Analysis will be key to post-pandemic recovery, says Virgin Atlantic vice-president of sales for UK and Europe Lee Haslett
It is clear the Covid-19 crisis will leave a lasting mark on the global economy, our industry, and the nation.
When the world emerges and operations resume, air travel is going to be a vital part of the economic and social recovery in the months that follow, even if the ‘new normal’ means adapting to a different kind of travel experience, at least initially.
While the skies above us remain emptier than usual, limited scheduled operations enable essential journeys, and for Virgin Atlantic, daily cargo-only flights keep supply chains open to and from the UK, including crucial medical PPE imports onboard daily NHS charters from Shanghai. In April we also flew over 3,000 Brits home on government-chartered repatriation flights.
For those at home, the desire to travel remains undiminished. Like the 3.3 million people who tuned in to BBC Two last Sunday to watch the final of Race Across the World, there is an enduring passion to go to new places and experience something they love, with people they love. Despite economic uncertainty there is also increasing purchasing power for some. As every week of lockdown passes, Brits are collectively saving a staggering £4.6 billion, which could go towards purchasing that much-deserved break when the time is right.
Desire to travel
Almost two thirds of UK travellers recently surveyed by Iata told them that once the pandemic has subsided and travel restrictions have eased, they will travel by air to see family and friends as soon as possible, with a similar proportion planning a holiday overseas.
At Virgin Atlantic we’re using insights like this, coupled with a deep dive in to multiple data sources and week-on-week consumer sentiment, to understand how and when our customers want to travel, and what the re-start of scheduled operations should look like as we enter the summer.
Tapping into Google Trends we’re understanding the places that people are searching for and the kind of experience they are after, be it beach break or city escape. Virgin Atlantic’s own data is revealing – during April, flight-only searches for 2021 departures to Orlando increased 50% year-on-year, with double-digit jumps in searches for trans-Atlantic trips to Miami and New York.
Business travel is also going to be a vital part of the economic recovery in the months that follow. Re-establishing high value professional ties that only in-person contact can truly foster – as helpful as a Zoom video call might be during these difficult times.
This data-driven approach to see the green shoots of recovery more clearly will ensure that Virgin Atlantic meets the needs of our customers as we enter a post-lockdown travel era. In the meantime, we’re working hard to address the issues that we know matter to our valued trade partners and customers in the here and now.
Path to recovery
As has been widely reported, Virgin Atlantic is exploring all available options to obtain additional external funding. Discussions with a number of stakeholders including the private sector and the government continue and are constructive, and meanwhile the airline remains in a stable position.
We know our customers are looking for flexibility in their rebooking options, which is why we’ve enabled this right the way until 31st May 2022. We are also working to log and process thousands of refund payments and it will take longer than usual to do this, with thirty times the typical amount of daily refund requests, while managing the resources of our teams working from home and staff sickness. We continue to be grateful for our customers’ patience during this unprecedented situation. To give peace of mind to our loyalty customers, the status of all Gold and Silver members have been extended by six months, along with companion, upgrade and Clubhouse vouchers – a timeframe that we’re keeping under constant review.
Meanwhile, for everyone in our industry, insight this week from OAG that scheduled airline capacity has increased for the first time in nearly ten weeks, in multiple markets, is reason for optimism.
Past crises tell us that a travel demand rebound is typical. Consumers are still dreaming about travel and, once restrictions and lifted and it’s completely safe to do so, Virgin Atlantic stands ready to help fulfil these dreams.
