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Is It Likely To See Virgin Asia?  
User currently offlinechris7217 From Hong Kong, joined Nov 2002, 169 posts, RR: 9
Posted (1 year 11 months 3 weeks 4 days 4 hours ago) and read 3445 times:
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Hi everyone,

Since Virgin America has been started years ago in the US (no matter the airline's present situation) I wonder if it may be likely to see Virgin Asia any time in the future.

As there are so many LCC in Asia now and yet another one coming in 2013 with Jetstar Hong Kong the huge growth prospects predicted for Asia could still offer room for Virgin Asia.

Opinions and comments are much appreciated!

6 replies: All unread, jump to last
 
User currently offlineIrishAyes From United States of America, joined Jan 2008, 2188 posts, RR: 15
Reply 1, posted (1 year 11 months 3 weeks 4 days 3 hours ago) and read 3334 times:

I think you just answered your own question.

Essentially, the Virgin brand is, at lowest common denominator, a hybrid model (VX being the best example). In Asia, the LCC growth has been very successful at capturing the emerging middle class. As a new entrant, a Virgin-branded carrier would most likely have to follow a similar model in order to capture upon that growth rate.

Otherwise, there really isn't much value proposition for Virgin. The premium network airlines (KE, SQ, CX, JL, etc) are already well-established, and to a lesser degree, you have the likes of EK, QR, EY etc filling the other gaps.

Of course, Virgin has experimented with the low-cost, no-frills model before (with DJ) but that has changed over the years, clearly.



next flights: jfk-icn, icn-hkg-bkk-cdg, cdg-phl-msp
User currently offlinesrbmod From , joined Dec 1969, posts, RR:
Reply 2, posted (1 year 11 months 3 weeks 4 days 1 hour ago) and read 3169 times:

There already is, it's called AirAsia X. The Virgin Group has a 16% stake in the airline.

User currently offlineanstar From United Kingdom, joined Nov 2003, 5244 posts, RR: 6
Reply 3, posted (1 year 11 months 3 weeks 4 days 1 hour ago) and read 3157 times:

Quoting srbmod (Reply 2):
here already is, it's called AirAsia X. The Virgin Group has a 16% stake in the airline.

I thought they had sold their shareholding?


User currently onlineViscount724 From Switzerland, joined Oct 2006, 25322 posts, RR: 22
Reply 4, posted (1 year 11 months 3 weeks 3 days 20 hours ago) and read 2971 times:

Quoting anstar (Reply 3):
Quoting srbmod (Reply 2):
here already is, it's called AirAsia X. The Virgin Group has a 16% stake in the airline.

I thought they had sold their shareholding?

It was 10% and has been sold according to the following Air Transport World report dated June 29, 2012. The Virgin stake was originally 20% in 2007.
http://atwonline.com/airline-finance...rgin-sells-10-stake-airasia-x-0629


User currently offlineinfinit From Singapore, joined Jul 2008, 569 posts, RR: 1
Reply 5, posted (1 year 11 months 3 weeks 3 days 12 hours ago) and read 2740 times:

Quoting IrishAyes (Reply 1):
I think you just answered your own question.

Essentially, the Virgin brand is, at lowest common denominator, a hybrid model (VX being the best example). In Asia, the LCC growth has been very successful at capturing the emerging middle class. As a new entrant, a Virgin-branded carrier would most likely have to follow a similar model in order to capture upon that growth rate.

Otherwise, there really isn't much value proposition for Virgin. The premium network airlines (KE, SQ, CX, JL, etc) are already well-established, and to a lesser degree, you have the likes of EK, QR, EY etc filling the other gaps.

Of course, Virgin has experimented with the low-cost, no-frills model before (with DJ) but that has changed over the years, clearly.

True but I can imagine Virgin being able to position itself somewhere in between. And SQ owns 49% of Virgin so perhaps they could use Virgin to make up for the aircraft shortage SQ has now?


User currently offlineZKOJH From China, joined Sep 2004, 1701 posts, RR: 1
Reply 6, posted (1 year 11 months 3 weeks 3 days 7 hours ago) and read 2553 times:

A few years ago there was talk of Virgin coming into Asia but all went still, also there was a rumor he wanted to attack the Russian airspace too, they seem to have lots of dreams but really Virgin Australia is the only one that as worked,

as said above the next big one will be Jetstar Hong Kong once all the I's and T's have been dotted and signed. in China you don't have many LCC's yet, there's the likes of Spring airlines, and Air Asia are starting to expand also, so I doubt there will be much room to play with!



NZ 787-9 flying between PVG - AKL ! CAN'T WAIT!!
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