Wednesday, December 14, 2016

Uber for Private Flights

Uber for Private-Jets

Jakobi Nunn | Marketing 3343 | Dr. Zhang

Original Article - http://www.wsj.com/articles/private-jet-booking-app-lands-105-million-in-funding-1481567687?mod=trending_now_5

With the help of some major investors, Jay-Z is trying to succeed where others have failed in creating a cheap private jet service.


JetSmarter is a company that is based in Fort Lauderdale. JetSmarter buys empty seats from private-jet operators and makes them available through its app, either on scheduled shuttle flights on major routes or empty-leg trips, in which planes are flown empty from one airport to another for their next passenger flight. JetSmarter is essentially Uber, but instead of cars you get a plane.

Jay-Z is one of JetSmarter's main backers and investors. With the the help of the Saudi Royal family and other investors that include venture capitalists, fund managers, celebrities and technologists, Jay-Z is trying to make flying private cheaper to rival commercial flights.

The jet-booking business is very competitive business that has seen other starts up fail. The difference with JetSmarter is they were able to acquire over $157 million in investment capital which allowed the company to be valued at over 1.6 billion dollars.
  • Target Market
    • Individuals who frequently take commercial flights, but want more privacy and security
    • Already has over 6,000 members 
  • Price
    • $4,000 initial payment
    • $11,000 annual payment
  • Place
    • offers about 50 routes in countries around the world
      • rose from 3 routes in a few years
    • Plans to expand further into India, China, and South America






No comments:

Post a Comment