TAG Farnborough, England

Report by Charles Alcock, data compiled by David Leach 2013 • INTERNATIONAL

number of real, dedicated FBOs can still recently when he left to form his own con- Growth uncertainty, tight margins be counted on one hand. So does the sultancy called Airplan. Among other FBO industry lack imagination and busi- tasks, the -based firm is trying and blocked opportunity present ness acumen, or are there valid reasons to help FBOs maximize their potential. for this imbalance? “In the past 12 challenges for international FBOs To try to make sense of the months were definitely rather apparent contradictions, AIN mediocre for traffic, not ter- At face value, the current state of the such as Europe and feverishly expanding quizzed a broad cross-section ribly bad, but disappointing global FBO sector is fairly easy to sum- in the new territories. But the reality belies of FBO leaders and flight- with lots of ups and downs,” marize. Outside the Americas, Europe the obvious, and so we find a paradox in planning and support experts. Migeon said. “Even the ups remains at best flat in terms of traffic vol- which no fewer than eight FBOs continue There was clear consensus were not as up as you would umes, while markets such as Asia and to battle it out for declining traffic at Paris that while FBO costs are ris- like them to be and every now continue to see strong growth. The Le Bourget Airport (with rumors of more ing, competitive pressures for and then there have been peri- is somewhere in the middle. market entrants to come). Similarly, up the most part prevent increases Cedric Migeon, ods when the traffic drops and So market conditions amount to a the road in , there are now five in handling fees, leaving profit Airplan founder it’s not clear why.” mix of challenging times in which costs FBOs scrapping it out at the UK capital’s margins squeezed across the So why not turn your back in some locales continue to rise, fur- Stansted Airport alone, with operators board. But everyone concluded that this on Europe and chase better FBO oppor- ther squeezing profits, and extraordi- having plentiful alternatives at some half is still a good business to be in. tunities farther to the East and South? nary opportunity presents itself in other dozen airports with almost two dozen Evidently, the path to new market oppor- places. This background suggests that FBOs around the metropolitan area. Limited Opportunity Beyond Europe tunity still isn’t that smooth. business aviation handling companies By contrast, in the huge and growing Cedric Migeon was managing direc- “The new markets are challenging,” would be retrenching in mature markets economies of China and , the total tor of ExecuJet Aviation Europe until said Migeon. “FBOs are local businesses and 90 percent of the battle is won at a Top Rated FBOs in Europe, Middle East, Asia and Africa local level. It is a difficult combination of pleasing international clients by find- Line Passenger Pilot Overall FBO Airport Code Service Amenities Amenities Facilities Average ing local solutions. Every local situation is different. You might need a local share- TAG Farnborough Farnborough EGLF 8.6 9.0 8.9 9.2 8.9 holder, and how do you find the right TAG Aviation International LSGG 8.3 8.7 8.3 8.2 8.4 person? How do you gain the trust and KLM Jet Center Amsterdam Schipol EHAM 8.4 8.3 8.2 8.4 8.3 support of the local airport? How do you Signature Flight Support Paris Le Bourget LFPB 8.3 8.5 8.0 8.3 8.3 get the right location and put the right team in place?” www.ainonline.com Dassault Falcon Service Paris Le Bourget LFPB 8.2 8.4 8.0 8.2 8.2 According to Migeon, who helped Harrods Aviation London Luton EGGW 8.1 8.7 7.8 8.3 8.2 ExecuJet open eight FBOs in four years, Signature/AviaPartner Nice Cote d'Azur International LFMN 8.0 8.1 7.7 8.1 8.0 these challenges play into the hands of Swissport Executive Nice Cote d'Azur International LFMN 8.4 8.1 7.5 8.0 8.0 the larger FBO groups who have the Jet Aviation Geneva International LSGG 8.3 8.0 7.7 7.8 7.9 resources to take the long-haul approach. “Location is by far the most important Universal Aviation Paris Le Bourget LFPB 8.6 7.6 7.4 7.6 7.8 thing, but some countries still make it a Hong Kong Business Aviation Center Hong Kong International VHHH 8.2 7.8 7.2 7.6 7.7 nightmare for international companies Abelag Aviation Brussels National EBBR 7.6 7.8 7.3 7.6 7.6 [to open new FBOs],” he said. ExecuJet Middle East International OMDB 7.0 8.0 7.6 7.6 7.6 Beyond Europe’s still-discouraging economic situation, Migeon sees FBOs Signature Flight Support London Luton EGGW 8.4 7.4 7.4 7.2 7.6 and their customers facing other hurdles, Landmark Aviation Paris Le Bourget LFPB 8.2 7.4 7.3 7.3 7.5 such as governments and airports trying Jet Aviation Dubai International OMDB 7.1 7.2 6.9 7.3 7.1 to squeeze money out of business avia- Jet Aviation LSZH 7.0 6.4 6.4 6.4 6.5 tion through new taxes and fees. Then VipPort Vnukovo /Vnukovo UUWW 6.1 6.9 5.4 5.5 6.0 there is the uncertainty created by situa-

