VA invests in Tiger, buys Skywest, SQ investment & ACCC Concerns

[kamchatsky]

re: VA invests in Tiger, buys Skywest, SQ investment & ACCC Concerns

It is certainly the closest that we have to an admission from VA that they have abandoned the budget traveller.

They haven't really abandoned budget traveller. That's why they bought Tiger!

 

[pmdg7444]

re: VA invests in Tiger, buys Skywest, SQ investment & ACCC Concerns

Hey DJ, make the investment worthwhile. Make TT flights eligible for SC and points earn with a plus bundle, just like JQ.

 

[smit0847]

re: VA invests in Tiger, buys Skywest, SQ investment & ACCC Concerns

They haven't really abandoned budget traveller. That's why they bought Tiger!

I agree. They have been trying to be all things to all people which has confused a lot of occasional travelers.

I think this is great news for budget travelers as there will be increased services and competition on budget and leisure routes but I would but as a VA FF I am concerned about what this means for VA leisure routes like CNS.

 

[Fruitcake]

re: VA invests in Tiger, buys Skywest, SQ investment & ACCC Concerns

Hey DJ, make the investment worthwhile. Make TT flights eligible for SC and points earn with a plus bundle, just like JQ.

Personally I think they should keep the brands a million miles apart, like SQ and Tiger/Scoot.

They certainly should not do what JQ/QF do and trick people into flying the cheaper brand by offering TT flights on any sort sort of DJ/VA ticket or website. Half the hate of JQ is because of stunts like that - "part of QF when it suits us, but a separate airline when it doesn't."

 

[serfty]

re: VA invests in Tiger, buys Skywest, SQ investment & ACCC Concerns

Ugh. Dont like the sound of this at all. These 2 companies are like chalk and cheese....

How so?

Both charge for luggage and food....

I know they charge for cheese ....

They haven't really abandoned budget traveller. That's why they bought Tiger!

Interesting times ...

 

[eastwest101]

re: VA invests in Tiger, buys Skywest, SQ investment & ACCC Concerns

Interesting news. I beleive that when Tiger was grounded they should have re-launched/re-branded as Scoot then. May cause JQ a few headaches.

 

[777]

re: VA invests in Tiger, buys Skywest, SQ investment & ACCC Concerns

Apparently they are picking up SkyWest as well... Virgin Australia's big sky buys continue, with Skywest | Plane Talking

Interesting times at VA.

 

[cmon0005]

re: VA invests in Tiger, buys Skywest, SQ investment & ACCC Concerns

Hmmmm - Virgin goes full service, and brings TT onboard as its very own "yellow cancer"?

I still don't consider VA 'full service', I like to call it a "Hybrid LCC".

They're trying to charge full service prices, but still act like a budget carrier in many ways.

 

[NM]

re: VA invests in Tiger, buys Skywest, SQ investment & ACCC Concerns

[Mod Hat]
As this is news regarding Virgin Australia and Tiger Airways Australia, and no mention in the media releases regarding Velocity, I am moving this thread to the Travel News forum.

I have also clarified the thread title to avoid confusion with other Virgin and Tiger airlines around the world.
[/Mod Hat]

 

[Fruitcake]

re: VA invests in Tiger, buys Skywest, SQ investment & ACCC Concerns

I still don't consider VA 'full service', I like to call it a "Hybrid LCC".

Well yes, that's my point. It's a bit hard to "go" full service if they are full service at present, which they aren't.

(My definition of "full service" in this context is offering a largely unwanted, low quality complimentary snack to all pax, like QF. Baggage charges aren't going anywhere and in fact I think that as soon as DJ offers food all-around QF will introduce baggage fees on all fares shortly after.)

 

[cmon0005]

re: VA invests in Tiger, buys Skywest, SQ investment & ACCC Concerns

(My definition of "full service" in this context is offering a largely unwanted, low quality complimentary snack to all pax, like QF. Baggage charges aren't going anywhere and in fact I think that as soon as DJ offers food all-around QF will introduce baggage fees on all fares shortly after.)

Until they offer included baggage on all flights (regardless of fare or status), included food/drink (don't have to purchase it) and in general change their service attitudes to more of a premium standard I'll still think of VA as a budget carrier.

I don't think we'll ever see QF charge for baggage, after all they are a premium full service carrier and as such people expect all those things, and 2nd of all with the Emirates deal all things will be consistent across the 2 airlines, this includes still offering included baggage limits (even increasing them to match EK).

