INDEPENDENT PUBLICATION BY raconteur.net #0444 20 / 04 / 2017 AV I ATION FOR BUSINESS

TRIGGER REACTION: FLY BY DRONE TO NOW BUSINESS FLYERS 04 BEAT THE TRAFFIC 08 TAKE THE CONTROLS 03 FRIGHT OR FLIGHT? Pilotless drones are set to become As more private jet operators take to Triggering Article 50 and the Brexit general election cause turbulence fl ying taxis in the Middle East the skies, passengers can be pickier

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OVERVIEW AVIATION Subject: FOR BUSINESS Trigger reaction: DISTRIBUTED IN fright or flight? Qh uhwf

ber two is clarification on what the RACONTEUR PAUL SILLERS foreign ownership restrictions to the airlines might be in practice. PUBLISHING MANAGER DIGITAL CONTENT MANAGER fter flying in close for- And third, people need to be think- Rebecca Wetten Jessica McGreal mation with its Europe- ing very hard around the visa and Rethinking air travel: PRODUCTION EDITOR DESIGN an cohorts for four-and- entry requirements for people go- Benjamin Chiou Samuele Motta a-half decades, the UK ing into and out of the UK because always connected with Grant Chapman Apushed the eject button. Plotting a we don’t want more friction in air MANAGING EDITOR Kellie Jerrard new course as the altimeter spins travel,” he says. digital services on the go Peter Archer through months of uncertainty of Images Getty via Baumgarten Ulrich Also grappling with what’s ahead Brexit negotiations – or even po- is the private aviation sector. “We litical U-turns – is disorienting could be dealing with many issues, enough, but prime minister There- including recruitment and reten- sa May’s shock announcement of a tion of crew, and the complexities CONTRIBUTORS June 8 general election could make of cabotage rights [the right of an the UK’s flight from the European airline registered in one country 1 Union even bumpier. to operate domestically in anoth- NICK EASEN PAUL SILLERS HM Treasury’s pre-referendum er country],” says Adam Twidell, Award-winning Freelance aero-industry assessment of Brexit warned that chief executive and co-found- freelance journalist and writer, he contributes to the “a vote to leave the EU would cause er of global private jet booking broadcaster, he produces Financial Times, Business significant disruption” to the UK’s service PrivateFly. for BBC World News Life, Quartz and Business aviation sector, highlighting that Mr Twidell foresees “a cata- and writes on business, Traveler USA, and is the economics, science, author of International “the inherently cross-border na- strophic impact on UK aircraft technology and travel. Business Etiquette 20:20. ture of the sector means UK-based operators if they’re unable to oper- businesses would need to comply ate domestic routes in other coun- with EU rules when flying to EU tries, such as and , EDWIN SMITH Writer and editor, destinations”, which in practice Europe’s two biggest markets for he contributes to means implementing new and dif- private aviation”. But he suggests publications including ferent regulations in the UK, re- a solution could be if the UK ne- The Guardian and The sulting in extra costs for airlines, and “provide a coherent post-Brex- reaching an agreement as soon as gotiates to remain part of the Eu- Sunday Telegraph. putting pressure on fares. it plan or risk leaving the UK with- possible that allows consumers ropean Common Aviation Area as This assessment is mirrored by out any flights to/from Europe for and businesses from all European Norway or Iceland have done. An- an International Air Transport As- a period from March 2019, when it countries to continue to travel to other option, he says, is that “the sociation (IATA) estimate that “the exits the EU”. and from the UK and around Eu- registries of Jersey, Malta and the number of UK air passengers could And that’s the nub of the issue rope just as they do today.” Isle of Man are already an attrac- be 3 to 5 per cent lower by 2020, – timing, because resolution of a But to accomplish this, Brexit “re- tive alternative for UK-registered driven by the expected downturn UK-EU “divorce settlement” ap- quires a whole-business response: aircraft to elope to – now they’re in economic activity and the fall in pears to be becoming a precon- an ability to be agile in order to looking even more attractive for sterling”. dition before negotiation of new change course in-flight as the en- UK aircraft owners and operators”. As the Brexit process “hard- arrangements can commence, vironment becomes clearer”, says Despite the murky outlook, does ened”, IATA and Tourism Eco- and time is flying by. The snap James Stamp, global head of avi- the Brexit cloud have a silver lin- nomics quantified the differences election will also do nothing to ation and UK head of transport at ing? One ray of hope is in the realm in impact between soft and hard speed up the process as attention KPMG. “We have to start planning of aeronautical research, academ- Brexits. They anticipate that hard is diverted away from negotiating for the summer-winter season for ia and manufacture which are all Brexit precipitates greatest disrup- to campaigning. post-Brexit in 12 months’ time. I do inextricably intertwined. Many tion in both the short and long run, “People will continue to want think the issue of intra-EU flying of aviation’s success stories come whereby the UK passenger market to fly across Europe after the UK for UK-based airlines is not going from collaborative aero-industry would be around 6 per cent smaller leaves the EU,” says Tim Alders- to go away soon.” programmes that straddle the UK in 2035 “compared to what would lade, chief executive of Airlines Mr Stamp’s top three priorities and continental Europe. Major play- We have many ways to make  ying great fun. And not happen in the ‘soft’ Brexit case” UK, the industry body represent- for UK airlines and businesses? ers, including Airbus, Rolls-Royce, – 290 million passengers to, from ing UK-registered airlines. “We “Clearly number one is market ac- Safran, Leonardo, Dassault and just for the little ones. Like a high-speed Internet and within the UK in 2035 com- look forward to the EU and UK cess and who can fly where. Num- Thales, have a substantial presence pared with 309 million. on both sides of the Channel, with connection on long-haul  ights, the best on-board Although this publication is funded through advertising and Brexit means leaving Europe’s UK universities embedded in this sponsorship, all editorial is without bias and sponsored features ecosytem too. entertainment, as well as live TV, so you’ll never miss are clearly labelled. For an upcoming schedule, partnership Open Skies system, forcing the that vital match, game or race. To help you relax inquiries or feedback, please call +44 (0)20 3877 3800 or e-mail UK into new bilateral agreement “We’ve just taken occupation of [email protected] negotiations with the EU to allow a new Aerospace Integration Re- before your  ight, check out the Lufthansa App. With Raconteur is a leading publisher of special-interest content flights to and from Europe. While search Centre and our experience practical help and services, it is your perfect travel and research. Its publications and articles cover a wide range Article 50 theoretically provides since the confirmation of Brexit of topics, including business, finance, sustainability, healthcare, 24 months before leaving, Ry- has been of an unchanged level of companion. Check in to a new, state-of-the-art way lifestyle and technology. Raconteur special reports are published anair’s chief marketing officer interest among European aviation exclusively in The Times and The Sunday Times as well as online Kenny Jacobs says: “The best we businesses,” says Professor Iain to travel. at raconteur.net can hope for is a new bilateral… Gray, director of aerospace at Cran- The information contained in this publication has been obtained however, we worry that Britain 67% 49% 3-5% field University. “Brexit hasn’t from sources the Proprietors believe to be correct. However, no legal liability can be accepted for any errors. No part of this may not be able to negotiate such a of total traffic flows of air passengers potential fall in the changed fundamentally that need publication may be reproduced without the prior consent of the bilateral in time for the release by in the UK air market from the UK travel number of UK air for collaboration – interest is Publisher. © Raconteur Media airlines of summer 2019 schedules are outbound to the EU passengers by 2020 based on where they see capabili- as a result of Brexit in mid-2018.” ty. Issues around new barriers to The Dublin-based airline has working together will be overcome @raconteur /raconteur.net @raconteur_london called on the UK government to when there’s significant capability prioritise aviation negotiations IATA 2016 to be accessed.” /aviation-for-business-2017

1210-002734_LH_SI_LittleBoy_iPad_TIMES_20_04_17_264x338.indd 1 21.03.17 10:53 RACONTEUR.NET 20 / 04 / 2017 AVIATION FOR BUSINESS 03

OVERVIEW AVIATION Subject: FOR BUSINESS Trigger reaction: DISTRIBUTED IN fright or flight? Qh uhwf

