Virgin Unveils New Strategy

Virgin CEO, John Borghetti revealed a brand new strategy at the annual general meeting of the company. The new strategy will literally change the face of the airline major, which is comprised of Polynesian Blue, Pacific Blue, Virgin Blue, and V Australia. Virgin also has aggressive plans to increase its market share in corporate travel section by 100%. In fact, major developments are taking place within Virgin. For instance, the new Creative Director is none other than Mr Hans Hulsbosch, the brand and identity manager for the widely acclaimed Woolworths logo and the Qantas flying Kangaroo livery.

Media sources quoted Mr John Borghetti as saying ‘Hans is overseeing the Virgin Blue brand identity work with our commercial team to change, reposition and create an identity that can stretch across both the Leisure and Corporate sectors’. Mr Borghetti further said ‘Together with our new agency (Clemenger) you will see re-energised approach to marketing’. Mr Borghetti went on to say that Virgin’s re-branding efforts will be evident as early as this week at the Brisbane Airport. All these developments may just also spell as an increase in the number of cheap flights to Australia.

Virgin is already a very well-known name in the aviation sector and offers plenty of flights to Australia and other destinations. For instance, someone looking for flights to Brisbane usually considers Virgin Blue as the airline is based in Brisbane and there are fair chances of netting cheap flights.

Speaking about the key segments, Mr Borghetti expressed ‘Our business has been primarily focused on the leisure and SME end of the market. And although we have and will continue to have a strong position in these segments, we are over reliant on them’.

He also observed that ‘Meanwhile the corporate and business end of the market is effectively controlled by one player with a significantly higher cost base’. ‘It is therefore logical for us to diversify our revenue base, reduce our exposure at the lower end of the market and use our cost base as an advantage’.