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The Economic Footprint of the Business Aviation Sector in Europe

Maertens, Sven and Leipold, Alexandra and Nahas, Nicolas and Shah, Dhruv and Abramovich, Michael and Wollersheim, Christoph and Keimel, Hermann (2019) The Economic Footprint of the Business Aviation Sector in Europe. In: Airline Economics in Europe Advances in Airline Economics, 8. Emerald Publishing Limited. pp. 137-166. ISBN 978 1 78973 282 5. ISSN 2212-1609

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Official URL: https://www.emerald.com/insight/content/doi/10.1108/S2212-160920190000008007/full/html

Abstract

Business Aviation (BA) is an important segment of nonscheduled air transport, providing personalized solutions for business trips by air. Unlike scheduled air transport or holiday charters, BA has hardly been dealt with in the academic literature. This chapter gives insight into the structure and key economic effects of the European (EU28+EFTA) BA sector. Hereby, we differentiate between the sector’s macroeconomic footprint, in terms of jobs or gross value added (GVA), and the generation of business efficiencies and connectivity benefits for the users. Based on our own data collection and input-output analyses using data from the World Input-Output Database and Eurostat, we find that the effect of BA over the EU28 GVA is almost 0.2%. Also, some 374,000 European jobs are directly or indirectly dependent on the sector’s activities, which is more than the total number of jobs in, e.g., Cyprus. More than half of these jobs stem from the operation of business aircraft and from closely related operational services like maintenance (MRO) and handling (FBO), while the remaining employment occurs in the production of business aircraft and parts. Comparing actual European BA flights against their fastest commercial travel alternatives, key efficiencies came to light, such as average travel time savings of 127 minutes per flight, annual savings of about h 15 million in overnight hotel costs and an average 150% increase in productive work time for the travelers. Furthermore, we find that BA can significantly improve connectivity, as it serves about 25,000 city pairs not connected by nonstop scheduled air services.

Item URL in elib:https://elib.dlr.de/129661/
Document Type:Contribution to a Collection
Title:The Economic Footprint of the Business Aviation Sector in Europe
Authors:
AuthorsInstitution or Email of AuthorsAuthors ORCID iD
Maertens, SvenSven.Maertens (at) dlr.dehttps://orcid.org/0000-0002-4618-0946
Leipold, AlexandraAlexandra.Leipold (at) dlr.deUNSPECIFIED
Nahas, Nicolasnahas_nicholas (at) bah.comUNSPECIFIED
Shah, DhruvUNSPECIFIEDUNSPECIFIED
Abramovich, MichaelUNSPECIFIEDUNSPECIFIED
Wollersheim, ChristophUNSPECIFIEDUNSPECIFIED
Keimel, HermannHermann.Keimel (at) dlr.deUNSPECIFIED
Date:21 October 2019
Journal or Publication Title:Airline Economics in Europe
Refereed publication:Yes
Open Access:No
Gold Open Access:No
In SCOPUS:Yes
In ISI Web of Science:No
Volume:8
DOI :10.1108/S2212-160920190000008007
Page Range:pp. 137-166
Editors:
EditorsEmail
Cullinane, KevinKevin Cullkevin.cullinane@gu.se
Publisher:Emerald Publishing Limited
Series Name:Advances in Airline Economics
ISSN:2212-1609
ISBN:978 1 78973 282 5
Status:Published
Keywords:Business aviation; air transport; connectivity; economic impact; input-output analysis; travel time saving; MRO; FBO
HGF - Research field:Aeronautics, Space and Transport
HGF - Program:Transport
HGF - Program Themes:Transport System
DLR - Research area:Transport
DLR - Program:V VS - Verkehrssystem
DLR - Research theme (Project):V - Ökonver
Location: Köln-Porz
Institutes and Institutions:Institute of Air Transport and Airport Research > Air Transport Research
Deposited By: Maertens, Dr. Sven
Deposited On:16 Dec 2019 14:35
Last Modified:17 Jan 2020 09:39

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