February 15, 2008 4:01 pm : Comments 001
Let’s face it, most airlines are indifferent about public relations. Although the major ones were once ranked among the most creative and effective brand marketers, today they are more concerned with trying to figure out how to cram more people on the plane than with making sure passengers are happy. United’s friendly skies are no longer quite so friendly, Delta is hardly ready when you are, and few travelers would say that American Airlines is still something special in the air.
But there is hope. I have found a smart, engaging airline public relations executive who is quite remarkable not only for her media smarts, but also for her savvy ability to permanently disarm one of her company’s critics. I’m talking about Abby Lunardini, director of corporate communications for Virgin America.
My dealings with Ms. Lunardini began last month when I contacted her for comment on an item I was considering about Virgin America. Without going into details, suffice to say that it probably wouldn’t have been a blog post that Ms. Lunardini or her bosses would have treasured.
As you know, I had already written some critical things about my experiences with this upstart airline, and had exchanged emails with senior management in the past. I wasn’t sure what type of reception I’d receive from Ms. Lunardini, but I assumed she knew the history and would, accordingly, hardly count herself among the blog’s biggest fans.
Ms. Lunardini defied my expectations. There was no cold shoulder, no blatant or subtle hostility, no Target-esque brush off of a mere blogger, and no tersely worded official statement or tight-lipped “no comment” in response to my less-than-favorable inquiry. Her professionalism, sincerity, and responsiveness were quite impressive.
But what really stands out is the way she subsequently used the opportunity provided by our dialogue to follow up on a request I made months ago to a Virgin America flight attendant for an autographed photo of Sir Richard Branson for my colleague Jackie Condie, who absolutely reveres the guy for his business acumen and PR smarts. Ms. Lunardini let me know that the photo request had not been forgotten and that she was hoping to get the photo signed when she saw Sir Richard at a party the company was throwing to celebrate the launch of service to San Diego.
Now here’s where I must confess to having an utterly shameless moment: I couldn’t help but ask Ms. Lunardini if it might be possible for Jackie to attend the San Diego celebration and meet Sir Richard in person. Not only did she oblige, she insisted that I come to the party as well. And so Jackie and I briefly found ourselves in southern California this week enjoying weather that should be considered sinful in mid-February.
Let’s just say Ms. Lunardini throws a heck of a party.
With help from an impressive group of representatives from the D.C. and Beverly Hills offices of Ogilvy Public Relations Worldwide, the flawlessly executed party at a trendy San Diego hotel was done in real style and class. Everything was to the king’s taste.
The party was filled with interesting people, ranging from Chamber of Commerce folks to Virgin America vendors. We also met a woman who made a critical video of Virgin America after her flight was delayed for some five hours. She, too, had been invited to the party.
Despite all the pressure Ms. Lunardini was clearly under, she still found time to make good on her promise. When we gave our names at the door, a representative from Ogilvy without looking at the list attentively said to Jackie, “Oh yes, you’re the one we need to make sure meets Mr. Branson.” You would have thought we were VIPs.
Just after 9 p.m., we were instructed to go to a quiet area upstairs. A few minutes later, we were introduced to Sir Richard who shared a few words and graciously agreed to pose for a photo with Jackie. Later we learned he was actually rather sick with the flu. You’d never have guessed it.
I’ve worked with Jackie for more than 10 years and I don’t recall a time she’s ever looked quite so thrilled. Ok, well, maybe at her wedding. Some people have asked us if spending a few minutes in his company was really worth the hassle and aggravation of making a cross-country trip in two days. Seeing the look on her face as she shook the man’s hand, there is no question about it. Definitely yes!
So many thanks Ms. Lunardini for an experience Jackie and I will never forget, and for changing this blogger’s perception of airline PR people. Like Virgin America itself, you are clearly a standout in your crowd.
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November 1, 2007 8:59 am : Comments 003
I recently attended a private business briefing where a management consultant from one of the major firms gave an extremely impressive and insightful presentation on global business trends. During the cocktail reception that followed, the speaker was asked by the co-head of a buyout firm if he did a lot of work with private equity firms. “I try not to,” the consultant said. “With due respect, most of the people in your business are real @#$holes.”
While it may be unfair to tar and feather the individuals of an entire industry in one broad stroke – trust me, I know about that first-hand being in the PR business – there’s more than a little truth to the old adage “nice guys finish last” when it comes to the leadership of companies owned by some private equity firms. Fortunately, there are exceptions. Indeed, the executive who questioned the management consultant is a former very senior executive at a Fortune 100 company whose résumé boasts an impressive litany of career accomplishments. He also happens to be one of the fairest and most decent business leaders I’ve ever met.
The cover story in last week’s issue of BusinessWeek touches on this topic. Emily Thornton’s compelling “Perform or Perish” article reports on the increased pressure LBO firms are placing on the executive management of acquired companies to generate better returns on faster timetables. To quote Ms. Thornton, “The toughest CEO jobs in America just got tougher.”
She cites work done by Steven Kaplan, a professor of finance and entrepreneurship at the University of Chicago’s Graduate School of Business, and Geoffrey H. Smart, head of a management assessment/recruiting firm, on common proficiencies and character traits found among 150 private equity CEOs:
Only the most tenacious executives can survive private equity’s rigors… Kaplan found that CEOs who bring “hard” qualities such as aggressiveness, persistence, insistence on high standards, and the ability to hold people accountable are significantly more likely to succeed. Those who offer primarily “soft” skills that are often effective at public companies – like listening, developing talent, being open to criticism, and treating people with respect – are unlikely to work out. Says Smart: “Successful private equity CEOs are cheetahs.”
