Virgin nixes joining alliance again

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grubbidok

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Virgin Australia CEO nixes Star Alliance, SkyTeam - Flights | hotels | frequent flyer | business class - Australian Business Traveller

FFS JB. You know what, I don't care if VA doesn't join an alliance, just stop pretending that the VA 'virtual alliance' is anything even remotely close to being as beneficial for your customers as what they would get by VA joining ST or *A. Instead of going around spruiking what a great deal VA's second rate virtual network is, spend some time fixing the gaping holes (i.e. lack lounge access in ports served by VA partners) in using VA or VA partners internationally and maybe everyone will stop hounding you to join *A and you can get on with other business. We moan because the VA experience is miles behind everyone else on this, not because we're attached to one alliance over any other.

/Rant over
 
There is still significant work to ensure appropriate recognition / benefits among their partners, so i'd agree - fixing that is more important than being in an alliance.
 
If VA were to seek membership of an alliance would they have to submit financial details etc?

I have no idea of their financial standing but if, as mentioned elsewhere on AFF, Etihad are pumping money into VA then there might be questions as to whether they could be admitted.
 
Virgin Australia CEO nixes Star Alliance, SkyTeam - Flights | hotels | frequent flyer | business class - Australian Business Traveller

FFS JB. You know what, I don't care if VA doesn't join an alliance, just stop pretending that the VA 'virtual alliance' is anything even remotely close to being as beneficial for your customers as what they would get by VA joining ST or *A. Instead of going around spruiking what a great deal VA's second rate virtual network is, spend some time fixing the gaping holes (i.e. lack lounge access in ports served by VA partners) in using VA or VA partners internationally and maybe everyone will stop hounding you to join *A and you can get on with other business. We moan because the VA experience is miles behind everyone else on this, not because we're attached to one alliance over any other.

/Rant over


I completely agree. I still dont underdstand their lounge access rules for short-haul intl!
 
As much as it would make my life marginally easier if VA joined an alliance - between VA, NZ and DL, most of my flying needs are covered. I get good recognition on those carriers, so for me it works. I appreciate it doesn't suit everyone, but there you go.
 
If VA had equal benefits across all their current airline partners that were always provided then I would be fine - but those benefits are pretty hit and miss.

The benefit of the alliance is you get a level of equal benefits accross all the alliance airlines - come on VA, all you need to do is replicate this across your airline partners! Then we can stop winging.
 
I'm disappointed. Purely for selfish reasons as it's easier for me to requal as a *G than a VA SG.
 
As much as it would make my life marginally easier if VA joined an alliance - between VA, NZ and DL, most of my flying needs are covered. I get good recognition on those carriers, so for me it works. I appreciate it doesn't suit everyone, but there you go.

If they sorted a decent RTW, leveraging Etihad and Delta I wouldn't be too bothered. Having to fly Oneworld for rtw soon who I don't have status with.
 
Same :) I often fall just short of VA Gold and I miss lounge access etc.

So I'm assuming your Star Alliance Gold is not with Air NZ or SQ? I suspect the ease of getting Star Alliance Gold with some carriers (e.g. Aegean) might be one of the things that puts VA off joining. That and Etihad of course!
 
Virgin has become very good at avoiding joining an alliance.
 
So I'm assuming your Star Alliance Gold is not with Air NZ or SQ? I suspect the ease of getting Star Alliance Gold with some carriers (e.g. Aegean) might be one of the things that puts VA off joining. That and Etihad of course!

The main obstacle appears to be the DL anti trust immunity. I am sure UA would block the deal if they were not prepared to end it with DL.

With SQ and NZ as major shareholders, SkyTeam is out of the question as well.
 
The main obstacle appears to be the DL anti trust immunity.
Please, the main obstacle of joining an alliance (for an "end of the line" carrier, within a home duopoly market) is that, at best, joining an alliance is a zero sum game. VA are much better placed "selling" their customers to strategic partners, for much more than just the points and status credits "alliance" partners would buy, by entering into revenue sharing agreements.

Potential Case Study Example: If VA were to join STAR, you can be assured that TG will change strategy, to focus on extracting VA passengers from EY & SQ, for very little expenditure on their part (just like CX and others do to QF through ONEWORLD), which could represent a substantial loss in revenue for VA and its strategic partners.
 
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Please, the main obstacle of joining an alliance (for an "end of the line" carrier, within a home duopoly market) is that, at best, joining an alliance is a zero sum game. VA are much better placed "selling" there customers to strategic partners, for much more than just the points and status credits "alliance" partners would buy, by entering into revenue sharing agreements.

Potential Case Study Example: If VA were to join STAR, you can be assured that TG will change strategy, to focus on extracting VA passengers from EY & SQ, for very little expenditure on their part (just like CX and others do to QF through ONEWORLD), which could represent a substantial loss in revenue for VA and its strategic partners.

For an end of the line carrier within a home duopoly market, QF has chosen to stay in oneworld despite their high profile alliance with EK. For an end of the line carrier within a near monopoly market, NZ has publicly said that their study shows they are better off in Star Alliance.

Yes the likes of TG would try to extract VA pax from EY and SQ but at the same time they would bring feed to the VA domestic and short haul network as well. Who's to say which has the more significant impact?
 
For an end of the line carrier within a home duopoly market, QF has chosen to stay in oneworld despite their high profile alliance with EK...
ROFL, from the recent changes to QFF, it is rather evident that they, at the very least, have "mixed" feeling about ONEWORLD.

...but at the same time they would bring feed to the VA domestic and short haul network as well.
VA Group has a 50/50 chance of getting them anyway, without being in an alliance.
 
ROFL, from the recent changes to QFF, it is rather evident that they, at the very least, have "mixed" feeling about ONEWORLD.

Yes, which also says there certainly are ways to get around this. I often wonder why on earth QF would still be in oneworld.
 
Yes, which also says there certainly are ways to get around this. I often wonder why on earth QF would still be in oneworld.

As I posted on another thread, one reason is to get a large portion of the RTW business market. In all of the companies I've worked for recently, the policy for intl travel is cheapest J fare with a full service carrier. That is almost never QF for a straight rtn to Asia or EU, but it's often OW - incl QF - for RTW tickets. Significant revenue there I would think.
 
Virgin were good enough to status match my WP a couple of years ago however I've not used them as I generally do 4 x DONE4s each year and they don't seem to have a comparable offering. If VA were in an alliance they'd be much more likely to get my custom as I'd maintain status there to compliment my QG LG.
 
Yes, which also says there certainly are ways to get around this. I often wonder why on earth QF would still be in oneworld.

Maybe the reason VA keep nixing *A and St is because they are just holding out to fill QF's place in OW when QF finally drops it

If there was a sarcasm sign it would come after here
 
Maybe the reason VA keep nixing *A and St is because they are just holding out to fill QF's place in OW when QF finally drops it

If there was a sarcasm sign it would come after here

Unless NZ/SQ migrate at the same time, I don't think they will let that happen.
 
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