Virgin Atlantic SWOT analysis

Virgin Atlantic SWOT analysis – SWOT analysis of Virgin Atlantic: Virgin Atlantic is a British Airline established by the legendary businessman Richard Branson. It is owned by Virgin Atlantic Limited, the airline has always committed to bringing out the best in its services and also achieving efficiency and effectiveness.

It is currently the seventh biggest passenger carrier in the world. It transports 5.4 million passengers as of today and offers three class options: economy, premium as well as business. When the airline was first launched in 1984, it only had one Boeing 747 that was leased out. At present, it has 46 aircraft in its fleet, which indicates the development of the business.

The airline recorded an annual revenue that was 2.3 billion dollars in 2017, The airline has transported around 300 million tonnes of cargo around the globe. Presently, Virgin Atlantic is owned by Virgin Group & Singapore Airlines. Virgin Group holds a stake of 51% in the company, and Singapore holds 49%. The airline operates flights out of the United Kingdom to North America and Asia, the Caribbean, Africa, the Middle East, Asia, and Australia.

Virgin Atlantic fun facts: In the early ’90s, Virgin Atlantic treated each of its Upper Class customers to a chauffeured motorcycle ride to the airport. Today, first-class flyers receive a free limo ride instead.

About Virgin Atlantic – SWOT analysis of Virgin Atlantic

SWOT analysis of Virgin Atlantic

[wp-svg-icons icon=”office” wrap=”I”] Company: Virgin Atlantic Limited

[wp-svg-icons icon=”user” wrap=”I”] CEO: Shai Weiss

[wp-svg-icons icon=”user” wrap=”I”] Founder: Richard Branson | Alan Hellary | Randolph Fields

[wp-svg-icons icon=”calendar” wrap=”I”] Year founded: 1984, London, United Kingdom

[wp-svg-icons icon=”location-2″ wrap=”I”] Headquarters: Crawley, United Kingdom

[wp-svg-icons icon=”stats” wrap=”I”] Annual Revenue: Pound£868 million

[wp-svg-icons icon=”bars” wrap=”i”] Profit | Net income: Pound£180.9 million

[wp-svg-icons icon=”users” wrap=”I”] Number of employees: 7,437

[wp-svg-icons icon=”pie” wrap=”i”] Products & Services: Utilising a fleet of Airbus and Boeing wide-body aircraft, Virgin Atlantic operates a network of international services to North America, the Caribbean, Africa, and Asia from its hub in London Heathrow.

[wp-svg-icons icon=”globe” wrap=”I”] Website:

Virgin Atlantic Competitors

[wp-svg-icons icon=”pacman” wrap=”I”] Competitors: Air India | Singapore Airlines | Etihad Airways | Malaysia Airlines | Qatar Airways | Qantas Airways | Lufthansa | British Airways | Air Asia | Air Canada

SWOT analysis of Virgin AtlanticVirgin Atlantic SWOT analysis

SWOT analysis of Virgin Atlantic

SWOT Analysis Of Virgin Atlantic is brand-based. SWOT Analysis of Virgin Atlantic evaluates the brand’s strengths, weaknesses, opportunities, and threats. Advantages and disadvantages can be attributed to internal factors while opportunities and threats can be attributed to external factors. We will be discussing Virgin Atlantic’s SWOT Analysis. Below is the detailed SWOT Analysis of Virgin Atlantic.

Let’s talk about Virgin Atlantic’s SWOT assessment.

Strengths of Virgin AtlanticVirgin Atlantic SWOT analysis

  • Amazing Image: Virgin Atlantic is capable of spreading a cool image, mostly due to the image Richard Branson has. It’s as well an airline that is popular with young people and exudes youthfulness and vitality.
  • Industry trendsetter: Virgin Atlantic was an airline responsible for setting a variety of new trends in the industry of airline. The standards for service established by Virgin which is thought of as an innovative business have frequently set the standard for process and service within the industry.
  • Concentrate on quality: Virgin Atlantic has been committed to quality and has been devotedly following TQM. They use TQM for the improvement of processes and this is responsible for substantial cost savings as well as profit.
  • Positioning: Virgin Atlantic is considered to be a price-for-value name. Although the prices for tickets are high relative to rivals, the quality of service and personal attention provided to customers is exemplary. It is renowned for its high-quality food and beverages as well.
  • Multiple categories of customers: The airline primarily has three categories: economy, premium, and luxury segments. But, with its standardization, the airline is able to serve a broad range of customers. Through slight ramping up and down in service quality and personalization, the airline will be able to provide various levels of service for every level.
  • The level of customer satisfaction: Virgin Atlantic has looked at every small detail of what a customer, both internal and external, expects from its business, and has made sure that the satisfaction level is very high for all of the customers.

Weaknesses of Virgin AtlanticSWOT Analysis Of Virgin Atlantic

  • Financial Issues: With Brexit, Virgin Atlantic will be facing many financial difficulties as the airline carries out the majority of its purchases in dollars, but earns its profits in pounds. Due to the decline of the sterling’s value, the company has been able to incur significant financial losses.
  • poor differentiation: Though Virgin Atlantic was at one time a pioneer in the industry of airline it was unable to make a significant difference. Certain players in the industry of airline have copied Virgin’s strategy but have succeeded in providing a better standard of service. This has led to losing business, and the airline must examine other ways to differentiate themselves.
  • Perception of being a costly airline: Many passengers who prefer to travel in economy class would not even think about Virgin Atlantic in their list of options because it is thought to be more costly compared to its competitors.

Opportunities of Virgin Atlantic – Virgin Atlantic SWOT analysis

  • The changing preferences of customers: As more professionals enter the corporate world, the possibilities for business travel have grown. The majority of people are more willing to pay more money for a seat in an airplane when they can be sure of comfortable travel as they are aware that the number of traveling has been increasing. This is definitely a good pattern with regard to Virgin Atlantic.

Threats of Virgin Atlantic – SWOT analysis of Virgin Atlantic

  • Competition: The airline faces much competition from companies like Lufthansa, Emirates, Air France, Cathay Pacific, and British Airways.
  • The Brexit issue: With Brexit, the situation of the company is now a major concern. The decision led to an abrupt drop in the number of customers traveling internationally and, consequently has affected the operations of Virgin Atlantic.

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Overview Template of Virgin Atlantic SWOT analysis

SWOT analysis of Virgin Atlantic


The microenvironment where Virgin Atlantic is inserted is defined as a mature market, unprofitable, and extremely competitive. The major forces against the company are the competitors, the suppliers and the customers, new entrants and substitute products represent weaker forces. This is definitely not a business defined as abundant and covered by opportunities. The company must develop a strategic plan where the option of new routes and options are at customers’ disposal and gives some competitive advantage to Virgin. The merger and acquisition discussed in this research is an alternative to mitigate this risk. The supplier force is major caused by fuel cost which is directly affected by oil price flotation. In this case, the company must apply efforts to get more efficient derivative tools such as hedges to protect the company from this variation. The strong reputation and loyalty engendered by the Virgin Atlantic brands is a core part of the value of our business and must be used as a competitive advantage to mitigate the force caused by bargain power from customers.

This is the SWOT analysis of Virgin Atlantic. Please let us know if you have additional suggestions to add.

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