ber two is clarification on what the RACONTEUR PAUL SILLERS foreign ownership restrictions to the airlines might be in practice. PUBLISHING MANAGER DIGITAL CONTENT MANAGER fter flying in close for- And third, people need to be think- Rebecca Wetten Jessica McGreal mation with its Europe- ing very hard around the visa and Rethinking air travel: PRODUCTION EDITOR DESIGN an cohorts for four-and- entry requirements for people go- Benjamin Chiou Samuele Motta a-half decades, the UK ing into and out of the UK because always connected with Grant Chapman Apushed the eject button. Plotting a we don’t want more friction in air MANAGING EDITOR Kellie Jerrard new course as the altimeter spins travel,” he says. digital services on the go Peter Archer through months of uncertainty of Images Getty via Baumgarten Ulrich Also grappling with what’s ahead Brexit negotiations – or even po- is the private aviation sector. “We litical U-turns – is disorienting could be dealing with many issues, enough, but prime minister There- including recruitment and reten- sa May’s shock announcement of a tion of crew, and the complexities CONTRIBUTORS June 8 general election could make of cabotage rights [the right of an the UK’s flight from the European airline registered in one country 1 Union even bumpier. to operate domestically in anoth- NICK EASEN PAUL SILLERS HM Treasury’s pre-referendum er country],” says Adam Twidell, Award-winning Freelance aero-industry assessment of Brexit warned that chief executive and co-found- freelance journalist and writer, he contributes to the “a vote to leave the EU would cause er of global private jet booking broadcaster, he produces Financial Times, Business significant disruption” to the UK’s service PrivateFly. for BBC World News Life, Quartz and Business aviation sector, highlighting that Mr Twidell foresees “a cata- and writes on business, Traveler USA, and is the economics, science, author of International “the inherently cross-border na- strophic impact on UK aircraft technology and travel. Business Etiquette 20:20. ture of the sector means UK-based operators if they’re unable to oper- businesses would need to comply ate domestic routes in other coun- with EU rules when flying to EU tries, such as France and Germany, EDWIN SMITH Writer and editor, destinations”, which in practice Europe’s two biggest markets for he contributes to means implementing new and dif- private aviation”. But he suggests publications including ferent regulations in the UK, re- a solution could be if the UK ne- The Guardian and The sulting in extra costs for airlines, and “provide a coherent post-Brex- reaching an agreement as soon as gotiates to remain part of the Eu- Sunday Telegraph. putting pressure on fares. it plan or risk leaving the UK with- possible that allows consumers ropean Common Aviation Area as This assessment is mirrored by out any flights to/from Europe for and businesses from all European Norway or Iceland have done. An- an International Air Transport As- a period from March 2019, when it countries to continue to travel to other option, he says, is that “the sociation (IATA) estimate that “the exits the EU”. and from the UK and around Eu- registries of Jersey, Malta and the number of UK air passengers could And that’s the nub of the issue rope just as they do today.” Isle of Man are already an attrac- be 3 to 5 per cent lower by 2020, – timing, because resolution of a But to accomplish this, Brexit “re- tive alternative for UK-registered driven by the expected downturn UK-EU “divorce settlement” ap- quires a whole-business response: aircraft to elope to – now they’re in economic activity and the fall in pears to be becoming a precon- an ability to be agile in order to looking even more attractive for sterling”. dition before negotiation of new change course in-flight as the en- UK aircraft owners and operators”. As the Brexit process “hard- arrangements can commence, vironment becomes clearer”, says Despite the murky outlook, does ened”, IATA and Tourism Eco- and time is flying by. The snap James Stamp, global head of avi- the Brexit cloud have a silver lin- nomics quantified the differences election will also do nothing to ation and UK head of transport at ing? One ray of hope is in the realm in impact between soft and hard speed up the process as attention KPMG. “We have to start planning of aeronautical research, academ- Brexits. They anticipate that hard is diverted away from negotiating for the summer-winter season for ia and manufacture which are all Brexit precipitates greatest disrup- to campaigning. post-Brexit in 12 months’ time. I do inextricably intertwined. Many tion in both the short and long run, “People will continue to want think the issue of intra-EU flying of aviation’s success stories come whereby the UK passenger market to fly across Europe after the UK for UK-based airlines is not going from collaborative aero-industry would be around 6 per cent smaller leaves the EU,” says Tim Alders- to go away soon.” programmes that straddle the UK in 2035 “compared to what would lade, chief executive of Airlines Mr Stamp’s top three priorities and continental Europe. Major play- We have many ways to make  ying great fun. And not happen in the ‘soft’ Brexit case” UK, the industry body represent- for UK airlines and businesses? ers, including Airbus, Rolls-Royce, – 290 million passengers to, from ing UK-registered airlines. “We “Clearly number one is market ac- Safran, Leonardo, Dassault and just for the little ones. Like a high-speed Internet and within the UK in 2035 com- look forward to the EU and UK cess and who can fly where. Num- Thales, have a substantial presence pared with 309 million. on both sides of the Channel, with connection on long-haul  ights, the best on-board Although this publication is funded through advertising and Brexit means leaving Europe’s UK universities embedded in this sponsorship, all editorial is without bias and sponsored features ecosytem too. entertainment, as well as live TV, so you’ll never miss are clearly labelled. For an upcoming schedule, partnership Open Skies system, forcing the that vital match, game or race. To help you relax inquiries or feedback, please call +44 (0)20 3877 3800 or e-mail UK into new bilateral agreement “We’ve just taken occupation of [email protected] negotiations with the EU to allow a new Aerospace Integration Re- before your  ight, check out the Lufthansa App. With Raconteur is a leading publisher of special-interest content flights to and from Europe. While search Centre and our experience practical help and services, it is your perfect travel and research. Its publications and articles cover a wide range Article 50 theoretically provides since the confirmation of Brexit of topics, including business, finance, sustainability, healthcare, 24 months before leaving, Ry- has been of an unchanged level of companion. Check in to a new, state-of-the-art way lifestyle and technology. Raconteur special reports are published anair’s chief marketing officer interest among European aviation exclusively in The Times and The Sunday Times as well as online Kenny Jacobs says: “The best we businesses,” says Professor Iain to travel. at raconteur.net can hope for is a new bilateral… Gray, director of aerospace at Cran- The information contained in this publication has been obtained however, we worry that Britain 67% 49% 3-5% field University. “Brexit hasn’t from sources the Proprietors believe to be correct. However, no legal liability can be accepted for any errors. No part of this may not be able to negotiate such a of total traffic flows of air passengers potential fall in the changed fundamentally that need publication may be reproduced without the prior consent of the bilateral in time for the release by in the UK air market from the UK travel number of UK air for collaboration – interest is Publisher. © Raconteur Media airlines of summer 2019 schedules are outbound to the EU passengers by 2020 based on where they see capabili- as a result of Brexit in mid-2018.” ty. Issues around new barriers to The Dublin-based airline has working together will be overcome @raconteur /raconteur.net @raconteur_london called on the UK government to when there’s significant capability prioritise aviation negotiations IATA 2016 to be accessed.” /aviation-for-business-2017

1210-002734_LH_SI_LittleBoy_iPad_TIMES_20_04_17_264x338.indd 1 21.03.17 10:53 04 AVIATION FOR BUSINESS 20 / 04 / 2017 RACONTEUR.NET RACONTEUR.NET 20 / 04 / 2017 AVIATION FOR BUSINESS 05

FLYING TAXIS OPINION COLUMN

‘Flying in a chartered Fly by pilotless drone to beat the traffi c jams aircraft has nothing Governments, safety regulators, air traffi c to do with fat-cat authorities and technology breakthroughs will determine the global trajectory of luxury – it’s about fl ying taxis as the take-off of the fi rst air time effi ciency, not © e-volo, by Nikolay Kazakov Nikolay by e-volo, © cab service approaches this summer simply cost’

RICHARD MUMFORD PAUL SILLERS Chairman BACA

t’s exactly 20 years since the re- following a crash. So why are fl ying lease of The Fifth Element, the taxis taking off now? Luc Besson-directed blockbust- Five elements have fallen into er set in a dystopian 23rd-centu- alignment making it all possible. We live in an age of in- ority for any legitimate Iry metropolis. Bruce Willis played Firstly, a signifi cant milestone was creasing urgency and operator of aircraft. the wisecracking flying taxi driver reached on March 30, 2016 when complexity. Signifi - Specialist brokers who sneers at authority, renders German drone manufacturer e-vo- cant business deci- will know and

aliens helpless with his one-liners lo fl ew the fi rst manned certifi ed Images STRINGER/AFP/Getty sions are made in work with the best and saves the planet from the forc- multicopter, the Volocopter VC200, the blink of an eye. operators, care- es of evil. on an airfi eld in southern Germany. 03 An error of judg- fully planning any But back in 2017, fl ying cabbies It’s dronedom’s equivalent of the ment can cost ma- proposed itinerary. aren’t quite so busy, for unlike Bes- Wright Brothers’ fi rst fl ight, transi- jor contracts, risking They will work hard son’s gripping cinematic vision, the tioning VTOLs from Christmas toys Closer to home, fl ying taxis could ly, central London’s average day- thousands of jobs or to ensure they meet fi rst airborne taxi slated for com- to transporters of human beings. have a transformative impact on the time traffi c speed is 7.3mph. millions in tax liabilities. timings, match the best mercial deployment will fl y auton- Secondly, for the past decade, the working day of a chief executive in a This means fl ying taxis travel over The business world is driven aircraft to the routes and be omously, without a human pilot. air traffi c control ecosystem has major city such as London, once reg- fi ve times faster than central Lon- by people, even the largest and most there to help if something unfore- Nor will you have to wait two cen- been prepping for the integration ulatory, safety, security, privacy and don traffi c, not to mention the ad- successful companies will rely on seen occurs, such as a last-minute turies to hail a ride as fl ying taxis of remotely and autonomously pi- air traffi c control considerations are vantage of fl ying a direct line from the skills, experience and instincts change of schedule. are scheduled to go into service this loted aircraft with commercial civ- resolved. Let’s consider the specifi ca- origin to destination, not the mean- of key executives. Technology has BACA: The Air Charter Associa- July in Dubai. il air traffi c. An example of this is tion of an EHang 184, which can lift dering pot-holed route with its road- created great effi ciencies in busi- tion is a global air charter broker One more thing, flying cabs a combined passenger and luggage works, burst water pipes and traffi c ness, but physical presence is an ab- association that requires its mem- won’t resemble cars. The prevail- payload of 100 kilograms, and fl y cams to fret about. solute requirement to move a busi- bers to follow a code of conduct and ing technology platform is verti- for 25 minutes at a cruising speed of Theoretically, a trip by fl ying taxi ness forward. rules, and to adhere to the highest cal take-off and landing (VTOL) 60kph (37mph), and compare the al- from Canary Wharf to Kensington’s If speed, accuracy of timing and standards of market conduct. The drones with multiple electrically It’s dronedom’s 01 ternatives. Design Museum (8.8 miles) would delivery are the key objectives, a BACA logo indicates that brokers driven propellers. equivalent of the Transport for London’s latest Per- take 14 minutes, whereas the equiv- chartered aircraft will often be the and operators are members of the For decades it’s been an aspiration formance Summary report high- alent road journey might last 90 min- best option, particularly if the two association and are bound to meet to democratise personal fl ight. Hen- Wright Brothers’ fi rst BAE Systems’ Autonomous Systems the automotive industry’s efforts could provide meaningful range 01 VTOLs will become more akin to lights that of the 27 million pas- utes. By public transport it would ends of the journey are not close to those standards in pursuit of excel- ry Ford, the godfather of mass-pro- Technology-Related Airborne Eval- to extend the range of electric for flying taxis. German drone automobiles than aircraft.” senger journeys undertaken by involve the Docklands Light Railway, major airports, or if more than one lent customer service. fl ight, transitioning manufacturer Londoners every day, more than 80 three changes on the Tube and an There are a host of other reasons duced urban mobility, prophesied: VTOLs from uation and Assessment programme cars. Sony is reported to be com- The fourth factor is the rise of the e-volo fl ew the fi rst But perhaps the biggest determi- destination is on the itinerary. Air- “A combination airplane and motor- in 2012, which demonstrated that mercialising the next generation internet of things and on-demand manned certifi ed nant of aerial taxi uptake, the fi fth per cent are made on the road net- 11-minute walk. Given the produc- craft charter provides a fantastic to use chartered aircraft. These car is coming. You may smile, but it Christmas toys to unmanned aerial vehicles could op- of batteries – 1,000Wh/l energy mobility, the ease of being able to multicopter, the element, is not the techy bits, it’s po- work and will grow by an extra fi ve tivity potential of fl ying taxis, which ability to move quickly, discreetly include: chartered aircraft are dis- will come.” His company even pro- transporters of erate safely in UK air space. density lithium-sulfur and mag- summon an Uber car with a few taps Volocopter VC200, litical will. To that end, two locales million daily trips by 2030. Current- option would you choose? and fl exibly. Flying in a chartered creet and, contrary to what some in March last year totyped a fl ying car in 1926, the Ford human beings Thirdly, is the improving oomph nesium-sulfur batteries – by 2020, on your smartphone. Hence, it’s not have conspicuously embraced fl ying aircraft has nothing to do with fat- might think, a low-profi le way to Flivver, but abandoned the project of battery technology, driven by delivering the kind of power that surprising that Uber has become a 02 taxis, embedding them into civic cat luxury or ostentation – it’s about travel; there are thousands of air- proponent of a VTOL taxi network Flying taxis could planning at government level. time effi ciency, not simply cost. fi elds worldwide and dozens of outlined in its Elevate white paper, travel over fi ve times Dubai is on track to be the fi rst city PUBLIC OPINION ON PASSENGER TRANSPORT DRONES In terms of cost, it is clearly cheap- aircraft types available for charter, faster than central published last autumn, which iden- to deploy fl ying taxis, following an SHARE OF SUPPORTERS FOR DRONES BEING USED FOR PASSENGER er to fl y on easyJet from one major allowing the broker to plot a more London traffi c tifi es the path to market, safety, pro- announcement by the Dubai Roads TRANSPORT IN THE UK destination to another. Howev- effi cient route to save time and in- pulsion, speed, range, certifi cation, 03 and Transport Authority (RTA) in er, the cost to the business could crease effi ciency; the time from piloting, infrastructure and opera- Model of the EHang February. Mattar Al Tayer, general 19% 6% be radically diff erent. A business crossing the airport threshold at tional considerations. 184 displayed at manager and chairman of the RTA, might have a key contract worth £50 the start of the journey and leaving the Dubai 2017 Don’t know Strongly support bdrone/Shutterstock Uber’s intention is to inspire in- World Government explained that fl ights of the Chi- million in revenue each year. That it at the end can be massively re- terested stakeholders to collabo- Summit in February nese-built EHang 184 at the Dubai equates to nearly £6,000 per hour. duced – in many airports, a car can rate in the ecosystem needed for Civil Aviation Authority’s test site Problems with the operation of drive straight up to the door of the flying taxis and has even convened is part of Dubai’s self-driving trans- that contract may require an execu- aircraft and another be waiting at a global Elevate Summit in Dallas port strategy, which aims to trans- 15% tive to visit three destinations, per- the other end; helicopter transfers on April 25 to 27, reckoning: “If form 25 per cent of total individual haps Milan, Florence and Valletta, can be arranged to depart direct- Tend VTOLs can serve the on-demand journeys in Dubai into self-driving to support on the same day. The contract might ly from the arriving aircraft and urban transit case well – quiet, trips using various modes of trans- be time critical; failure to resolve transport the travelling customer fast, clean, efficient and safe – port by 2030. the issue on the day could lose the to their fi nal destination; and many the economics of manufacturing The EHang 184 could also be a contract and also lead to a claim for aircraft have the latest technology contender for flying taxi services breach of obligations. A major con- on board, allowing the executive to in Singapore, alongside the Volo- tract failure could cause signifi cant work effi ciently and confi dentially copter VC200, as well as Russian reputational harm and damage that while in the air. startup Hoversurf’s Scorpian-3. could take years to recover. In summary, jet charter is cost eff ec- All three were presented at The That trip would not be logistical- tive, effi cient and fl exible, provided Central London’s Business Times Leaders’ Forum ly possible on scheduled airlines. it is carefully planned and sourced. average daytime last month in Singapore where It is only possible on a chartered There should be plenty of time to traffi c speed permanent secretary Pang Kin Ke- aircraft with the help of specialist draft and send that key message to 32% 27% is 7.3mph ong outlined the Transport Min- advice, such as that provided by a the business traveller’s customer to istry’s strategy for urban mobility Strongly oppose Tend to oppose BACA-member broker. let them know everything will be OK. 02 in 2030, which includes passen- Aviation is heavily regulated be- In fact, it might be possible to send it ger-carrying drones. ComRes/Royal Aeronautical Society 2016 cause safety is the number-one pri- from the aircraft on the way home. 04 AVIATION FOR BUSINESS 20 / 04 / 2017 RACONTEUR.NET RACONTEUR.NET 20 / 04 / 2017 AVIATION FOR BUSINESS 05

