This is the main reason why the wealthy splurge on private jet travel is
It’s rarely a “luxury” like a private jet trip.
Whether you have your own plane or pay thousands of dollars per hour to access a commercial aircraft through services like this Flex JetPrices are steep to avoid traveling with the masses.
Ken Rich has transformed the luxury of flying privately into a successful entrepreneurial career. The pilot himself once flew A-listers like Elton John and Bruce Springsteen for many years, piloting Bill Clinton’s planes during the presidential election.
As chairman of FlexJet, the country’s second largest commercial private jet operator, Ricci said that when a very wealthy person stepped into one of the 600-900 flights that his company runs daily. , his mission was to get the value of money.
“Why do people pay $80,000 to go to London when you can fly first class or premier for $12,000 or $15,000?” he asks.
The answer is that, according to Rich, there is one thing that is more wealthy than anything else.
“Whatever you want, we’ll do it for you.”
Privacy, luxury and convenience in civil air travel are a big draw, but Rich says the real selling point is the peace of mind that tens of thousands of dollars can buy you on your trip.
“Where can I buy time? Where can I reduce stress?” he says. “That’s what they’re really paying for.”
Even in first class on flights, travelers need to deal with airport traffic and TSA lines. Once they reach the gate, their flights could experience delays or be cancelled entirely.
According to Rich, when you’re paying up to $10,000 per hour of private life, that stress is off the plate.
Why do people pay $80,000 to go to London when you can fly a first class or a premier for $12,000 or $15,000?
Ken Kuri
Chairman Flexjet
“When our plane breaks or the weather is bad, the customers feel bad. Find an alternative. We’ll solve their problems,” he says. “If you’re on an airline and your plane has been cancelled, you need to solve your own problems. They’re paying for hassle removal and time gains.”
“I want to solve your problem,” he added. “I say, ‘What will make you happy? Whatever you want, we will do it for you.’ ”
Sometimes, solving that problem means finding an alternative travel arrangement. Especially for dissatisfied customers, that might mean that FlexJet offers to compensate for the large price of their trip as an apology for inconvenience.
“This is something our customers like about us. If we make you fail, we apologise,” he says. “We didn’t meet the standards. We didn’t meet your expectations. So they’re attracting attention and it’s a different travel experience than when you have to go through it.”
Still, Rich doesn’t recommend that his clients beat the bank and fly privately no matter what. In fact, he often tells his clients that he should spend more than 10% of his discretionary income on his offerings.
“I take pride in not letting you do anything that doesn’t interest you,” he says. “If you have $1 million in disposable income, and you’re spending more than $100,000 a year on this asset, you’re hooked.”
Do you want to improve your AI skills and be more productive? Take CNBC’s new online courses How to Use AI to Be More Successful in the Workplace. Our expert instructors will teach you how to get started, practical uses, tips for effective and quick writing, and mistakes to avoid. Sign up now and use coupon code Earlybird to get a 30% off $67 (+tax and fees) referral discount Until February 11, 2025.
plus, Sign up for CNBC Make It’s Newsletter With money and life to get tips and tricks for success in the workplace.