• 

  Boeing

  Stock Code:

  BA

  Date Founded:

  1916-07-15

  CEO:

  Dave Calhoun

  Headquarters Location:

  Chicago, USA

  Key Product Lines:

  Boeing 737, Boeing 747, Boeing 757, Boeing 767, Boeing 777, Boeing 787

  Business Type:

  Planemaker

Just two days into her appointment as President of Boeing’s Business Jet division (BBJ), Erika Pearson has already made her debut at Boeing’s pre-show press conference at EBACE 2022 in Geneva.

Changes at BBJ

Leaping into the new role, Pearson has previously served as Boeing’s commercial sales director for the Asia-Pacific region, leading Boeing’s accounts for Singapore Airlines, Air New Zealand, and Fiji Airways. Having joined the aviation manufacturer in 1993 as an aerodynamics engineer, Pearson has subsequently held various leadership roles across sales, marketing, and product development.

“I’m honored to be leading Boeing Business Jets at such a dynamic time in business aviation,” Pearson told reporters. “I’m really looking forward to taking my experience from commercial aviation and translating it to this unique market segment. This is my first time at EBACE, and I’m really looking forward to the experience.”

Pearson is joining BBJ at an exciting time, with the division noting strong demand through Q1 with four new orders for its BBJ MAX range.

“We had a good 2021 coming out of the pandemic… and had four new orders at the start of this year, and we are looking forward to finishing up the last half of 2022 even more strongly,” noted marketing director Alex Fecteau.

With the recent recertification of the Boeing 737 MAX, the company has already moved to increase the promotion of its BBJ MAX family, comprised of the MAX 7, 8, and 9. BBJ has built a specific demonstrator for the purpose, based on the MAX 7. Fecteau commented that the aircraft has already been built and is awaiting final certification. Plans are in place to add further long-range fuel tanks before the cabin interior is completed ahead of its expected launch in Summer 2023.

However, the company has no plans to add the MAX 10 to the range. Fecteau explained that the type did not feel like the right fit for the business jet market, citing the additional airframe stretch to increase capacity comes at the expense of range.

Growth in Business Aviation

As the aviation industry starts its gradual recovery, one sector, in particular, has seen significant growth in popularity: business aviation. Industry professionals have previously identified the demand comes as companies and individuals seek out more flexible travel options during a downturn in commercial aviation, something reflected in BBJ’s outlook.

While covering various private markets, including military, governmental, and VIP, BBJ has begun to shift its focus towards charter operators.

According to Aviation Week, around 15-20% of Boeing’s in-service business aircraft are owned by charter operators. However, pre-pandemic, few sales have come directly from Boeing as buyers sought out cheaper, pre-owned jets.

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The sharp increase in the purchase of pre-owned business jets has seen broker’s inventories drop, inflating the price within the resale market, which BBJ believes will bring more opportunities for the company to sell brand-new aircraft.

“A lot of pre-owned transactions are going for above list price since about the last half of last year. So, of course, that demand is starting to impact new airplane prices as well. That’s finally starting to hit the upper segment of the market where we reside, so we’re happy about that,” added Fecteau.

What are your thoughts on the recent developments for Boeing’s Business Jets? Let us know in the comments.

Sources: FlightGlobal, Aviation Week