tions such as the delay in the opening of © 2013 AIN Publications. All Rights Reserved. For Reprints go to FBOs with the same overall average are listed alphabetically. FBO information provided by Ac-U-Kwik

20 Aviation International News • May 2013 • www.ainonline.com Evergreen Apple international Top Ranked FBOs Europe’s struggling economies generally made for lean traffic volumes at FBOs last year. But, buoyed to some degree by traffic coming from more robust economies on other continents, the strong European FBOs were able to hold their heads above water. High levels of competition in Europe probably also contributed to another strong showing by FBOs there in AIN’s annual survey. Here is a snapshot of some of the highest-rated facilities, those achieving an overall average score of 8.0 or higher. the German capital’s new Branden- to prove their worth as trouble-shooters. burg Airport, the encroachment of air- In India, for example, the permit process traffic increases above those recorded in line traffic at Moscow’s crowded Vnukovo and task of securing aircraft parking can 8.9 the same period of 2011. Importantly, Airport and the impending privatization be extraordinarily challenging. The com- growth continued even after the one-off of Spain’s airport authority, AENA. pany’s goal is to be an extension of the TAG Aviation, boost provided by the Olympic Games But despite all that, the FBO veteran client’s flight department, supplement- Farnborough, UK hosted by London last summer. Move- would not turn his back on the Old World. ing its agent network with the planning This year marks the 10th anniversary ment growth has continued in the early “I would still look for acquisitions in power of its FOS trip support software. of TAG Aviation taking over the run- months of this year. Europe because some locations are profit- “When operators are flying around ning of from the The main focus at TAG Farnborough able and there are FBOs that are not part the world these days they’ll find some UK Ministry of Defence. Simply put, a this year is to advance its ambitions to of the big groups that may well be inter- excellent places [FBOs], and some places decade of dedicated effort and an invest- be more environmentally friendly. From ested in selling right now,” he told AIN. where there is no choice available,” said ment of approximately $160 million have January 1 it imposed its own ban on air- “Outside Europe there is still not much Bartholomew. “But the worst situation paid off. craft that don’t meet Stage 4 noise lim- to be acquired; in many places everything is when there is a surprise for the oper- Farnborough is one of Europe’s few its. Its wider goal is to be carbon neutral needs to be built, and it may be hard there ator [in terms of poor service or com- dedicated business aviation airports by 2019. The airport is reducing car- to deliver service standards that are any- plications], and that’s where managing and, unlike FBOs at ’s Paris Le bon emissions by cutting energy use for thing like what the market expects.” expectations is so important.” Bourget Airport, TAG benefits from needs such as heating and by provid- In Migeon’s view, the FBO business Flat and even declining traffic in having the place all to itself. That said, ing fixed electric ground power points case stands or falls on traffic volumes and Europe has not deterred Landmark Avi- TAG Farnborough Airport does face to avoid the need for visiting aircraft to location, but many companies don’t help ation from stepping up its ambitions out- stiff competition from at least half a run their APUs. themselves by failing to market effec- side its North American home territory. dozen other London-area airports and a tively. “A lot of FBOs still don’t sell their With backing from its new owners, the strong array of rival FBOs. services proactively, they don’t really look Carlyle Group, the company has begun It would be easy to assume that TAG 8.4 for new clients, they don’t visit existing construction of a new terminal at Paris Farnborough’s continuing popularity TAG Aviation, clients, and they underestimate the value Le Bourget. At almost 13,000 sq ft, the is driven largely by the iconic terminal Geneva, Switzerland of having a great relationship with the new facility will be more than three times building the Switzerland-based group Improvements to its Geneva facili- trip-planning companies.” larger than its current premises. General opened in 2006. This remains impres- ties in recent years may well be what has In the trip-planning fold is Rockwell manager Denis Bourgois asserts it will be sive, but TAG has continued to invest in prompted local rivals to embark on their Collins Flight Services. According to the first truly purpose-built FBO at the the site and now offers a pair of three- own wave of