16 Responses

  1. Joel
    Joel at |

    Personally, I would love to see an LAX to DTW route from Virgin.

  2. Nick
    Nick at |

    They should follow the Frontier tactic and focus on United as the weakest of the legacies. With their switch to revenue based earning United offers very little added advantage to the average business traveler, and definitely worse customer service. I can’t imagine Virgin on time performance is worse than United’s. Which United hubs don’t they have a presence at?

  3. mike
    mike at |

    Great analysis Seth! I almost can’t believe I came across a solidly intellectual post on my BoardingArea visit. 😉

    I fly the LAX-SFO route often and VX seems to have a lock on the Internet industry biz traveller. Fares have been pretty aggressive (expensive) the past year. I think a good fashioned fare war from Southwest/United/AA could put VX in a bad position.

  4. J-D
    J-D at |

    FWIW, your first quote from the S-1 filing is from the Risk Factors section which is always gloom and doom, and should be taken with a grain of salt.

  5. ALCO
    ALCO at |

    Not sure I get the DAL move. If you want to go to war with WN and a nearby legacy carrier in Texas, why not HOU? Less constraints on service, and you can market your upscale product offering (front cabin, at least) to disillusioned UA flyers who want an airport closer to downtown Houston. With all the energy companies, it’s not like Houston traffic is low-yielding, either. Target key domestic and nearby international business/energy markets, and offer a product (or portion of a product) that neither UA or WN can/will compete with on those routes.

    /armchairceo

    1. Better By Design
      Better By Design at |

      Given their constraint in terms of aircraft, DAL makes a lot of sense… apply for the gates, get the couple they could get, start flying, eventually up the number of flights from those few gates. Compete against WN who doesn’t offer a premium product/experience… yadda yadda.

      I totally agree that HOU would also make sense, for the same reasons, but with the small number of planes they’re able to deploy, they have to pick and choose very carefully.

      I do really think that trying to nibble away at a faltering UA is a pretty solid strategy for the next couple years.

  6. ALCO
    ALCO at |

    Obviously, international from HOU would hav to wait for FIS… but it is coming

  7. Enjoy FIne Food
    Enjoy FIne Food at |

    Wow. Some heavy thinking here. Makes “OMG, I can’t find Vanilla Reloads at CVS” postings by other bloggers look childish. Keep aiming high, Seth.

  8. Virgin America goes for the snowbirds - Wandering Aramean

    […] Virgin America says in its S-1 filing that the goal is to attract more business customers. And I suppose that the JFK-FLL route is one of the “key leisure” destinations that is also important to offering a well rounded operation which attracts those same customers? […]