Virgin has been stealing Qantas’s lunch in the corporate traveller market.
Last finacial year, Virgin says it further increased revenue from the corporate and government market segment.
This now represents more than 25% of domestic revenue, far exceeding its original goal of 20%.
Virgin didn’t put a dollar figure on that but its total revenue was $4.3 billion in the financial year just ended.
Qantas, however, says it still has a strong position with large corporate customers.
In the 2014 financial year, Qantas says it renewed 1,821 big corporate accounts and added 481 new companies. But it also lost 101 accounts and won back 81.
Virgin CEO John Borghetti says the increase in corporate and government customers is an enormous credit to all of the team.
Part of the win, he says, is the work Virgin has been doing to enhance its lounge network, and improve in-flight entertainment and catering.
And, like Qantas, Virgin now has complimentary snacks on all flights between Brisbane, Melbourne and Sydney.
It has also completed the roll out of wireless in-flight entertainment across the Boeing 737 fleet, offering seamless streaming to mobile devices, computers and tablets.
“A few years ago, many travellers were wedded to our competitor because they had no other viable alternative,” Borghetti says.
The airline also has been investing in its staff.
Borghetti says Virgin has now been recognised as one of Australia’s top employer brands for four consecutive years at the Randstad Awards.
“Our people and the service they provide remain our key differentiator,” he says.
“It is our ability to attract, develop and retain the best talent, not just in the industry, but across Australia and beyond, that will see us succeed.
“Over the next three years, we will be rolling out a range of initiatives to continue to develop our people to their full potential.”
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