Two fast-growing charter businesses merged this week, and they took the opportunity to toss a little mud at the competing fractional ownership business model. JetDirect Aviation, based in Pennsylvania, has been on a tear in the past year, acquiring charter operators and facilities to create a national footprint and the largest Part 135 managed fleet. Its primary offerings have been aircraft management and charter, though it had a quiet prepaid 25-hour charter card program. Sentient Jet had carved out a complementary space, creating the most respected brand in jet cards for charter aircraft. The combination of these companies unites a fleet of managed charter aircraft with Sentient Jet’s marketing and management prowess.

Sentient Jet CEO Steve Hankin will serve as COO of the combined company; JetDirect CEO Greg Campbell will retain that title. Though the company will be called Sentient Jet, the JetDirect name will continue to be used for the management service operations.

We’ll follow this story with interviews and further analysis. At first blush, it appears a big “win” for Sentient Jet, providing customers with a ready supply of aircraft, rather than having to rely as much on third-party charter craft. Though third-party will always be part of the mix, the combined business blunts some of the marketing criticism of fractional providers like NetJets: that charter card-sourced fleets are less vigilantly managed/overseen than the fully-controlled fractional fleets. JetDirect’s Campbell took off the gloves, noting that “the growth of the fractional ownership model has steadily declined in recent years,” highlighting the cost and limitations of jet-specific fractional plans. However, while demand for fractional ownership may have softened in some markets, our take is that demand for fractional card programs, such as Marquis Jet and Flight Options JetPASS, has remained very robust.

The Helium Report Decision Guide to Private Jet Travel covers all categories of general aviation, with a comparison of the trade offs between models, and a list of key “due diligence” questions to consider. You may download a copy here.