At the same time as announcing two new orders in as many days, Boeing Business Jets spokesmen are making no bones about the fact that they are out to steal sales from Bombardier and Gulfstream.
The $30.5million price tag on the Boeing Business Jet (BBJ), which is based on a derivative of the Boeing 737-700, has been "scientifically" calculated because it falls exactly midway between the costs of rival top-of-the-line jets, the Gulfstream V and the Bombardier Global Express.
"People drop their jaw when they realise they are getting that much space for that price," says a Boeing executive.
Still, Boeing's rapidly-expanding customer list has given the company enough confidence to edge up the price of a green aircraft by $1.5 million from 1 July. The new price will include some extra standard equipment, such as a Flight Dynamics Heads-Up Guidance System. Another price hike might happen next year.
"We want to set the value relative to our competitors, so we want to get the price up a little more," says Borge Boeskov, president of Boeing Business Jets.
Superstar
Since programme launch one year ago, Boeing has gained 20 orders for the BBJ, including a sale to Australian golf superstar and former Gulfstream fan Greg Norman and two more unidentified orders taken last Thursday and Friday.
Boeskov says the first nine deliveries will take place in 1998 and the production rate will be ramped up to two a month during 1999, following an anticipated short flight-test programme and a first quarter 1998 certification.
Boeskov made several references yesterday to how the BBJ would outperform the GV and the Global Express on the key selling points of space, comfort, utility and worldwide support.
He admits there might be a perceived "ramp presence" problem to overcome because of the 737's size, but believed this would be achieved.
"The 737 is kind of a squatty little airplane," he says. "It does not have these fancy wing bends you see on the GV or Global Express.
"And with 3,600 of them sold so far, people are used to seeing them around."
Source: Flight Daily News
