Virgin Blue - changes ahead

[Keith009]

There aren't too many LCCs in the world with the same product offerings that DJ has. In fact, I'm at a loss to name one.

I believe Air Berlin and Vueling also had humble "textbook LCC" roots but like DJ have similarly evolved into "LCC with frills" carriers, or New World Carriers is the term I believe.

Southwest, Virgin America and Jetblue maybe? They have loyalty programs and VX operates a First Class. I don't think any of them operate lounges, though VX F pax are allowed to use the VS CH at SFO when flight schedules of the 2 carriers overlap.

 

[notzac]

I was of the understanding that the term their marketing folk came up with was "new world carrier". Whatever that means...

 

[drewbles]

I believe Air Berlin and Vueling also had humble "textbook LCC" roots but like DJ have similarly evolved into "LCC with frills" carriers, or New World Carriers is the term I believe.

and who doesn't love an airline with a FF program named "Top Bonus" and allow you to print any name on your membership card:

(apologies for poor image quality - phone camera is cough)

 

[harvyk]

I was of the understanding that the term their marketing folk came up with was "new world carrier". Whatever that means...

Yes "New World Carrier" is the marketing term they now use.

They are still a LCC airline based on the fact that they still like to do everything online (yes I know a TA can book DJ tickets for you, as I have used a TA to book DJ tickets), and they still have a substantial buy-on-board program.

(For the record I place AA \ UA in Y into the LCC category as well)

I wouldn't be surprised to see DJ start to offer more stuff complementary, prehaps not on all flights, but certainly the big business routes (such as between the major capital cities) there is a void left by AN and they know it, it's just it takes time to move into that space.

 

[Dee Thom]

I wouldn't be surprised to see DJ start to offer more stuff complementary, prehaps not on all flights, but certainly the big business routes (such as between the major capital cities) there is a void left by AN and they know it, it's just it takes time to move into that space.

Brett Godfrey mentioned in a recent interview, that DJ will be buying more Embraers, renewing 30 - 50 737s, and are looking at twin aisle aircraft for medium haul routes, as well as turboprops for some regional routes. These orders to be placed prior to Bretts leaving DJ later this year.
Another aside which I am not sure of, with RB holding 25% of VBA shares, are DJ still a franchised Virgin brand ? and if so can DJ be rebranded to V Australia? Pacific Blue is not a problem, as is VA, maybe RB may sell his holdings, but not to SQ, to clear the way for rebranding, ahhhh the mind boggles...............

Cheers Dee

 

[harvyk]

Brett Godfrey mentioned in a recent interview, that DJ will be buying more Embraers, renewing 30 - 50 737s, and are looking at twin aisle aircraft for medium haul routes, as well as turboprops for some regional routes. These orders to be placed prior to Bretts leaving DJ later this year.

Which would take them even further from their LCC origins. LCC's don't like to have more than one or two types in their fleet as it makes maintainence more difficult.

Look at just about every LCC, they typically have either an all B737 fleet or all A320 fleet. A couple like JQ may also have a second type of plane to cover flights which the B737 \ A320 can't do, but they don't have their choice of plane types to send on a route...

 

[straitman]

Which would take them even further from their LCC origins. LCC's don't like to have more than one or two types in their fleet as it makes maintainence more difficult.

Look at just about every LCC, they typically have either an all B737 fleet or all A320 fleet. A couple like JQ may also have a second type of plane to cover flights which the B737 \ A320 can't do, but they don't have their choice of plane types to send on a route...

I would have said that, where possible, this applies to all airlines. (At the very least they minimise their fleet types)

 

[harvyk]

I would have said that, where possible, this applies to all airlines. (At the very least they minimise their fleet types)

It was said to be one of the killers of AN, they had too many different types...

But even QF has mutliple overlaps choices in their fleet. There are many routes which they fly where the choice of plane is very open, and multiple types in their fleet can be used. eg the CBR-MEL route is operated by dash 8's, B737's and B767's.

