Case Study: Virgin America: Flight Service for the Tech Savvy

1.
Virgin America segmented the market based on the purchasing power and age of
the customer and targeted the frequent fliers who were young, savvy, influential,
and willing to pay little more for an airline that would take care of them.
2.
I think Virgin America is following the concentrated marketing strategy as they are
targeting only a certain market segment instead of wide range of market for the
profit.
3.
The positioning statement would be, “For frequent fliers, Virgin America provides
quality travel at low cost.”
4.
The potential issues for Virgin America following the Alaska Airlines acquisition
are, they might have to change their target customers and also bring change in
the pricing.
Virgin America might lose their previous customers if they bring the changes.
Also, they were highly profitable with their previous strategy.so, I think Virgin
America will continue to appeal to the same type of customers