Ms. Thornton laces her story with examples of the seeming callousness and unmitigated ruthlessness it takes to be a CEO these days of a portfolio company of some buyout firms. Jeff Clarke, CEO of Travelport, a travel services company owned by Blackstone Group and Technology Crossover Ventures, is one of them.
Let’s just say Mr. Clarke clearly isn’t vying to make anyone’s list of “Best Bosses to Work For.” In response to rumors that Travelport was thinking of taking its Orbitz unit public, Mr. Clarke told his staff that “private equity ownership generally is not a long-term proposition. The day will come when our [owners] will decide to take Travelport public, sell off individual businesses, spin off groups of businesses, or pursue some other exit strategy.”
Yes, there are some advantages to providing such a blunt assessment of the company’s future from a “communicating organizational change” perspective. But there is also something to be said for not destroying employee morale in the process. And what about Travelport’s customers? I’d welcome hearing the inside story as to why WestJet Airlines opted to take a $30 million writedown rather than continue developing a computer reservation system in partnership with Travelport.
Ms. Thornton also shares tales of Gerald Storch, who runs Toys ‘R’ Us for Kohlberg Kravis Roberts, Bain Capital, and Vornado Realty Trust. Seeking “to administer shock treatment” and eradicate “victim thinking” among employees who seemed to have lost their drive, Mr. Storch fired virtually all the senior managers he inherited, intentionally replacing them with outsiders. Whether out of fear or forced corporate rah-rahism, rank-and-file employees are said to now walk around with badges pledging that they’re “Playing to Win”.
While there’s no debating Mr. Storch’s quoted comment that poor performers will become store managers’ biggest problems if they don’t cut them loose, the badge-wearing idea brings to mind that “Seinfeld” episode where Kramer was hunted down for not wearing an AIDS ribbon while participating in an AIDS awareness walk. Will otherwise enthusiastic, productive employees get demerits if they refuse to wear the badge? Scott Adams, please take note!
Another CEO cited is Mary Petrovich of AxleTech, who demonstrates that gender plays no part when it comes to a list of America’s most demanding and punishing CEO taskmasters. Once in office, her first move was to slash union wages and benefits by 33% in their new contract. Managers in a quarterly review of projects in the works were expected to report that they are exceeding expectations, not just meeting them. Those who reported less than 100% success were given one minute to explain their challenge and one additional minute to say how they would overcome it. Ms. Petrovich later told Ms. Thornton they would be given just one quarter to get the project back on track.
To be fair, Messrs. Clarke and Storch and Ms. Petrovich are fighting for their own survival. An Ernst & Young study cited by BusinessWeek found that buyout firms replaced CEOs or CFOs at 17 of the 23 companies they sold or took public last year. The danger, however, is not learning from the misguided “profit-at-any-price” philosophy of executives that came before them. Remember “Chainsaw Al” Dunlap? Enron’s Jeffrey Skilling? They had similar damn-the-torpedoes approaches that came back to sink their own battleships in the end. The ever-escalating pressure to do things faster, cheaper, and with better returns all too often becomes unbearable and corners start getting cut. It’s little wonder that many CEOs are secretly grappling with suicidal depression, as Philip Burguieres has warned.
One of the major benefits of taking once-public companies private was supposedly to free top managers to focus on long-term performance rather than quarterly earnings. There are private equity firms that are adhering to that principle and creating value for their shareholders and their workers as well. But these firms typically are smaller than the Blackstones of the world and generally prefer to keep a lower profile. Instead, the public perception of private equity is driven by those who embody the values and ideals of Gordon Gecko and delight in flaunting their stratospheric wealth.
Sadly, I suspect Messrs. Clarke and Storch and Ms. Petrovich are quite proud of their BusinessWeek portrayals. I know what at least one management consultant will think of them if he reads the story.
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October 19, 2007 9:35 am : Comments 009
I know I promised to not write about airlines for six months, but Jackie is off on a well-deserved vacation and I’m fairly sure she has no Internet access out on that big boat at sea. So I’m going to slip in one last airline beef that I just have to get off my chest.
I’m sitting on an airplane (Virgin America if you really must know) and watching yet another inane demonstration on how to fasten a seatbelt. What gets me is that after the demonstration, passengers are advised to shut off all electronic devices, including laptops, cell phones, and pagers (pagers? Who still uses a pager?).
Is it just me, or is there something ironic about being left to our own devices (no pun intended) when it comes to operating the sophisticated technology stuff they say interferes with the flight controls, but apparently we need a choreographed walk-through on those complicated seat belt buckles.
Yeah, Anthony, I know: “My name is Eric and I am an airline blogging addict.”
9 of 9
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October 5, 2007 2:31 pm : Comments 004
Whenever I tell someone that I own and manage a PR firm, the response is almost always the same: “Wow, that must be great being the boss and getting to do whatever you want.” Their visions of me taking extended vacations and enjoying the stress-free existence that comes with not having to report to someone sounds good, but is hardly the case.
