Virgin Blue Introduces Premium Economy

[DJCCGuy]

VIRGIN BLUE UNVEILS RED LEATHER ‘PREMIUM ECONOMY.’ A SEAT WITH A DIFFERENCE

24 October 2007: Brisbane, Australia: Virgin Blue Airlines today announced at its Annual General Meeting in Brisbane, its latest product innovation under its New World Carrier strategy with the introduction of its red leather Premium Economy seat.

The first three rows of the airline’s Boeing aircraft will be fitted with red leather Recaro seats and both the Boeing and EMBRAER aircraft will offer the new Premium Economy product.

The introduction of a domestic premium product is a key component of the airline’s New World Carrier strategy which is aimed at catering to the needs of contemporary business travellers.

Virgin Blue Chief Executive, Brett Godfrey, made the announcement and unveiled demonstration models of the premium seats to shareholders attending the AGM.

He said, “Over the past two years, the airline has evolved into a highly desirable business travel option with the introduction of, our Loyalty program “Velocity”, The Lounge at major airports, flexible fares and other business friendly initiatives.”

“We expect our latest product enhancement to appeal to amongst others, the corporate and Government sectors as it will offer superior value for money and additional benefits for those who choose to book economy and prefer a premium product.

He continued, “From an operations point of view, it’s a smart solution, a convertible cabin which allows us to easily adapt seating to demand.”

Virgin Blue’s Premium Economy seats can be easily converted to offer a maximum of 12 premier seats or Virgin Blue’s standard 3 x 3 seat configuration.

Premium Economy will feature:

• 2 x 2 seating versus current 3 x 3 seating on all Boeing aircraft
• Comfortable leather seating with additional leg room through an increased seat pitch of at least 34 inches* as well as increased seat width, leading to significant gains in personal space and comfort. The middle seat on the Boeing effectively becomes a personal cocktail table for refreshments leaving the valuable window and aisle seats available for Premium Economy Guests

* A minor percentage of seats are at 33 inches and a much more significant proportion of seats are in excess of 35” seat pitch

• Full complimentary access to the 24 Foxtel Live2air In-Flight Entertainment Channels
• Priority Check-in (or web-check in & Kiosk Check-in for those who prefer the efficient means of checking themselves in)
• Increased checked baggage allowance of 32 kg
• Complimentary access to The Lounge facilities in primary ports of Adelaide, Brisbane, Canberra, Melbourne and Sydney
• Fully Flexible and fully refundable fares.


Brett Godfrey continued, “We have always been responsive to the requirements of our increasing number of corporate Guests whether it be the re-introduction of Canberra-Sydney flights, a new Lounge concept or our frequent flyer program Velocity.

“Launching a premium offering is another example of Virgin Blue’s evolution to suit their needs and we are confident the introduction of Premium Economy will meet the changing needs of Australian business travellers.”

Premium Economy will be competitively priced in the market in line with other airline’s fully flexible economy class tickets.

Installation of the seats will begin this year, with the entire fleet fitted out in time for the official launch of Premium Economy in 2008.

Virgin Blue’s existing Blue Zone seating featuring additional leg room in the over wing emergency exits will remain, however row one will become a convertible seat option so will no longer be available as Blue Zone.


-Virgin Blue Airlines

[DJCCGuy]

Strange, as emergency exit rows are usually not available for you to select when using either web check in, or kiosk check in, as you must be sighted by check in staff to ensure you meet the safety guidelines for occupying these particular seats.

[Niles Crane]

And the real reason is they are still cancelling flights, and more in the future, so they need to keep the yeild up to maintain revenue!!!!

Watch for the Recaro seats taking over the normal seats over the next few months!!

[Wod]

Problem is that it represents another bell & whistle adding cost and complexity to the model.

DJ now positioning itself between JQ and QF could wind up being neither fish nor fowl.

Hope not.

[ishkaban]

http://webcast.streamx.com.au/clients/Virg0122/Virg0185/agm00361/slides/slide017_q.jpg

[ANstar]

Whilst it may be another bell and whistle to add, there isn't to much risk with this.

All the punters are getting is lounge access (which they already to with corp plus fares) and the 2-2 seating. If they cant sell t he 2-2 seating it goes to 3-3. Hence why it is a very clever low risk way of increasing revenue.

No wonder airlines in Europe have been using it for J for years! (oh and QF still flog it as J on the 737-400's!)

[The Kavorka]

I very much doubt that VB "premium eco" will be as cheap as a QF eco fare!!!

[HotDog]

Maybe you'll get a free ride on the roller coaster on the QF eco "fair".:ok:

[Goldfishinabowl]

They say cheaper than full economy.

[priapism]

sounds like business class to me - Q.F beware!!

Smart move V.B.

[Rich-Fine-Green]

Smart move by DJ.

By adding a quasi-Business Class; This might be the start of an application by DJ to join the Star Alliance.

