1. Home
  2. > Aerospace and Defense
  3. > Aerospace
  4. > Aviation
  5. > Aircraft
  6. > Civil Aircraft
  7. > General Aviation Aircraft Market Trends
Business Jet Market - Growth, Trends, COVID-19 Impact, and Forecast (2022 - 2027)

Business Jet Market - Growth, Trends, COVID-19 Impact, and Forecast (2022 - 2027)

  • July 2022
  • 128 pages
  • ID: 6309341
  • Format: PDF
  • Mordor Intelligence LLP

Summary

Table of Contents

Search Inside

The Business Jet Market is valued at USD 18.14 billion in 2021 and poised to grow at a CAGR of 4.53% during the forecast period to reach USD 20.69 billion by 2027

The COVID-19 pandemic affected the business jet market in the short term, as the orders and deliveries witnessed a decline in 2020 and 2021 compared to 2019. However, no long-term effect is anticipated on the market as the charter service providers’ (and other business jet users) fleet modernization plans have not been hampered. The business jet activity started witnessing an increase in late 2020 due to restricted access to commercial aviation. The increase in business jet operations is expected to strengthen the demand for business jets in the coming years.

Approximately 1/3rd of the business jet fleets currently in operation are more than 10 years old, which is driving the business jet operators and charter providers to invest in fleet modernization programs and enhance their fleet’s capabilities. This factor is expected to boost the market’s growth during the forecast period.

With the growth of the tourism sector in Latin America and Southeast Asia, many charter operators are planning to introduce new charter routes in the regions and further expand their presence. This factor is generating demand for lightweight and fuel-efficient business jets.

Over the past few years, there has been a significant increase in high-net-worth individuals and ultra-high-net-worth individuals globally. This increase is generating demand for private travel, subsequently driving the procurement of private jets with enhanced cabin interiors.

Key Market Trends

Large Jets Accounted for the Highest Share in the Market in 2021

The large jet segment currently dominates the market in terms of market share, attributed to their relatively higher prices than light jets, despite the former’s lower deliveries compared to the latter. In 2021, the demand for large jets was high, as they have a large cabin space that can accommodate approximately 19 passengers. However, the segment’s growth was affected due to restrictions on long-distance travel globally. In the coming years, the segment is projected to witness positive growth with the easing of travel restrictions. Aircraft OEMs are launching new large jets with improved features to attract customers. For instance, in December 2021, the ACJ TwoTwenty, launched in 2020, completed its first flight in Canada. The order for six ACJ TwoTwenty aircraft was received in 2020, including two from Comlux, a Switzerland-based charter company, and four from other undisclosed companies. The interior of Comlux aircraft will include a business and guest lounge, a private entertainment space, and a private suite, including a bathroom. The first aircraft was successfully delivered to Comlux in January 2022. On the other hand, fractional ownership of large jets may also rise as owners try to avoid overhead costs and choose shared aircraft because of the market’s economic downturn and uncertainties. Such factors are anticipated to boost the market’s growth during the forecast period.

North America Held the Largest Market Share in 2021

North America currently has the largest share in the market and is expected to continue its dominance during the forecast period. The region holds the most extensive operating business jet fleet (about 15,000 aircraft) globally, with the United States accounting for the majority of its share. Due to the presence of many high-net-worth individuals and corporate companies, the majority of the demand is for light jets and large jets. Furthermore, there has been an increase in the demand for charter services in the region over the past few years. Due to the impact of COVID-19 on commercial aviation, there was an increase in demand for business aviation in 2020. Although the overall flight activity dropped in 2020, the business aviation flight activity began to gradually recover from May 2020 and robustly increase in 2021, following the easing of social restrictions in the region. In addition, the charter companies have decreased prices to take advantage of the business jet opportunities. The growth in charter operations in the region has propelled the fleet modernization programs by charter operators to enhance their fleet efficiencies. According to Honeywell, approximately 15% of North America’s business jet fleet is expected to be replaced in the coming years. Several end users are looking to acquire new and upcoming business jets for their fleets. In March 2021, NetJets, the company with the largest global fleet of business jets, announced that it had placed a purchase order for 20 of the upcoming Aerion AS2 business jets. Such fleet modernization programs are anticipated to accelerate the growth of the business jet market in North America during the forecast period.

Competitive Landscape

The business jets market is highly competitive with the presence of several major players. However, in terms of market share, few players such as Bombardier Inc., Textron Inc., Gulfstream Aerospace Corporation, Embraer SA, and Dassault Aviation SA are currently dominating the market. Textron Inc., Gulfstream, and Bombardier accounted for more than half of the business jet deliveries in 2021. To further increase their presence in the market, the companies are developing new advanced business jet models with enhanced cabin interiors and better fuel efficiencies. Such innovations are expected to attract new potential customers, which may help the aircraft OEMs increase their share in the market in the coming years. The aircraft OEMs are developing region-targeted strategies to enhance their sales. For instance, Airbus is currently in plans to enhance its geographical footprint in the Middle-East as it plans to take advantage of the growing opportunities of larger aircraft. Such targeted plans of aircraft OEMs are expected to help the companies increase their sales and profits in the coming years.