investment at the Swiss air- flight operations manager Tim Bar- airport. The company also has an FBO at bay hangars providing 240,000 sq ft of port, but for now TAG Aviation’s FBO tholomew, the business aviation customer Nice Cote d’Azur Airport and represen- space for aircraft storage, maintenance has stayed ahead of the pack in AIN’s base is rapidly becoming more geograph- tation at eight other locations in France. and offices. annual survey. Three years ago, TAG ically diverse in terms of where operators According to Bourgois, experience Permitted annual movements at built a new 43,000-sq-ft hangar adjacent are based and where they are flying to and investment in infrastructure make all Farnborough are cleared to grow from to its premises in Geneva and around the and from. His overall perspective on mar- the difference and Landmark has dem- the 2012 limit of 37,000 to 50,000 in same time expanded its crew lounge as ket conditions is positive in that he sees onstrated the value of this over the past 2019. TAG has reported a trend toward part of a 2,150-sq-ft rest area on the first more FBO choice springing up around winter, a hard one that tested its de-icing a larger average size of the aircraft using floor, adjacent to two conference rooms. the world and robust competition serving capabilities. Its long-standing status as the airport and at last count had more The reception area has also been remod- to keep down prices and keep up service an ExxonMobil fuel distributor has also than 60 based aircraft. Last year aircraft eled to establish a clearer separation quality for his clients. been a plus. with an mtow of at least 50 metric tons between passenger and crew facilities. The former Air Routing International But he also acknowledged that the (e.g. the Boeing Business Jet) increased Like other Geneva FBOs, TAG contin- business has spent fast-approaching competition at Le Bourget can be cut- in number by 44 percent over 2011. ues to have to juggle customer expectations four decades building a global network throat. “If you don’t want to lose market According to TAG Farnborough Air- against a backdrop of constrained capac- of local agents who supervise ground share you have to manage your prices and port chief executive Brandon O’Reilly, ity at the single-runway airport. The short- handling service delivery. Bartholomew you can easily lose a customer that you each of the last six months of 2012 saw age of aircraft parking space there also claimed that the Rockwell Collins team have had for five or 10 years,” he told AIN. rarely gets complaints about service “Business is up and down. February was a www.ainonline.com standards around the world because it disaster. March, we’ll see, and I just don’t is so thorough in choosing and control- know what will happen next month.” ling the best available options in even limited locations. Fragmented Growth Trend However, some factors can be beyond At Jet Aviation, one of the larg- the planners’ control, such as fuel sup- est international bizav handling groups, ply at some airports. Making this factor Jakob Straub, vice president of FBO ser- harder, in his view, is a growing tendency vice for Europe, the Middle East, Africa for aircraft operators to shop around and Asia, confirmed that while traffic fell more aggressively in search of discounted by around 5 percent in Europe last year, jet-A. “They have a lot of choices and a there was impressive growth in just about lot of prices these days, but this can back- all the other territories his group covers. fire because the fuel may not be available But beyond the generalizations, the situa- when it is needed,” Bartholomew said. tion is more fragmented. There are plenty of operational head- For example, while the Spanish and aches around the globe to give special- Italian markets were especially weak last TAG Geneva, Switzerland

ists such as Rockwell Collins the chance year, Jet Aviation saw traffic hold up well © 2013 AIN Publications. All Rights Reserved. For Reprints go to Continues on next page u

www.ainonline.com • May 2013 • Aviation International News 21 Most-Rated Countries international Top Ranked FBOs (based on number of responses) at its main Swiss base in Zurich. This Country Responses KLM Jet Center, Amsterdam The Netherlands year it is continuing the second phase of 295 a project to create brand-new facilities for its Zurich FBO. Meanwhile, at its Geneva France 221 base a major refurbishment is under way 111 and this is expected to be ready for unveil- Italy 110 ing during this month’s EBACE show. Farther north in the UK, the com- Switzerland 94 pany sold its London Biggin Hill facility 66 last year after concluding that it faced an 65 unsustainable degree of competition there continues to pose challenges, requiring good working relationship with the air- from the airport-owned FBO and rival Spain 55 quick thinking on the part of FBO staff. port management at