30 July 2007

Watch out Europe - here comes Virgin

Great article today in WSJ on interview with Steve Ridgeway MD of Virgin Atlantic.

One critical element is what VS will be doing to combat the loss of its oligopoly position at LHR. We believe that VS will be taking on weak carriers and uncompetitive premium product airlines. Watch out all of you EU carriers with a slightly inferior product (AZ you have been warned) because Virgin has you in their sights. Air France's legendary surly flight attendants better go to charm school now! Also watch out for additional markets with high premium traffic and low transatlantic lift. Specifically look at markets like DC, Seattle, Denver and Vancouver. As a clue look at the coming route map for Virgin America.

Worth the read - interesting battle. VS will be battling (like BA who is similarly affected) the peer and above crowd (Read BA and LH) and now the niche carriers such as L'Avion, Maxjet etc.

Competition is definitely out there. Long may it rear its pretty head


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