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Stiff competition for business class fares to continue as Virgin Australia expands capacity

Stiff competition is currently underway and is likely to further intensify as Virgin Australia is in a face off with its rival Qantas Airways to take market share in premium travel segment.

John Borghetti, Chief Executive of Virgin Australia, recently said that aggressive competition is going to continue as the airline has embarked on an ambitious plan to expand capacity to take market share from Qantas Airways.

Virgin Australia is targeting premium travel segment and wants to attract customers to book business class tickets with it. The airline’s operational results in August this year have also reaffirmed its commitment. The airline has revealed that it is expanding its capacity by 8-9 percent to give a tough fight to Qantas Airways.
According to the airline, it has increased the capacity by 80 percent mostly on transcontinental flights being operated between the mining boom state of Perth and the east coast.
Virgin Australia has recently slashed its business class fares by nearly 25 percent as part of its upgraded service and to attract premium travelers in a big way.

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