The Aussie piece of the Star Alliance jigsaw has been vacant since Ansett went the way of the Dodo.

If DJ joins Star Alliance, it can then improve yield by taking on-carriage pax from AirNZ, Singapore Airlines and United Airlines etc.

Not good news for QF.

[Wod]

The point I was trying to make was that it's a new, additional, cost to DJ.

The convertible seat has been a full cost, legacy carrier concept until now, with systems, and engineers,to support short notice cosmetic config changes.

DJ are choosing to add cost to a low cost model.

[forgetabowdit]

You'd have to think it'd be available for Duty Travelers etc... Paxing crew in duty time sitting in row 30 surrounded by crying babies and UM's hardly makes for 'appropriate travel'...

What about staff travellers I wonder... 4.5 yrs to the next vote tho I guess...

All and all tho, I think it sounds like a great idea...

Forgetabowdit

[The Bunglerat]

If DJ is to hold its own against the rest of the field, I would say it is inevitable. Whilst its origins were (and right now still are) LCC, it is a logical evolutionary step. Let Jetstar and Tiger cater to the thongs-&-singlet crowd, whilst DJ develops an alternative to the current QF domestic business class monopoly.

[QF skywalker]

This move by DJ was always expected, however... I have to say I disagree with the graph DJ released ( http://webcast.streamx.com.au/client...slide017_q.jpg comparing DJ premium economy and Qantas economy. This graph is typical of DJ advertising blowing their own trumpet but forgetting to include things that QF offer like refreshments on all flights and free beer/wine on cityflyer services. Perhaps the graph shold compare DJ Y class and QF Y class -this would be fair ). These are two different products and would be similar to QF producing a graph comparing DJ premium and QF business.

I would have thought DJ would have introduced free refreshments with this premium Y announcement ? All this appears to be is a media beat up about a recovered red leather seat up the front with the middle seat blocked.

Still a step in the right direction for DJ though, so good luck.

[DickyPearse]

pitch of at least 34 inches*

* A minor percentage of seats are at 33 inches and a much more significant proportion of seats are in excess of 35” seat pitch


Shouldn't that be at least 33 inches with the asterix indicating only a few are 33 and most are 35? Got to love those marketing folk, at least 34 inches unless you are in one of our 33 inch seats.

[wirgin blew]

I hardly think replacing 18 seats will break the bank as far as costs go. At the moment loads running at around 90% that leaves a few seats free for this. The seat apparently converts at the flick of a button which will be interesting to see.
As far as refreshments go perhaps you should try the lounge out. More than enough refreshments included in the ticket price then you can sit back and have a snooze without having to squeeze into the row with two other big blokes who insist on hogging the armrests whilst both trying to read a broad sheet newspaper.

Bring it on.

[DJCCGuy]

From December 1st, all Premium Economy Guests onboard Virgin Blue will experience the new all inclusive product.

Passengers will have unlimited food & drinks, inclusive of the bar service, plus full access to the IFE with LiveTV and movies on longer sectors.

[captwawa]

about time i can see the product now will be alot more used :ok:

[43Inches]

So now its the same as QF economy at twice the price, fantastic!

[Tangan]

43 inches,

where do you get your info. from?

VB premium economy is CHEAPER than the fully flexible QF economy fare and about 60% of QF business class fare, in most cases. It does offer 2 abreast seating on the B737 and more legroom.

If you open both eyes you'll see VB premium economy is a vastly different to QF economy and with all the add ons, like Lounge access, it is very comparable to QF buisness class at a significantly reduced price.

Time will tell

[wirgin blew]

Its cheaper than a full Y economy class QF fare which its competing against.
You get a seat in the first three rows guaranteed - QF you sit wherever.
Access to The Lounge - QF you have already paid separately for your Club membership.
It appears free f&b/foxtel is coming so it is a substantially better product - QF you get whatever comes in a box + free drink + maybe IFE if its working.
Priority check-in - QF economy you don't unless you are a frequent flyer.
Best of all you get a wider seat with potentially only one person beside you.
Oh and for all this the price is actually $39 cheaper SYD-MEL.

[Betsy]

FINALLY you don't need to pay $6 for a VB, $4 for a pack of Morish Nuts mix, $2.50 for a bottle of water, $9.90 for Live2Air ON TOP OF a $959 one-way fare SYD-PER. Maybe those red seats will start filling up now.

[arkmark]

I think any change that promotes quality over the low value model is great and to be supported.

The trend has been toward offering the worst quality product possible, so wouldn't a smart business offer a point of difference -- like a class of flight somewhere between full economy and business that makes it possible for passengers to travel in reasonable comfort that doesn't cost as much as business that is just over the top ?