Owning your own company, particularly if it’s a professional services business, is just a more glamorous form of indentured servitude. You are forever beholden to clients, with their needs and deadline pressures taking precedence over yours (and rightfully so, just so we are clear). Planning an all-day hike on Saturday only to have a client call you the Friday afternoon to say they need a news release drafted and approved by 9 a.m. Monday morning? The mountain will be there next weekend. Booked on a little R&R trip to Florida in January only to find the day before that a client in Minneapolis wants to see you? Swap the scuba flippers in your suitcase for snow boots, as you’re going to Minnesota.
But clients aren’t the only ones ruling the roost. There are also your employees. It’s often said that in a professional services business, a company’s best assets walk out the door every night. At a top-tier firm like S&A, these “assets” are aggressively courted by other firms on a regular basis and understandably so as I’ve surrounded myself with some of the best and brightest people in the public relations business. To keep these people happy I’ve had to embrace what is known as employee empowerment, meaning that I must often listen and accept the collective will of my colleagues, even when it involves the trampling of my First Amendment right of free speech. Harrumph!
When we launched this blog in June, it was generally assumed by the As in S&A that I would focus on public relations, reputation management, customer service, and media relations, topics on which I can speak with a great degree of authority and expertise. All things considered, it was a reasonable assumption. I’ll give them that. However, I do have interests outside the four walls of the office that I would like to write about from time to time. One of them is the airline industry… which I guess is apparent to even the most sporadic of readers by now.
I have been fascinated with the business since I flew on a Vickers Viscount turboprop to Pittsburgh when I was about 10 years old. The logistics of moving all those people and all that cargo to so many places… it’s like watching a symphony on tarmac. Truthfully, I secretly covet the job of Henry Joyner, the American Airlines executive whose myriad responsibilities include overseeing the nation’s biggest airliner fleet. Then again, I get pretty stressed out wondering if we turned off the air conditioner at night. I’m not sure I have that inner zen tranquility required to masterfully juggle more than 4,000 daily flights without causing myself irreparable cardiac stress.
Given this childhood-born fascination still entrenched, is it any wonder I started writing about the airline business? It started with a blog about call centers and then I moved on to Virgin America. Okay, maybe Virgin America IV was a little much, but, hey, Sir Richard Branson is a PR guru so I figured I was on solid ground. I’ll concede that my blog about relieving airport congestion was hardly within the realm of PR, but I fly a lot and I’m fed up with increasingly long delays. But if you hold these airline posts up to the light at just the right angle, there are PR considerations touched on. The post about airline frequent flyer programs earlier this week, for example, should technically be considered within the realm of customer service, which is PR-ish, right?
Unfortunately, my colleagues see things otherwise and have plotted against me.
The mutiny – or intervention depending on where your sympathies lie on this one – began with my co-founder Jackie, who has the final say over all editorial content emanating out of S&A, including this very post. She let me know early on that she, well, let’s just say “disapproved” of my steady stream of airline blogs, especially when I became a tad fixated on criticizing the airline connected with Sir Richard Branson, a guy with a solid invite on her Five Famous People You’d Invite to Dinner list.
Then there is Jeff, who in another life specialized in travel PR and has probably forgotten more about the travel industry than most people know. Jeff, too, has let me know of his concern over the frequency of my airline blogs and graciously has sent me links to people more qualified than me to write about the business. Anthony has repeatedly made references about getting me help for my “airline blog addiction.” Meghann? Well, she now just meets my requests for help on airline-related research with the glazed-over look of defeat and resignation. The final straw came from Jacob, our creative director, who when I asked to post my Virgin America IV posting, groaned: “Not another airline blog. I thought you were supposed to be writing about public relations.”
Threatened with having my blog hijacked and off-loaded to a secret URL, I had no choice but to meet their demands for a six-month blackout on anything airline-related. These were the terms in their ransom note:
“For purposes of the S&A blog, you are not to directly or indirectly write about, write on, or write around anything having to do with the airline industry, which is defined as any person, organization or group involved for pay or pleasure in activities that enable, support, market, or provide commentary on the transporting of people or cargo via the air.”
Not completely heartless, they granted me an exception: “You may, however, write about helium balloons.”
So there you have it. Employee empowerment at its finest. As I am a man of my word and, all kidding aside, this is very much a joint effort, I must now wait until April before indulging my editorial whimsy for all that is glorious and maddening about airplanes and the people and companies that fly them.
Before I am silenced, however, I want to give a shout out to an airline blog that is amazingly informative and a delight to read. Called The Cranky Flyer, it’s written by a former airline employee and self-confessed “airline dork” named Brett Snyder. What impresses me about the site is not only Brett’s insightful musings, but the sophisticated responses of his readers. Brett is an extremely talented writer with a wry sense of humor; his numerous awards are well deserved.
I’ve had several email exchanges and brief telephone conversation with Brett these past few weeks and he’s offered to take me to a bar/restaurant at LAX with a bird’s-eye view of planes landing and taking off the next time I’m in town. For me that will be the equivalent of sitting with Bob Sheppard while watching the Yankees play. Sadly, I won’t be able to write about the experience if it happens before the winter snow comes and goes.
Then again, I guess I won’t be able to write about that unbelievably wonderful Virgin America flight I took this morning or about the senior Virgin America executive who has agreed to meet with me. Hmmmm… you sure you don’t want to renegotiate, Jackie?
And with that, off I go into the sunset. Wheels up.