Schiphol. He has group Rizon Jet, which had invested heav- Russia 34 regular meetings with them to discuss ily in a purpose-built private terminal. Hong Kong 31 how general aviation can happily co-exist Equally, political unrest in some parts 8.3 with the airline traffic at this crowded hub. of North Africa and the Middle East 30 KLM Jet Center, This has resulted in a more tailored slot meant that there was little traffic there, but Ireland 28 Amsterdam, the Netherlands application process for bizav operators. by contrast is booming. Last Saudi Arabia 26 The KLM Jet Center at Amsterdam Much of the focus for the FBO this year, Jet Aviation opened a new FBO in Schiphol Airport has clearly benefitted year will be the introduction of new Medina and it has plans for more new loca- St. Maarten 26 from being relocated to this major inter- quality and safety management systems. tions in the country. It has also prospered Netherlands 24 national gateway’s new general aviation The QMS will be heavily influenced by in Dubai, where a competitor closed its Belgium 23 terminal, which opened in 2011. This customer comments about what aspects operation last year and it has great hopes offers extremely convenient airside-to- of service matter most to them. Overall, for the new Dubai World Central airport. China 21 groundside access, and a covered canopy the company hopes to achieve an even Jet Aviation has also been rolling out Thailand 20 allowing passengers and crew to board more consistent level of service, based new arrangements for direct fuel sales at and disembark comfortably in all weather. in part on the sort of procedural consis- 19 all of its locations, in some cases through The facility is part of the KLM Air tency found at a well run airline. a cooperation with major fuel providers. Austria 18 France airline and has an FBO at Rot- “This is another good revenue stream and Sweden 18 terdam Airport as well, about 30 miles we can provide a better response to cus- to the southwest. Rotterdam is the only 8.3 Greece 17 tomers’ needs this way,” Straub told AIN. Dutch airport open around the clock, Signature Flight Support, “A lot of FBOs struggle with this [pro- 15 providing valuable flexibility. Paris Le Bourget, France viding fuel quickly for bizav operators], *Countries with the same number of responses are However, facilities apart, FBO direc- At an airport that has seen lots of because the main fuel companies are gen- listed alphabetically tor Edwin Niemöller firmly believes comings and goings in a crowded FBO erally busy serving the airlines’ needs. that nothing short of consistently atten- market, Signature always has been in it We’ve had good feedback about our fuel.” at Paris Le Bourget, Shannon in Ireland, tive and professional levels of customer for the long haul at Paris Le Bourget. Its Straub acknowledged the rising costs and the Ukrainian capital, Kiev. “Some of service will suffice in these highly com- FBO there has once again scored well in FBOs face but said that so far his company the locations we serve, such as China and petitive times in the ground handling AIN’s survey. has resisted the temptation to raise handling the Ukraine, have seen really strong [traf- market. “The important things are get- Despite tough economic conditions, rates. “It is quite competitive in many loca- fic] growth, and right across the CIS too,” ting the basic services right and having a the U.S.-based Signature group has con- tions and customers are more said president and CEO Adel strong focus on the [handling] team,” he tinued to expand its horizons in Europe. willing to move [from one FBO Mardini. Across the Middle told AIN. Team selection can make a big Last year it opened new bases at Berlin to another],” he said. “There is East, the company has seen difference, with the manager needing to Brandenburg Airport (formerly Schoene- less loyalty, especially among stable movement levels overall, consider which employees tend to work feld) and at International Air- trip-support organizations.” with marked increases in loca- best together. port, adding to its existing German In a tough market, Jet Avia- tions such as Saudi Arabia, In dealing with the inevitable traffic presence at International Airport. tion believes that the strength of Qatar, Abu Dhabi and Dubai. peaks and troughs, Niemöller said he is The company now is set to start con- its large network and its com- The company has indi- fortunate to have colleagues with a flexi- struction of its new terminal and hangar prehensive service portfolio set cated that it would like a ble attitude to working hours (something complex at London . The it apart. “We are not only serv- presence in the UK, and, as that can’t always be taken for granted $31 million development will represent ing customers with handling Adel Mardini, a possible first step, it is now in Europe). In his view, KLM Jet Cen- a significant upgrade to its established and MRO services, but we are JetEx sponsoring the flight-plan- ter has benefitted from a working envi- FBO at the 24-hour UK gateway. also doing completions, MRO Flight Support ning suite at Oxford Air- ronment in which the company and staff and [aircraft] management,” president and CEO port. But its flagship base in exercise a balanced give-and-take atti- said Straub. “We see a lot of our Europe is at Paris Le Bourget tude in responding to changing needs. Signature Flight Support,

