Supplier Spotlight

Latest video

A look inside the world's only private Boeing 787 Dreamliner

Visitors to Dubai Air Show 2017 had the opportunity to explore the world's only private Boeing 787 Dreamliner. The jet is operated by Deer Jet and managed by UAS International Trip Support, and features a main lounge that accommodate 16 guests, two large dining tables, an enclosed master bedroom, and fully fitted bathroom.

27th November 2017



Duncan Aviation begins work on US$70m Utah maintenance facility

Duncan Aviation has begun construction on a new US$70m business aircraft maintenance, modifications and paint complex in Provo, Utah, in the USA. The company will add nearly 275,000ft² of buildings, with a 222,000ft² maintenance and modifications center and a 53,000ft² paint facility.

23rd October 2017

Do you believe cryptocurrencies are a reliable form of payment?

News

FBO fuel sales increase in 2015

The 2016 Annual FBO Fuel Sales Survey has revealed that 54% of US FBOs increased their fuel sales in 2015 compared with the previous year, with 23% reporting a 1-4% increase, 15% seeing a 5-8% rise and 16% reporting an increase of 8% or more.

According to the Aviation Business Strategies Group (ABSG), which conducts the survey, the increase in fuel sales in 2015 builds on increases in the two previous years. For 2014, 49% of responding FBOs reported a year-over-year increase in fuel sales, while 43% of FBOs in 2013 reported greater fuel sales compared with 2012.

“This is the first time since we started the survey that more than 50% of the respondents experienced an increase in fuel sales over the previous year,” ABSG principal John Enticknap said.

Although a majority of FBOs reported increased sales, 28% of FBOs responding to the survey experienced a decrease in fuel sales in 2015 while the other 18% of FBOs said fuel sales were flat.

“This is still a fractured marketplace that is showing some positive signs of recovery,” Enticknap added.

The survey also included a forecast for 2016, which showed that most FBOs (58%) expected fuel sales to increase compared to 2015, although no respondents expected increases of more that 8%. Of those who responded, 18% expect a 5-8% increase and 40% predict rises of 1-4%.

“Looking ahead, more than 90% of surveyed respondents said they expect to have the same or increased fuel sales this year compared to their 2015 results,” said Ron Jackson, ABSG principal. “If this forecast holds up, 2016 could prove to be a watershed year for the industry.”

When asked about their expectations for the economy in general, 41% of the responding FBOs said the economy is not heading in the right direction, and 27% have a positive outlook about the economy. The rest (32%) were undecided.

In response to questions about fuel purchases by transient customers, almost half of the respondents indicated that up to 40% of aircraft customers coming onto the ramp do not buy fuel.

“With the current US FBO business model relying on fuel sales to fund their operation, this is an alarming development,” Enticknap said. He attributed this phenomenon of aircraft stopping on an FBO’s ramp without a fuel purchase to two factors: more flight departments are choosing to tanker fuel to their destinations and back to their bases; and more jets are more fuel efficient.

January 25, 2016


RECEIVE THE
LATEST NEWS


Your email address:



Read Latest Issue

Exclusive Articles

Maria A. Sastre, president and COO, Signature Flight Support, shares her views on the ongoing debate surrounding FBO fees
Click here to read more


Ries Vriend, CEO of Amsterdam Software – FBO One, discusses potential changes to regulation surrounding FBO pricing transparency in the USA.
Click here to read more


The General Data Protection Regulation (GDPR) comes into effect in May and businesses must start preparing early to get a plan in place for its arrival, according to Paula Tighe, information governance director at law firm Wright Hassall.
Click here to read more



Submit your industry opinion

Industry BlogDo you have an opinion you'd like to share with the business airport community? Good or bad, we'd like to hear your views and opinions on the leading issues shaping the industry. Share your comments by sending up to 500 words to ben.sampson@ukimediaevents.com

Submit Your Recruitment Ad

Recruitment AdTo send us your recruitment advertising or to receive information on placing a banner please email jag.kambo@ukimediaevents.com

Supplier Spotlight

Supplier Spotlight Want to see your company included? Contact jag.kambo@ukimediaevents.com for more details.