Additional Benefits:

The market estimate (ME) sheet in Excel format
3 months of analyst support

Get Industry Insights. Simply.

  • Latest reports & slideshows with insights from top research analysts
  • 150+ Million searchable statistics with tables, figures & datasets
  • More than 25,000 trusted sources
  • Single User License — provides access to the report by one individual.
  • Department License — allows you to share the report with up to 5 users
  • Site License — allows the report to be shared amongst all employees in a defined country
  • Corporate License — allows for complete access, globally.

ReportLinker may already be registered as a supplier with your company. If you want to Order by PO, check with us first and we'll let you know if we are a registered supplier and what the vendor number is. Otherwise, we'll provide you with the necessary information to register ReportLinker as a vendor.

Grace helps you find the right report:
Testimonials

The research specialist advised us on the best content for our needs and provided a great report and follow-up, thanks very much we shall look at ReportLinker in the future.

Kate Merrick

Global Marketing Manager at
Eurotherm by Schneider Electric

We were impressed with the support that ReportLinker’s research specialists’ team provided. The report we purchased was useful and provided exactly what we want.

Category Manager at
Ikea

ReportLinker gave access to reliable and useful data while avoiding dispersing resources and spending too much time on unnecessary research.

Executive Director at
PwC Advisory

The customer service was fast, responsive, and 100% professional in all my dealings (...) If we have more research needs, I'll certainly prioritize working with ReportLinker!

Scott Griffith

Vice President Marketing at
Maurice Sporting Goods

The research specialist provided prompt, helpful instructions for accessing ReportLinker's product. He also followed up to make sure everything went smoothly and to ensure an easy transition to the next stage of my research

Jessica P Huffman

Research Associate at
American Transportation Research Institute

Excellent customer service. Very responsive and fast.

Director, Corporate Strategy at
Ingredion

I reached out to ReportLinker for a detailed market study on the Air Treatment industry. The quality of the report, the research specialist’s willingness to solve my queries exceeded my expectations. I would definitely recommend ReportLinker for in-depth industry information.

Mariana Mendoza

Global Platform Senior Manager at
Whirlpool Corporation

Thanks! I like what you've provided and will certainly come back if I need to do further research works.

Bee Hin Png

CEO at
LDR Pte Ltd

The research specialist advised us on the best content for our needs and provided a great report and follow-up, thanks very much we shall look at ReportLinker in the future.

Kate Merrick

Global Marketing Manager at
Eurotherm by Schneider Electric

FAQ
  • How we can help
    • I am not sure if the report I am interested in will fulfill my needs. Can you help me?
    • Yes, of course. You can call us at +33(0) 4 37 65 17 03 or drop us an email at [email protected] to let us know more about your requirements.
    • We buy reports often - can ReportLinker get me any benefits?
    • Yes. Set up a call with a Senior Research Advisor to learn more - [email protected] or +33(0) 4 37 65 17 03.
    • I have had negative experiences with market research reports before. How can you avoid this from happening again?
    • We advise all clients to read the TOC and Summary and list your questions so that we can get more insight for you before you make any purchase decision. A research advisor will accompany you so that you can compare samples and reports from different sources, and choose the study that is right for you.

  • Report Delivery
    • How and when I will receive my Report?
    • Most reports are delivered right away in a pdf format, while others are accessed via a secure link and access codes. Do note that sometimes reports are sent within a 12 hour period, depending on the time zones. However, you can contact us to escalate this. Should you need a hard copy, you can check if this option is offered for the particular report, and pay the related fees.
  • Payment conditions
    • What payment methods do you accept?
      1. Credit card : VISA, American Express, Mastercard, or
      2. You can download an invoice to pay by wire transfer, check, or via a Purchase Order from your company, or
      3. You can pay via a Check made out in US Dollars, Euros, or British Pounds for the full amount made payable to ReportLinker
    • What are ReportLinker’s Payment Terms?
    • All payments must normally be submitted within 30 days. However, you can let us know if you need extended time.
    • Are Taxes and duties included?
    • All companies based in France must pay a 20% tax per report. The same applies to all individuals based in the EU. All EU companies must supply their VAT number when purchasing to avoid this charge.
    • I’m not satisfied. Can I be refunded?
    • No. Once your order has been processed and the publisher has received a notification to send you the report, we cannot issue any refund or cancel any order. As these are not ‘traditional’ products that can be returned, reports that are dispatched are considered to be ‘consumed’.
  • User license
    • The license that you should acquire depends on the number of persons that need to access the report. This can range from Single User (only one person will have the right to read or access the report), or Department License (up to 5 persons), to Site License (a group of persons based in the same company location), or Corporate License (the entire company personnel based worldwide). However, as publishers have different terms and conditions, we can look into this for you.
Purchase Reports From Reputable Market Research Publishers

ref:plp2022

Reportlinker.com © Copyright 2022. All rights reserved.

ReportLinker simplifies how Analysts and Decision Makers get industry data for their business.

Make sure you don’t miss any news and follow us on