Avionics News May 2015 - 59

"For half the cost, or less, we achieve the same performance
and reliability, in most cases," of a new airplane after it receives
the Triple R treatment, Bliss explained. Much of that added
value is based on new avionics equipment, he said. "Avionics shops should realize that their contribution to the cost
and capability of that airframe is significant in many cases."
Helping aviation businesses break into the refurb market - that
higher-end portion beyond piecemeal panel upgrades or ADS-B
installations - is one of the things Triple R is all about.
Breaking in
"We recommend an avionics shop connect with a
very competent, experienced rebuilder somewhere in the
neighborhood," Bliss told us. "The avionics shops, unless
they also are involved in extensive airframe rebuilding -
which is somewhat rare - need to evaluate their capabilities
and decide who rebuilds airplanes the way they like to
participate in rebuilding airplanes. Depending on the level of
rebuild, I would recommend people look at it the same way
Sears sells lawn mowers: there's good, better and best."
Clearly, Bliss intends for airplanes marketed with Triple R
to be in the latter category.
"If I was an avionics shop owner (looking to get into
the high-end refurbishment market), I would look at the
experience and output of potential partners in the rebuild
business who perhaps specialize in a Cessna or Beech or
Piper or Mooney ... (doing) 10 to 15 airplanes or more a
year," he suggested. But one key to success is understanding
the customer, the airplane and the airplane's mission. "The
key is not to oversell. Buyers really want functionality," he
added, but "the problem we have today with avionics is we
can essentially install capabilities far beyond the airframe,
so matching the avionics menu to the airframe value is the
starting point.
"This is a decision for the (airframe) rebuilder, but
the avionics shop really has to participate in this and be
realistic. The fastest way to lose a sale is to come in with
an equipment list that is far beyond the capabilities of the
owner and far beyond the capabilities of the owner's wallet.
This is done all the time; the big mistake is to over-equip
rebuilt airplanes and that's when the pricing gets out of
control. The avionics shop must help the owner come up
with realistic budgeting."
Right-sizing
One way to look at the airplane's and owner's missions is to
break it down into three broad categories: heavy IFR, light IFR
and heavy VFR. In any case, however, the airplane should be
IFR-capable and incorporate ADS-B. Rebuilding an airplane
but not including IFR capability "doesn't make sense, even
with a basic airplane," Bliss commented.
"As people progress in their flying careers, they want a little

more capability" than a simple VFR panel. "In today's world,
especially with ADS-B coming on strong, it just doesn't make
sense for anyone to have an airplane that's not capable of at
least marginal IFR operation and ADS-B."
And if we're going to leverage the aforementioned
revolution in avionics, that means getting serious about safety.
Bliss also is a strong advocate of the all-electronic backup
attitude instruments on the market. "Every airplane that's
rebuilt should have a solid-state gyro in the panel," he told us.
But when it comes to an avionics shop right-sizing its
proposed work as part of a refurbishing project, it's important
to understand that equipment decisions the shop makes
"can easily exceed the cost of other work performed," Bliss
cautioned. "At the end of the day, a 120-knot airframe
probably doesn't need $100,000 of avionics unless the
mission is turning out airline pilots," he reminded us. "The
shop has to be realistic about pricing" and ask itself whether
its recommendations present good value for the customer
based on current and projected missions. "Avionics shops
should realize that their contribution to the cost and capability
of that airframe is significant in many cases."
Adding value
A good example might be a 30-year-old Piper Archer,
worth around $30,000. After doing a "firewall-forward"
engine/propeller/accessory replacement for around $45,000
to $50,000, add new paint and interior for $20,000 to
$25,000. When that work is finished, all the mechanicals
are handled, to the tune of around $100,000. From that
point, the airplane's ultimate value and cost is determined
at the avionics shop. It would be rather easy to spend
another $100,000 on the latest and greatest of everything,
but we'd also double the cost. "We could get away with
half that," Bliss said.
The result is a Triple R Piper Archer with brand-new
everything, ready to roll out the door between $160,000
and $210,000. Piper still makes the Archer, and a new one
starts at around $350,000, equipped with a Garmin G1000
avionics suite. "For a shop that's looking at participating in
this rebuild industry, I think it's human nature to recommend
all the capability you can possibly sell," Bliss told us. But it's
important to remember the avionics shops control between 40
and 60 percent of the cost of these rebuilds.
The Triple R initiative offers great potential in standardizing
the methods, marketing and potential of high-end refurbishing.
It's designed to help avionics shops and other aviation
businesses understand how to go about meeting customer
expectations and perform to industry-recognized standards.
Triple R also provides sales leads and encourages advertising
expertise and experience with certain airframes.
To learn more about Triple R, visit the organization's website
at tripleraffordableaircraft.com. q
avionics news

may

2015

http://www.tripleraffordableaircraft.com

Avionics News May 2015

Table of Contents for the Digital Edition of Avionics News May 2015