Virgin Atlantic Unveils Massive Growth Plans With a (Major) Catch
Skift Take
On a branding and product level, Virgin Atlantic has long punched above its weight. But overall, Virgin Atlantic is just another undersize airline trying to squeeze out a profit amid intense competition. Perhaps Heathrow's expansion will change that. But don't bet on it.
Virgin Atlantic, tiny by global airline standards, outlined a plan in London to fly to 84 new destinations in Europe, the Americas, Asia, and Australia as it seeks to challenge British Airways' market dominance in London.
But there's a giant catch. British Airways owns London not because of its tradition, service standards or marketing acumen, but because it controls the vast majority of slots at London Heathrow Airport. According to Virgin Atlantic, British Airways' parent International Airline Group, or IAG, holds more than 55 percent of all of takeoff and landing rights at Heathrow, with no other carrier holding more than 5 percent.
That could change, though. Heathrow plans to open a new runway within the next decade, its third, and the airport's capacity will increase. Virgin Atlantic on Wednesday launched a campaign to persuade regulators to award it more than its share of slots, so it can seriously challenge British Airways.
If it receives all the new rights it wants, Vi
