Virgin Australia Buys Controlling stake in Tiger Australia
Nov 1, 2012, 6:44 am
#16
Original Poster
Join Date: Dec 2011
Posts: 342
Oh, oh.
Virgin is my preferred discount domestic airline (Jetstar = 'Airline of last resort'). However that attitude didn't even consider Tiger as an option - never bothered to even look at schedules or fares.
If Virgin pushes me to Tiger for cheaper fasres, they have lost me entirely; Jetstar, you'll be looking good!
Tiger = never, ever, ever.
Virgin is my preferred discount domestic airline (Jetstar = 'Airline of last resort'). However that attitude didn't even consider Tiger as an option - never bothered to even look at schedules or fares.
If Virgin pushes me to Tiger for cheaper fasres, they have lost me entirely; Jetstar, you'll be looking good!
Tiger = never, ever, ever.
Nov 1, 2012, 11:25 am
#17
Join Date: Jan 2007
Location: GLA
Programs: AF/KL FB Plat 4L, VA Vel Silver, BA EC, LH M&M
Posts: 1,825
Exactly, at the moment I cannot see amy potential push either. To me it looks just as if they want to earn more money by getting some profit from Tiger. Regarding long-term implications, we will have to wait and see.
Nov 1, 2012, 11:50 am
#18
Original Poster
Join Date: Dec 2011
Posts: 342
I wouldn't even assume any profits in the short term; TT has wiped out any profits made by the Tiger Singapore group for the last few years, and Virgin will be providing more for fleet expansion than it can expect to see in profits for some years.
The advantage is if there is to be a fare and capacity war, it is TT that cops the hit to the margins rather than VA. I think someone on AFF put it as Virgin will cop 60% of any losses from TT, but QF will copy 100% of JQ losses in any battle.
The advantage is if there is to be a fare and capacity war, it is TT that cops the hit to the margins rather than VA. I think someone on AFF put it as Virgin will cop 60% of any losses from TT, but QF will copy 100% of JQ losses in any battle.
Nov 1, 2012, 3:52 pm
#19
Join Date: May 2002
Location: Newcastle, Australia.
Programs: QF Plat+ LTG/ OW Emerald, VA Plat, NZ Gold, HH Diamond, Hyatt Whatsit. Taxation is theft.
Posts: 2,637
I wouldn't even assume any profits in the short term; TT has wiped out any profits made by the Tiger Singapore group for the last few years, and Virgin will be providing more for fleet expansion than it can expect to see in profits for some years.
The advantage is if there is to be a fare and capacity war, it is TT that cops the hit to the margins rather than VA. I think someone on AFF put it as Virgin will cop 60% of any losses from TT, but QF will copy 100% of JQ losses in any battle.
The advantage is if there is to be a fare and capacity war, it is TT that cops the hit to the margins rather than VA. I think someone on AFF put it as Virgin will cop 60% of any losses from TT, but QF will copy 100% of JQ losses in any battle.
JB would do well to keep Tiger at arm's length and avoid the horrible JQ/QF mish-mash that has damaged both brands in the eyes of so many customers.
I'm hardly Robinson Crusoe - I've gone from pure QF to DJ->Daylight->QF->JQ as airline of last resort. At least Joyce has some comfort - I still post points to QF rather than AA like so many do now.