Branson Seeks Alliance Membership for Virgin Atlantic

[jamesgou]

Branson Seeks Alliance Membership for Virgin Atlantic - BusinessWeek

The entrepreneur said he expects to reach an alliance agreement within a year.

 

[samh004]

I’m not sure if Star Alliance or Sky Team would make more sense.

 

[anat0l]

It would be nice if some of the Virgins would stop being such a tease (pun intended)

 

[crazydave98]

It would be nice if some of the Virgins would stop being such a tease (pun intended)

ahhh....but it's in our nature

 

[Fantic125]

Even if he does get past first base I'm sure he'll pull out at the last minute.......

 

[markis10]

I’m not sure if Star Alliance or Sky Team would make more sense.

Why, have a look at the current partners such as BMI/SIN/NZ etc and you will pretty much have your answer, not to mention the 49% owners preference, things dont always go according to plan but given the lack of engagement with Sky and OneWorld would seem a distant third as BA are a member, its very clear to me the sense in going with Star.

 

[docjames]

Why, have a look at the current partners such as BMI/SIN/NZ etc and you will pretty much have your answer, not to mention the 49% owners preference, things dont always go according to plan but given the lack of engagement with Sky and OneWorld would seem a distant third as BA are a member, its very clear to me the sense in going with Star.

+1 it'll almost certainly be star for the above reasons (although SQ were looking to divest their 49%).

branson must be progressed with negotiations (more than he's letting on) if he's putting a timeframe (within the year) on it.

Wonder if it at all inter-relates to Virgin Blue and their rebrand/changes?

 

[browski]

Smells like SkyTeam and not before time. Let's hope the entire Virgin group of airlines jumps on board.
The war seems to be really between Delta and AA. Airlines are now taking sides. Qantas has routed to the AA Dallas hub. Delta made that big play for JL late last year, but just failed. Air Berlin jumped to OW.
Delta and VBlue are in cahoots across the Pacific, it would make sense to have Delta and VS in cahoots across the Atlantic. VB really need to get J class sorted pronto.

With China Southern, Korean Airlines and Delta already on our shores, looks like the right move in our part of the world, but then again, it looked like the right move 5 years ago too.

 

[NM]

Why, have a look at the current partners such as BMI/SIN/NZ etc and you will pretty much have your answer, not to mention the 49% owners preference, things dont always go according to plan but given the lack of engagement with Sky and OneWorld would seem a distant third as BA are a member, its very clear to me the sense in going with Star.

Of course the problem is that they do not bring a lot of new routes to the table that are not already covered by other *A members. But they do need to be part of an alliance. They don't have the depth of pockets and other "advantages" that an airline like EK has available that will allow them to be a dominant global airline without an alliance.

 

[dk4]

...although SQ were looking to divest their 49%...

The question for buyers is - what value is the Virgin brand, in a world where signing up to a global airline alliance brand, brings home the bacon?

And the question for Branson is how valuable is VS as the flagship for his brand empire, or should he just get out while the goings good?

But if Branson wants to keep his brand alive; then an SQ sale (of their share of VS) to fellow Star partner LH, followed by some sort of merger with BD (to extract a cost advantage as well as LHR slots, and surrounding the AF/KL hubs to the west and east plus a stong foothold in 1W's fortress) may be the way to go, so long as LH can be convinced that paying a premium for the British Virgin branding will add value to a German investment in the UK.

Who else might be interested in buying SQ's VS stake?

 

[samh004]

Why, have a look at the current partners such as BMI/SIN/NZ etc and you will pretty much have your answer, not to mention the 49% owners preference, things dont always go according to plan but given the lack of engagement with Sky and OneWorld would seem a distant third as BA are a member, its very clear to me the sense in going with Star.

I can see a reason it’d be Star Alliance, as you say, but I also think of Star Alliance as being a little too big, and they might not make their money back with the routes already on offer, that sort of thing.

While Sky Team (and I know Atlantic is not Blue) does make some sense in partnering with Delta and fighting off AA. They also don’t have a UK carrier, so Virgin Atlantic could easily slot in there.

 

[codash1099]

I think there is a definite relationship between this and the announcement that SG are looking to offload their 49%.

It could be a warning that "you do this and we will join Skyteam to add to competition".

 

[dk4]

Delta & Etihad tipped as top contenders for VS - Etihad interest in Virgin Atlantic - www.travelweekly.co.uk

 

[The Rok]

Looks like Delta & Skyteam might be the leading the race....

Virgin Atlantic: Virgin considers a link-up | The Economist

 

[greenfish]

Looks like Delta & Skyteam might be the leading the race....

Virgin Atlantic: Virgin considers a link-up | The Economist

The link took me to a blog dated 15 Dec 2010, so I'm not sure how relevant it is today....

 

[Justchecking]

Well, its one year on and still no alliance announcement for VS.

 

[The Rok]

The link took me to a blog dated 15 Dec 2010, so I'm not sure how relevant it is today....

Try this one.

Virgin eyeing out alliance - Travel News | IOL Travel | IOL.co.za

 

[The Rok]

Well, its one year on and still no alliance announcement for VS.

It really cannot be that far off though, right?

 

[Justchecking]

It really cannot be that far off though, right?

I'm beginning to think this is another SRB stunt to get his name and airline in the news. Much of what comes out of SRBs mouth tends to not happen. Maybe he decided it as all just too expensive. This is the guy who about a year ago said V Aus, were eyeing off San Fran. Well......no actually. That didnt happen either.