Paris Le Bourget, France www.ainonline.com customers using our different services and Airport, where it boasts one of the new- “If they [the staff] will do it for each the trend is to try to integrate these.” est facilities at this highly competitive other [helping out during busy times], Dubai-based Jetex Flight Support has a hub. It also provides handling supervi- then you know they will do the same for wide view of market conditions from the sion in several African countries, includ- the customers,” Niemöller explained. perspective of being a global flight-plan- ing Ethiopia, Burundi, Congo and “About 70 percent of our staff has been ning group, but also as an FBO operator Algeria, and has its own office in there for 15 years or more. It’s their busi- ness and they know the pilots best. We FBOs Showing the Largest Increase in Overall Average from 2012 to 2013 get a good rating because people know 2013 2012 that we have really good ground crew.” Overall Overall 2012-2013 Small gestures can go a long way, such FBO Airport Code Average Average Change as spotting that a pilot has had a hard Signature/AviaPartner Nice Cote d'Azur Interational LFMN 8.0 7.1 0.9 day and offering him a couple of compli- Signature Flight Support Paris Le Bourget LFPB 8.3 7.5 0.8 mentary beers to enjoy in his hotel room. KLM Jet Center Amsterdam Schipol EHAM 8.3 7.7 0.6 That takes the sort of human intuition and instinct that doesn’t come readily Jet Aviation Geneva International LSGG 7.9 7.5 0.4 from formal training. Abelag Aviation Brussels National EBBR 7.6 7.4 0.2 According to Niemöller, the KLM Jet

TAG Aviation Geneva International LSGG 8.4 8.2 0.2 Center has also benefitted from having a © 2013 AIN Publications. All Rights Reserved. For Reprints go to FBOs with the same overall average are listed alphabetically. Continues on page 24 u FBO information provided by Ac-U-Kwik

22 Aviation International News • May 2013 • www.ainonline.com [the customer actually wants] are diamet- international Top Ranked FBOs rically opposed, so we retooled to respond to this,” she explained. “The research vali- to provide support across China. dated what we thought was important but According to Mardini, a strong focus it also allowed us to reallocate resources this year at Jetex will be on further devel- and relaunch our loyalty program. We opment of its IT capability, including also found what the customers wanted the launch of a new online application. in a premium service, and to get clearer “Our real strength is that we handle our on how to provide this we introduced the FBO [operations] and our trip planning Service With a Leading Edge program, together so our clients have more reason led by RitzCarlton [the hotel group].” to use our services,” Mardini told AIN. “We focus strongly on price because it’s Focus on Hong Kiong when service levels drop that clients start Meanwhile, Hong Kong Business Avi- to look at the price.” ation Centre (HKBAC), in which Sig- He would like Jetex to be able to pur- nature is a shareholder, says that a new sue opportunities at more airports but booking system for aircraft parking admitted to feeling constrained in many is helping operators to plan better for places. “The Middle East is not open [to access to the crowded hub. This means Harrods Aviation, London Luton, UK new FBO competition], in Europe it’s that parking can be booked right after a a matter of [limited] movements and in slot has been allocated and, according to In Asia, Signature’s existing platform been an increase in the average size of China it’s difficult for foreigners to build the FBO, approval can be granted at just for exploiting the great potential for bizav the aircraft using Le Bourget. This has growth in that region is its Hong Kong meant creating larger parking bays in the Business Aviation Centre joint venture. hangar and on the apron, as well as big- The BBA Aviation group company has ger tow tractors to cope with the inevita- established a management team for Asia ble need to move jets around. tasked with tapping expansion opportu- nities there. According to Signature president and 8.2 COO Maria Sastre, the FBO chain has Harrods Aviation, HKBAC, Hong Kong outperformed generally below-par mar- London Luton, UK ket conditions that have seen only mar- After more than two years under ginal increases in traffic worldwide of the ownership of the Qatar Holding or manage facilities,” he said. “If there