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Two Most Competing Airlines

PostPosted: 11 Dec 2006, 20:20
by g-vred
I was just reading airliners.net and saw this topic on the two most competing airlines. Somebody had left this

"Agreed. If BA was, for one second, worried about competition from VS they would not give VS any support. Much as the Virgin/Branson publicity machine mocks BA, BA gives engineering, training and technical support to VS"

Is this true???

PostPosted: 11 Dec 2006, 20:41
by VS045
I think that BA is extremely worried about VS - if they aren't, they should take a look at the poll on timesonline;)

However, I'm not so sure that VS is so dependent on BA as this person makes out[:?]

VS.

PostPosted: 11 Dec 2006, 21:52
by Denzil
You'd be surprised how much competing airlines do rely on each other!! As for VS, they do use BA for Engineering cover at certain stations & use BA simulators.

PostPosted: 11 Dec 2006, 22:16
by VS045
You'd be surprised how much competing airlines do rely on each other!! As for VS, they do use BA for Engineering cover at certain stations & use BA simulators.


...and how airlines reliant on each other compete - in the last months of Sabena ([:(]), Swissair agents would book pax via Zurich even when there was a direct flight to Brussels. Apparently this was quite common on the Jo'burg route in particular, where pax would be told by SR (swissair) handling that there was no SN (SABENA) flight that night, only to find their SR a/c parked right next to the departing SN flight[n]

VS.

PostPosted: 11 Dec 2006, 22:23
by Pete
Virgin quite possibly does use BA as a handling agent in remote airports (all airlines do, it's a common thing). However, that's just a commercial decision, and probably based on BA offering the best price/quality for the job. I'm sure if BA wanted to pull the rug, then VS would simply switch to a different supplier. No big deal.

PostPosted: 11 Dec 2006, 22:33
by VS045
It benefits both airlines I suppose[:?]

VS.

PostPosted: 11 Dec 2006, 22:37
by Howard Long
Originally posted by g-vred
I was just reading airliners.net and saw this topic on the two most competing airlines. Somebody had left this

"Agreed. If BA was, for one second, worried about competition from VS they would not give VS any support. Much as the Virgin/Branson publicity machine mocks BA, BA gives engineering, training and technical support to VS"

Is this true???


I am sure that VS does use some BA tech services particularly away from London. This is common amoung airlines where marketing strategies (eg, alliances) seemingly conflict with maintenance affinities. For example, ISTR seeing a number of times Cathay, a OneWorld alliance partner like BA, parked up at the BMI (Star Alliance) maintenance hangars in LHR.

One area I doubt VS would ever let BA have a finger in again is the reservations system, since BA used that to poach the VS pax during the dirty tricks campaign. Because BA ran the CRS, they knew the VS pax as they arrived in the VS supplied limos at the airport and then, as they dissembarked kerbside, would offer them First or Concorde seats if the pax endorsed their ticket to BA.

In addition, because the pax' phone numbers were on the limo booking within the CRS they were also cheeky enough to even call up to try to get them to switch to BA pretending to be travel agents.

I would deliberately avoid BA for several years during the 90's because of this, until the likes of John King and Colin Marshall finally left who were the chief honchos at BA at the time. Although these two were never proven to have any direct involvement, equally I would not particularly want to put my trust in an airline whose bosses purportedly didn't know (or denied) all this was going on.

Sorry to bring up the Dirty Tricks campaign again, but this was a part of aviation history that I feel should not be forgotten.

Cheers, Howard

PostPosted: 11 Dec 2006, 22:42
by Stevieboy
...and if VS are willing to pay for Technical Support, Engineering and Training I am sure BA are quite happy to take their money.
As Pete says "It's just a commercial decision"

-Steve

PostPosted: 11 Dec 2006, 22:43
by VS045
One area I doubt VS would ever let BA have a finger in again is the reservations system, since BA used that to poach the VS pax during the dirty tricks campaign. Because BA ran the CRS, they knew the VS pax as they arrived in the VS supplied limos at the airport and then, as they dissembarked kerbside, would offer them First or Concorde seats if the pax endorsed their ticket to BA.

In addition, because the pax' phone numbers were on the limo booking within the CRS they were also cheeky enough to even call up to try to get them to switch to BA pretending to be travel agents.

I would deliberately avoid BA for several years during the 90's because of this, until the likes of John King and Colin Marshall finally left who were the chief honchos at BA at the time. Although these two were never proven to have any direct involvement, equally I would not particularly want to put my trust in an airline whose bosses purportedly didn't know (or denied) all this was going on.

Sorry to bring up the Dirty Tricks campaign again, but this was a part of aviation history that I feel should not be forgotten.


Good on ya, Howard[y][^]

I think that with regards to Dirty Tricks, BA do owe VS quite a lot - BTW, does anyone know what compensation VS recieved?

VS.

PostPosted: 11 Dec 2006, 23:02
by HighFlyer
Originally posted by VS045
BTW, does anyone know what compensation VS recieved?


British Airways settled by paying £500k to SRB and £110k to Virgin Atlantic. BA also had to pay all the legal fees - reputedly costing around £3 million. SRB divided his compensation between his staff as a bonus.

Thanks,
Sarah

PostPosted: 12 Dec 2006, 18:57
by FlyCC
I believe some cabin crew will be using BA training facilities soon also.

PostPosted: 12 Dec 2006, 19:17
by Treelo
Originally posted by FlyCC
I believe some cabin crew will be using BA training facilities soon also.


Hopefully they won't be adopting the stiff, fixed smile which seems to permeate BA flights[}:)]

PostPosted: 12 Dec 2006, 19:17
by VS045
Thanks, Sarah[y]
Just 660K, I would have thought it was much more than that[:0]

VS.

PostPosted: 14 Dec 2006, 03:48
by Howard Long
Originally posted by VS045
Thanks, Sarah[y]
Just 660K, I would have thought it was much more than that[:0]

VS.


Fundamentally, the point was made.

I believe that the majority of economic results were largely intangible. The events simply reinforced existing VS customers' commitments and disenfranchised waivering BA pax. Certainly in my case it was the latter. As an example, when I commuted weekly on the LHR-EDI route throughout the 90's, I used to deliberately get the BA tickets that my customers would 'helpfully' book for me and endorse them to BMI. Not much on its own, but probably 75 grand of ticketing on this route alone.

I also remember endorsing a number of HKG and MIA trips from BA to VS.

On my own I might not have meant much, but if only 10% of your pax disappear it's serious.

Cheers, Howard