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October 2, 2007 11:03 am : Comments 003
As my close friend and financial adviser Dan will tell you, I’m the last person you should look to for investment advice. My general rule of thumb when it comes to investment opportunities? If it won’t fit under my mattress or doesn’t come with the full faith and backing of the FDIC or Uncle Sam, it’s generally too speculative for me. Dan has long since developed a permanent crick in his neck from all the head shaking he has done over the years while reviewing my near-zero-risk investment portfolio.
My conservative investment style has left me off the playing field many a time when, with the luxury of hindsight, I now realize some clearly great opportunities had come calling. Maybe this is another one of those cases where I just “didn’t see it”, but there was a story in The Wall Street Journal last week about growing pressure on airlines to spin off their frequent-flyer programs that leaves me only seeing the downside for investors.
I obviously understand what’s in it for the airlines and their investment bankers: one analyst estimates that United alone could fetch some $7 billion unloading its Mileage Plus program and other assets. That’s a lot of cash for an airline that emerged from Chapter 11 bankruptcy protection just last year. It’s the other side of the equation that makes no sense to me: Why would anyone want to invest in a company looking to untether the one thing that drove customers’ repeat business? Affinity programs are, after all, the value “hook” that compels many travelers to book with one airline over another. I’m certainly one of them – I have more than 100,000 miles with American and a sizable chunk with Continental as well.
Now, I know that racking up mileage rewards with the expectation of flying free on a highly traveled route is the very definition of wishful thinking. But it doesn’t stop me from trying. Sadly, whenever I try to dip into the mileage well to fly direct on one of my frequent trips to the West Coast, it’s always a lost cause. “Sorry, sir, there are no mileage seats available.” Ever.
I thought perhaps that Isabella Goren might have it out for me personally, but it turns out that “Just say no,” is a mantra for all her airline fraternity and sorority brothers and sisters. A consulting firm earlier this year asked 53 frequent-flier-program executives what frustrates customers most, and 65% said limited availability of “saver” awards. And more than half said they didn’t increase availability last year.
I might not be Warren Buffet, but I know when someone is flipping me the bird. It is beyond me why people want to have an “affinity” to companies whose attitude towards customers is “Let them eat cake.”
So let me let you in on a little secret. More than a year ago I signed up with Starwood Preferred Guest Program, which allows you to use points to stay at hotels ranging from the top-tier St. Regis to Four Points by Sheraton. But here’s the catch: There is no catch. The program advertises no blackout dates and in my experience THERE REALLY ARE NO BLACKOUT DATES even at Starwood’s best properties.
My favorite hotel property anywhere in the US is just off San Francisco’s Union Square. The property was converted to a Westin in April and the architects and interior designers responsible for overhauling the place should win an award for making an already great place even better. Despite the hotel’s growing popularity, I was able to use my Starwood points for stays during June and August, at the peak of the summer travel season and both times I was upgraded to a suite. I couldn’t use my points for a stay this Friday night, but I took a certain comfort in learning I couldn’t pay for a room either. (Anyone know another reasonably priced hotel with floor-to-ceiling windows in the Bay area?)
As P.T. Barnum once said, there is a sucker born every minute. American Airlines reportedly has nearly 60 million frequent-flyer members worldwide and no doubt many of them continue to mistakenly believe that their miles will one day garner them their just “rewards.” But over time an increasing number of these members will see the light and favor Starwood or perhaps other hotel affinity programs (a former client of mine raves about Hyatt’s program). When this trend is irreversibly established, my guess is that’s when the airlines will start unloading their frequent-flyer programs to unwitting investors.
Then again, if someone came to me in the 1970s and offered me a chance to invest in a New Mexico software company run by a Harvard dropout computer nerd, I no doubt would have said, “Why would anyone want to invest in a software company?”
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August 24, 2007 1:29 pm : Comments 007
Well, it turns out Jackie’s faith in Sir Richard Branson and Virgin America was not misplaced after all. I was pretty underwhelmed when I flew out on Virgin America to San Francisco a week ago, but she told me to give them time to work out the opening day kinks and wait until the second flight before passing judgment. I wasn’t expecting a sea-change in a week, but I promised to go to the airport with a somewhat open mind.
But now that I’m back in NYC, I’m singing a bit of a different tune. Make no mistake, Virgin America is still working on its technology issues and my flight was anything but uneventful. But the airline’s handling of the problems that arose is a textbook example of how public relations and employee empowerment can garner strong brand loyalty even in the face of adversity.
Let’s start at check-in. In terms of professionalism, polish, friendliness and efficiency, the Virgin America staff at the San Francisco airport ran circles around their counterparts at Kennedy, as did the security staff at the international terminal where the airline is based. I was at the departure gate within 15 minutes or so of my arrival at the airport. 15 minutes. That’s unheard of at Kennedy.
My flight pushed away from the gate as scheduled at 8:55 a.m. My hopes of an on-time arrival were quickly dashed when, after 25 minutes on the tarmac, the pilot announced that we had to return to the gate because of a “computer problem.” Ten minutes later, we learned that we would be taking a different plane east and, upon pulling up to the gate, were asked to gather our belongings and return to the terminal. Rather than feel annoyed at the inconvenience, I think the general consensus was largely neutral. Many people, myself included, were thinking more along the lines of “well, at least they made the decision quickly and didn’t have us sit out here for a few hours while they tinkered under the hood.”