six hours’ notice now, although officially around 2 to 3 percent. “The European group, Harrods Aviation continues to were better facilities in China I think traf- operators are urged to allow three days. region has seen a disproportionate drop focus squarely on its two-pronged pres- fic could double.” Business aircraft movements in Hong in business compared to North Amer- ence in the key London market with Signature Flight Support also has seen Kong numbered approximately 7,000 last ica,” she told AIN. “Asia and Latin FBOs at both Luton and Stansted air- a closer focus on price in the handling year, a slight increase over 2011. HKBAC America are seeing stronger growth, but ports. According to sales and marketing market. “The consumer mindset has general manager Madonna Fung says from a far lower base.” director Will Holroyd, this year started completely reset itself around value,” said she has seen a growing trend for flights to Meanwhile, in the south of France, positively with above-forecast traffic vol- president and COO Maria Sastre. “The and from second- and third-tier cities in another well regarded FBO is Signa- umes. “Last year was a year of ups and degree to which this puts pricing pressure mainland China. ture’s facility at Nice-Cote d’Azur Air- downs,” he told AIN. “We had a strong and cost pressure on an [FBO] business HKBAC has renovated the first floor port. This is run through a joint venture spring and early summer, partly due to depends on how that business is run.” of its executive terminal and added a new with AviaPartner. the Olympic Games, which, in particular, In her view, the new balance of power crew lounge that was set to open by the brought an increase in head-of-state and in an FBO’s relationship with its custom- end of last month. Last year, the com- large VIP traffic. But then the autumn ers is no threat to the U.S.-based group. pany opened a third hangar, increasing 8.2 into winter period saw slight dips at both “Our winning advantage has always been capacity by 60 percent, not only for air- Dassault Falcon Service, Luton and Stansted.” our footprint and the size of our network craft parking but also for operators need- Paris Le Bourget, France Last year Harrods made investments [at 115 locations], plus our award-win- ing space for maintenance. Built around one of the French air- to stay on top of new European secu- ning service, with our standards mea- It also increased staffing levels, in part craft manufacturer’s key product support rity requirements, as well as new equip- sured by an outside firm,” Sastre told to be able to handle the need to tow air- facilities, the Dassault Falcon Service ment for its bases. “One big change was AIN. “We strongly believe in the service craft to remote parking bays at the air- FBO has built a loyal following in its our investment in new fueling trucks, and proposition and world-class safety, with port. It has also stepped up staff training many years at Le Bourget Airport, where we now have multiple trucks at each of safety and training programs instituted with the introduction of a management it now faces competition from no fewer our locations,” Holroyd explained. “This by NATA [the U.S. National Air Trans- trainee program, through which newer than seven other FBOs. The past cou- means we can refuel any type of aircraft portation Association].” personnel receive on-the-job training ple of years have seen expansion of both ourselves, saving time for our customers.” Four years ago Signature conducted from experienced managers. hangar and ramp parking space, as well At the same time, the company has a deep assessment of customer expecta- At ExecuJet Aviation, group FBO as investment in more ground equipment. increased staffing levels in the qual- www.ainonline.com tions, with a view to being clearer on their director Mark Abbott was able to deliver There have also been improvements to ity and standards department, as well needs and priorities. “Sometimes what cautious optimism in his assessment of crew areas of its private terminal. as some other behind-the-scenes func- you think the customer wants and what market conditions. “Despite being an One driver for these developments has tions. “The Harrods brand [Qatar Hold- ing also bought the famous ABOVE AND BEYOND London department store] Dassault Falcon Service, helps a lot in being able to For the first time this year, AIN’s FBO survey asked respondents to identify specific FBO employees or Paris Le Bourget, France teams that routinely go above and beyond when it comes to customer service. We received more than recruit the best staff,” said 500 responses to this question. Below we have highlighted 5 individuals and teams who were repeatedly Holroyd. Harrods has its recognized, but we encourage further exploration of this list at ainonline.com/above-and-beyond-2013. own in-house customer ser- vice training program, which Name FBO Airport Code was jointly devised with the Christof & Staff Landmark Aviation LFMN high-end store. Bernard Ratisra Jet Aviation LSGG Also keeping Harrods Dorothée Bertrand Aéroport International du Castellet LFMQ on its toes is the intensely competitive environment Wayne Dooley ExecuJet Middle East OMDB among London-area FBOs. Staff Signature Flight Support EIDW At Luton, the company has © 2013 AIN Publications. All Rights Reserved. For Reprints go to

