The History of Virgin America Airlines
Virgin America Airlines was a U.S.-based airline that operated between 2007 and 2018 when it was acquired by Alaska Airlines. During its 11 years of operation, Virgin America disrupted the airline industry with its fun, high-tech approach to air travel. Keep reading to learn more about the history of this unique airline.
The Founding of Virgin America
Virgin America was founded in 2004 by British entrepreneur Sir Richard Branson. Branson had successfully launched Virgin Atlantic Airways in the UK in the 1980s and was looking to bring the Virgin brand to the U.S. market.
Branson partnered with veteran airline executive Fred Reid, who became Virgin America’s founding CEO. The airline was originally meant to be called Virgin USA, but this name was rejected by the U.S. Department of Transportation due to possible confusion with United Airlines. The airline was thus rebranded as Virgin America in 2005.
Obtaining Certification and Licenses
Before it could launch service, Virgin America Airlines needed to obtain an air carrier certification from the U.S. Federal Aviation Administration (FAA) and Department of Transportation (DOT). This process took nearly three years, as the fledgling airline had to prove it met all safety and regulatory requirements.
Virgin America also had to contend with opposition from U.S. airlines and labor unions, who claimed the airline did not meet the DOT’s stipulation that it be under the “actual control” of U.S. citizens. The DOT eventually ruled in Virgin America’s favor in early 2007, clearing the way for its launch.
Virgin America’s Service Launch in 2007
On August 8, 2007, Virgin America commenced service with its inaugural flights between San Francisco and New York–JFK. Other early destinations for the airline included Los Angeles, San Diego, Seattle, Las Vegas, and Washington-Dulles.
The airline differentiated itself from competitors by offering features like touch-screen seatback entertainment, WiFi, power outlets, and leather seating. The fun, hip vibe extended to the airline’s young, upbeat cabin crew uniforms and lighting.
Early Growing Pains
In its first years of operation, Virgin America encountered some challenges typical of a startup airline. It took time to optimize aircraft utilization, refine its route network, and build up passenger loads profitably.
The airline reported losses in its early years as it worked to establish its brand and grow its business. Persistently high fuel prices in the late 2000s added to the difficulties of achieving profitability.
Transition to Maturity and Profitability
By 2011, Virgin America hit its stride and started posting profits. It successfully carved out a niche for itself in the competitive U.S. market through consistent product innovation and clever marketing.
The airline introduced amenities like seat-to-seat chat, an on-demand food ordering system, and satellite-based WiFi. It also ran memorable ad campaigns that highlighted its service and reinforced its fun, hip image.
By 2016, Virgin America was serving 24 destinations and carrying over 18 million passengers annually. It was recording consistent profits and receiving industry accolades for its customer experience.
Merger with Alaska Airlines in 2016
In 2016, Alaska Airlines announced plans to acquire Virgin America in a $2.6 billion merger. This deal brought together Alaska Airlines’ route network in the Pacific Northwest with Virgin America’s successful California-based operations.
The merger was completed in December 2016, with Alaska Airlines retaining the Virgin America brand initially. Over the next two years, Alaska gradually integrated the Virgin America operation into its own. The Virgin America brand was retired in April 2018.
Virgin America’s Legacy
Although short-lived, Virgin America had an outsized impact on the U.S. airline industry. It helped push other airlines to improve their onboard amenities and service styles to compete.
Virgin America proved that a startup carrier could successfully enter a consolidated airline market by differentiating itself on product and experience. It set a new standard for fun, stylish air travel that airline brands today continue to emulate.
Even though the airline is gone, its effect on air travel remains. Alaska Airlines has retained many popular Virgin America features like mood lighting and enhanced in-flight entertainment. By forcing the industry to raise its game, Virgin America leaves behind an important legacy.
Virgin America’s Business Model and Operations
An Overview of Virgin America’s Business Model
Virgin America aimed to offer a first-class airline experience at a lower cost than legacy competitors. Its business model revolved around:
- Low-Cost Structure:Â High aircraft utilization, fuel-efficient fleet, productive workforce
- Product Differentiation:Â High-tech amenities, stylish cabins, top-notch service
- Ancillary Revenue:Â Generating additional revenue from fees, upgrades, partnerships
- Brand Reputation: Creating a fun, desirable brand that attracts passengers
This model allowed Virgin America to undercut legacy airline fares while still offering a premium travel experience.
Virgin America’s Main Operating Bases
Virgin America was based in the San Francisco Bay Area, with its main hub at San Francisco International Airport (SFO) and a secondary base across the bay at Oakland International Airport (OAK).