Apologies for the unexpected delay were offered by the pilot as we taxied back and by the flight crew as we deplaned. In addition, within minutes – literally minutes – of deplaning, everyone was given a $10 food voucher for any restaurant in the airport. Flight attendants worked quickly to join the terminal-based Virgin America representatives scribbling out the vouchers. And, whereas most airlines in a similar circumstance would instruct you for their convenience to stay by the gate to await reboarding instructions, the Virgin America representatives told us that it would take at least 45 minutes to transfer the luggage onto another plane, so we should feel free to roam around for that long.
Virgin had us back on board in just over an hour. After another round of apologies, we were immediately informed that we could choose a free in-flight movie, a free drink (which I presume was an alcoholic beverage), or a free meal to further compensate for our inconvenience. Regretfully, several of the in-seat entertainment systems were on the fritz but, as the plane wasn’t full, the flight attendants did a masterful job moving people around so that people who wanted to use the entertainment system were able to do so. I did learn later that a technician was on board troubleshooting problems (my flight to San Francisco also was plagued with technology problems).
There were four (maybe five) flight attendants working my flight, but two of them – Michael and Sean – really impressed me with their professionalism and attentiveness. They walked through the plane with a certain aplomb and air of confidence that suggested a level of experience far exceeding the two weeks that Virgin America has been airborne. My instincts proved correct: Michael formerly worked at American Airlines and Sean worked at United. The former is also involved in recruiting other flight attendants for Virgin America, which bodes well for us passengers. He’s set a very high bar for new employees to emulate.
Virgin doesn’t offer a lot of blockbuster movie choices on its in-flight center, but I was really impressed to see that it offers some wonderful indie films including “Waitress” and “The Lives of Others“. If you haven’t seen these films, I highly recommend them.
When we landed at Kennedy more than two-and-half hours late, the pilot issued what was definitely a heartfelt apology. It wasn’t the tired, scripted “we know you have a choice of carriers” drivel but rather blunt acknowledgement that some people were less than impressed by our inauspicious start in San Francisco. The words were simple and straight-forward: “We know we failed to meet your expectations and we hope you will give us another chance.” One of the flight attendants then announced we would be receiving vouchers for $30 off on our next Virgin America flight. The gesture was definitely appreciated: I heard the woman behind me say to her seatmate: “I’m going to write a letter complimenting the airline on how they’ve handled this.”
Without question, Virgin America was only handing out the freebies because they screwed up. But fair is fair: Airlines should make amends when their mishaps inconvenience their passengers. But as any frequent flyer knows, that’s rarely the case. It usually takes hours of thumb-twiddling on the tarmac or arguing with the right supervisor with your voice at an ever-increasing decibel level before they’ll pull out the free voucher book for anything. Even the decision to return a plane to the gate seems one not to be entered into lightly if myriad news reports in the last year are to be believed. But not Virgin America – they wasted no time in placating the disappointed masses, earning the respect and appreciation of at least this one traveler.
By comparison, I flew business class to San Francisco on American Airlines a year ago and the airline lost my luggage. I didn’t receive any apologies, much less a discount coupon for a future flight or even a glass of water! I flew on Northwest from San Francisco to New York in June and my luggage was seriously damaged. We’re not talking a little wear and tear here. When I reported the damage, the Northwest employee just kept to the script, repeating in a mantra-like fashion something to the effect that under international aviation rules airlines are not responsible for damage to luggage. No apology, no coupon, no compassion.
I’m confident that Virgin will ultimately work out its in-flight technology problems (though I remain skeptical of its decision to outsource its reservation system technology and would probably advise CIO Bill Maguire at this point to wait until he can prove that the IT patchwork quilt he’s sewn together actually works before boasting about it to the media). Various employees I have spoken with told me that the airline launched before it was quite ready, but thought it best to get airborne on schedule in light of the myriad regulatory delays and hurdles it was forced to clear.
Virgin America appears determined to adhere to a much higher standard of performance and service, and I cannot help but suspect that if Sir Richard could operate the airline unfettered by regulatory restraints, including foreign ownership rules that ban him from taking more than a 25% stake, the airline would probably aspire to an even higher standard. Unlike American, United, Delta, and Northwest, Virgin America actually gives a damn about its customers (or “guests” as it prefers to call them). I’d fly the airline for that reason alone.
When I emailed Jackie from the San Francisco terminal between planes to let her know what had happened, her response was “Of all the flights it had to happen to, of course it would be yours” thinking, logically, that I’d be so turned off by the one-two punch of my two problem flights on Virgin America that I would be forever anti-Virgin America. But because they handled the curveballs thrown at them with such deftness and with such consideration of their core audience – us passengers – I am far more impressed and more favorably inclined toward the Virgin America outfit than I would be had my flight home gone without the hiccups.
And that, my friends, is called turning lemons into lemonade, reputation management style.
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August 16, 2007 2:31 pm : Comments 003
Diary of Flight VX0238, Seat 1F
6:25 a.m.
I was quite excited when I arrived at New York’s John F. Kennedy International Airport to catch Virgin America’s transcontinental flight to San Francisco. Admittedly, I was also relieved that I made it in time. I must confess, I’m one of those guys who can’t seem to help but get to the airport at the last possible minute.
My expectations entering the terminal are pretty high. After all, the Virgin Atlantic flight I flew from London many years ago was decidedly the most fun I’ve ever had on a jetliner. What impressed me most was the enthusiasm of the flight attendants. There was a palpable esprit de corps and obvious pride they shared in wearing the Virgin Atlantic uniform. Their happy vibe was absolutely contagious. My partner Jackie, who flies Virgin Atlantic regularly and whose opinions I truly value and respect, still swears by that airline so I’m assuming nothing’s changed.
