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22 September 2009
Posted in: Press

Press: Air taxi hopes now is the time for private plane expansion

Blink was features in a radio segment on World Radio Switzerland.  Listen here or read the transcript of the segment below.

Blink on World Radio Switzerland

TRANSCRIPT

Monday, 21 September, 2009
WRSAir taxi hopes now is the time for private plane expansion
Despite the global financial crunch, Geneva airport is getting a new air taxi company. Blink is opening a hub in Geneva and hoping to attract people who want to fly privately but with less frills. But is now the best time for a private jet company to expand? And will the company be able to battle commercial and other private airlines?

Blink says it thinks it has found a hole in the air traffic market; people who want to fly privately, on a budget. It sounds counter-intuitive, but the company’s managing director Cameron Ogden says that his company has a unique position.

“A big part of where Blink sits is very much between the commercial and the business aviation operators today. So, we’re sort of cost competitive with 4 people on our airplane for the commercial airlines, and we see ourselves as 50% less than the light jet charter market that is being serviced today.”

Ogden says that for Business travellers, which make up 80% of the expected passengers, working face to face is vital. But still, launching a company in this economic climate – is this the best time to do it? I mean, we are in the middle of a financial crisis, and to have your own jet seems a bit extreme right now.

“I agree, I think there are definitely optical issues that some companies suffer from. I think that what we’re seeing from a lot of corporations is that the necessity to fly using business jet aircraft hasn’t changed, and I know that the recession has caused people to become a lot more thoughtful as for what they spend on. But I think that when you look at it from the perspective of some of these managers and their time, the productivity argument is still there.”

One ticket, for a day return trip from Geneva to London would cost about 1300 Euros, 2000 Swiss Francs, comparing that flight, with the airline Swiss, on a typical day, with typical flight times, would cost between 1600-1800 Francs, in Business Flex class.

“You know, private jets have their big advantages when it comes to connections which are not served by the traditional airlines.”

That said, Moser, an aviation expert.

“But you initially mentioned the connection between Geneva and London – it’s a bad example. Geneva and London have so many scheduled flights a day, that it takes a good reason to take an (air) taxi, which is in most cases, not in all cases, but in most cases is more expensive than the airline flight.“

Moser says that Blink is not the only air taxi service in Geneva. There are 9 others, and then there was Jet Republic; with a fleet of new plans and onboard attendants that was going to zip all over, in world class style. The company never got off the ground. But Blink says that it touts different values. This isn’t a fractional ownership deal, and it isn’t about super-luxury. But Seth Moser is skeptical;

“It is very risky, and as a matter of fact, many of the newcomers in the business fail. I don’t want to make a prediction about Blink, but it is very tough to start up a new business of this kind.”

Blink has been flying in Geneva for a while, but now it will have a hub here – so more of an investment. The company executives will have to keep their eyes focused on the competition, and on profits, if they want to make the expansion soar in a tough, crowded market, in these difficult financial times.

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