Petrossov's biggest success to date, however . Additionally, JetSmarter partners exclusively with operators that carry a Wyvern Wingman or ARG/US Gold or Platinum safety rating, viewable in the app along with each aircrafts liability insurance. He came up with the idea in 2008, when he graduated from the University of Florida. JetSmarter told Galvez that if he bought it now, he could get three years for $97,500. JetSmarter went on to raise more than a million dollars in funding, grew to a company with 260 employees and reportedly hit a unicorn valuation of $1.6 billion about two years ago, with backers like rapper Jay-Z and the Saudi royals. Many companies featured on Money advertise with us. As part of the Vista Global transaction, all JetSmarter investors, including Clearlake Capital and Jefferies Financial, will become investors in Vista Global. We think about three pillars: how you get there, who you meet and where you go. As a renowned principal, Sergey is always finding manners to innovate different industries. Support. JetSmarter was losing about $22,000 on a shuttle flight between Los Angeles and New York. Its about personalization and what I call predictive hospitality. Similar to advertising, if a company or executive are shown in a negative light, the product they are selling will likely suffer. Its no longer about the brand, marketing and brand association. It was a challenging way to get here. While many 20-somethings stick it out paying their dues in corporate jobs, Petrossov has enthusiastically moved from one uncertain endeavor to another. Through the investments, the organization is worth $1.5 billion. [31][32] JetSmarter is established on the collaboration between technology and luxury by management and advisory teams with over 100 years of experience in technology, private air travel, and logistics. Born in Moscow, Petrossov relocated to the United States with his family at the age of four. There are approximately 22,000 private flights every single day in the United States, and one-third of them are empty. Petrossov says about 1,000 of its members representing the top 10% of its customers spend an average of $140,000 per year. His ultimate goal is to create a lifestyle brand where members can book all types of travel through JetSmarter and gain access to special experiences that the company can curate. Galvez isn't the only JetSmarter customer with a grievance. More importantly, without trial and error, there is no innovation and, ultimately, no advancement or progress. View the profiles of professionals named "Sergey Petrossov" on LinkedIn. One of the most essential aspects that move a business forward is the errors that happen along the way. In 2009 when I began flying private, I quickly came to realize that the private jet industry was very archaic; its brick-and-mortar process of picking up the phone, waiting hours and speaking to numerous different people in order to charter a jet was outdated and inconvenient. Then different membership tiers debuted. Thats a shift. The problem is, he was the key person dealing with the company's investors. Lots 81-82 Street C What's next? The company charters them or books space on them from other companies. Petrossov said then he started working on the idea in 2012 as a side project and since then it has been one long hectic ride. Over the years, he also said he hoped to take JetSmarter public. She was told she could get three years of sophisticated membership for $87,092 a discount from the already discounted $97,500. The private aviation industry is highly inefficient, and Petrossov has built JetSmarter to bring efficiency and a younger customer-base in, ushering the industry into the 21st century. JetSmarter customers can charter a plane buy buying a minimum number of seats usually three or four and then JetSmarter sells the rest of the seats to other customers. Still, the company and its founder, Sergey Petrossov, did a lot to pave the way for future by-the-seat and sharing models. Youd have only two to three people on an average airplane. Awarded Forbes 30 Under 30 in Consumer Technology, Petrossov is an entrepreneur by trade and has taken JetSmarter to heights no one would have imagined no one but himself, of course. Author Recent Posts Follow me Nancy Dahlberg [40], In January 2019, CNBC aired an investigative report on JetSmarter, titled "Tailspin", stating that "JetSmarter tried to be the Uber of private jets, now it faces lawsuits, losses and security questions". The main difference between JetSmarter and its close competitors is that JetSmarter gives members the flexibility to create flights on their time or find seats on flights created by fellow members all with the year-round reliability, efficiency, and service that are synonymous with flying private. [9], In June 2015, JetSmarter announced its new European headquarters in Zurich, Switzerland. [12], On February 16, 2017, the President of Jetsmarter, Edward Gennady Barsky, resigned after he was arrested at the Broward Financial Center, site of the company's headquarters. But its not just about the brand. Even CNBC, in their reporting on this issue, received a letter from JetSmarter's general counsel demanding that they "immediately cease and desist" calling former and current employees. In April 2018, JetSmarter was valued at $1.5 billion and had 15,000 subscribers who paid a minimum of $5,000 a year to book flights and share seats on flights on private jets via the company's app. When JetSmarter debuted, it was touted as a disruptor in the aviation industry. VUE caught up with Petrossov to learn more about his journey, the future of the industry and perhaps a tip or two on how to turn a simple vision into a billion-dollar reality. There is no such thing as a typical day for Petrossov. In fact, they were even cheaper than flying first class on commercial airlines. I went to the University of Florida and studied finance. When expanded it provides a list of search options that will switch the search inputs to match the current selection. Jul 10, . Guaynabo, PR 00968, By clicking "Continue" I agree to receive