JetNet Webinar Considers World Cup Industry Impact

With the FIFA World Cup tournament set to begin next month at host cities across North America, the business aviation industry is anticipating a boom in activity, but just how much of an increase remains to be seen in the face of variables such as geopolitics and soaring fuel prices.

Speaking at a JetNet webinar late last week, Richard Koe, panel moderator and managing director of JetNet subsidiary WingX Advance, noted that the tournament—one of the world’s premier sporting events—which begins on June 11 and lasts until the champion is crowned on July 19—will involve 16 host cities spread across three countries.

Based on analysis of the most recent tournaments, airports in the affected areas can expect a surge, not just in private aircraft arrivals but also in the size of those aircraft, which must be considered by FBOs as they make their plans. That tempo increases as the tournament moves into its later “knockout stages” until the culmination of the final match. Analysis of past tournaments shows surges in activity for championship games of as much as 23 times the normal levels seen at host airports.

WingX estimates that the tournament's economic impact on the industry could be as much as $250 million in additional value.

Alan Walsh, president of jet card provider Sentient Jet, noted that there are approximately 88 FBOs in close proximity to the 16 host cities, which gives his 6,500 cardholder clients options. “With private aviation, people have a choice where they want to fly in,” he said, “but of course, our job is to make sure that they get the best service. We can guide for sure into where makes the most value for time and getting to and from the stadia.”

Walsh added that while bookings began slowly, over the past two weeks the Directional Aviation subsidiary has seen a 20% increase. “I don't expect that to go down, to be perfectly honest. I think, as people realize that we’re on the eve of the World Cup, you’ll see that start to pick up.”

Among the conversations the company is having with its clients is flexibility, alerting them to the possibilities that arrivals and departures close to the games could see traffic congestion. Walsh explained that making sure passengers understand the need to have proper documentation and identification is also crucial. He stated that the increasing fuel prices have not yet proven to be a major cause of concern for its World Cup-bound customers.

Atlantic Aviation chief commercial officer John Redcay said that his company, which has FBOs in 10 of the 11 U.S. host cities and 109 locations overall, has seen 5% growth in its aircraft arrivals. “Despite all the geopolitical [volatility], and the fuel prices that we’re experiencing, we continue to see strong underlying demand across the entire industry.”

He said the service provider chain is seeing some variability in bookings for the World Cup. “It’s hard to get a read on whether it’s driven by the teams and the group matchups or if it’s literally the geographies, but we are definitely seeing some skewedness towards what I think have been the more traditional high demand markets.”

Like Sentient’s Walsh, Redcay also expressed some uncertainty regarding reservations thus far. “It’s hard to get a real solid read at this point in time,” he told the webinar audience. “I would say it probably started out a bit slower for us from the initiation point in the early days, but over the last few weeks, we’re continuing to see more and more interest. I think we’ll get a better read as we get further into the event itself.”

Morristown Municipal Airport (KMMU)—situated less than 30 miles from the New York-area venue MetLife Stadium, which will play host to the final match—is preparing for a major influx of aircraft. KMMU offers U.S. Customs and Border Protection clearance as well as less congestion than bustling Teterboro Airport. “We sit geographically in a really sweet spot where we’re just outside that Newark Class Bravo airspace as well,” explained Corey Hanlon, manager of communications and government relations for KMMU operator DM Airports, adding that this presents a significant operational advantage to pilots, crews, and dispatchers in getting aircraft in and out of the area. “I think our biggest strength is that, while you might be geographically a little further away from the city, and from MetLife Stadium in this case, the ability to get in, onto the ramp, off the aircraft, and complete the whole transition of the process.”

Hanlon said between its two FBOs, the airport has the capacity to handle between 130 and 140 aircraft. “If there isn’t physical ramp space at the FBO location, we have the ability to turn the crosswind runway into basically an extension of the apron and ramp space there. The goal is not to be as completely log-jammed and get every single aircraft that we possibly can.”