Rani,
Doubtless I don't have all the info, but what I was told, was "VK are victims of their own success" and they are working very hard to remedy the issues. Some of the problems relate more to FAAN and what they allow the individual airlines to do or not. You might also know that half of VK's check-in desks at MMIA were taken from them and given to the new bride ARIK, so they are forced to use only 4 desks to check in ALL domestic flights out of LOS(VK is now the largest carrier in Nigeria by pax numbers).
I'm sure there are customer service issues, but whenever I have flown VK the service has been good. Up till the 1st of December 2006, the agents pax would have seen at MMIA would have been NAHCO staff but from that date VK has gone self handling in LOS and hopefully things should improve.
Look out for a new website soon that incorporates details about the Frequent Flyer programme but I will just hint that miles can be spent on at least 3 other international airlines and on VK's services including game reserves, hotel chains, gyms etc.
It is really embarrasing to see the massive lines queueing at the airport to purchase VK tickets, but a lot of it is down to the Nigerian mentality of not buying tickets ahead of time. I think VK should promote and publicize other options like online booking & payment which are already available. I was also told that they are evaluating self-service check in machines for the future.