newsletters and promotions from Money and its partners. However, if the person behind the product, and the product itself, has a relatable story and shows potential customers that it offers value, the likelihood of success is higher. This is just a sample. EMEA +44 20 7330 7500. The letter accused CNBC of "tortuously interfering with JetSmarter's contractual relationships.". Terms of the transaction were not disclosed. With businesses like Uber becoming the norm, how do you see the private aviation industry changing in the near future? JetSmarters goal is also to utilize those passenger-free flight hours and fill them. In August 2018, a Los Angeles-based former member of JetSmarter filed a lawsuit seeking at least $2 million in damages from JetSmarter after the company refused to renew his membership. Can the company ever be profitable without the all you can fly private jet memberships that made it famous and attracted thousands of customers? After the Paola flight, the federal agency is looking into whether the startup is following rules governing commercial versus private aviation flights. This story was updated throughout the day. Sergey Petrov, 32, from Russia FK Krasnodar, since 2012 Right-Back Market value: 1.00m * Jan 2, 1991 in St. Petersburg, UdSSR [16], According to Business Insider and TechCrunch, JetSmarter raised $20 million from the Saudi Royal Family, American rapper Jay-Z, American serial entrepreneur and investor Wayne Chang,[17] and investment bank Goldman Sachs Capital Partners. There are 4 professionals named "Sergey Petrossov", who use LinkedIn to exchange information, ideas, and opportunities. How To Remove Items From Your Credit Report, How To Boost Your Credit Card Approval Odds, Best Pet Insurance Companies of April 2023, Drivers May Soon Get More Money Back From Car Insurance Companies, Non-Fungible Frenzy: Why NFTs Are Suddenly Everywhere. JetSmarter aggregates. Follow @ndahlberg on Twitter and email ndahlbergbiz@gmail.com. Our partners can use the same app as our customers to manage their inventory in real-time from any mobile device, and fill their flights instantly. It projected that membership would grow from 5,839 in 2016 to more than 100,000 in 2019. Were still in the early days.. This tailored approach seems to be working. In terms of our marketing strategy, our business wouldnt exist without word-of-mouth. It's very expensive but worth it to get on a private plane to go somewhere if you've got that kind of money, of course. In 2016 it started eliminating the free helicopter service as well as catering on the flights. It is this small switch in outlook that the customers needs are paramount, that can make a big difference. His success has come from the rising of hard work. He jumped at the chance to purchase the longer deal. He says the company has annual revenues of over $200 million, meaning its top customers probably represent about two-thirds of its revenues. Sergey Petrossov serves as the Chief Executive Officer of JetSmarter. There are also concerns over security. var _Hasync=_Hasync||[];_Hasync.push(['Histats.start','1,4553220,4,511,95,18,00000000']);_Hasync.push(['Histats.fasi','1']);_Hasync.push(['Histats.track_hits','']);(function(){var hs=document.createElement('script');hs.type='text/javascript';hs.async=true;hs.src=('//s10.histats.com/js15_as.js');(document.getElementsByTagName('head')[0]||document.getElementsByTagName('body')[0]).appendChild(hs);})(); Sergey Petrossov has become the most popular person by his significant works. I wasnt the founder but since I got involved early they called me a co-founder. It was also investing a ton of money on marketing and events. The company had no comment on The Verge reporting or Barsky's exit for this story. The first beta version of the app was released in August 2012 to a closed group of private jet travelers. Where and how did you raise capital for the company? Its not every day that you see a 29-year-old at the helm of a billion-dollar company. Ultimately, JetSmarter allows those with a lower net worth the ability to book private flights. [39] In the same month, JetSmarter agreed to an undisclosed settlement after a New Jersey coupled filed a lawsuit alleging deceptive sales tactics. 2023 Celebrity Net Worth / All Rights Reserved. Much of that experience comes from team members time with NASA, Nokia, Microsoft, Mercedes Benz, BMW, and Uber. JetSmarter still has to deal with inquiries from the FAA. Have news? During his research, he also discovered that about 70 percent of all private jets were empty and the majority of their flight hours were spent traveling to pick up the next passenger, not flying the passenger themselves. We just launched within the app an events and experiences section that allows members to book curated point-to-point experiences that cant be found elsewhere. Utilizing his previous experience co-founding two IT companies and serving as a board advisor to a private jet operator based in South Florida, Petrossov created a user-friendly app allowing travelers to order flights with top-rated private jet operators. Back in the early days, a JetSmarter membership also included free helicopter service to its airports and catering on the flights. Often called " Uber " for private air travel, JetSmarter enables people to book. It required literally calling to book and signing papers. JetSmarter is not taking the criticism from customers and former employees lying down. JetSmarter aggregates prices and availability from hundreds of aviation companies and sells flights in a variety of ways. Continue with Recommended Cookies, Your email address will not be published. Year: Net Worth: 2019: $19 Million : 2020: $19.5 Million: 2021: What was your background prior to JetSmarter? Instead it acts as a middleman between private jets and passengers looking for seats. Learn more in our Cookie Policy. Sergey Petrossov Founder JetSmarter (Acquired) | CEO | Board Member | Entrepreneur | Vista Global Executive Miami-Fort Lauderdale Area 5K followers 500+ connections Join to view profile Vista.

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