CABIN Electronics 2.qxp_Finance 17/05/2022 11:30 Page 1
CABIN ELECTRONICS
How to Put a Value on Cabin Electronics Upgrades While different elements of cabin electronics hold different importance for different operators, what determines genuine ‘value’ in a cabin upgrade? Dave Higdon explores…
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s it reasonable for owners and operators to expect to see an investment in upgrading their cabin electronics to be repaid at the time of resale? Could an upgrade enhance value in other ways? The answer very much depends, ultimately hanging on the relationship between the electronics and the end-users. The aircraft cabin-upgrades market value is set to grow by $3.96bn, progressing at a CAGR of 7.41% between 2021 and 2026, per the latest report by Technavio, a leading market research company with global coverage. And with a steady stream of new and improved cabin electronics options available, such upgrades are increasingly popular among business aircraft operators and owners. It’s up to the operator to select the new system, and hopefully install one which will change the jet's value in today’s market for the better. Indeed, assessing the value and worth of a proposed upgrade 82 Vol 26 Issue 6 2022 AVBUYER MAGAZINE
can help operators avoid buying less than they need, while ensuring they don't buy what they don't need. Aircraft owners are never short of options in the cabin electronics upgrade industry, whether the reason is to increase resale value, or because the existing systems are becoming obsolete, worn, or are simply not to their tastes. From adding Wi-Fi, to modernizing entertainment systems, to improving the lighting and air quality within the cabin, modifications come at a variety of costs and, depending on extent of work, take varying amounts of time (though if executed when the aircraft is grounded for scheduled maintenance, this needn’t cut into routine operations).
What Motivates the Upgrade?
While modifications come at many different price points, factory-approved/authorized facilities will draw on the best cabin electronic products available, from www.AVBUYER.com
