Charter Demand Set To Flatten as Prices Wobble
Demand for charter flights during September looks set to flatten out, according to the latest projections from online charter portal Avinode. The company’s forward-looking demand index stands at 128.21 today, marginally down from August 1 but almost 40 points up compared with last September 1. Avinode’s price index for the next 30 days indicates that rates will be almost unchanged compared with how things looked on August 1, standing at 99.08 for the global market, 98.72 in Europe and 99.20 in the U.S. All three sectors were between one and three points above where they had been 12 months earlier. Avinode’s latest data for actual average flight hour rates paid indicates that prices have generally dipped slightly over the past few months. In the North American market, average hourly rates for three sample aircraft fell by 4.3 to 6.8 percent since June 1: Cessna Citation Excel, $3,217; Hawker 800, $3,442; and Bombardier Challenger 604, $4,872. In international charter markets, average rates for the Hawker and the Challenger fell more modestly, while rates for the Excel increased by 5.6 percent since June 1. The average international hourly rates for these three aircraft are €2,900 ($4,118), €2,982 ($4,234) and €4,733 ($6,720), respectively.