FLYING TAXIS OPINION COLUMN

‘Flying in a chartered Fly by pilotless drone to beat the traffi c jams aircraft has nothing Governments, safety regulators, air traffi c to do with fat-cat authorities and technology breakthroughs will determine the global trajectory of luxury – it’s about fl ying taxis as the take-off of the fi rst air time effi ciency, not © e-volo, by Nikolay Kazakov Nikolay by e-volo, © cab service approaches this summer simply cost’

RICHARD MUMFORD PAUL SILLERS Chairman BACA

t’s exactly 20 years since the re- following a crash. So why are fl ying lease of The Fifth Element, the taxis taking off now? Luc Besson-directed blockbust- Five elements have fallen into er set in a dystopian 23rd-centu- alignment making it all possible. We live in an age of in- ority for any legitimate Iry metropolis. Bruce Willis played Firstly, a signifi cant milestone was creasing urgency and operator of aircraft. the wisecracking flying taxi driver reached on March 30, 2016 when complexity. Signifi - Specialist brokers who sneers at authority, renders German drone manufacturer e-vo- cant business deci- will know and

aliens helpless with his one-liners lo fl ew the fi rst manned certifi ed Images STRINGER/AFP/Getty sions are made in work with the best and saves the planet from the forc- multicopter, the Volocopter VC200, the blink of an eye. operators, care- es of evil. on an airfi eld in southern Germany. 03 An error of judg- fully planning any But back in 2017, fl ying cabbies It’s dronedom’s equivalent of the ment can cost ma- proposed itinerary. aren’t quite so busy, for unlike Bes- Wright Brothers’ fi rst fl ight, transi- jor contracts, risking They will work hard son’s gripping cinematic vision, the tioning VTOLs from Christmas toys Closer to home, fl ying taxis could ly, central London’s average day- thousands of jobs or to ensure they meet fi rst airborne taxi slated for com- to transporters of human beings. have a transformative impact on the time traffi c speed is 7.3mph. millions in tax liabilities. timings, match the best mercial deployment will fl y auton- Secondly, for the past decade, the working day of a chief executive in a This means fl ying taxis travel over The business world is driven aircraft to the routes and be omously, without a human pilot. air traffi c control ecosystem has major city such as London, once reg- fi ve times faster than central Lon- by people, even the largest and most there to help if something unfore- Nor will you have to wait two cen- been prepping for the integration ulatory, safety, security, privacy and don traffi c, not to mention the ad- successful companies will rely on seen occurs, such as a last-minute turies to hail a ride as fl ying taxis of remotely and autonomously pi- air traffi c control considerations are vantage of fl ying a direct line from the skills, experience and instincts change of schedule. are scheduled to go into service this loted aircraft with commercial civ- resolved. Let’s consider the specifi ca- origin to destination, not the mean- of key executives. Technology has BACA: The Air Charter Associa- July in Dubai. il air traffi c. An example of this is tion of an EHang 184, which can lift dering pot-holed route with its road- created great effi ciencies in busi- tion is a global air charter broker One more thing, flying cabs a combined passenger and luggage works, burst water pipes and traffi c ness, but physical presence is an ab- association that requires its mem- won’t resemble cars. The prevail- payload of 100 kilograms, and fl y cams to fret about. solute requirement to move a busi- bers to follow a code of conduct and ing technology platform is verti- for 25 minutes at a cruising speed of Theoretically, a trip by fl ying taxi ness forward. rules, and to adhere to the highest cal take-off and landing (VTOL) 60kph (37mph), and compare the al- from Canary Wharf to Kensington’s If speed, accuracy of timing and standards of market conduct. The drones with multiple electrically It’s dronedom’s 01 ternatives. Design Museum (8.8 miles) would delivery are the key objectives, a BACA logo indicates that brokers driven propellers. equivalent of the Transport for London’s latest Per- take 14 minutes, whereas the equiv- chartered aircraft will often be the and operators are members of the For decades it’s been an aspiration formance Summary report high- alent road journey might last 90 min- best option, particularly if the two association and are bound to meet to democratise personal fl ight. Hen- Wright Brothers’ fi rst BAE Systems’ Autonomous Systems the automotive industry’s efforts could provide meaningful range 01 VTOLs will become more akin to lights that of the 27 million pas- utes. By public transport it would ends of the journey are not close to those standards in pursuit of excel- ry Ford, the godfather of mass-pro- Technology-Related Airborne Eval- to extend the range of electric for flying taxis. German drone automobiles than aircraft.” senger journeys undertaken by involve the Docklands Light Railway, major airports, or if more than one lent customer service. fl ight, transitioning manufacturer Londoners every day, more than 80 three changes on the Tube and an There are a host of other reasons duced urban mobility, prophesied: VTOLs from uation and Assessment programme cars. Sony is reported to be com- The fourth factor is the rise of the e-volo fl ew the fi rst But perhaps the biggest determi- destination is on the itinerary. Air- “A combination airplane and motor- in 2012, which demonstrated that mercialising the next generation internet of things and on-demand manned certifi ed nant of aerial taxi uptake, the fi fth per cent are made on the road net- 11-minute walk. Given the produc- craft charter provides a fantastic to use chartered aircraft. These car is coming. You may smile, but it Christmas toys to unmanned aerial vehicles could op- of batteries – 1,000Wh/l energy mobility, the ease of being able to multicopter, the element, is not the techy bits, it’s po- work and will grow by an extra fi ve tivity potential of fl ying taxis, which ability to move quickly, discreetly include: chartered aircraft are dis- will come.” His company even pro- transporters of erate safely in UK air space. density lithium-sulfur and mag- summon an Uber car with a few taps Volocopter VC200, litical will. To that end, two locales million daily trips by 2030. Current- option would you choose? and fl exibly. Flying in a chartered creet and, contrary to what some in March last year totyped a fl ying car in 1926, the Ford human beings Thirdly, is the improving oomph nesium-sulfur batteries – by 2020, on your smartphone. Hence, it’s not have conspicuously embraced fl ying aircraft has nothing to do with fat- might think, a low-profi le way to Flivver, but abandoned the project of battery technology, driven by delivering the kind of power that surprising that Uber has become a 02 taxis, embedding them into civic cat luxury or ostentation – it’s about travel; there are thousands of air- proponent of a VTOL taxi network Flying taxis could planning at government level. time effi ciency, not simply cost. fi elds worldwide and dozens of outlined in its Elevate white paper, travel over fi ve times Dubai is on track to be the fi rst city PUBLIC OPINION ON PASSENGER TRANSPORT DRONES In terms of cost, it is clearly cheap- aircraft types available for charter, faster than central published last autumn, which iden- to deploy fl ying taxis, following an SHARE OF SUPPORTERS FOR DRONES BEING USED FOR PASSENGER er to fl y on easyJet from one major allowing the broker to plot a more London traffi c tifi es the path to market, safety, pro- announcement by the Dubai Roads TRANSPORT IN THE UK destination to another. Howev- effi cient route to save time and in- pulsion, speed, range, certifi cation, 03 and Transport Authority (RTA) in er, the cost to the business could crease effi ciency; the time from piloting, infrastructure and opera- Model of the EHang February. Mattar Al Tayer, general 19% 6% be radically diff erent. A business crossing the airport threshold at tional considerations. 184 displayed at manager and chairman of the RTA, might have a key contract worth £50 the start of the journey and leaving the Dubai 2017 Don’t know Strongly support bdrone/Shutterstock Uber’s intention is to inspire in- World Government explained that fl ights of the Chi- million in revenue each year. That it at the end can be massively re- terested stakeholders to collabo- Summit in February nese-built EHang 184 at the Dubai equates to nearly £6,000 per hour. duced – in many airports, a car can rate in the ecosystem needed for Civil Aviation Authority’s test site Problems with the operation of drive straight up to the door of the flying taxis and has even convened is part of Dubai’s self-driving trans- that contract may require an execu- aircraft and another be waiting at a global Elevate Summit in Dallas port strategy, which aims to trans- 15% tive to visit three destinations, per- the other end; helicopter transfers on April 25 to 27, reckoning: “If form 25 per cent of total individual haps Milan, Florence and Valletta, can be arranged to depart direct- Tend VTOLs can serve the on-demand journeys in Dubai into self-driving to support on the same day. The contract might ly from the arriving aircraft and urban transit case well – quiet, trips using various modes of trans- be time critical; failure to resolve transport the travelling customer fast, clean, efficient and safe – port by 2030. the issue on the day could lose the to their fi nal destination; and many the economics of manufacturing The EHang 184 could also be a contract and also lead to a claim for aircraft have the latest technology contender for flying taxi services breach of obligations. A major con- on board, allowing the executive to in Singapore, alongside the Volo- tract failure could cause signifi cant work effi ciently and confi dentially copter VC200, as well as Russian reputational harm and damage that while in the air. startup Hoversurf’s Scorpian-3. could take years to recover. In summary, jet charter is cost eff ec- All three were presented at The That trip would not be logistical- tive, effi cient and fl exible, provided Central London’s Business Times Leaders’ Forum ly possible on scheduled airlines. it is carefully planned and sourced. average daytime last month in Singapore where It is only possible on a chartered There should be plenty of time to traffi c speed permanent secretary Pang Kin Ke- aircraft with the help of specialist draft and send that key message to 32% 27% is 7.3mph ong outlined the Transport Min- advice, such as that provided by a the business traveller’s customer to istry’s strategy for urban mobility Strongly oppose Tend to oppose BACA-member broker. let them know everything will be OK. 02 in 2030, which includes passen- Aviation is heavily regulated be- In fact, it might be possible to send it ger-carrying drones. ComRes/Royal Aeronautical Society 2016 cause safety is the number-one pri- from the aircraft on the way home. 06 AVIATION FOR BUSINESS 20 / 04 / 2017 RACONTEUR.NET RACONTEUR.NET 20 / 04 / 2017 AVIATION FOR BUSINESS 07