In 2011, it opened a second focus city at Los Angeles International Airport (LAX) to grow its presence in Southern California. Dallas Love Field (DAL) was also slated to become a Virgin America hub before the Alaska Airlines merger.
SFO and LAX served as gateways to Virgin America’s extensive network up and down the West Coast. The airline capitalized on the strong California travel market.
Virgin America’s Fleet Composition
Virgin America operated an all-Airbus fleet composed of A319 and A320 aircraft. The A319s had a capacity of 146 seats, while the A320s sat either 138 or 149 passengers depending on configuration.
By using a single aircraft type, Virgin America optimized training and maintenance costs. The Airbus jets provided 25% fuel savings over the Boeing 757s used by some competitors.
At its peak, Virgin America had a fleet of 67 aircraft painted in its signature silver and red livery. It operated over 230 daily flights to popular leisure and business destinations.
Workforce Culture and Philosophy
Virgin America built a reputation for outstanding service by fostering a positive, engaged workforce culture. Its flight attendants and guest services staff underwent intensive training to provide personalized, top-notch service.
The airline referred to its employees as “teammates” to cultivate a friendly, egalitarian work environment. Teammates were given latitude to express their personalities on the job.
Virgin America also utilized innovative workforce planning software to optimize work schedules and increase productivity. This helped the airline operate efficiently while still promoting excellent work-life balance.
Virgin America’s Innovations in Airline Travel
Introducing Touch-Screen Entertainment
A signature feature of Virgin America was its Red touch-screen entertainment system embedded in every seatback. This allowed passengers to order food and drinks, play games, chat with other passengers, and more.
Red revolutionized in-flight entertainment by providing an interactive, customizable experience. Passengers could create their own playlists from a huge library of films, TV, games, and music.
Virgin America was the first airline to offer this level of entertainment options on every flight. It set a new standard that competitors eventually moved to emulate.
Industry-Leading Cabin Design
Virgin America puts great emphasis on its interior cabin design to create an enjoyable, welcoming environment onboard.
It introduced enhancements like mood lighting that transitioned across different colors to reduce jetlag. Seats featured power outlets, personal lighting, and extra legroom in the main cabin.
Design touches like chrome seat fixtures and purple-hued lighting complemented the airline’s sleek, modern aesthetic. Virgin America’s interiors felt more like a hotel lounge than a typical airplane.
Bringing Free WiFi to the Skies
In 2009, Virgin America partnered with Aircell to introduce the first wireless WiFi hotspot onboard a domestic airliner. This allowed passengers to access email and browse the internet from gate to gate.
While not initially free, Virgin America’s WiFi service was a huge hit with travelers and quickly became a profit generator. The airline upgraded to faster satellite-based internet in 2012.
Free WiFi soon became standard across Virgin America’s entire fleet. It served as a major competitive advantage until more airlines also began offering in-flight WiFi.
Ordering Food Via Seatback Screens
Virgin America debuted an industry-first onboard food ordering platform in 2011. This allowed passengers to browse menus, select meals, and pay for food service right from Red.
Orders were transmitted directly to the airplane’s galley so meals could be prepared on demand. This removed delays from wait staff taking orders row-by-row.
The customizable dining improved the inflight meal service. It also reduced food waste and credit card transaction fees for the airline.
Introducing Social Seat-to-Seat Messaging
In 2011, Virgin America launched an innovative new platform for social messaging between passengers mid-flight. Seat-to-seat chat lets travelers connect and send notes to others onboard their flight.
Passengers could chat with friends seated elsewhere or strike up conversations with new people around shared interests or travel plans. Seat-to-seat messaging represented an early attempt at in-flight social networking.
While ultimately discontinued, it highlighted Virgin America’s creativity in driving passenger engagement through technology.
Key Leaders Who Shaped Virgin America
Sir Richard Branson: Founder and Chairman
Virgin Group founder Sir Richard Branson was the driving force behind Virgin America’s creation. His vision brought the Virgin brand to America with a fresh, innovative airline.
Branson was instrumental in garnering PR and investment for Virgin America before its launch. His reputation lent the airline credibility and star power from day one.
As Chairman, Branson promoted Virgin America globally and pushed the airline to keep innovating. Though not involved in day-to-day operations, he guided the brand to success.
Fred Reid: Founding CEO
Fred Reid served as Virgin America’s founding CEO from 2004 to 2007. With decades of airline executive experience, including at Delta Airlines and Lufthansa, Reid provided operational expertise.