 

[Aussie_flyer]

I will be happy if they do merge it all, and join Star Alliance. We need a Star carrier flying domestically in Australia

 

[liamg]

I will be happy if they do merge it all, and join Star Alliance. We need a Star carrier flying domestically in Australia

I would almost definitely swap away from QF if that were to happen...

 

[Mwenenzi]

.Another aside which I am not sure of, with RB holding 25% of VBA shares, are DJ still a franchised Virgin brand ? and if so can DJ be rebranded to V Australia? ...

When the Toll/Patrick takeover was happening there was some very interesting fine print about DJ & the bearded one.

 

[anat0l]

I will be happy if they do merge it all, and join Star Alliance. We need a Star carrier flying domestically in Australia

I would almost definitely swap away from QF if that were to happen...

It would certainly get me thinking of doing the same.

By that time I'd hope that DJ will have a very good FFP with suitably excellent benefits, but if they integrate into *A then that'd probably be a natural process.


OTOH there isn't a single Virgin group airline which is in any major alliance in the world (except perhaps the emerging "Virgin" alliance). VS doesn't count even though it has good integration with a few *A carriers (SQ, NZ and BD for starters) and is majorly owned by a *A kingpin, i.e. SQ.

 

[ozbeachbabe]

drewbles

The name on the orange card looks like "Dr E Ville"? Was that somebodys actual card or were you at at a groovy Austin Powers shindig?

Joins the ranks of "Mr Justin Case" and "Mrs VIP Customer".


Oz

 

[medhead]

Then again, "V Australia" is now an established brand, would be silly to use "Virgin Australia" or "Virgin Blue" internationally.

The reports in the business media also suggest that the deal with Branson prohibits the use of "Virgin" internationally, by DJ.

 

[markis10]

The reports in the business media also suggest that the deal with Branson prohibits the use of "Virgin" internationally, by DJ.

That has been the case in the past but there were talks underway to resolve that prior to XMAS:

Branson and Virgin Blue battle over name

Dont forget the restriction was placed on DJ by both the bearded one and SQ!

 

[drewbles]

drewbles

The name on the orange card looks like "Dr E Ville"? Was that somebodys actual card or were you at at a groovy Austin Powers shindig?

Joins the ranks of "Mr Justin Case" and "Mrs VIP Customer".


Oz

It's my card, and you're spot on. I applied for a Top Bonus account and asked for that on it, and got it. Gotta love that

 

[oz_mark]

By that time I'd hope that DJ will have a very good FFP with suitably excellent benefits, but if they integrate into *A then that'd probably be a natural process.

OTOH there isn't a single Virgin group airline which is in any major alliance in the world (except perhaps the emerging "Virgin" alliance). VS doesn't count even though it has good integration with a few *A carriers (SQ, NZ and BD for starters) and is majorly owned by a *A kingpin, i.e. SQ.

There's two sides to the alliance coin. One is the airline wants to join, and the other is that the alliance would welcome them into the alliance. It was once the case that Star Alliance has issues with the business model that DJ operated under and weren't too keen on the joining (I think some of the airlines in * don't particularly want DJ to join).

Maybe it will happen one day, but I have my doubts.

 

[dajop]

Maybe it will happen one day, but I have my doubts.

DJ/VA and DL have been cosying up to each other, so one would think Skyteam would be more likely than star alliance. But under SQ ownership, maybe a move to star, but stranger things have happened.

 

[drewbles]

DJ/VA and DL have been cosying up to each other, so one would think Skyteam would be more likely than star alliance. But under SQ ownership, maybe a move to star, but stranger things have happened.

You beat me to it. My thought is that Scaryteam would be climbing over themselves to get V Australia over *A, as they have no real presence here in AU. Hell, it'd be good for competition for OW too

 

[markis10]

DJ seem to be going OK all things considered, PE in all aircraft from May, 50 x 737 order pending, VA delivered $200M of biz to DJ

Virgin Blue Half-Year Earnings Press Conference - Wings Down Under

Financial results

• Virgin Blue posts A$62.5m profit after tax for the six months to December 2009 compared with a $101.4m loss in the same period a year earlier
• V Australia contributed a $39m loss
• Profit before tax for the short haul business was $108 million, up 126% against the prior period