CHECK-IN SELF-SERVICE LUGGAGE DROP-OFF CT SCANS LUGGAGE Remote check-in is now Hong Kong’s MTR subway system High-defi nition, 3D computerised GATE commonplace across airports has a whole line dedicated to airport Air installed the fi rst of tomography (CT) scans could soon worldwide, with 71 per cent of global travellers, who can check their its facial recognition-enabled self- replace the standard X-ray scans passengers having used mobile luggage in without leaving the city’s service baggage units at Auckland currently used at most airports, both boarding passes at least once in central business district. Passengers Airport late last year, which feature speeding up the security process and 2016, according to IATA can check in bags and get boarding embedded cameras to capture improving security and the detection passes at the station up to a day passengers’ faces at the point of bag of weapons and explosives before their fl ight, removing the need drop, enabling a smoother transition for luggage storage and giving them to the departure lounge THE FUTURE extra time to tour the city AIRPORT AIRPORT ROBOTS WI-FI BIOMETRICS SPEEDY SECURITY ALF Terminal-wide wi-fi is an expected The awkward exchange between Tired of shoeless, beltless waits Customer-facing robots have been Effi ciency is the name of the game in the feature of airports nowadays, with irritable security staff and frantic fl yers in security queues? Delta Airlines’ around for years and are used for airport industry, and terminals are streamlining travellers turning to the internet searching bumbags for passports may “innovation lanes” have made luggage transportation, cleaning and to overcome the insurmountable be a thing of the past with the creation the whole process a lot simpler, every step of the passenger journey to make directing passengers to the correct boredom that comes with long of the single passenger token. Tokens, and speedier. Trialled last year at the customer experience seamless, eco- gate. Glasgow Airport’s all-singing, waits and delayed fl ights. Free such as the Aruba Happy Flow, are set Hartsfi eld-Jackson Airport in Atlanta, all-dancing, all-selfi e-taking robot friendly and, ultimately, as stress-free wi-fi , however, is a little harder to to revolutionise the airport customer the world’s busiest airport, the lanes ambassador GLAdys, unveiled as possible. From facial recognition software come by. WiFox, an app created by journey and enable fl yers’ biometric have fi ve stations for travellers to at Christmas, not only distracted computer security engineer Anil Polat, data to be linked to their boarding deposit their bits and bobs onto a to terminal transport pods, here are some passengers with renditions of their festive includes a map of free internet and passes and passports, removing conveyor belt for scanning, moving of the key features that could become favourites, but was also able to collect wi-fi passwords at airports around the need to present documents fi ve people simultaneously through the customer feedback on airport services mainstream in the airport of the future the world, including which lounges, at every check-in point checkpoint, rather than the traditional bars and restaurants to visit, and is single-fi le method. The system is continually updated by travellers proven to process 35 per cent more people per hour than single-fi le lines

ECO FRIENDLY

While not directly under the remit of airports, travel to and from terminals can be a large contributor to an airport’s carbon emissions. Oslo Airport has the largest and free charging area for electric vehicles in Europe, while Heathrow is pushing for 45 per cent of all journeys to the airport to be taken by public transport by 2019 SLEEP PODS NOISE REDUCTION FUEL SAVING

Faced with fl ight cancellations or long Restricting the number of night fl ights While most aircraft use auxiliary delays? Dubai International Airport and penalties for older, louder aircraft power units (APUs) for cleaning and off ers a dozen or so SnoozeCubes are obvious ways of reducing noise, but air conditioning when the engines are – mini sound-proofed hotel rooms changes to the way planes approach turned off , airports are beginning to installed within the terminal for a the runway can also have dramatic install fi xed ground power and pre- quick doze in privacy, each equipped eff ects on sound levels. Planes typically conditioned air systems. These power with a bed, touchscreen TV and a level off intermittently as they descend, aircraft from the local grid or even solar shower. Too luxurious? The airport but continuous descents in a straight power. Barcelona’s El Prat Airport has path from 6,000 feet can lead to saved 58,000 tonnes of CO a year by off ers GoSleep sleeping pods, smaller 2 private beds rentable by the hour noticeable noise reduction and save up making it mandatory to switch off APUs to 400kg of fuel, according to Heathrow when planes are parked at the gate 06 AVIATION FOR BUSINESS 20 / 04 / 2017 RACONTEUR.NET RACONTEUR.NET 20 / 04 / 2017 AVIATION FOR BUSINESS 07

CHECK-IN SELF-SERVICE LUGGAGE DROP-OFF CT SCANS LUGGAGE Remote check-in is now Hong Kong’s MTR subway system High-defi nition, 3D computerised GATE commonplace across airports has a whole line dedicated to airport Air New Zealand installed the fi rst of tomography (CT) scans could soon worldwide, with 71 per cent of global travellers, who can check their its facial recognition-enabled self- replace the standard X-ray scans passengers having used mobile luggage in without leaving the city’s service baggage units at Auckland currently used at most airports, both boarding passes at least once in central business district. Passengers Airport late last year, which feature speeding up the security process and 2016, according to IATA can check in bags and get boarding embedded cameras to capture improving security and the detection passes at the station up to a day passengers’ faces at the point of bag of weapons and explosives before their fl ight, removing the need drop, enabling a smoother transition for luggage storage and giving them to the departure lounge THE FUTURE extra time to tour the city AIRPORT AIRPORT ROBOTS WI-FI BIOMETRICS SPEEDY SECURITY ALF Terminal-wide wi-fi is an expected The awkward exchange between Tired of shoeless, beltless waits Customer-facing robots have been Effi ciency is the name of the game in the feature of airports nowadays, with irritable security staff and frantic fl yers in security queues? Delta Airlines’ around for years and are used for airport industry, and terminals are streamlining travellers turning to the internet searching bumbags for passports may “innovation lanes” have made luggage transportation, cleaning and to overcome the insurmountable be a thing of the past with the creation the whole process a lot simpler, every step of the passenger journey to make directing passengers to the correct boredom that comes with long of the single passenger token. Tokens, and speedier. Trialled last year at the customer experience seamless, eco- gate. Glasgow Airport’s all-singing, waits and delayed fl ights. Free such as the Aruba Happy Flow, are set Hartsfi eld-Jackson Airport in Atlanta, all-dancing, all-selfi e-taking robot friendly and, ultimately, as stress-free wi-fi , however, is a little harder to to revolutionise the airport customer the world’s busiest airport, the lanes ambassador GLAdys, unveiled as possible. From facial recognition software come by. WiFox, an app created by journey and enable fl yers’ biometric have fi ve stations for travellers to at Christmas, not only distracted computer security engineer Anil Polat, data to be linked to their boarding deposit their bits and bobs onto a to terminal transport pods, here are some passengers with renditions of their festive includes a map of free internet and passes and passports, removing conveyor belt for scanning, moving of the key features that could become favourites, but was also able to collect wi-fi passwords at airports around the need to present documents fi ve people simultaneously through the customer feedback on airport services mainstream in the airport of the future the world, including which lounges, at every check-in point checkpoint, rather than the traditional bars and restaurants to visit, and is single-fi le method. The system is continually updated by travellers proven to process 35 per cent more people per hour than single-fi le lines

ECO FRIENDLY

While not directly under the remit of airports, travel to and from terminals can be a large contributor to an airport’s carbon emissions. Oslo Airport has the largest and free charging area for electric vehicles in Europe, while Heathrow is pushing for 45 per cent of all journeys to the airport to be taken by public transport by 2019 SLEEP PODS NOISE REDUCTION FUEL SAVING