So back to JFK. It became apparent fairly quickly that I set my expectations a little too high. In fairness, I guess I was looking to replicate my earlier Virgin Atlantic experience simply because of the Branson connection. Even though I know Virgin America is not supposed to be a luxury brand, I must have been subconsciously expecting the proverbial champagne and caviar treatment.
Approaching the counter, it was clear that Virgin America was having more technology problems. The airline’s computers and printers were malfunctioning and a fair-size line still needed to be processed before we were due to depart in less than 30 minutes. Fortunately, I treated myself to a first-class ticket priced at a ridiculously low fare of just under $530 so my wait was less than five minutes. I was a bit taken aback when the woman checking me in apologizes for the delay (an airline employee offering an apology, what a concept).
I expected Virgin America’s check-in agents to be full of energy and enthusiasm and priming passengers for the “Virgin America experience.” Instead, they seemed poorly trained and overwhelmed.
6:35 a.m.
Flying first or business class is a rare perk for me – I only get to do it on the extremely (strong emphasis on extremely) rare occasions when American Airlines lets me use my miles to upgrade on my fairly regular flights to California. One of the best perks flying premium class is the express line through security. Unfortunately, the first class line is closed this morning, but no bother. It takes less than 15 minutes to clear security.
6:52 a.m.
I arrive at Gate 31 and give my ticket to the agent. I’m surprised by her general indifference and cannot help but suspect she once worked at one of the legacy airlines.
6:53 a.m.
I board the plane. Oh, pretty lights. Virgin America planes have what is known as mood lighting, which changes according to the time of day. We start off with a kind of neon blue, which makes me think about disco for some reason.
Finding my seat, I take off my sport’s jacket but there is no place to hang it up. “We still haven’t solved our closet problem,” explains Josue, the first-class flight attendant.
My white leather seat seems smaller than the business class seats on the 767s American Airlines uses on most of its California flights, but my spatial perception could be skewed because the man sitting next to me is bigger than me. I check out the massage function, but it is either broken or has such negligible pressure that it offers no value or relief. Then again, perhaps the feature simply isn’t active during the boarding process.
4:10 a.m. (I’ve switched to Pacific Coast Time)
An agent gets on the loudspeaker to announce the flight has been delayed because of a “personnel problem” that has been dealt with and says we will be moving shortly. Gee, I hope one of the pilots hasn’t been misbehaving.
4:15 a.m.
Alan, one of the pilots comes out from the cockpit, stands in front of the plane with a handset, and announces that our flying time will be five hours and some twenty minutes. He seems a tad awkward making the announcement standing in front of the plane; I later learn he is just a soft-spoken guy.
4:19 a.m.
We push off from the gate and are airborne in minutes. No gridlock at JFK? This is a first for me.
4:30 a.m.
I’m trying to figure out how to use all the technology my seat comes equipped with, but I can’t get my left armrest to close. Josue tries to help, but to no avail.
4:37 a.m.
Eureka! I fixed the armrest. I wonder if this is the first known instance when an airplane maintenance problem was outsourced to an airborne passenger.
5:00 a.m.
It’s breakfast time. We have a choice of French Toast or Scrambled Eggs. I take a pass on both. Josue then offers shrimp or some mini fruit balls served in a small plastic cup. (Shrimp for breakfast? That’s a new one for me.)
6:45 a.m.
I’ve needed to use the restroom for quite some time, but there has been a steady stream of passengers waiting to use the facilities. No signs of class struggle here; anyone can use lavatory at the front of the cabin.
While waiting for the lavatory, I chat with Josue. I haven’t seen much of him so far this flight and he explains why. Although he is only supposed to work the first class cabin, he was asked to help out in economy. There are only two people working back there, but Josue says they really could use a third.
Jackie had mentioned that Virgin America had a “name our planes” contest, so I ask Josue if he knows the name of our plane. He thought it was “California Dreaming”, but he wasn’t certain. He later tells me he learned that our aircraft has not yet been named.
7:15 a.m.
Normally when I get on a plane I fall asleep within 20 minutes of boarding. For reasons unknown to me, I have remained remarkably alert. I wonder if the air quality is somewhat better on this flight. If it is, they should make it one of their selling points.
7:30 a.m.
I’m having trouble figuring out how to use all the functions on my entertainment system, but am reluctant to immediately page Josue. Full disclosure: I’m not what you would call technically adept, so my difficulty probably has more to do with me than the system.
There are 15 radio channels to choose from, but I can’t quite decipher their classifications. I’m at a loss to explain “M Pop,” but it features some delightful Asian music. There are play lists from dozens of artists to choose from, ranging from Bob Dylan to Daft Punk (a band I’ve never heard of but suspect they don’t play folk rock). The fellow next to me seems to be having the time of his life making play lists, but I’m happy just listening to my iPod. Browsing, I see that there are some wonderful movies to choose from, including one of the best films I’ve seen in recent memory – “The Lives of Others.”
The best feature of all: The USB outlet on the right side of my seat. Having booted up more than two hours ago, my laptop battery would normally have died by now.
8:30 a.m.
