VS Drop SYD - Exit Australia

[zainman]

Just saw it on airliners:

http://www.ausbt.com.au/virgin-atlan...ic-to-axe-sydney-hong-kong-flights

 

[smatho10]

VS axes SYD-HKG

Virgin Atlantic axes Sydney-Hong Kong flights - Flights | hotels | frequent flyer | business class - Australian Business Traveller

So question is now - what does VA do now?

 

[bass_ke]

Re: VS axes SYD-HKG

Well that's no good.

I really wanted a ride on that A346 and some time in the HKG clubhouse

 

[JohnK]

Well I have got to say I didn't see that one coming.

Now what with the VS miles? No desire to go to LHR.

 

[AdMEL]

As someone on Aus BT commented, hopefully we'll see VA fly to HKG and hopefully from more than just SYD. IMO, it makes sense for all of the Virgins to co-ordinate routes, rather than VA pursuing code shares with others.

 

[samh004]

AusBT isn't Airliners?

Either way, read it too. Think it's unlikely VA will pick up the slack, even with a codeshare as there's a lot to compete with. Would have expected an announcement from them simultaneously if that were the case.

As someone on Aus BT commented, hopefully we'll see VA fly to HKG and hopefully from more than just SYD. IMO, it makes sense for all of the Virgins to co-ordinate routes, rather than VA pursuing code shares with others.

Provided their EY overlords "OK" it

 

[Virgin Bart]

Pretty bummed about this. I love the VS clubhouses, so would happily fly SQ to HKG then VS and vv, but their code shares with SQ are insanely overpriced IME.

 

[TomVexille]

That's a shame. Kinda wish I had flown HKG-SYD last July

 

[Cool Cat Phil]

I've heard in Industry circles this route barely broke even for VS for the 8 or so years they fly to SYD. Loads often below 50%, which makes it a very pleasant flight as a passenger, but a headache for yield managers.

They are a great Airline, with a quirky attitude & a good frequent flyer program & most noteably backed by arguably "the best boss in the world."

Disappointing to say the least , which leaves BA as the only European Courier still operating to Australia.

VS have launched new routes into destinations such as YVR in the last few years, so maybe mid-haul destinations is the new strategy for them?

 

[quokka77]

Doubt VA will do anything about it. If the numbers were there VS wouldn't be pulling out and VA must surely prefer aussies go through AUH and SIN.

 

[Virgin Bart]

I swear I read somewhere recent rumours that VS would start HKG-MEL..... Obviously false.

 

[garoz]

Re: VS axes SYD-HKG

No good at all. VS to London in Premium Economy has been our preferred route in order to travel non cattle class and to earn velocity points.

 

[anat0l]

Now what with the VS miles? No desire to go to LHR.

Well VS do fly from a limited set of destinations out of LGW and MAN as well. That's probably not that interesting.

Otherwise, use the VS miles for other airline partners or cash them in for HH points.

As someone on Aus BT commented, hopefully we'll see VA fly to HKG and hopefully from more than just SYD. IMO, it makes sense for all of the Virgins to co-ordinate routes, rather than VA pursuing code shares with others.

Think it's unlikely VA will pick up the slack, even with a codeshare as there's a lot to compete with. Would have expected an announcement from them simultaneously if that were the case.

Guess we'll have to wait and see. But how VS could find it not profitable to operate HKG/SYD and think that VA could do better to operate it themselves doesn't make immediate sense to me. I suppose without the intermediate point, crewing is slightly easier. Also, VS offloads significant risk from itself on this route by codesharing and letting someone else operate it (which is something that VA have done extensively).

On the other hand, with a new shipment of A330s coming ashore and assuming the current fleet aren't ready for replacement yet, they surely can't be sticking them on C2C market, so international it will have to be. If the rumours of SIN aren't noisy enough (and not necessarily using all of those new aircraft) and TYO is not yet a squeak, then HKG seems like the most plausible exploit (notwithstanding possibilities of tourist meccas HKT and/or DPS).

I've heard in Industry circles this route barely broke even for VS for the 8 or so years they fly to SYD. Loads often below 50%, which makes it a very pleasant flight as a passenger, but a headache for yield managers.

That I find very surprising. Especially if reports were true that there was a surge in bookings experienced in retaliation to QF's shift of mid-point to DXB.

Disappointing to say the least , which leaves BA as the only European Courier still operating to Australia.

To the joy of Joyce, that's one less competitor on SYD/HKG - especially one which supports the direct rival - and one less carrier with all-direct-aisle-access seats flying between Australia and Asia

I remember flying VS Upper Class on LHR/HKG many years ago. Whilst I wasn't overly impressed compared to what it was made out to be - with the exception of the excellent LHR Clubhouse - it's a decent product and the latest iteration looks very good.

I guess this pretty much fully scuppers any further rumours that there will be a VS Clubhouse in SYD.

 

[williamsf1]

VS to stop HKG SYD from 5MAY14

Hot off the press ....


Virgin Atlantic has announced its intention to withdraw operations between Sydney and Hong Kong from 5th May 2014.

Increasing costs and a challenging economic environment have affected revenues and the route is no longer considered profitable. Virgin Atlantic will continue to operate services between London Heathrow and Hong Kong.

This decision will affect some staff based in Sydney and Hong Kong. A consultation period has commenced with all employees likely to be affected.

Craig Kreeger, Chief Executive at Virgin Atlantic said, “Unfortunately we intend to withdraw our services between Sydney and Hong Kong. Despite the best efforts of our employees, external factors such as increasing costs and a weakening Australian dollar have affected our profitability.

“These are still difficult times for the airline industry and as part of our strategy to operate more efficiently, we need to deploy our aircraft to routes with the right level of demand to be financially viable.”

It is Virgin Atlantic’s intention that the last flight departing Sydney to Hong Kong will be on 5 May 2014 and the last flight departing Hong Kong to Sydney will be on 4 May 2014. Up to that date, Virgin Atlantic will continue to operate its published schedule and customers can be confident booking flights for travel prior to then.

Any passengers, including codeshare passengers, who are travelling after the 5th May and are concerned about their travel arrangements, should contact Virgin Atlantic or their travel agents to discuss alternate options.

 

[JohnK]

Well VS do fly from a limited set of destinations out of LGW and MAN as well. That's probably not that interesting.

Otherwise, use the VS miles for other airline partners or cash them in for HH points.

I will have to research VS partners. Not keen on Hhonors points as I cannot use the ones I have already.

 

[pblackie]

Re: VS to stop HKG SYD from 5MAY14

Possibility of VA operating the SYD-HKG section of the route?

 

[ketsuzei]

Re: VS to stop HKG SYD from 5MAY14

So that leaves EY as basically the only reasonably priced partner reward option?

 

[anat0l]

Re: VS axes SYD-HKG

So question is now - what does VA do now?

What do you mean what does VA do now?

Apart from possibly losing the HKG market, the LHR market is hardly affected due to the partnerships with both EY and SQ, which I would've wagered were inexplicably more valuable and versatile to Velocity and VA compared to the VS relationship.

 

[Isochronous]

Re: VS axes SYD-HKG

I don't think a VA service is realistic. Even QF is outgunned running daily services, even with its flagship A380 product on SYD-HKG because of CX's superior frequencies.

 

[k3nnis]

Re: VS axes SYD-HKG

Hmm what should I do with my vs miles now? I have quite a few. Should I burn them on hkg to LHR or spend them on partner airlines or transfer to HH? Hmm decisions and I won't be able to travel until at least 2015... Trying to find the best value use out of them...