Faced with fl ight cancellations or long Restricting the number of night fl ights While most aircraft use auxiliary delays? Dubai International Airport and penalties for older, louder aircraft power units (APUs) for cleaning and off ers a dozen or so SnoozeCubes are obvious ways of reducing noise, but air conditioning when the engines are – mini sound-proofed hotel rooms changes to the way planes approach turned off , airports are beginning to installed within the terminal for a the runway can also have dramatic install fi xed ground power and pre- quick doze in privacy, each equipped eff ects on sound levels. Planes typically conditioned air systems. These power with a bed, touchscreen TV and a level off intermittently as they descend, aircraft from the local grid or even solar shower. Too luxurious? The airport but continuous descents in a straight power. Barcelona’s El Prat Airport has path from 6,000 feet can lead to saved 58,000 tonnes of CO a year by off ers GoSleep sleeping pods, smaller 2 private beds rentable by the hour noticeable noise reduction and save up making it mandatory to switch off APUs to 400kg of fuel, according to Heathrow when planes are parked at the gate 08 AVIATION FOR BUSINESS 20 / 04 / 2017 RACONTEUR.NET RACONTEUR.NET 20 / 04 / 2017 AVIATION FOR BUSINESS 09

BUSINESS MODELS COMMERCIAL FEATURE Business fl yers are taking the controls Q&A Elit’Avia anticipating As more private clients’ needs in a changing Europe jet operators take to the skies, their Elit’Avia’s newly appointed UK, Europe and Africa sales director Wynton Faure discusses the private jet company’s customers are Flobrant/Unsplash Jon personalised service strategy and reveals its unique combination of propositions in the business aviation sector increasingly spoilt for choice and are demanding top- ith a wealth of experi- ence in previous roles TOP TEN BUSIEST AIRPORT PAIRS FOR INTRA-EUROPEAN FLIGHTS IN 2016 quality service at VistaJet and Tag Aircraft Management, Vnukovo WWynton Faure is responsible for pro- Flights 2016 % of total airport pair = G-reg moting Elit’Avia’s services in aircraft management, charter, VIP travel ser- vices, tech services and whole aircraft Geneva Le Bourget 1,640 4.8% sales. Currently, his particular point NICK EASEN of focus is developing the UK market Le Bourget 1,564 5.4% and assisting those clients seeking a Geneva ost of our people have seamless transition through Brexit. Le Bourget Nice Côte d’Azur 5.5% never had it so good,” As airline passengers in and out of Le Bourget 1,010 was a phrase coined the UK face possible new procedures 60 years ago by then- and restrictions once Britain leaves the Le Bourget 968 4.1% primeM minister Harold Macmillan, European Union, corporate aviation Nice Côte d’Azur but it could easily be said of execu- could help smooth away the pain- Geneva Nice Côte d’Azur 885 1.7% tive travellers using business and points for those whose lives and busi- Linate Vnukovo private aviation today. There is now nesses depend on frictionless travel. Vnukovo 865 1.8% an overabundance of options in the Although it is too early to anticipate Nice Côte d’Azur marketplace from jet cards to frac- exactly how Brexit will affect the cor- Nice Côte Linate tional ownership, one-way pricing porate aviation sector, with air opera- d’Azur 850 0.9% Ciampino to subscriptions. tor’s certificates in Slovenia and Malta, Ciampino But Adam Twidell, chief executive Elit’Avia is confident its unique geo- Geneva 814 9.3% of PrivateFly, cautions: “Ironically schedules. New business models challenge as there’s not always reg- companies are also now competing gle-engine turboprops to operate graphic footprint and service options Nice Côte d’Azur because of the number of diff erent have now put the customer in con- ular demand. with some impressive fi rst class commercially in Europe. The move will ease the journey for its clientele. Nice Côte d’Azur business models out there, it is be- trol, off ering price comparisons and “They continuously try hard to and exclusive areas on board new- has been welcomed by the British Geneva 811 7.4% coming increasingly diffi cult again a clearer range of aircraft options,” drive down costs, break into new mar- er planes, such as the Etihad Resi- Business General Aviation Associa- What bearing does the UK’s trigger- for the customer. Diff erentiating says Mr Twidell, sounding a more kets and reward customers with bene- dence on the new A380s, which can tion. As chief executive Marc Bailey ing of Article 50 have on Elit’Avia’s Ciampino Linate 797 1.5% and simplifying the off ering is now a positive note for fl yers. fi ts that compare to existing schemes. often off er more space than in pri- says: “This is one of the bright spots business, and could being co-locat- challenge for many companies.” Julie Black, manager for executive The business-class customer is used vate jets. Yet the biggest issue is the in business aviation right now.” ed in Slovenia and Malta be bene- WingXAdvance The prolonged era of low oil prices aviation at Hunt & Palmer, says: “Cus- to being treated diff erently and many sheer scale of options. ficial for customers on both sides of has led to a fl ourishing of aviation tomer loyalty is eroded by the increas- have invested in earning gold loyal- “There are 800,000 seats a year the new “border” due to be imposed Elit’Avia has a diversified fleet with to detail and operational efficiency Because we are level 3 IS-BAO certi- entrepreneurs willing to tackle this ing commoditisation of the product. ty status with legacy carriers, which off ered on business and fi rst class in two years’ time? medium and long-haul range capa- above all. We believe that the chal- fied, our team aims to exceed stand- lucrative and sexy end of the market. While we accept that everyone expects they won’t give up without a fi ght,” by US and UK legacy carriers on the We expect that our clients will experi- bility. What are the implications of lenge is to balance the old and the ards in airworthiness and aircraft 27/40 Yet the economic downturn, com- good value for money, it presents a explains Warren Dix, chief commer- most popular long-haul routes be- While we accept ence minimal, if any, disruption to op- offering these types of aircraft in a new. We will not allow our service care on all platforms. of the top airport bined with technological innovation, challenge to service quality when it cial offi cer at Hillgate Travel. tween London and New York,” says erations due to Brexit. With a European changing Europe? levels to be “disrupted” by technol- pairs during 2016 has changed expectations around becomes about being lowest in price.” A key barrier to growth is airport David Rimmer, chief executive of that everyone air operator’s certificate, internal Euro- The composition of our fleet reflects ogy, but we do support technology How have your customers changed neither began service and price irrevocably. Private jet companies often try to access. As low-cost carriers expand Bliss Jet. expects good value pean flights will remain free of cabo- the changing nature of our clients’ that enhances service. during the last ten years and how nor ended at a UK airport, “We have many customers who fl y win new business-class customers at airports such as Luton or Gene- However, an exciting development tage restrictions. Nor will missions to mission profiles – more transconti- do you anticipate their needs will for money, it presents representing a easyJet or private jet, it all depends who are loyal to mainstream leg- va, private jets are squeezed out, is at the entry-level of the private and from the UK be affected. Elit’Avia nental and overseas missions, fewer Turning to the inflight product, pas- change over the next decade? total of... on their timetable, with private jets acy carriers. However, building a so landing slots at peak times are aviation industry. Regulations were a challenge to now becomes very attractive to UK shorter in-country missions. Elit’Avia’s sengers expect to have access to Customer preferences and mission often used to plug gaps in airline devoted customer base remains a harder to come by. Private aviation changed in February to allow sin- service quality when aircraft owners with mission require- fleet composition is a testament to high-speed connectivity when they profiles have changed significant- it becomes about ments in Europe. Additionally, Mal- our expertise in managing diverse need to be productive in flight. What ly in the last decade. In general, the being lowest in price tese registration offers a tax-friendly aircraft types and models. sort of connectivity throughput for market has become better educated 17,530 environment for owners and Slove- multiple streaming is available on thanks to availability of information INSIGHT flights, that’s... nia offers operational cost-savings. Do you think there will be a shift in board your fleet? online. This can be a double-edged DARING TO BE DIFFERENT The only foreseeable impact will be the way UK customers will be in- Most of our 21 aircraft are equipped sword because some of that informa- “Between them they’ll have spent close storming the United States, Surf Air This makes charter fl ights more af- for clients who may take on passen- clined to draw on Elit’Avia’s aircraft with the latest in-flight connectivity tion is inaccurate or incomplete, which to £1,000, yet if asked what the other Europe is launching shared services from fordable, with up to six operators in gers in the UK and travel to a second management propositions as the solutions. can lead to confusion. Elit’Avia’s role is options could have been to complete Luton, Cannes, Geneva and Zurich this the UK looking to introduce them on in-country destination. tectonic plates of Europe shift? to stay ahead of the game. To serve this journey, a private aircraft is rarely summer. Passengers pay a monthly fee regular services. “It can hold up to Yes. We believe that UK clients will Elit’Avia provides maintenance as your clients best, you need to know 72% of all intra- on their list,” says business aviation of £2,500 that lets them fly as often as nine passengers and has terrifi c ac- benefit from our aircraft manage- part of its offer. Can you elucidate them – individually. Furthermore, we European air sales expert Alex Berry. “It’s vital we they wish. “We’re targeting 5 per cent cessibility because aircraft can use ment services. Overall, we expect UK on what types of maintenance and aim to anticipate clients’ needs to traffic start selling the benefits and widen the of the European short-haul market who unimproved airstrips,” says Edwin operators and G-registered aircraft standards you comply with, and do deliver a truly effortless experience. customer base.” will pay more for a better service,” says Brenninkmeyer, chief executive of to be disproportionately inconven- you think requirements will change Turboprop flights across Europe could Simon Talling-Smith, the company’s Oriens Aviation. ienced by Brexit. These circumstanc- in the new Europe? Even in the executive jet travel help, but others are daring to be different chief executive. Fly Club Air has similar No matter how good the new ser- es are creating an opportunity and Effectively managing the mainte- sector, there’s a certain level of on our team goes above and beyond in private aviation. For the first time, intentions. vices are, the main issue will be this is why Elit’Avia is expanding its nance of an aircraft is key to a suc- commoditisation with increasing to ensure client expectations are not passengers can now buy a seat on a Technology also continues to drive about letting executives know the presence in the UK. cessful operation. Elit’Avia’s Ljublja- choices for customers. What are only met, but exceeded. Our air op- business jet rather than chartering the change. For instance, UK-based option exists. “While it is not in na base is home to an exceptionally Elit’Avia’s points of difference? erator’s certificates in Slovenia and whole aircraft, with Bliss Jet for flights PrivateFly, a global private jet charter everyone’s taste or budget to spend Are the forces of digital disruption well-educated, talented and multi- Since the company first opened, the Malta have served us, and our clients, to New York, starting this May. “We aim broker, saw online searches for flights £100,000 on a car, £5,000 on a - app booking, comparative price lingual workforce. Since we are able Elit’Avia team has been guided by very well. We are always on the look- to be a significant disruptor when we hit a staggering one million in 2016. “We watch or even £300 on a dinner for shopping and so on – having any in- to employ more people and offer a an enduring commitment to exceed out for new opportunities to provide Day after day groups of executives travel launch,” says Bliss Jet chief executive were the first to offer booking via the two, they do know there are options fluence on the way you interact with higher ratio of staff to aircraft, we client expectations. Offering an -ex the best possible solutions, provided first class on rail routes criss-crossing the David Rimmer. web – we’ve now seen many existing in all those categories for considera- pre-existing and new customers? can deliver better service than our ceptional level of personalised ser- they are aligned with our philosophy country, with many commuting regularly Meanwhile a subscription model looks players move into online offerings,” says tion,” says Alex Berry, a sales expert We are always looking to improve competitors. Given our fleet diversi- vice, client satisfaction is central to of putting clients first. between London and Edinburgh. set to cause some turbulence. After chief executive Adam Twidell. in this sector. “Business aviation WYNTON FAURE client interaction through innovation. ty, we support ten different technical our vision. Additionally, we have ten needs to be an option for every pos- UK, EUROPE AND AFRICA SALES DIRECTOR But we are also very sensitive to the types of aircraft and work with five years’ experience and more than For more information please visit sible prospect.” ELIT’AVIA fact that our clients expect attention different civil aviation authorities. 35,000 hours of flight time. Everyone www.elitavia.com 08 AVIATION FOR BUSINESS 20 / 04 / 2017 RACONTEUR.NET RACONTEUR.NET 20 / 04 / 2017 AVIATION FOR BUSINESS 09