I need to stretch my legs and opt to stroll to the back of the plane. I’m surprised at the limited legroom between the seats in coach, which I will be flying on my return flight home next week. The seats are as close, or possibly even closer, than American Airlines’ coach seats. I’m disappointed to see they are reclining seats, a common feature from the days when there was considerably more room between seats. I would argue that the additional comfort a person derives from putting their seat back is far outweighed by the discomfort the person behind them experiences because of their newfound cramped quarters and lost leg room.
8:35 a.m.
I strike up a conversation with another flight attendant. He tells me the aircraft we are on has had all sorts of issues with the in-flight entertainment system. Entire rows have lost their power, making for some rather disgruntled passengers given that the entertainment system is one of Virgin America’s selling features.
10:00 a.m.
We have already begun our descent. We are going to land on time, maybe even a couple of minutes early.
10:25 a.m.
I strike up a conversation with the guy next to me; he has quite enjoyed his flight. A larger man, he said he is not as comfortable sitting in coach and said that he found today’s first class seat more than adequate. Enjoying our conversation, I forget to record the actual landing time, but I believe we arrived a few minutes before we were scheduled to do so.
10:29: a.m.
Goofing around in the office on Tuesday, Jackie dared me to pocket everything I can find with the Virgin America logo on it. So, when the opportunity arose as we were leaving the plane, I asked co-pilot Alan if he might have a pair of plastic captain’s wings. He doesn’t, but offers to help me find something else with a Virgin America logo on it. We walk into the airport together.
I’m impressed with how much Alan loves working for Virgin America. He previously worked at a regional carrier I’ve never heard of and had applied to work at Virgin America as soon as he heard about it. He says the airline is truly committed to offering customers a wonderful flying experience.
I mention to Alan the seats in economy seemed as close, and maybe even closer, than on the legacy airlines. Alan doesn’t know the dimensions, but said that because Virgin’s seats are considerably thinner, there is less lost leg room when they decline. I mention that the air quality on the plane seemed considerably better and another passenger from the flight standing nearby offers that he was thinking the same thing. The passenger then went off on a tangent about how dirty JetBlue planes are and how much he preferred Virgin America. I found out later that that same passenger received a free voucher for another Virgin America flight because his in-flight entertainment system wasn’t working.
By the way, Alan said he doesn’t know why the air quality seemed so much better except perhaps it was a new plane.
11:40
I arrive at baggage claim and, voila, there’s my luggage. Even though I was delayed getting to the carousel by my chat with Alan and a subsequent call back to the office, I am surprised at how few bags remain from my flight. It seems like Virgin America’s baggage handling is considerably faster than the legacy airlines.
Later that Day
Looking back, it’s clear to me that I arrived at JFK with an unfair mindset. After all, it was still the airline’s first week in the air and it was probably unreasonable on my part to think things would run smoothly. Jackie was undoubtedly right in her comment the other day about there being a reason theater critics let the cast get a few performances under their belts before giving a show an official review.
Virgin America has some kinks that must be worked out, which I am sure they will if anything I’ve read about their customer-centric culture is even half true. Regardless, the airline is undeniably trying hard to offer a very different, very positive onboard experience. Given the general disregard that the major airlines have for the flying public today, Virgin America deserves widespread support for that reason alone. I, for one, am certainly rooting for them.
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August 14, 2007 11:42 am : Comments 000
With a cross-country flight scheduled at the crack of dawn tomorrow, I’ve got air travel on the brain right now. Airplanes (and airports for that matter) both fascinate and frustrate me. But as much as I love to travel, I must admit I am not an easy traveler, as least as far as air travel goes. Nothing seems to stress me out as quickly as unnecessary customer service hiccups and mishaps when flying.
Living in New York as long as I have, you’d expect I would be used to congestion and traffic. And when it comes to the city’s sidewalks, shops, and restaurants, I probably am. But when it comes to non-weather delays and service interruptions at our city airports? Fuhgettaboutit.
There was an excellent page-one story in yesterday’s Wall Street Journal about why congestion and delays have gotten so out of hand, particularly at New York’s major airports. While reporter Scott McCartney does an excellent job of explaining the myriad industry changes and travel trends that cooked up this fine kettle of fish, what really stood out was a comment from an insurance industry executive from Durham, N.C. who said that, given a choice between more daily flights on smaller planes or fewer flights on larger planes, he’d take the former. Not me.
As a frequent business traveler, I can certainly appreciate the convenience that having a full schedule of flights to choose from brings. I’ve been stuck in bumper-to-bumper traffic more than a few times when my scheduled flight was due to take-off. (I tend to cut things close, which is why no one at S&A likes to travel with me). Knowing that my carrier had another four flights leaving that same evening did wonders to keep my stress levels in check.
But as Wall Street Journal reporter Scott McCartney pointedly explains in yesterday’s story, it’s not all blue skies with the more-flights-smaller-planes approach. Airlines have used smaller planes to bulk up their schedules to the point where the major airports simply don’t have room for all of them. There’s simply no room at the inn… err… gates. My favorite airline blogger also offers some insightful commentary on this issue.
While the article says that more than 30% of flights nationwide arrived late in June with delays of just over an hour, my experiences at LaGuardia were significantly worse. Heck, if I land at LaGuardia a mere hour behind schedule I count my lucky stars. Perhaps if the southern insurance executive in McCartney’s story was a local, more frequent user of that airport, he wouldn’t be so quick to vote in favor of quantity over quality. Given a choice, I’ll vote for fewer flights on bigger planes if that means the airlines will ultimately improve their on-time performance.
