Community
Wiki Posts
Search

AS considers keeping VX brand

Thread Tools
 
Search this Thread
 
Old Jun 15, 2016, 4:27 pm
  #1  
Original Poster
 
Join Date: Aug 2007
Posts: 340
AS considers keeping VX brand

http://www.latimes.com/business/la-f...nap-story.html

This is an about-face from their earlier statements!

Past aviation mergers in the U.S. have meant the death of the acquired brand. But Tilden noted that in Europe, both names and cultures tend to live on. He cited the Lufthansa Group, which includes its namesake German airline, along with Swiss and Austrian Airlines....

...In a brief interview with the Associated Press after the speech, Tilden said he is “taking a good look at running two brands for some period of time, perhaps forever.”
Please keep VX around! ^
Stratoliner777 is offline  
Old Jun 15, 2016, 4:49 pm
  #2  
 
Join Date: Apr 2003
Programs: B6 Mosaic, Bonvoy LT Titanium (x SPG LT), IHG Spire, UA Silver
Posts: 5,848
Yet again proving that AS management did not think through this purchase.
sfozrhfco is offline  
Old Jun 15, 2016, 5:16 pm
  #3  
FlyerTalk Evangelist
 
Join Date: Aug 2007
Location: SEA, but up and down the coast a lot
Programs: Oceanic Airlines Gold Elite
Posts: 20,392
Originally Posted by sfozrhfco
Yet again proving that AS management did not think through this purchase.
Would that a lot of airlines were willing to reconsider things rather than following each other like lemmings (such as the AA/UA/DL copycat FFPs).
eponymous_coward is offline  
Old Jun 15, 2016, 5:34 pm
  #4  
 
Join Date: Apr 2003
Programs: B6 Mosaic, Bonvoy LT Titanium (x SPG LT), IHG Spire, UA Silver
Posts: 5,848
Given that both are relatively small airlines, dumping $4 billion down the drain to operate them as two separate entities would make no sense what-so-ever. A typical US legacy airline move would be to destroy the good will they have with they employees by putting all new hires under the lower pay scale Virgin brand to save money to make up the added cost of having two different brands and company cultures.

Last edited by sfozrhfco; Jun 15, 2016 at 5:41 pm
sfozrhfco is offline  
Old Jun 15, 2016, 7:44 pm
  #5  
FlyerTalk Evangelist
 
Join Date: Nov 2005
Location: Phoenix, AZ
Programs: AA Gold AAdvantage Elite, Rapids Reward
Posts: 38,329
Very good. Keep VX brands. There is no need to change the name.
N830MH is offline  
Old Jun 15, 2016, 7:54 pm
  #6  
Suspended
 
Join Date: Sep 2009
Location: Monte Sereno, California
Programs: Hyatt Globalist, AA EXP, 2 mm, Marriott Gold
Posts: 1,398
Would have been better if Jet Blue purchased Virgin.... Alaska Airlines is really an odd match.
Radiant Flyer is offline  
Old Jun 16, 2016, 10:19 am
  #7  
 
Join Date: Aug 2008
Location: San Francisco
Programs: AA EXP; Marriott BonVoy Titanium Elite, Marriott LT Plat.
Posts: 1,717
I too would like to see that VX stay around indeed... Jet Blue acquiring it would have been a better match as well, but hey, if the culture stays, I'm cool and will continue to fly VX. Just hope the connection to VS remains. Have biz trips that take me to London now.
Zacnlinc is offline  
Old Jun 16, 2016, 12:54 pm
  #8  
FlyerTalk Evangelist
 
Join Date: Jul 2001
Location: Phoenix, AZ
Programs: HH Gold, AA Gold
Posts: 10,458
Originally Posted by sfozrhfco
Yet again proving that AS management did not think through this purchase.
While I agree that AS didn't completely think this through, I'm not sure that JetBlue intended to keep the brand either. Back in the day (80's), AS had premium level service on its airplanes. Their meals were literally twice as big as anyone else's. I distinctly remember in Coach getting a breakfast with eggs, pancakes, meat, fruit, and a muffin. Obviously, times change but AS should decide to adopt the service standards of VX on all of its flights.
formeraa is offline  
Old Jun 16, 2016, 2:46 pm
  #9  
 
Join Date: Nov 2015
Location: Anywhere the Wind Blows...
Programs: AS MVPG 75K / AA EXP / VX Gold / WOH Globalist / SPG Gold / HHonors Gold
Posts: 92
Ok, let me ask a question to all VX Golds that have yet to renew for next year:

Would this "reconsideration" cause you to reevaluate spending $$ to renew your Gold status for next year if AS decides to keep VX in some capacity?