BUSINESS MODELS COMMERCIAL FEATURE Business fl yers are taking the controls Q&A Elit’Avia anticipating As more private clients’ needs in a changing Europe jet operators take to the skies, their Elit’Avia’s newly appointed UK, Europe and Africa sales director Wynton Faure discusses the private jet company’s customers are Flobrant/Unsplash Jon personalised service strategy and reveals its unique combination of propositions in the business aviation sector increasingly spoilt for choice and are demanding top- ith a wealth of experi- ence in previous roles TOP TEN BUSIEST AIRPORT PAIRS FOR INTRA-EUROPEAN FLIGHTS IN 2016 quality service at VistaJet and Tag Aircraft Management, Vnukovo WWynton Faure is responsible for pro- Flights 2016 % of total airport pair = G-reg moting Elit’Avia’s services in aircraft management, charter, VIP travel ser- vices, tech services and whole aircraft Geneva Le Bourget 1,640 4.8% sales. Currently, his particular point NICK EASEN of focus is developing the UK market Le Bourget 1,564 5.4% and assisting those clients seeking a Geneva ost of our people have seamless transition through Brexit. Le Bourget Nice Côte d’Azur 5.5% never had it so good,” As airline passengers in and out of Le Bourget 1,010 was a phrase coined the UK face possible new procedures 60 years ago by then- and restrictions once Britain leaves the Le Bourget 968 4.1% primeM minister Harold Macmillan, European Union, corporate aviation Nice Côte d’Azur but it could easily be said of execu- could help smooth away the pain- Geneva Nice Côte d’Azur 885 1.7% tive travellers using business and points for those whose lives and busi- Linate Vnukovo private aviation today. There is now nesses depend on frictionless travel. Vnukovo 865 1.8% an overabundance of options in the Although it is too early to anticipate Nice Côte d’Azur marketplace from jet cards to frac- exactly how Brexit will affect the cor- Nice Côte Linate tional ownership, one-way pricing porate aviation sector, with air opera- d’Azur 850 0.9% Ciampino to subscriptions. tor’s certificates in Slovenia and Malta, Ciampino But Adam Twidell, chief executive Elit’Avia is confident its unique geo- Geneva 814 9.3% of PrivateFly, cautions: “Ironically schedules. New business models challenge as there’s not always reg- companies are also now competing gle-engine turboprops to operate graphic footprint and service options Nice Côte d’Azur because of the number of diff erent have now put the customer in con- ular demand. with some impressive fi rst class commercially in Europe. The move will ease the journey for its clientele. Nice Côte d’Azur business models out there, it is be- trol, off ering price comparisons and “They continuously try hard to and exclusive areas on board new- has been welcomed by the British Geneva 811 7.4% coming increasingly diffi cult again a clearer range of aircraft options,” drive down costs, break into new mar- er planes, such as the Etihad Resi- Business General Aviation Associa- What bearing does the UK’s trigger- for the customer. Diff erentiating says Mr Twidell, sounding a more kets and reward customers with bene- dence on the new A380s, which can tion. As chief executive Marc Bailey ing of Article 50 have on Elit’Avia’s Ciampino Linate 797 1.5% and simplifying the off ering is now a positive note for fl yers. fi ts that compare to existing schemes. often off er more space than in pri- says: “This is one of the bright spots business, and could being co-locat- challenge for many companies.” Julie Black, manager for executive The business-class customer is used vate jets. Yet the biggest issue is the in business aviation right now.” ed in Slovenia and Malta be bene- WingXAdvance The prolonged era of low oil prices aviation at Hunt & Palmer, says: “Cus- to being treated diff erently and many sheer scale of options. ficial for customers on both sides of has led to a fl ourishing of aviation tomer loyalty is eroded by the increas- have invested in earning gold loyal- “There are 800,000 seats a year the new “border” due to be imposed Elit’Avia has a diversified fleet with to detail and operational efficiency Because we are level 3 IS-BAO certi- entrepreneurs willing to tackle this ing commoditisation of the product. ty status with legacy carriers, which off ered on business and fi rst class in two years’ time? medium and long-haul range capa- above all. We believe that the chal- fied, our team aims to exceed stand- lucrative and sexy end of the market. While we accept that everyone expects they won’t give up without a fi ght,” by US and UK legacy carriers on the We expect that our clients will experi- bility. What are the implications of lenge is to balance the old and the ards in airworthiness and aircraft 27/40 Yet the economic downturn, com- good value for money, it presents a explains Warren Dix, chief commer- most popular long-haul routes be- While we accept ence minimal, if any, disruption to op- offering these types of aircraft in a new. We will not allow our service care on all platforms. of the top airport bined with technological innovation, challenge to service quality when it cial offi cer at Hillgate Travel. tween London and New York,” says erations due to Brexit. With a European changing Europe? levels to be “disrupted” by technol- pairs during 2016 has changed expectations around becomes about being lowest in price.” A key barrier to growth is airport David Rimmer, chief executive of that everyone air operator’s certificate, internal Euro- The composition of our fleet reflects ogy, but we do support technology How have your customers changed neither began service and price irrevocably. Private jet companies often try to access. As low-cost carriers expand Bliss Jet. expects good value pean flights will remain free of cabo- the changing nature of our clients’ that enhances service. during the last ten years and how nor ended at a UK airport, “We have many customers who fl y win new business-class customers at airports such as Luton or Gene- However, an exciting development tage restrictions. Nor will missions to mission profiles – more transconti- do you anticipate their needs will for money, it presents representing a easyJet or private jet, it all depends who are loyal to mainstream leg- va, private jets are squeezed out, is at the entry-level of the private and from the UK be affected. Elit’Avia nental and overseas missions, fewer Turning to the inflight product, pas- change over the next decade? total of... on their timetable, with private jets acy carriers. However, building a so landing slots at peak times are aviation industry. Regulations were a challenge to now becomes very attractive to UK shorter in-country missions. Elit’Avia’s sengers expect to have access to Customer preferences and mission often used to plug gaps in airline devoted customer base remains a harder to come by. Private aviation changed in February to allow sin- service quality when aircraft owners with mission require- fleet composition is a testament to high-speed connectivity when they profiles have changed significant- it becomes about ments in Europe. Additionally, Mal- our expertise in managing diverse need to be productive in flight. What ly in the last decade. In general, the being lowest in price tese registration offers a tax-friendly aircraft types and models. sort of connectivity throughput for market has become better educated 17,530 environment for owners and Slove- multiple streaming is available on thanks to availability of information INSIGHT flights, that’s... nia offers operational cost-savings. Do you think there will be a shift in board your fleet? online. This can be a double-edged DARING TO BE DIFFERENT The only foreseeable impact will be the way UK customers will be in- Most of our 21 aircraft are equipped sword because some of that informa- “Between them they’ll have spent close storming the United States, Surf Air This makes charter fl ights more af- for clients who may take on passen- clined to draw on Elit’Avia’s aircraft with the latest in-flight connectivity tion is inaccurate or incomplete, which to £1,000, yet if asked what the other Europe is launching shared services from fordable, with up to six operators in gers in the UK and travel to a second management propositions as the solutions. can lead to confusion. Elit’Avia’s role is options could have been to complete Luton, Cannes, Geneva and Zurich this the UK looking to introduce them on in-country destination. tectonic plates of Europe shift? to stay ahead of the game. To serve this journey, a private aircraft is rarely summer. Passengers pay a monthly fee regular services. “It can hold up to Yes. We believe that UK clients will Elit’Avia provides maintenance as your clients best, you need to know 72% of all intra- on their list,” says business aviation of £2,500 that lets them fly as often as nine passengers and has terrifi c ac- benefit from our aircraft manage- part of its offer. Can you elucidate them – individually. Furthermore, we European air sales expert Alex Berry. “It’s vital we they wish. “We’re targeting 5 per cent cessibility because aircraft can use ment services. Overall, we expect UK on what types of maintenance and aim to anticipate clients’ needs to traffic start selling the benefits and widen the of the European short-haul market who unimproved airstrips,” says Edwin operators and G-registered aircraft standards you comply with, and do deliver a truly effortless experience. customer base.” will pay more for a better service,” says Brenninkmeyer, chief executive of to be disproportionately inconven- you think requirements will change Turboprop flights across Europe could Simon Talling-Smith, the company’s Oriens Aviation. ienced by Brexit. These circumstanc- in the new Europe? Even in the executive jet travel help, but others are daring to be different chief executive. Fly Club Air has similar No matter how good the new ser- es are creating an opportunity and Effectively managing the mainte- sector, there’s a certain level of on our team goes above and beyond in private aviation. For the first time, intentions. vices are, the main issue will be this is why Elit’Avia is expanding its nance of an aircraft is key to a suc- commoditisation with increasing to ensure client expectations are not passengers can now buy a seat on a Technology also continues to drive about letting executives know the presence in the UK. cessful operation. Elit’Avia’s Ljublja- choices for customers. What are only met, but exceeded. Our air op- business jet rather than chartering the change. For instance, UK-based option exists. “While it is not in na base is home to an exceptionally Elit’Avia’s points of difference? erator’s certificates in Slovenia and whole aircraft, with Bliss Jet for flights PrivateFly, a global private jet charter everyone’s taste or budget to spend Are the forces of digital disruption well-educated, talented and multi- Since the company first opened, the Malta have served us, and our clients, to New York, starting this May. “We aim broker, saw online searches for flights £100,000 on a car, £5,000 on a - app booking, comparative price lingual workforce. Since we are able Elit’Avia team has been guided by very well. We are always on the look- to be a significant disruptor when we hit a staggering one million in 2016. “We watch or even £300 on a dinner for shopping and so on – having any in- to employ more people and offer a an enduring commitment to exceed out for new opportunities to provide Day after day groups of executives travel launch,” says Bliss Jet chief executive were the first to offer booking via the two, they do know there are options fluence on the way you interact with higher ratio of staff to aircraft, we client expectations. Offering an -ex the best possible solutions, provided first class on rail routes criss-crossing the David Rimmer. web – we’ve now seen many existing in all those categories for considera- pre-existing and new customers? can deliver better service than our ceptional level of personalised ser- they are aligned with our philosophy country, with many commuting regularly Meanwhile a subscription model looks players move into online offerings,” says tion,” says Alex Berry, a sales expert We are always looking to improve competitors. Given our fleet diversi- vice, client satisfaction is central to of putting clients first. between London and Edinburgh. set to cause some turbulence. After chief executive Adam Twidell. in this sector. “Business aviation WYNTON FAURE client interaction through innovation. ty, we support ten different technical our vision. Additionally, we have ten needs to be an option for every pos- UK, EUROPE AND AFRICA SALES DIRECTOR But we are also very sensitive to the types of aircraft and work with five years’ experience and more than For more information please visit sible prospect.” ELIT’AVIA fact that our clients expect attention different civil aviation authorities. 35,000 hours of flight time. Everyone www.elitavia.com 10 AVIATION FOR BUSINESS 20 / 04 / 2017 RACONTEUR.NET RACONTEUR.NET 20 / 04 / 2017 AVIATION FOR BUSINESS 11