He led Virgin America through its critical regulatory certification process. Reid also oversaw the selection of key vendor partners, route network, and launch infrastructure.
Reid laid the strategic groundwork for the airline before handing the reins to successor CEO C. David Cush in 2007.
David Cush: Long-Time CEO
As CEO from 2007 to 2016, David Cush led Virgin America through its volatile early years into sustained profitability.
Known as a competitive leader, Cush diversified Virgin America’s route network and aircraft fleet. He also oversaw the successful expansion into Dallas Love Field in 2014.
Cush ensured Virgin America maintained excellent operational reliability despite its rapid growth. Under his tenure, the airline cemented its reputation for high quality at a lower price point than competitors.
Steve Forte: Chief Operating Officer
As Chief Operating Officer starting in 2010, Steve Forte managed Virgin America’s daily flight operations, crew management, maintenance, and customer service.
Forte improved the airline’s on-time performance to achieve the best in the industry. He also opened Virgin America’s new home at Dallas Love Field in 2014.
Forte spearheaded major initiatives like upgrading the WiFi system and introducing employee satisfaction training. This operational leadership ensured the excellent delivery of Virgin America’s passenger experience promise.
Where Are Former Virgin America Teammates Now?
When Alaska Airlines acquired Virgin America in 2016, it brought on Virgin’s more than 3,000 aviation professionals. Here’s a look at where some key former Virgin America teammates landed after the merger:
- Peter Hunt, former Chief Financial Officer: Now Vice President of Fleet, Finance and Alliances at Alaska Airlines
- Luanne Calvert, former Chief Marketing Officer: Went on to lead marketing for the San Francisco Giants baseball team
- Jesse McMillin, former Creative Director: Currently Creative Director at Alaska Airlines
- Ron Russ, former Director of Guest Insights: Now Guest Experience Manager at Alaska Airlines
- Shivani Vora, former Brand Communications Manager: Now at Microsoft leading product marketing for Azure
- Steve Forte, former Chief Operating Officer: Left after merger to become Chief Operating Officer at Sun Country Airlines
- Bob Engel, former Vice President of inflight services: Currently leading the flight attendant team at Delta Air Lines
Many former Virgin America teammates continue to excel in the aviation industry, bringing their expertise to Alaska Airlines and other leading airlines. Virgin’s people-focused culture made a lasting impact on these professionals.
Virgin America’s Legacy on the U.S. Airline Industry
Though no longer operating, Virgin America leaves behind an important legacy that changed U.S. air travel in these key ways:
Pushing Inflight Service Higher
Virgin America reset passenger expectations for inflight amenities, entertainment, food, and service. Its cabin design and amenities became the new benchmark that competitors worked to match.
Making Coach Flying Fun
With its colorful lighting, hip brand, and high-tech experience, Virgin America made the economy class enjoyable rather than a chore. It brought a boutique hotel atmosphere to air travel.
Accelerating WiFi and Connectivity
Virgin America helped accelerate the adoption of gate-to-gate WiFi among U.S. airlines. Its investments made internet access expected rather than a premium perk.
Inspiring Brand Personality
Virgin America’s fun, playful brand personality contrasted sharply with traditional airline branding. It inspired other airlines to think more creatively about brand image and marketing.
Lowering Industry Fares
By successfully competing on amenities rather than just fares, Virgin America pushed down ticket prices industry-wide. Its low-cost structure facilitated competitive base fares.
Though gone, Virgin America’s innovations continue improving the passenger experience at 35,000 feet. It redefined what an airline could be in the minds of travelers and competitors alike.
Booking Flights and Policies with Virgin America
How to Book a Flight with Virgin America
While Virgin America no longer operates flights, here is how booking worked when it was still flying:
- Visit the Virgin America website or mobile app
- Use the booking engine to search for dates and destinations
- Select your departure and return flights
- Choose your cabin class: Main Cabin or First Class
- Add any extras like upgraded seating
- Enter passenger details and contact info
- Make payment to complete booking
You could also book Virgin America flights through online travel agencies like Expedia, Booking.com, and Trvelouts.
Virgin America’s Fare Classes
Virgin America offered two main fare classes:
Main Cabin – The standard economy class option with base fares. Checked bags cost extra.
First Class – Upgraded seating with extra legroom, priority boarding, free food, and two free checked bags. More expensive.
Discounted Saver fares were sometimes available for lowest prices. Full-fare Anytime fares provided more flexibility.
