Private Jet’s Offered in China Through Fractional Ownership.
Fractional jet companies have been around the U.S for over 25 years now with the likes of NetJets and Citation Shares. So with China’s booming affluent consumer segment, one of the finest luxuries one can own, a private jet, is now being offered in China via fractional ownership.
Deer Jet, China’s first fractional jet program has begun offering fractional ownership responding to requests from business aircraft owners who have figured out it costs a lot to keep a $20M jet sitting in a hangar. The new company is offering shared ownership of Gulfstream G450s, G550s and Dassault 7Xs in phase one, and phase two will offer the new Bombardier Global 6000s as well as Challenger 605s and other Gulfstreams.
Fractional ownership is largely unknown to the Chinese business and jet set. NetJets is also bringing its Fractional ownership program to China, focusing first on charter and management of business aircraft. While most customers want to own a complete aircraft, some have found that they are not getting much use from their current airplanes which has created a growing interested in having a share of an aircraft. Under current Chinese regulations, owners cannot get full value out of an underused aircraft by chartering it to others.
Deer Jet’s fractional owners will have ownership of a certain aircraft, not rights to so many hours in any available aircraft of the chosen type. So, if two customers want to use their jointly owned aircraft simultaneously , Deer Jet will offer a better aircraft to one of them.