be some leveling of the wings to regroup, taking stock of the right things and shedding the incorrect inputs. Because what doesn’t kill you makes you stronger, right? [ MICHAEL WILDES is a corporate pilot and chief operating officer for Dreams Soar Inc. Previously he was FLYING’s business aviation editor. He holds a master’s degree in logistics and supply chain management and a bachelor’s degree in aeronautical science, both from Embry-Riddle Aeronautical University. He worked at the university’s flight department as a flight check airman, assistant training manager, and quality assurance mentor. Follow Wildes on Twitter: @Captainwildes.
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