Baggage Policies and Fees
Checked bags cost $25 for the first bag and $35 for the second if paid online. Overweight bags incurred fees.
Carry-on bags were free but limited to one bag plus a small personal item per passenger. Size limits applied.
Pets were allowed for a $100 fee each way, with some restrictions on pet carriers.
Change and Cancellation Policies
Fare rules determined if tickets could be changed or cancelled. Cheaper Saver fares had no changes permitted. Anytime and First Class fares had change fees.
Canceling flights prior to departure incurred a $75 fee for Main Cabin, $125 for First Class. Same-day changes were not allowed.
Refunds for Saver fares were issued as travel credits usable on future flights. Anytime and First Class refunded to original form of payment.
Useful Contact Information
Although Virgin America has ceased operations, below is some of its past contact information:
Reservations: 1-877-FLY-VIRGIN (359-8474)
Customer Service: customersupport@virginamerica.com
Social Media: @VirginAmerica on Twitter and Facebook
Airport Ticketing Counters: Staffed at all airports served
Member Services: 1-877-359-8474 for Elevate loyalty program members
Virgin America’s Fares and Fees Overview
As a low-cost carrier, Virgin America offered competitive base fares coupled with extra fees for services. Here’s an overview of typical costs:
Main Cabin Fares
Typical round-trip Main Cabin base fares on Virgin America routes:
- Los Angeles to San Francisco: $100-$250
- New York to Fort Lauderdale: $140-$300
- Dallas to Las Vegas: $150-$350
- Seattle to Los Angeles: $100-$200
First Class ran around 1.5-2X the Main Cabin fare on a route.
Ancillary Fees
Virgin America generated significant revenue from ancillary fees including:
- Carry-On Oversize/2nd Bag: $25 per bag
- First Checked Bag: $25 online, $35 airport
- Second Checked Bag: $35
- Seat Selection: $8-$199 for Main Cabin Select, exit rows, bulkheads
- Inflight WiFi: $8-$39 depending on flight duration
- Inflight Food & Drinks: $4-$15 per item
- Ticket Changes: $75 Main Cabin, $125 First Class
- Pet Fee: $100 each way
These fees allowed Virgin America to keep base fares competitive while offering extras for purchase.
Virgin America Reviews and Passenger Feedback
Virgin America earned a reputation for excellent service and amenities. Here’s a look at typical passenger reviews:
- “Love the fun vibe, cool lighting, and all the entertainment options at every seat.”
- “The cabin crews are always so friendly, helpful and upbeat – really sets them apart.”
- “Even in coach, their seats are comfortable with enough legroom and recline.”
- “The WiFi is fast and lets me stay productive in flight.”
- “It feels like you’re traveling in style rather than crammed into a typical plane.”
While not perfect, most reviews highlighted Virgin America’s service, cabin experience, and amenities as major advantages over competitors.
Virgin America’s Food and Drink Selections
Virgin America offered an extensive menu of meals, snacks, and drinks for purchase inflight.
Food options ranged from tapas boxes to hearty meals to vegetarian options and kids’ packs. Brand partners included San Francisco’s Lucca Foods.
Drinks covered coffees, teas, sodas, juices, liquor, and an award-winning cocktail selection. The airline highlighted California wines and craft beers.
Orders could be easily placed from the seatback Red entertainment system and delivered promptly.
More on Virgin America’s Teammates and Culture
Virgin America’s excellent passenger experience stemmed from its positive internal culture.
The airline referred to employees as “teammates” to foster camaraderie and eschewed stuffy uniforms. Flight attendants had input into styling their own uniform looks.
All new hires attended intensive five-week training programs focused on hospitality and safety. Ongoing “keen on service” training reinforced Virgin’s exacting service standards.
Virgin America teammates enjoyed flexible work rules and scheduling tools that improved work-life balance. The airline promoted fun and personality on the job while delivering top-notch customer service.
Conclusion
In just 11 years of operation, Virgin America made an outsized impact as a leading industry disruptor. It redefined the U.S. airline market with its innovative onboard experience and fresh branding.
Though acquired by Alaska Airlines in 2016, Virgin America’s legacy lives on through the team members, partnerships, and innovations it pioneered. It raised the bar for long-haul flight amenities and proved passengers would pay for quality.
Virgin America’s excellent service culture also transformed employee engagement in the airline industry. It brought a startup mentality to challenge the status quo.
Today’s flyers continue to benefit from Virgin America’s ingenuity and focus on delivering a premier passenger experience. The airline may be gone, but its legacy soars on.
