Gulfstream's G700 and the Shifting Dynamics of the Business Jet Market

The business jet market is undergoing a subtle shift as Gulfstream's highly anticipated G700 prepares to enter service. This shift is favoring buyers, with more attention being paid to aircraft conditions, records, and delivery conditions. The introduction of the G700 could further impact the market, potentially increasing the availability of preowned G550s and G650/ERs while causing prices to fall. Additionally, the loyalty of Gulfstream customers may lead G650 owners to transition to the G700 and sell their existing models, affecting preowned pricing overall.

To navigate these changing dynamics, sellers and financiers should seek proper appraisal guidance to mitigate risks. It is crucial to assess an aircraft's value in prevailing market conditions and address prospective buyers' concerns to enhance the chances of a successful resale.

The unveiling of the G700 was widely anticipated as a response to Bombardier's Global 7500. The G700, priced at $75 million, is expected to complement Gulfstream's existing lineup rather than replace the G650/G650ER models. Industry experts believe it will have an initial positive effect on deliveries, followed by a focus on maintaining G650ER sales levels.

While the G700's impact on the used aircraft market is expected, it may create new opportunities also for operators previously unable to afford a Gulfstream product. Buyers seeking good value in preowned Gulfstream long-range jets could find attractive prices and gain access to the brand's renowned service levels.

In summary, the entry of the G700, along with shifting market dynamics and technological advancements, is reshaping the business jet market. By monitoring trends and leveraging accurate appraisal guidance, industry stakeholders can navigate this evolving landscape successfully.