Branson’s Virgin has eyes on Thai skies
Airline may follow radio, fitness ventures
Sir Richard Branson, founder of British multinational conglomerate Virgin Group, is looking to invest in airline business in Thailand in the near future after having two radio and fitness ventures here.
“I will fly my airline to Thailand soon,” he said in Bangkok yesterday.
Mr Branson, 65, did not give more detail about his airline investment here but said it would be done in a big way as he loved to shake an industry when he saw opportunities.
The British businessman cited an experience when he introduced his Virgin Australia Airlines, formerly Virgin Blue, to challenge Qantas with only one aeroplane 15 years ago. Now the airline has a 35% market share in the Australian aviation business.
Asked why he was interested in the aviation and hospitality business here, he said Thailand had a lot to offer and Thai people were wonderful to work with, pointing to the Virgin radio staff here as proof.
Thailand was the first country outside Britain to have a Virgin radio station. BEC-Tero Radio Co secured rights to use the Virgin brand and introduced 95.5 Virgin Hits station in 2002. After 13 years, BEC-Tero Radio is now running two radio stations under the Virgin brand (Virgin Hits and Virgin Star FM 98) with 150 staff.
Yesterday, Mr Branson visited the Virgin radio studios in Bangkok for a few hours before flying to Ho Chi Minh City in Vietnam.
He told Thai staff and media that radio would continue forever even with the advent of digital technology such as music streaming. People can listen to the radio whether they are in the car or at home, and via many platforms such as mobile phone and social media like Facebook.
“What makes radio different from other social media is that it has fun and human interaction between DJs and listeners,” he said.
Mr Branson said the global music industry had seen many changes in the past 10-20 years, with some businesses disappearing, such as music shops.
“Today’s music listeners have not changed, they still listen to free music on radio stations. But now they have music download, and are not buying music products like in the past,” he said.
It is a tough time for music recording business but opportunities remain. He recalled when his Virgin Records signed Rollings Stones 25 years ago, many said they were old. But they are still going strong.
Neil Thompson, managing director of BEC-Tero Radio, believes the Thai radio business will continue to grow. Radio audience is on a rise due to the growing number of listening platforms such as computers, mobiles and social media. At its Virgin Star station, 80% of listeners tune in to the station via personal computers at work.
According to Nielsen Thailand, radio advertising during the first seven months rose 2.9% to 3.12 billion baht.
On fitness centres, Mr Branson said he would open four more Virgin Active Thailand next year, to add to the three in Bangkok, at Empire Tower, EmQuartier and CentralPlaza Westgate.
Virgin Group’s businesses range from travel and telecommunications to finance, with more than 400 companies employing 60,000 people in more than 50 countries.