Fuel Sales Increased for More Than Half of U.S. FBOs in 2017, Survey Says

For more than half of U.S. FBOs, fuel sales increased in 2017 compared to 2016, according to the annual FBO fuel sales survey conducted by Aviation Business Strategies Group principals and AC-U-KWIK FBO Connection bloggers John Enticknap and Ron Jackson.

The survey question asking respondents to compare 2016 and 2017 fuel sales yielded these results:

• 19 percent of FBOs reported a fuel sales increase greater than 8 percent
• 13 percent of FBOs reported a fuel sales increase between 5 and 8 percent
• 21 percent of FBOs reported a fuel sales increase between 1 and 4 percent
• 18 percent of FBOs reported flat fuel sales
• 29 percent of FBOs reported decreased fuel sales

The ABSG survey also found that 51 percent of FBOs surveyed had added in 2017 or planned to add in 2018 at least one new employee. “This not only shows increased economic confidence, it also helps verify leading market indicators that point to at least a mild business aviation market recovery,” Jackson says.

Asked directly about their confidence in the direction of the economy, more respondents expressed optimism. “We were encouraged to see that 73 percent gave the economy a strong thumbs-up,” Enticknap says. “By comparison, in last year’s survey, 53 percent approved the direction of the economy, and, the year before, only 27 percent gave approval.”

When asked to predict 2018 fuel sales, respondents tended to be cautiously optimistic. Half of the FBOs are forecasting 1 to 8 percent increases in fuel sales. About a third of FBOs forecast fuel sales to be flat. Nine percent of responding FBOs expect an 8 percent or greater increase in fuel sales. Seven percent of the FBOs answering the question are preparing for lower fuel sales in 2018, the survey says.

Enticknap and Jackson also prepared a forecast for the FBO industry. Read their 2018 forecast, and find the full results of the 2017 survey on the FBO Connection blog.