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August 9, 2007 1:41 pm : Comments 004
I wouldn’t want to be Bill Maguire these days.
Maguire, chief information officer for Virgin America, is in the unenviable position of having to explain to his bosses, including Sir Richard Branson, why the upstart airline’s website has been plagued with problems since it was launched. The airline claimed hackers were responsible for the site’s initial reservation problems, but as I learned yesterday, the site is still plagued with problems. I tried unsuccessfully for more than an hour to book a flight.
Virgin America and Sir Richard, unquestionably one of the world’s greatest marketers, have a real technology problem on their hands if my one experience is indicative of a broader systemwide problem. And their headache could be a headache for Travelport, which in turn could become a migraine for The Blackstone Group, which bought Travelport last year.
News coverage suggests Virgin America is relying on a newly developed reservations system known by the acronym aiRES (airline reservation system), which was originally developed by Travelport in partnership with WestJet Airlines, a low-cost Canadian airline. But as the technology pub Baseline reported two weeks ago, WestJet has pulled out of the project because AiRES couldn’t give it the functionality it required to support its expansion plans. Virgin America and RAK Airways, a discount airline based in the Middle East, are the only other airlines reported to have signed up for AiRES.
As reported by BusinessWeek’s Steve Hamm, Maguire’s bosses wanted him to build a new reservation system from scratch. Instead, Maguire chose to outsource virtually the entire operation, including the reservation agents. Maguire told BusinessWeek: “People just pass out when they hear what we’re doing. They go, ‘What!?’” Well, given my frustrating experiences yesterday, I can understand why those other airline insiders were a tad incredulous.
If the whole reservations kit and caboodle has indeed been outsourced, Maguire and Virgin America are now at the mercy of Travelport to fix the reservations problems because the Blackstone-owned company also hosts the system. “That has probably made things easier because there’s no finger-pointing,” Brian Clark, vice president of planning and sales for Virgin America told Baseline. “If there’s a problem, it’s their problem.”
Something tells me Sir Richard won’t see it quite that way. I can tell you from personal experience that the upstart airline’s would-be passengers sure don’t.
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August 8, 2007 2:11 pm : Comments 002
My longtime colleague Jackie keeps things close to the vest. We’ve worked closely for more than 10 years and I don’t know the political causes she supports (I suspect she leans to the left), the music she listens to (I think its 80s music), or her favorite foods (other than Diet Coke, but I hardly call that a food). One thing I do know: There is no one in business that Jackie admires more than Sir Richard Branson, the founder of The Virgin Group.
I don’t know exactly why Jackie reveres Sir Richard so much, but I suspect it has a lot to do with his undeniable marketing and PR genius, the humble origins of the Virgin empire, and of course, her experiences with Virgin Atlantic, which she frequently flies across the pond to visit her in-laws. I know she’s read his books, watched that reality show a few years back, signed the “Let Them Fly” petition, and dreams of sipping pina coladas at his posh Caribbean resort. As I said, she’s a fan.
And that’s why I am so conflicted about posting this entry. She’s not gonna be happy.
Sir Richard today launched Virgin America, a low-cost domestic airline whose initial routes will bounce between San Francisco, Los Angeles, New York, and Washington. And Jackie is doing her part to help make sure they have a smooth takeoff. I fly to San Francisco regularly and have occasion to travel that way again next week. As soon as Jackie learned my travel plans, she flagged Virgin America’s low-cost introductory fares to me, no doubt within seconds of them being announced.
Unfortunately, my experience thus far with Virgin America is not quite living up to expectations, given the one-woman shill in the office next-door to me. I tried booking a flight online this afternoon for more than an hour, but the purchase wouldn’t go through. I was forced to call reservations, which placed on hold for more than 15 minutes. By way of comparison, I had someone in my office (thank god for interns) call the reservation centers of the major airlines to test how long he would be placed on hold. The verdict: Without exception, he reached a live person within two minutes.
[SIDEBAR FROM JACKIE: "The intern was able to get through right away because nobody wanted to fly the other airlines. Clearly, their agents were sitting around twiddling their thumbs while Virgin America's agents were working their butts off. Besides, even the harshest Broadway critic gives an opening show the benefit of a preview run before taking poison pen to paper. If memory serves, even we had a few kinks the day we first hung out our shingle. Harrumph!"]
Further, when I tried reserving a seat online, I noticed the exit row window was available, so I grabbed it without realizing that there was an additional $25 fee for this “premium” seat. I’m certain there was some fine print somewhere warning me of the extra charge, but I didn’t notice it. To Virgin America’s credit, the reservation agent I spoke with agreed to waive the additional charge because of my lost time.
Maybe I’m being unfair and too quick to judge. Maybe the snafus I’ve encountered are just a few aberrant “opening day” hiccups that the Virgin America team will quickly work out. Still, first impressions do count and Virgin America’s customer service kinks did cause me to waste nearly 90 minutes of time [not to mention the hours it is going to take me to talk Jackie down from the proverbial ledge over this blog entry].
I truly hope the airline offers me a more positive experience at 35,000 feet next Wednesday. I don’t think I want to be the one to tell Jackie that Sir Richard’s Midas touch was not enough to protect Virgin America from the same issues that cause such reputational turbulence for nearly every other domestic airline.
Fingers crossed I really, really, love flying Virgin America. It will certainly be difficult working with someone who refuses to talk to me ever again.
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