COMMERCIAL FEATURE MIDDLE EAST Cleared for Turbulent take-off clouded by delays

t a k e - o  : The Gulf states may have more air the new passengers than anywhere else in the world, but they also Peter Adams / Getty Images generation of have their problems travel payment EDWIN SMITH

The biggest changes in payment hen Dubai overtook Heathrow to become methods for a generation present the busiest interna- tional airport in the opportunities for those business-travel Wworld in 2014, the global aviation industry’s centre of gravity shifted providers willing to make the most of them eastwards. Since edging ahead, the Emirate’s hub has widened its lead and last year accounted for 83.6 million pas- sengers, compared with Heathrow’s 76 million. If a $32-billion project s companies work to drive for new ways to book, amend and to expand the Gulf state’s second down costs and ensure pay for travel from a wider range of airport, Al Maktoum, progresses every penny of their travel channels. Meanwhile, regulations as planned, Dubai could become budget is well spent and such as the revised Payment Servic- the most important international Aaccounted for, more and more are es Directive (PSD2) for example, are hub by a distance. The Dubai World looking for new ways to gain better set to accelerate the competition Central (DWC) airport, as it’s also visibility and greater control over and digital disruption of payments, known, is forecast to have capacity 01 their travel expenditure. Increas- and will be a major challenge for the for 200 million passengers a year by ingly they want central settlement corporate sector. and e† ciency for all parties. Users private cards to pay for services or to the mid-2020s. peak offload procedure to optimise through corporate lodged accounts However, Mario Zorn, associate di- The whole booking and generate individual card numbers submit travel expense reports. But the development of aviation the arrival of planes of different and systems that o er seamless in- rector of virtual and mobile payment payment takes place with just one that are valid for one transaction “Already today we’re working on in the Middle East hasn’t been sizes increased the average num- tegration of booking processes, plus at AirPlus International, points out only and then become void. This scenarios where the whole booking straightforward. Plans for the new ber of air traffic arrivals during easier expense management. some good news for agile, shrewd or two clicks of a mouse, thanks way, every service settled through and payment takes place with just Dubai airport slowed after the oil peak hours from 33.2 to 34.8. But At the same time as they target corporate travel companies. “With to the virtual credit cards that sit AirPlus International is allocated a one or two clicks of a mouse, thanks state had to grapple with recession more could be done, says Omar business travellers, low-cost car- the acceptance and integration of a behind the system unique number. to the virtual credit cards that sit in 2009. And although passenger Hashmi of route development con- riers are expanding into major air- growing number of self-services, they A growing number of companies, behind the system,” says Mr Zorn. numbers at Dubai International sultants ASM. ports and integrating into global can get even closer to business trav- including travel agencies, are using “More and more people involved in all continue to grow, Reuters analysis The best chance of significant pro- KARIM SAHIB / AFP / Getty Images distribution systems. Also the new ellers as third parties, such as travel The company has developed AirPlus A.I.D.A. Virtual Cards to pay aspects of business travel are looking shows that the 7.2 per cent increase gress may be for the various states generation of mobile booking and agencies, and travel assistants must partnerships with the online-book- for services booked centrally before to enjoy the benefi ts of virtual credit recorded last year was its second in the region to work together. “The payments services are changing adapt to meet the challenges of this ing engines of airlines, hotels, train trips, such as fl ight tickets, hotel ac- cards. It’s this kind of new technology slowest annual growth rate in the Gulf states need to collaborate with the payments landscape for cor- new business landscape,” he says. companies, car rental groups and commodations and rental cars. With and innovation that forward-think- last eight years. their neighbours to fix problems,” porate travel, as customers look “This trend o ers exciting opportu- the new generation of accommo- AirPlus A.I.D.A. Virtual Cards, the ing travel providers are already em- Oxford Economics research pub- says Mr Corner at Helios. “Other- nities for them to create new prod- dation bookers, providing them with company can make all payments bracing to make booking and paying lished in 2015 showed that the av- wise you just move the bottleneck ucts or services to help travellers and an invisible reservation and rental centrally and it receives a clear- for business travel faster, easier and erage flight in the Middle East was further on.” companies to do their job more e† - process. With car rental companies, ly structured overview of its travel more transparent than ever before.” delayed by 36 minutes. More wor- In Europe, where the European ciently and cost e ectively.” for instance, there is often no need to costs that it can match automati- ryingly, the consultancy projected Commission has encouraged col- With 49,000 corporate clients, Air- pay in advance, as customers simply cally against its cost policy. Business For more information please visit that failure to address issues related laboration between nations, air- Plus International is a leading inter- have to present a driving licence travellers no longer need to use their www.airplus.com to air traffic control would see the craft are managed by Eurocontrol, national provider of business-travel when collecting their car. average delay increase to 59 minutes which effectively creates a single management solutions, including Similarly, when business travellers by 2025, costing the region $16.3 air traffic control region. “In the the payment and analysis of the book an apartment through an ac- billion in international trade and in- Middle East, that doesn’t happen,” AirPlus is a leading cost of trips. It o ers payment ac- commodation provider, which has a INVISIBLE PAYMENTS: THE FUTURE OF BUSINESS TRAVEL vestment in the process. 02 says Mr Corner. “But the GCC’s pri- international provider of ceptance for lodged accounts within partnership with AirPlus Internation- With oil prices still plumbing the orities are greater interoperability, solutions for the day-to-day the Universal Air Travel Plan payment al, payment and billing go directly to enter the card number. Instead, depths and around a quarter of Dubai’s harmonisation and standardisa- management of business network. By issuing lodged accounts, through their employer’s centrally transactions will take place in the GDP accounted for by the aviation in- the airport is in operation 24 hours connecting flight to catch. As a re- 01 tion between the Gulf states. If we travel. Some 49,000 customers participate in integrated paid company account – a fast, background with the bill delivered dustry, it’s a problem that the Emirate a day. By contrast, Heathrow sched- sult, delays to inbound flights have The $32-billion work together we can start to ad- project to corporate customers count booking processes, and benefi t from easy and transparent process. digitally as the booking, payment and and its close neighbours can ill afford. ules take-offs and landings between knock-on effects. dress this and come up with solu- expand Dubai’s on AirPlus for the payment enriched data and integration into Mr Zorn predicts that over the next billing processes will be fully integrated. “Airlines are ordering many aero- 6am and 11pm, and manages to fit What’s more, Dubai has to ac- second airport tions that specifically meet the and analysis of their travel-expense management. few years, corporate travellers will Companies and card users will planes. New airports and runways more aircraft movements into a sin- commodate its growing fleet of could make the needs of the GCC states.” business trip costs. Products “Our payment solutions allow our increasingly demand a greater va- only have to be registered once, are being built, but this hidden infra- gle hour – 86 to Dubai’s 61. “While New airports vast double-decker Airbus A380 Gulf state the According to the director gen- most important and services are marketed customers to optimise the value riety of payment options, and will speeding up processes and reducing structure of the airspace and air traf- they don’t have that same peak [in aircraft, which should soon reach eral of the and runways international hub worldwide under the AirPlus chain of business travel and au- expect systems to become more in- the chances of error. Security will fic management hasn’t developed at Dubai], they always have quite a lot, are being built, 142. “That big aircraft lumbering Civil Aviation Authority Saif Mo- International brand. tomate processes from booking tegrated and less visible. Direct, au- be increased thanks to unique the same speed,” says Alan Corner, a so their ability to catch up becomes up into the sky creates a vortex,” 02 hammed Al Suwaidi, talks to cen- The AirPlus Company to settlement in a way that makes tomated settlement and integration identifi cation, while data will be director at Helios, a consultancy that less,” says Mr Grant. “The punctu- but this hidden says Mr Grant. Planes flying be- Visitors at the tralise the traffic management of Account is the most payment more and more seamless for corporate travel will be essential, transferred automatically to create has been engaged by the Gulf Co-op- ality is not as good as you would ex- hind the largest passenger plane Middle East GCC countries are at a very ad- infrastructure of the Business Aviation successful central bill and invisible for customers,” says he believes. an integrated process for booking, eration Council to help harmonise pect it to be.” in the world need to leave suffi- vanced stage. airspace and air event at Dubai’s Al account based on the Mr Zorn. “By providing a partner One of AirPlus International’s most payment and travel expenses. air traffic management across the six There are other problems, too. Du- cient separation distance, which Maktoum Airport But he says: “Our problem is not Universal Air Travel Plan network, we o er a fully integrat- successful products is AirPlus A.I.D.A. As payments become more seamless These changes mean that business- GCC states. “It’s much harder to fix bai, Abu Dhabi and Doha airports traffic management means the airport’s ability to land coming from our end. Our prob- payment network with 167 ed platform which o ers customers Virtual Cards. In 2016 its transaction and invisible, the traditional plastic travel providers will now have to something you can’t see.” are all major hubs for Emirates, hasn’t developed at the same number of aircraft in the lem is mainly coming from neigh- million transactions in 2016 – maximum automation and data volume increased by 36 per cent credit card will probably be phased out start rethinking the way in which they According to John Grant, senior Etihad and Airways, respec- the same speed same hour is reduced. bouring countries as they are not up 8 per cent since 2015. quality, as well as the most e ective over the previous year. The digital in the long term and with it the need operate and take payments. analyst at OAG, which provides dig- tively. So, Mr Grant says, a large In October 2016, Dubai Air Nav- allowing us to accommodate the expense management and further version of a MasterCard credit card, ital flight information to airlines, percentage of Middle Eastern air- igation Services reported that the traffic we generate and this is the internal processes.” it provides transparency, security part of the difficulty for Dubai is that ports’ incoming passengers have a implementation of a new approach main problem.” 10 AVIATION FOR BUSINESS 20 / 04 / 2017 RACONTEUR.NET RACONTEUR.NET 20 / 04 / 2017 AVIATION FOR BUSINESS 11

