I remember when the internet as we know it today first started. Many people in the business aircraft preowned market felt like their world as they knew it just ended. After all, if the internet was just a click away with the answer to every question that could possibly be thought of, who would need people like me?
It did not take me long to realize that my value could be higher than ever. I’d be available to help a real buyer or a real seller sort out all of the chatter and continue to help them make great decisions. That was 30 years ago. Today, information still abounds, and luckily, I do not need to explain my value to those trying to sort it out. The point is to be sure that everyone searching for information can truly see through the junk and hone in on the intel.
Lately, more and more prospects have hit the internet before they ever call us. Often, they feel they are armed with “ah-ha” moments given what they think is information making them smarter than us.
One of my favorites is when someone calls and says they have been on the web and see there are 35 airplanes for sale in a category they’re interested in and asks what value I could possibly bring since they can already see all this available inventory. After about three minutes of my segmenting the list, they realize they have been trapped in the warp of information overload.
Parsing the 35 airplanes by those with unpopular configurations, ultra-high time for the fleet, based and operated in parts of the world that are problematic to import, or that have no serial numbers (meaning they are not even a real airplane for sale) is done by a professional with real experience in the market. Within the three minutes of shortening the list that might fit down to three airframes, my value skyrockets.
This is another interesting time in the life of our industry. The pendulum seems to be moving again. We all know that this is a dynamic industry and no market conditions last forever. Being able to anticipate market moves is the key to staying ahead and having the right partner to give clear intelligent guidance is critical to navigating turbulent waters.
We have been enjoying a fairly balanced preowned market for a few years. This current shift is a bit off-center. If one watches the flow of information during shifting times, one can be lured into a place that would not be ahead of the movement, but in fact, stuck in the middle. This direction might have a negative impact on your planning and execution of fleet or aircraft transitions.
It is critical that you pick your source of information carefully. I assure you that whatever you pay your resource of either transactional support or consulting services, it will be cheaper than a mistake made while completing the transition. This is a wonderful industry mostly filled with client-centric support. Take advantage of this and the market movement will not be as disruptive as it could be going it alone.
Jay Mesinger is the CEO and Founder of Mesinger Jet Sales, an international aircraft brokerage firm. With 46 years of successfully buying and selling aircraft, Mesinger Jet Sales has a global reputation for personalized, transparent service.
March 6, 2020 - 5:12pm
Well put Jay, throughout the years we have seen on many occasions of the famous last words that "I can do it myself" only to find out that person is now holding onto an airframe that has not flown in over a year because of some conflict. Whether it be a maintenance issue or more than likely a contract agreement with the seller.
I have always tried to explain it to people in the context of "You are great at your job because you have the knowledge and training in a given area, the professional aircraft broker is no different" They are experts in the knowledge and marketplace. Working with a company such as Mesinger Jet Sales who has years of experience in market insight, prebuy, and negotiations will always save the buyer money in the long run.