Continues on page 26 u

24 Aviation International News • May 2013 • www.ainonline.com the manufacturers quite bullish in terms international Top Ranked FBOs of future growth. We have an advantage there because we can provide turnkey direct competition from two other FBOs season last year because the Ramadan industry in distress and in recovery mode, solutions for MRO, avoiding the need for (one of which is now making a significant religious holidays fell early during July we have seen positive results in terms of expensive positioning flights to get air- investment–see Signature). At Stansted, and August, reducing the amount of vis- handling activity,” he told AIN. “In fact craft repaired in Europe. Operators from there are now five FBOs vying for rela- iting traffic from the Middle East. By it’s been surprisingly good. This financial outside Africa can now operate there with tively stagnant levels of traffic. “There is contrast, explained Swissport Executive year we’ve handled around 20,000 move- relative peace of mind.” too much competition [at some airports] Aviation global sales director Rebecca ments across the network. More popular ExecuJet’s 50,592-sq-ft hangar in and it can be difficult to remain profit- Durrer-Bolle, the Geneva FBO “had its destinations like Dubai have seen a steady can house a pair of Boeing Busi- able,” Holroyd commented. “We’re see- best year ever.” increase, although some other locations ness Jets, and the facility also boasts ing people entering the market for what Swissport is unusual among airline have seen a drop.” 269,000 sq ft of apron space. The com- I expect to be short periods of time, but I handling groups in consciously seeking Looking ahead, it is Africa and Asia pany has just broken ground to build a see no end to this while the airport own- opportunities to expand into the more that are getting Abbott and his team five-star hotel that will form phase two of ers are content to accept ridiculous rents.” specialist executive aviation market. Dur- excited. “Africa is alive now,” he said. the FBO development. “The market is definitely more sensi- rer-Bolle told AIN that whenever the “Activity in Lagos [Nigeria, where Beyond Africa, ExecuJet has also been tive to price now, but the notion of low group wins a license to serve the air trans- ExecuJet opened a new FBO last year] growing in the Middle East, with a new cost at FBOs can be deceptive [for cus- port sector in any given country, it always FBO in the Saudi capital, , a joint tomers]. If the lead passenger is happy seeks to offer some sort of business avia- venture with Nasjet that was due to open to sit in a car for two hours after flying tion service at locations where this makes by early last month. “We believe we can eight hours then they probably can find a sense. For example, the past year has seen get operators to change [FBO] allegiance cheaper FBO. Low cost comes at a cost, it expand this part of its service foot- there when we open, and we will probably and it can be high,” Holroyd concluded. print to five locations in Morocco (with have around 4,000 movements in the first another two about to be added). year,” said Abbott. The Swissport group is present at 192 Farther east in , the company 8.0 airports in 38 countries around the world. is drawing up plans for a new FBO in , Swissport Executive Aviation, One clear advantage of being part of where it will have exclusive handling rights Nice Cote d’Azur, France such an extensive handling group is that for an anticipated 7,000-plus general avia- Nice Cote d’Azur Airport on France’s Swissport Executive can tap into its econ- tion movements in the first year. ExecuJet’s popular Mediterranean coast is one omies of scale, a factor that is more signifi- agreement with Indonesian airport group of two branded FBOs operated by the cant in these times of rising operating costs Angkasa Pura calls for the construction of airline handling group Swissport. The and squeezed profit margins. “If we have a 13 new business aviation terminals around other is at Geneva International Airport really huge day [for executive aircraft han- this large Southeast Asian country. in Switzerland. dling] we can always borrow experienced But Abbott, too, confessed to feeling As a prime example of the sort of fluc- staff from our parent company,” Durrer- Signature/AviaPartmer at Nice the price/margin squeeze. “The market is tuating factors that can affect any given Bolle said. It can also offer operators