COMMERCIAL FEATURE MIDDLE EAST Cleared for Turbulent take-off clouded by delays

t a k e - o  : The Gulf states may have more air the new passengers than anywhere else in the world, but they also Peter Adams / Getty Images generation of have their problems travel payment EDWIN SMITH

The biggest changes in payment hen Dubai overtook Heathrow to become methods for a generation present the busiest interna- tional airport in the opportunities for those business-travel Wworld in 2014, the global aviation industry’s centre of gravity shifted providers willing to make the most of them eastwards. Since edging ahead, the Emirate’s hub has widened its lead and last year accounted for 83.6 million pas- sengers, compared with Heathrow’s 76 million. If a $32-billion project s companies work to drive for new ways to book, amend and to expand the Gulf state’s second down costs and ensure pay for travel from a wider range of airport, Al Maktoum, progresses every penny of their travel channels. Meanwhile, regulations as planned, Dubai could become budget is well spent and such as the revised Payment Servic- the most important international Aaccounted for, more and more are es Directive (PSD2) for example, are hub by a distance. The Dubai World looking for new ways to gain better set to accelerate the competition Central (DWC) airport, as it’s also visibility and greater control over and digital disruption of payments, known, is forecast to have capacity 01 their travel expenditure. Increas- and will be a major challenge for the for 200 million passengers a year by ingly they want central settlement corporate sector. and e† ciency for all parties. Users private cards to pay for services or to the mid-2020s. peak offload procedure to optimise through corporate lodged accounts However, Mario Zorn, associate di- The whole booking and generate individual card numbers submit travel expense reports. But the development of aviation the arrival of planes of different and systems that o er seamless in- rector of virtual and mobile payment payment takes place with just one that are valid for one transaction “Already today we’re working on in the Middle East hasn’t been sizes increased the average num- tegration of booking processes, plus at AirPlus International, points out only and then become void. This scenarios where the whole booking straightforward. Plans for the new ber of air traffic arrivals during easier expense management. some good news for agile, shrewd or two clicks of a mouse, thanks way, every service settled through and payment takes place with just Dubai airport slowed after the oil peak hours from 33.2 to 34.8. But At the same time as they target corporate travel companies. “With to the virtual credit cards that sit AirPlus International is allocated a one or two clicks of a mouse, thanks state had to grapple with recession more could be done, says Omar business travellers, low-cost car- the acceptance and integration of a behind the system unique number. to the virtual credit cards that sit in 2009. And although passenger Hashmi of route development con- riers are expanding into major air- growing number of self-services, they A growing number of companies, behind the system,” says Mr Zorn. numbers at Dubai International sultants ASM. ports and integrating into global can get even closer to business trav- including travel agencies, are using “More and more people involved in all continue to grow, Reuters analysis The best chance of significant pro- KARIM SAHIB / AFP / Getty Images distribution systems. Also the new ellers as third parties, such as travel The company has developed AirPlus A.I.D.A. Virtual Cards to pay aspects of business travel are looking shows that the 7.2 per cent increase gress may be for the various states generation of mobile booking and agencies, and travel assistants must partnerships with the online-book- for services booked centrally before to enjoy the benefi ts of virtual credit recorded last year was its second in the region to work together. “The payments services are changing adapt to meet the challenges of this ing engines of airlines, hotels, train trips, such as fl ight tickets, hotel ac- cards. It’s this kind of new technology slowest annual growth rate in the Gulf states need to collaborate with the payments landscape for cor- new business landscape,” he says. companies, car rental groups and commodations and rental cars. With and innovation that forward-think- last eight years. their neighbours to fix problems,” porate travel, as customers look “This trend o ers exciting opportu- the new generation of accommo- AirPlus A.I.D.A. Virtual Cards, the ing travel providers are already em- Oxford Economics research pub- says Mr Corner at Helios. “Other- nities for them to create new prod- dation bookers, providing them with company can make all payments bracing to make booking and paying lished in 2015 showed that the av- wise you just move the bottleneck ucts or services to help travellers and an invisible reservation and rental centrally and it receives a clear- for business travel faster, easier and erage flight in the Middle East was further on.” companies to do their job more e† - process. With car rental companies, ly structured overview of its travel more transparent than ever before.” delayed by 36 minutes. More wor- In Europe, where the European ciently and cost e ectively.” for instance, there is often no need to costs that it can match automati- ryingly, the consultancy projected Commission has encouraged col- With 49,000 corporate clients, Air- pay in advance, as customers simply cally against its cost policy. Business For more information please visit that failure to address issues related laboration between nations, air- Plus International is a leading inter- have to present a driving licence travellers no longer need to use their www.airplus.com to air traffic control would see the craft are managed by Eurocontrol, national provider of business-travel when collecting their car. average delay increase to 59 minutes which effectively creates a single management solutions, including Similarly, when business travellers by 2025, costing the region $16.3 air traffic control region. “In the the payment and analysis of the book an apartment through an ac- billion in international trade and in- Middle East, that doesn’t happen,” AirPlus is a leading cost of trips. It o ers payment ac- commodation provider, which has a INVISIBLE PAYMENTS: THE FUTURE OF BUSINESS TRAVEL vestment in the process. 02 says Mr Corner. “But the GCC’s pri- international provider of ceptance for lodged accounts within partnership with AirPlus Internation- With oil prices still plumbing the orities are greater interoperability, solutions for the day-to-day the Universal Air Travel Plan payment al, payment and billing go directly to enter the card number. Instead, depths and around a quarter of Dubai’s harmonisation and standardisa- management of business network. By issuing lodged accounts, through their employer’s centrally transactions will take place in the GDP accounted for by the aviation in- the airport is in operation 24 hours connecting flight to catch. As a re- 01 tion between the Gulf states. If we travel. Some 49,000 customers participate in integrated paid company account – a fast, background with the bill delivered dustry, it’s a problem that the Emirate a day. By contrast, Heathrow sched- sult, delays to inbound flights have The $32-billion work together we can start to ad- project to corporate customers count booking processes, and benefi t from easy and transparent process. digitally as the booking, payment and and its close neighbours can ill afford. ules take-offs and landings between knock-on effects. dress this and come up with solu- expand Dubai’s on AirPlus for the payment enriched data and integration into Mr Zorn predicts that over the next billing processes will be fully integrated. “Airlines are ordering many aero- 6am and 11pm, and manages to fit What’s more, Dubai has to ac- second airport tions that specifically meet the and analysis of their travel-expense management. few years, corporate travellers will Companies and card users will planes. New airports and runways more aircraft movements into a sin- commodate its growing fleet of could make the needs of the GCC states.” business trip costs. Products “Our payment solutions allow our increasingly demand a greater va- only have to be registered once, are being built, but this hidden infra- gle hour – 86 to Dubai’s 61. “While New airports vast double-decker Airbus A380 Gulf state the According to the director gen- most important and services are marketed customers to optimise the value riety of payment options, and will speeding up processes and reducing structure of the airspace and air traf- they don’t have that same peak [in aircraft, which should soon reach eral of the United Arab Emirates and runways international hub worldwide under the AirPlus chain of business travel and au- expect systems to become more in- the chances of error. Security will fic management hasn’t developed at Dubai], they always have quite a lot, are being built, 142. “That big aircraft lumbering Civil Aviation Authority Saif Mo- International brand. tomate processes from booking tegrated and less visible. Direct, au- be increased thanks to unique the same speed,” says Alan Corner, a so their ability to catch up becomes up into the sky creates a vortex,” 02 hammed Al Suwaidi, talks to cen- The AirPlus Company to settlement in a way that makes tomated settlement and integration identifi cation, while data will be director at Helios, a consultancy that less,” says Mr Grant. “The punctu- but this hidden says Mr Grant. Planes flying be- Visitors at the tralise the traffic management of Account is the most payment more and more seamless for corporate travel will be essential, transferred automatically to create has been engaged by the Gulf Co-op- ality is not as good as you would ex- hind the largest passenger plane Middle East GCC countries are at a very ad- infrastructure of the Business Aviation successful central bill and invisible for customers,” says he believes. an integrated process for booking, eration Council to help harmonise pect it to be.” in the world need to leave suffi- vanced stage. airspace and air event at Dubai’s Al account based on the Mr Zorn. “By providing a partner One of AirPlus International’s most payment and travel expenses. air traffic management across the six There are other problems, too. Du- cient separation distance, which Maktoum Airport But he says: “Our problem is not Universal Air Travel Plan network, we o er a fully integrat- successful products is AirPlus A.I.D.A. As payments become more seamless These changes mean that business- GCC states. “It’s much harder to fix bai, Abu Dhabi and Doha airports traffic management means the airport’s ability to land coming from our end. Our prob- payment network with 167 ed platform which o ers customers Virtual Cards. In 2016 its transaction and invisible, the traditional plastic travel providers will now have to something you can’t see.” are all major hubs for Emirates, hasn’t developed at the same number of aircraft in the lem is mainly coming from neigh- million transactions in 2016 – maximum automation and data volume increased by 36 per cent credit card will probably be phased out start rethinking the way in which they According to John Grant, senior Etihad and Qatar Airways, respec- the same speed same hour is reduced. bouring countries as they are not up 8 per cent since 2015. quality, as well as the most e ective over the previous year. The digital in the long term and with it the need operate and take payments. analyst at OAG, which provides dig- tively. So, Mr Grant says, a large In October 2016, Dubai Air Nav- allowing us to accommodate the expense management and further version of a MasterCard credit card, ital flight information to airlines, percentage of Middle Eastern air- igation Services reported that the traffic we generate and this is the internal processes.” it provides transparency, security part of the difficulty for Dubai is that ports’ incoming passengers have a implementation of a new approach main problem.” rockwellcollins.com/leading-together © 2017 Rockwell Collins. All rights reserved.