Elite Traveler – ET Insider – December 14, 2010
ET Insider – February 1, 2011
Elite Traveler Insider –
February 1, 2011
Elite Traveler Insider
By Douglas D. Gollan, President and Editor-in-Chief, Elite Traveler Magazine
Welcome to the latest issue of Elite Traveler Insider, the bi-weekly newsletter designed to update our top partners on trends in the private jet lifestyle. This information is provided to offer a better understanding of how to target these globetrotting elite travelers, their impact on your business and other trends that affect you. Remember, private jet travelers are paying up to $10,000 per hour to fly by private jet, so these super rich consumers could be and should be your best customer. We talk about them and how you can get more of them and more from them.
In this issue:
============================================================ Not another magazine or newspaper in that stack of unread mail: With over six private jet trips every two months, that’s at least six chances for wealthy private jet travelers to see your advertisement in Elite Traveler. And even better, share it with friends on the jet! ============================================================
1. Private Jets Take Off In Asia: $348 Million in Luxury Spending Per Month!
It’s no secret that private jet travel is finally realizing its potential in the Asia Pacific region. From barely a handful of airports a couple years ago, today over 200 airports in China alone are now open to private jets.
At the same time, the 2010 Merrill Lynch Cap Gemini World Wealth Report shows that Asia/Pacific now has about 20,000 Ultra High Net Worth households, defined in the report as having at least US $30 million in liquid assets, pulling the region equal to Europe.
For Elite Traveler, we have always been in tune and in touch with the region with about 1,700 copies distributed aboard private jets in Asia. So as we looked at the increased usage of private jets by Asia-based private jet owners and users, the question became: Do we simply expand the distribution of our existing global magazine, or do we need to do something specific to the market?
As we examined our core circulation in North America, Europe, Russia and the Middle East, it became apparent Asia was different. After all, a trip from the U.S. East Coast to European capitals is a six or seven-hour hop, Dubai or Doha to London or Geneva is under six hours, and Moscow to London is around four hours. New York or Los Angeles to Southeast Asia is 14-18 hours flying time, while Europe to Asia ranges from 10 to 13 hours depending on destination.
So while hopping across the Pond is common lingo for elite travelers either for a quick business meeting, perhaps to catch a sporting event or even for a one-night trip to see a new hot play, much of the private jet travel by Asians is within the Asia/Pacific region.
Though much more expensive, the decision was obvious: Launch Elite Traveler Asia. With all original content, Elite Traveler Asia is written specifically for private jet users based in the region. In addition to content on top suites at new resorts and new hotels, there will be reports from contributors across the region on top new restaurants and clubs, events and activities. Coverage of watches and jewelry will focus on product sold specifically for the region, and in all cases will include Asia-based retail tags and personal contacts.
Private Jets Have Set Asian Moguls Free: Where as recently as five or 10 years ago, even the most affluent of the affluent had much of their business and social life centered in one city or country, having a private jet makes a quick hop to Singapore to dine in a new restaurant or a long weekend at a resort in Vietnam or Hainan Island easier than ever; in between the leisure trips, they use their jets and helicopters to scour the region for new business opportunities.
So here are a couple sound bites: – According to Prince & Associates, Asian private jet travelers spend over $348 million per month on hotels, resorts, dining, shopping and leisure activities while traveling.
– One-third of the private jets in China have been delivered in the past three years.
– The current fleet of private jets in the region (694) is bigger than the combined fleets of Air China, Japan Airlines, Cathay Pacific, Singapore Airlines and Thai International. In other words, there are a lot of private jets in Asia today, and annual growth rate is projected at more than 15 percent annually.
It’s something even commercial airlines have noticed: Korean Air recently expanded its private jet division; reports abound that Warren Buffett’s fractional jet share company NetJets has eyes on opening up in the region; and new FBOs (private jet terminals) are opening up in China, India and across the region, including resort destinations such as Phuket.
Sir Michael Kadoorie, Chairman of Peninsula Hotels parent company and a private jet enthusiast, recently told Professional Pilot, “It’s an exciting market here in Hong Kong, China and Asia for business aviation, and we’ve made great progress over the past several years.”
James McBride, President of YTL Hotels which operates luxury resorts and spas in Malaysia and owner of The Ritz-Carlton Kuala Lumpur, told a travel magazine that his top guests “want to be whisked to their beachfront villas on private jets,” while in November The Financial Times reported, “China’s new super-rich have developed a penchant for flying in their own newly bought helicopters and private jets.”
With two issues in 2010 (June and October) and 10,000 copies per issue distributed to private jets, we aim to deliver over 40,000 Ultra High Net Worth readers per issue, a significant number considering the annual household spending of this target readership:
- US $494,000 on hotels, resorts and spas
- US $482,000 on jewelry
- US $254,000 on cars
- US $223,000 on fashion
- US $198,000 on timepieces
============================================================ With 41 trips per year, including 11 intercontinental trips and 3+ principal residences, we know where you’ll find elite travelers: in their private jets and in private jet terminals. It’s why we’ve invested in providing BPA audited circulation to private jets and private jet terminals in over 100 countries. ============================================================
2. Over 4,000 VIPs To Fly by Private Jet to the Super Bowl
Estimates are calling for some 700 private jets and over 4,000 Ultra High Net Worth fans, VIPs and celebrities to descend on the Super Bowl by private jet. In fact, Dallas/Ft. Worth Airport even spent $3.3 million to spruce up a former American Eagle terminal that will handle at least 70 private jets. At the same time, private jets will be using a half dozen airports and more than a dozen private jet terminals (FBOs). Elite Traveler was there this week, making sure extra copies of Elite Traveler and our new Elite Traveler Getaways were stocked up.
Arlington Municipal measures at 15,500 square feet, and a bigger runway apron and new approach lighting system will not only help with traffic now but more events in the future as well.
Grand Prairie Municipal Airport – roughly six miles from Cowboys Stadium – just begun construction on a new terminal building which may not be ready for Super Bowl 45, but the airport can still handle 45 private jets comfortably.
The only drawback for Arlington Municipal and Grand Prairie is the no-fly-zone restriction before the game and until just after it ends, so you may have to wait a little longer if you choose to land close to the game.
While delays for private jets during the Super Bowl are common with no-fly restrictions and just too many private jets, we are happy that our elite travelers will have plentiful supplies of their favorite magazine!
============================================================ Spotting Fakes: How can you be sure that a publisher is really sending out the number of copies he or she says? How can you make sure they are actually putting copies on private jets? Ask for the BPA or ABC audit statement. You can find our BPA statement here. ============================================================
3. Private Jet Flying Increased 4.4 Percent in December
Finishing 2010 on a strong note, ARGUS International reported that flying increased year of year December 2010 vs. 2009 led by a 6.2 percent increase in mid-cabin jets and a 5 percent increase in large cabin jets. Perhaps elite travelers needed extra room for holiday shopping?
============================================================ Would you buy a diamond without a certificate? Would you fly on a plane that hadn’t been certified as safe to fly? Would you buy milk in the supermarket that didn’t have a ‘sell by’ date? Before you buy advertising, next time a publisher says they have distribution on private jets or in private jet terminals, ask for their Circulation statement from ABC or BPA. Ask for them to show you the number of copies going to private jet travelers. You can find our BPA statement here. ============================================================
All the best,
Douglas D. Gollan Group President and Editor-in-Chief