 

[deluxeflyer]

SQ acquires 10% stake in Virgin Australia

On SQ's FB page:

10% stake for AUD$105.3m, 245.57 million shares at $0.4288 per share.
FIRB approval obtained, expected completion date 16/11/12.

If already posted, please merge!

 

[Dee Thom]

re: VA invests in Tiger, buys Skywest, SQ investment & ACCC Concerns

Like a lot of other AFF's I worry that this tie up with TT will see the end of VA flights to my local MCY airport, and the start of TT instead.

I dropped QF for the then DJ when JQ took over all SYD/MEL to MCY opps, if TT comes on board for VA it doesn't leave me much choice for heading South, short of going to BNE !!!

Cheers,
Dee

 

[anat0l]

re: VA invests in Tiger, buys Skywest, SQ investment & ACCC Concerns

I don't think we'll ever see QF charge for baggage, after all they are a premium full service carrier and as such people expect all those things, and 2nd of all with the Emirates deal all things will be consistent across the 2 airlines, this includes still offering included baggage limits (even increasing them to match EK).

Let's hope that they don't start charging for baggage.

Certainly there are legacy carriers who decide not to charge for those legacy things - food (albeit rudimentary), baggage - like most of the Euro carriers (including, say, British Airways and Lufthansa)... then there are others who have also "regressed" into charging for such items (notwithstanding possibly status) - like most of the American and Canadian carriers.

I always thought Virgin would remain the hybrid carrier - improvements, perhaps, but still catering all across the board. The homogeneity of brand and service was supposed to be an advantage over the Qantas operation. That could really change now. Suffice to say, unless and even if Virgin went toe-to-toe on all the bells and whistles, why should they increase fares to match Qantas (especially when they seem to be doing OK now)?

 

[anat0l]

re: VA invests in Tiger, buys Skywest, SQ investment & ACCC Concerns

I dropped QF for the then DJ when JQ took over all SYD/MEL to MCY opps, if TT comes on board for VA it doesn't leave me much choice for heading South, short of going to BNE !!!

Well, you'd probably then have to pick the "lesser of two evils", as it were. Or simply the one that suits your frequent flying profile.

 

[markis10]

re: VA invests in Tiger, buys Skywest, SQ investment & ACCC Concerns

I have updated the title to reflect the significant changes across three airlines so we keep discussion on the three developments centralised, factual details can be found on the ASX, we live in interesting times, it amazing how the aviation scene down under seems to migrate back to a two airline setup:

Announcements - Search results - Australian Securities Exchange - ASX

 

[TiredOldFlyer]

re: VA invests in Tiger, buys Skywest, SQ investment & ACCC Concerns

Virgin Australia has also sold 10% of Virgin Australia Holdings, the company that also owns its international division, to Singapore Airlines for $105 million.
This means Singapore Airlines, on its 10% equity, joins Air New Zealand with 19.9%, and Etihad, with 10%, and Richard Branson’s family company, the Virgin Group, with 26%, in the suddenly rapidly growing Virgin Australia enterprise.
SINGAPORE=VIRGIN=AIR NEW ZEALAND = ETIHAD =VIRGIN GROUP = TIGER = A NEW ALLIANCE ?

Only 24% of Virgin left for tonights winner of our $70,000,000 loto draw !

 

[Mrmaxwell]

re: VA invests in Tiger, buys Skywest, SQ investment & ACCC Concerns

Bottom line is QF under Mr Joyce is looking like a sunken ship. VA are dancing all around Qantas: I don't consider the 'tie-up' with EK as a major move forward.

If I was Virgin however I would pull that airline show off the airwaves ASAP - not good advertising for TT (but good popcorn TV!)

 

[smit0847]

re: VA invests in Tiger, buys Skywest, SQ investment & ACCC Concerns

Bottom line is QF under Mr Joyce is looking like a sunken ship. VA are dancing all around Qantas: I don't consider the 'tie-up' with EK as a major move forward.

If I was Virgin however I would pull that airline show off the airwaves ASAP - not good advertising for TT (but good popcorn TV!)

I love Airways - so amusing and entertaining. As a fellow elite FF flyer very cheekily put it, they watch it to 'see how the other half live' hahaha.

 

[eastwest101]

re: VA invests in Tiger, buys Skywest, SQ investment & ACCC Concerns

Interesting to see that VA paid only about 1/3 of the price to obtain 60% ownership of TT compared to the proposed 100% ownership of Skywest, really puts into perspective the relative valuations of the Tiger vs Skywest businesses. But they are both fairly good deals for VA.