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Author Topic: Virgin vs Chiltern (and vice versa) advertising (merged topics)  (Read 36371 times)
Btline
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« on: April 10, 2009, 18:24:11 »

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'Aggressive Virgin advertisements target ^Chiltern Snailways^ over journey times.

Virgin^s advertising campaign is regarded as one of the most aggressive ever mounted against a fellow TOC (Train Operating Company).

Virgin Trains has placed a series of large posters denigrating Chiltern Railways^s service right outside a number of its key stations including Moor Street in Birmingham and Leamington Spa.

The posters include one headlined Chiltern Snailways in reference to the company^s London-Birmingham journey time. Chiltern^s quickest journey on the route is 2hrs 10mins which is 50 minutes slower than Virgin^s 1hr 20mins.

Another poster includes the statement ^Time is money, Chiltern Railways haven^t quite grasped this^.

Chiltern said it had interpreted the advertising as a sign that Virgin is concerned by the competition it provides on the London-Birmingham route. Cheaper fares, considerably better punctuality than Virgin and consistent marketing have enabled Chiltern to build up a 30% market share of the London-Birmingham rail market from a very low base.

Virgin^s tactics are regarded in the industry as one of the most aggressive campaigns ever mounted against a fellow TOC. They follow advertising from Chiltern pointing out the price difference between the two companies^ fares and come at a time when the difference between their punctuality is at record levels.

^We have been advertising that we are ^50 cheaper than them in the peak and this is their response,^ Kirsteen Robertson, Chiltern^s head of marketing, told Transit. ^We haven^t complained though. There is a recession on and we are all after passengers. When I have seen Virgin at ATOC» (Association of Train Operating Companies See - here) meetings it has all been very good humoured.^

She added that Chiltern^s success in building market share had been down to its superior punctuality as well as price. In March, the company achieved the record performance by any train operator in a four week period.

^We have just achieved 97.51% in period 13 and we think they are on course for 97%,^ Robertson said. ^We don^t have their linespeed, but we do get people there when we say we will.^

The previous record for punctuality in a four-week period was 97.3% achieved by c2c two years ago.'

I expect this is due to the VHF timetable, and VT (Virgin Trains - former franchises) having empty Off-Peak trains!

VT will be worried, as Chiltern now have built a 30% market share from nothing. (set to increase from 2011 with 1 hour 40 minutes timings!)

Well, in a recession - instead of putting up nasty posters, why not lower your WALKUP fares?

My estimations of VT have gone down - with the W&S (Wrexham and Shropshire (Open Access Operator)) debacle, and now this.
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devon_metro
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« Reply #1 on: April 10, 2009, 18:26:57 »

Made me laugh when I read it the other day...!
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Btline
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« Reply #2 on: April 10, 2009, 18:28:03 »

Made me laugh when I read it the other day...!

It is quite amusing! But I expect the ASA will ban it - it is out of order.
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Timmer
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« Reply #3 on: April 10, 2009, 18:49:49 »

Well, in a recession - instead of putting up nasty posters, why not lower your WALKUP fares?
Exactly. Chiltern have obviously proved that people want flexability and good value walk up fares and this is despite the journey taking longer. Advance fares are great value but very inflexible.

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My estimations of VT (Virgin Trains - former franchises) have gone down - with the W&S (Wrexham and Shropshire (Open Access Operator)) debacle, and now this.
It hasn't shown Virgin in a good light sadly. They should know better following them being bullyed by BA» (British Airways - about) over transatlantic routes in the nineties. The funny thing about all this is whenever the WCML (West Coast Main Line) goes down, the first thing Virgin do is tell passengers travelling London-Birmingham to travel on Chiltern's services!
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inspector_blakey
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« Reply #4 on: April 10, 2009, 20:13:58 »

I don't think the ASA can intervene as from what you have posted it doesn't seem like Virgin have said anything factually inaccurate in their advert.