I highly doubt that the VX Elevate program will survive as well. But if the AS MileagePlus program allows members to fly/upgrade on this separate "VX" carrier, should I spend whatever I have left to requalify for VX Gold / AS MVP Gold?
StirredNotShaken is offline  
Old Jun 16, 2016, 4:23 pm
  #10  
FlyerTalk Evangelist
 
Join Date: Aug 2008
Location: Usually in SAN or Central Europe.
Programs: AA:EXP/1MM. Accor/Radisson:Silver; HH:Gold; ICH:Plt Amb.
Posts: 22,307
This would be the stupidest way to run "one" airline. And wouldn't AS have to pay a licensing fee to continue using the "Virgin" brand?
Fanjet is offline  
Old Jun 16, 2016, 8:33 pm
  #11  
Original Poster
 
Join Date: Aug 2007
Posts: 340
Originally Posted by Fanjet
And wouldn't AS have to pay a licensing fee to continue using the "Virgin" brand?
Yes, to the tune of $20 million a year. And I'm expecting that there are requirements with keeping the Virgin name--they probably can't water the experience down too much.

If JetBlue had purchased the carrier, it could have subsumed VX in terms of brand identity more easily. As it stands there is a greater contrast between AS and VX and thus at a brand level the possibility of running them separately merits consideration IMO.
Stratoliner777 is offline  
Old Jun 16, 2016, 9:48 pm
  #12  
 
Join Date: Feb 2014
Location: BOS
Programs: B6/Mosaic/AF/VX/AS Gold Hertz PC HH Dia. AMEX Plat SPG/Marr Gold Nat. EE FPC Plat
Posts: 833
Thumbs up This shows AS is listening.

Originally Posted by Fanjet
This would be the stupidest way to run "one" airline. And wouldn't AS have to pay a licensing fee to continue using the "Virgin" brand?
But where AS should fear is people like me who absolutely will not tolerate the kinds of experiences I have had on AS. Great crews and front line people combined with old crappy planes, no wifi, no IFE with not much to eat except some bar mix snacks.

Given the amount of flying and my move to Seattle, I could easily hit DL Diamond if I dropped my VX flying.

In a 10 bil market cap company a few million a year for the brand fee is pocket change.
ptownca is offline  
Old Jun 16, 2016, 9:52 pm
  #13  
 
Join Date: Feb 2014
Location: BOS
Programs: B6/Mosaic/AF/VX/AS Gold Hertz PC HH Dia. AMEX Plat SPG/Marr Gold Nat. EE FPC Plat
Posts: 833
I'm in it for the long haul.

Originally Posted by StirredNotShaken
Ok, let me ask a question to all VX Golds that have yet to renew for next year:

Would this "reconsideration" cause you to reevaluate spending $$ to renew your Gold status for next year if AS decides to keep VX in some capacity?

I highly doubt that the VX Elevate program will survive as well. But if the AS MileagePlus program allows members to fly/upgrade on this separate "VX" carrier, should I spend whatever I have left to requalify for VX Gold / AS MVP Gold?
I'm already status matched to MVP Gold.

Given where we are at in the merger, I am riding this out as much as I can. I am also not enamored of the new Comfort + upgrade procedure from Delta, so while I could go with DL, I am going to stick with VX until its last flight.

For me, it is not the status program itself, it is the on board experience and the VX staff who make it special for me.
ptownca is offline  
Old Jun 17, 2016, 2:24 am
  #14  
FlyerTalk Evangelist
 
Join Date: Aug 2008
Location: Usually in SAN or Central Europe.
Programs: AA:EXP/1MM. Accor/Radisson:Silver; HH:Gold; ICH:Plt Amb.
Posts: 22,307
Originally Posted by Stratoliner777
Yes, to the tune of $20 million a year. And I'm expecting that there are requirements with keeping the Virgin name--they probably can't water the experience down too much.
Which also means they won't be able to "water-down" VX's much higher CASMs to be closer to that of AS's. (I think it's something like 10.5 cents versus 8.5 cents).
Fanjet is offline  
Old Jun 17, 2016, 4:03 am
  #15  
Suspended
 
Join Date: Dec 2004
Location: LAX
Programs: Virgin America Gold, Virgin Atlantic Gold, AAdvantage Platinum, B6 Mosaic, HHonors Gold
Posts: 215
Originally Posted by ptownca
I'm already status matched to MVP Gold.

Given where we are at in the merger, I am riding this out as much as I can. I am also not enamored of the new Comfort + upgrade procedure from Delta, so while I could go with DL, I am going to stick with VX until its last flight.

For me, it is not the status program itself, it is the on board experience and the VX staff who make it special for me.
That's my approach, too. I'm sticking with VX until the wheels fall off. If the brand and culture isn't around, Delta is lined up to receive the vast majority of my business (with the exception of the occasional Mint flight).

But I'd much rather see VX stick around – and this news gives me some hope to cling to!
RedwoodA320 is offline  


Contact Us - Manage Preferences - Archive - Advertising - Cookie Policy - Privacy Statement - Terms of Service -

This site is owned, operated, and maintained by MH Sub I, LLC dba Internet Brands. Copyright © 2024 MH Sub I, LLC dba Internet Brands. All rights reserved. Designated trademarks are the property of their respective owners.