Well done Virgin -- if at some stage I can tear myself away from my Qantas club/QF frequent flyer comfort zone I wll give your premium economy a go, and who knows if I like it I might even use it more than once :)

[Betsy]

Well done Virgin -- if at some stage I can tear myself away from my Qantas club/QF frequent flyer comfort zone I will give your premium economy a go, and who knows if I like it I might even use it more than once

If they're still around for you to try it..

[Skystar320]

Betsy, what crap are your rumbling on now?

Virgin Blue will be around for years to come

[43Inches]

Tangan & Wirgin, The fare is not cheaper than the flexsaver and is only cheaper than the full flex on the shorter flights such as SYD-MEL. I can buy a flexsaver tomorrow or in 6 months time on a 767/A330 cityflyer service for $80 less than the Premium Econ (SYD-MEL).

Also on the lower end fares QF is far more accommodating to move passengers to earlier flights (if space permits) on the day of travel free of charge, don't need a lounge then because i just get on the first available flight.

And to compare Premium Economy with Business class shows you have not travelled on either of them (especialy if you paid for PE and travelled on an Embraer).

[HAMO]

Flew in this so called "Premium Economy" today ... the seat was no wider than the standard DJ Y class seat, and marginally more leg room. Def hardly any difference on board ... sure you get a vacant seat next to you, but as for 'stretching out' ... not likely !!

As for free F & B ... big deal ... what, they are going to give you an FOC 2 day old sandwich they charge everyone 5 bucks for?

If they want to really attract the premium fare travellers off QF that are usually in J cls on the rat, they have a lot of work to do to make this a decent inflight product

[Eastwest Loco]

Punters opinion?

Nah - thanks mate - I will go QF Y class. Same as the Lownj - Nah - gimme Club Rat.

70% is not a match.

The big con is the jungle jets. A bit more pitch, but in a 2/2 config there is really nowhere to go with width. Shiny red seats just don't cut it.

We ran alleged First Class on F27s out of Tassie in the early 80's. Not a clever move, but at least it was only about 10% dearer than economy. Problem was you had trouble reaching your tray table. TN and AN ran the same and the jungle jets are doing exactly that.

No real new marketing here, and I notice NZ are offering a direct copy of Ansett's Mystery Nights domestically in New Zealand.

There must be a lot of old Ansett/Australian?East West marketing gurus still out there trying desperately to eke out a living on old ideas.

Best all

EWL

[ditzyboy]

the seat was no wider than the standard DJ Y class seat

HAMO -
Did the armrests not extend into the middle seat, to create more seat width? Was there no centre console?

That is the product DJ are advertising.

[fritzandsauce]

Well when I flew with them Tuesaday all the Premium Economy seats were empty like alot of us have seen when we have flown them. Rather than them sitting empty they shoud introduce Discount Premium Economy where you get the space but at a lesser price however your ticket is less flexible, also have Flexi Premium Economy where your ticket is fully flexible like it is at present!

[Little_Red_Hat]

Flew a few times with Virgin the last month, every time (both B737 and E190) premium economy was empty, bar one guy sitting there on one flight who turned out to be crew.

While the eJet is nicer to fly on I wouldn't bother to pay the full fare, it's very expensive and I'd rather save the money flying economy on Q (Virgin are too cramped for me on the 737) or on the eJet and save the $$$$ for my holiday/time off.

Wonder how really tall people handle it?? (I'm about 5' 5")

[walaper]

HAMO , it sounds like you were in a premium seat but in its standard config ie re-jigged for 3 abreast.

[F111]

LRH,

The seat pitch ( rows 4 and back) on Virgin's 737 is equal to or greater than that on the Q's 737s. The seat pitch and seat width on the E-jet is greater than both Virgin and Q's B737.

[goddamit]

premium economy was empty, bar one guy sitting there on one flight who turned out to be crew.

Doubt it, crew can be near sacked for that:eek:

The additional perks aren't in yet, once they are the seats will fill up a bit more. The pax who I've spoken to who travel in these seats do really like them, which surprised me. The reason, simple, price. A couple of people have mentioned they can travel return to PER for the same cost as a QF one way bus class. For them it worked, & they're happy with the product. There is a market for it, a small market though which the new freebees should extend it.

[mic310]

Can't believe I am reading this @#$%!!!!!

[maxter]

mic310 Can't believe I am reading this @#$%!!!!!

why can't you?:(

[Little_Red_Hat]

All I know is, my knees bang the seat in front on Virgin and I feel like I'm sitting against a vertical wall (with seat reclined), on Q I can stretch my feet out without knee contact with the seat in front. That's just my personal experience.

When I said crew I meant he was travelling on holidays, I got talking while I was waiting for the loo as I commented he was all alone up there! Not operating crew of course!! Although they did sit in the 1st row while having their break, nothing wrong with that when you have a line of pax standing in your galley waiting for the dunny! :}

[DJCCGuy]

Official information can now be found here:

Virgin Blue > Premium Economy (http://www.virginblue.com.au/Business/Businessservices/Seating/PremiumEconomy/index.htm)