For what it's worth this strikes me as a bit of sparky Virgin PR (Public Relations) (which they are, after all, renowned for) which they're entirely within their rights to try. Did Chiltern not wave the red rag at the bull a few weeks back after Virgin's infamous "no kissing" notice at Warrington BQ...? Six of one, half a dozen of the other perhaps!
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Btline
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« Reply #5 on: April 10, 2009, 21:58:16 »

No - everything might be true, but the ASA might still pull it.

They pulled the Mac vs. PC ads. Everything in them was correct, but it was shown to be too aggressive.
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stebbo
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« Reply #6 on: April 10, 2009, 22:58:09 »

Simple answer, as one who has used Virgin and Chiltern to London in years gone by - Chiltern are much cheaper and far more reliable. Game over - Chiltern every time. They know how to run a railway. Any chance they could take over FGW (First Great Western)....?
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Electric train
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« Reply #7 on: April 11, 2009, 08:33:09 »

Now with EPS (Enhanced Permissible Speed) on the WCML (West Coast Main Line) and the engineering restrictions gone (or almost) NR» (Network Rail - home page)'s track access charges have been raised mix that with the lower numbers of business travelers and commuters due to the recession I suspect Virgins margins are being squeezed.  I'm not sure when the Virgin franchise runs out but it would be interesting to see if DB» (Deutsche Bahn - German State Railway - about) (who are now a National operator with their ownership of EWS (English Welsh & Scottish Railway Ltd, now known as DB Schenker Rail (UK (United Kingdom)))) would bid for it and with DB's ownership of EWS they now really do have the capability of running engine and coaches services
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« Reply #8 on: April 11, 2009, 20:08:21 »

typical vigin advertising just google virgin atlantic and look at the wiki site to see some of the slogans they have used over the years.

for me i would use chiltern over vt every time even though 50 mins longer,i have always found them to be more punctual,trains are cleaner,trains are far more reliable,the staff are more friendly and finally the pocket does not get such a bashing.

vt should look at offering more competative priced tickets maybe in times of recession that would encourage some passengers to return?
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willc
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« Reply #9 on: April 12, 2009, 12:43:07 »

They already have done.

http://www.virgintrainsmediaroom.com/index.cfm?articleid=1209

http://www.virgintrainsmediaroom.com/index.cfm?articleid=1207

Small steps maybe but a sign they are looking long and hard at loadings, so if Chiltern really are hurting them, then expect to see this extended to London fares too at some point.

Plus between Manchester and London you can book an advance ticket to be sent to your mobile phone up until 23.59 the night before travel, which allows a pretty spur of the moment decision. Unless you are the sort to get up in the morning and say 'I'm off to London now'.
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stebbo
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« Reply #10 on: April 14, 2009, 21:29:45 »

Chiltern introduced the paperless ticket using mobiles a few years ago.
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willc
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« Reply #11 on: April 15, 2009, 23:17:04 »

Chiltern introduced the paperless ticket using mobiles a few years ago.

My point wasn't about the mobile ticketing per se, it was that the system Virgin are trying out for Manchester-London allows a pretty spur-of-the-moment decision to travel, even for an advance fare.
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vacman
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« Reply #12 on: April 17, 2009, 22:54:18 »

Well I say leave em to it! the more aggressive the advertising gets then the better deal the customer will get in retaliation! if I were doing Birmingham to London I would go on London Midland, I was well impressed with their Desiro's and they have some pretty cheap fares which are route "London Midland only", was lookin em up in the avantix the other day, I think actually that the LM (London Midland - recent franchise) "Anytime" fare was cheaper than Chilterns but may be my memory playing tricks.
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Btline
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« Reply #13 on: April 17, 2009, 23:02:38 »

Chiltern are quicker than LM (London Midland - recent franchise) (less stops!), and you have 2+2 seating in Clubmans, not 2+3 seating in Desiros.
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vacman
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« Reply #14 on: April 17, 2009, 23:03:05 »

I was right, cheapest peak walkup fare from Brum to London is on London Midland.
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