dis- price conscious at the moment and we do FBO’s business plan, the Nice location counted handling contracts for using its need to increase prices based on increased had a quieter-than-normal peak summer locations around the world. o has started to increase and costs,” he said. “We are still finding that remains the business gateway to the con- customers are willing to pay more for tinent. remains an important quality service, but if they are not then “January and February [2013] were busy, finding that operators are placing a destination, mainly for leisure.” that’s where the problem comes. Margins but it can immediately go quiet and that greater emphasis on compliance issues The Switzerland-based group’s FBO are certainly tight in the FBO business. We makes it harder for all FBOs.” He was relating to safety and financial matters. network is expanding across multiple will discount [handling fees] on volume eagerly awaiting early indicators of how “They want to know for sure that we have continents. “In Africa, which was previ- [of movements] but it might be a cumula- traffic might build up across Universal’s reliable local representation and contacts ously a dumping ground for older-gen- tive volume throughout our network.” European network from March, when the in case something happens,” said Mark eration business jets, we are now seeing Like most FBO groups, Universal busier season would typically begin. But Hazard, divisional vice president of trip much newer aircraft,” Abbott explained. Aviation has continued to see significant with bases in financially insecure markets support services. “Operators are want- “We are seeing North American opera- fluctuations in traffic levels. “Predictabil- like Spain and Italy, surely there must be ing to know why they are being asked to tors basing aircraft there and providing ity is a big challenge,” said Jonathan How- concern? “No, we certainly haven’t seen pay five or six different people [for vari- service to African clients and we’re see- ells, the U.S.-based group’s regional v-p our business nosedive in those countries,” ous aspects of handling], and they want ing more sales activity, which is making for Europe, the Middle East and Africa. he told AIN. more transparency.” At , Univer- As a trip planner, Universal sets its Other Frequented FBOs in the Eastern Hemisphere sal now has to compete with four other own benchmarks for service quality in FBOs, which it sees as testament to how the FBOs it chooses for clients. Its global FBO Airport City business-aviation-friendly the airport has partnership managers rank handlers Ali Trasporti (ATA) Milan Linate Milan become. “We are seeing traffic switching around the world with a view always to Biggin Hill Executive Handling Biggin Hill London from airports like Luton because parking, having a best available option for clients fuel and landing fees are cheaper,” How- at all locations. “The list is fluid and we Cannes Airport Holding Cannes-Madelieu Cannes www.ainonline.com ells said. “However, I don’t think there let people know what it takes to move up Capital Jet Beijing/Capital Beijing will still be five FBOs at Stansted a year and down [the rankings],” said Hazard. Eccelsa General Aviation Olbia Costa Smeralda Olbia OT from now.” “We believe this is a differentiator. But ExecuJet Europe Zurich Zurich Universal expects most future growth some locations are simply not adequate, Grafair Jet Center Stockholm City/Bromma Stockholm in its ground handling network to come and then we just have to let the customer from China, the rest of Asia and South know what to expect. But that type of Jet Aviation Dusseldorf Dusseldorf America. “When we look at potential location is getting smaller in number all JetEx Paris Paris Le Bourget Paris new airports, we have to consider pro- the time.” o Landmark Aviation Nice Cote d'Azur International Nice jected traffic there and the strengths and Mjets FBO Don Mueang International Bangkok weaknesses of the incumbent FBOs,” said Howells. “More than 80 percent of traf- Jet Centre RAF Northolt London fic still goes to only around 250 locations Service People Hamburg Hamburg around the world. We already cover a lot Sky Services Rome Ciampino G B Pastine Rome of the top 50 locations.” The company Skylink Services LTD Larnaka International Larnaka recently opened a flight-planning office in Hong Kong and expects to expand into All FBO information was provided by Universal Aviation London Stansted London Ac-u-Kwik, “business aviation’s most Africa fairly soon. respected flight planning resource.” Vienna Aircraft Holding Vienna International Vienna Universal’s flight-planning teams are © 2013 AIN Publications. All Rights Reserved. For Reprints go to These FBOs, listed alphabetically by name, received nearly enough responses to statistically qualify their rating to be included in this report.

26 Aviation International News • May 2013 • www.ainonline.com