MAM
Virgin Group looks to go mobile, play music in India
MUMBAI: It was time to uncork the bubbly this afternoon in Mumbai as Virgin Atlantic Airways celebrated 21 years in existence by announcing the launch of its direct flight service from Mumbai to London. Maverick British entrepreneur and billionaire Sir Richard Branson, who has created one of the most recognised global brands in Virgin was, on hand to pop the champagne while photographers jostled for the perfect photo-op.
Flying High! – Sir Richard Branson
However it is not just airlines that are on Branson’s mind. When asked by Indiantelevision.com about the other plans he had for India, Branson said, “With the economy opening up in areas like aviation and telecom, India could become the fastest growing country in the world. I realise that it would be silly on the part of Virgin to ignore India. We are definitely looking at telecom. Virgin Mobile is the number one player in that space in the UK and in the US. We have already started discussions with local players and are in the process of formalising our strategy.”
“The other service areas of The Virgin Group that I am keen on bringing to India include health clubs and financial services. The music retailing business of Virgin Megastore is another opportunity for us and it is a question of finding the right partners. Personally I would love to invest in your domestic airline industry. I realise that I may not be able to do it directly through Virgin. However I feel that the Indian government should allow for more flexibility in the rules. Sahara and the other domestic players should be allowed to fly into London just as we are allowed to come here. When Air India’s monopoly was broken the Indian traveler benefited enormously,” he said.
“We also have recently entered the arena of film and video editing. So that is another area that we could look at doing business with India in the future,” Branson added.
As far as Virgin Atlantic Airways is concerned Branson noted that Virgin had started a service to Delhi in 2000. This was made daily a few years later. The Mumbai service will offer flights thrice a week. Branson will spend the next ten days holding discussions with the aviation ministry about allowing for further frequencies. Virgin Atlantic is hoping to operate flights to and from London to at least seven more destinations including Hyderabad and Amristar in Punjab.
Right now, its market share through the Delhi route is 12 per cent. With Mumbai being added it is targeting a share of around 22 per cent. Branson pointed out that an advantage is the timing of the flight, which leaves Mumbai in the afternoon at 2:45 pm. “The route will benefit from the competition Virgin Atlantic will provide. This will lead ultimately to better value of money and quality of service for passengers. A few Bollywood stars already enjoy our product as they have been flying from Delhi. I feel that the London route from India has been under served for too long a period,” he informed.
As far as service is concerned the airline will offer cuisine from London’s Vama Restaurant as well as Cobra beer. The airline will also offer a cocktail service for Upper Class passengers. As Branson says, “Over the past few years around 20 of our competitors who flew across the Atlantic like Pan AM, TWA went bankrupt. What has kept us ahead of the curve is the quality of service. We have successfully competed with British Airways due to this factor. For the Mumbai service we have an advance load factor of 70 per cent for April and 60 per cent in May. The introductory price is Rs 27,000.”
As had been reported earlier by Indiantelevision.com, Virgin Atlantic Airways has introduced its new marketing campaign. Virgin as a brand positions itself as a “pampering experience.” This is translated through their chauffeur pick and drop, massage therapy, on-board bar and freedom menu in its upper class.
Virgin’s new campaign focusses on capturing the spirit of Mumbai through the illustration of a Superstar’s pampered lifestyle, symbolic of Virgin’s onboard comfort. The campaign is also supplemented by a radio campaign along with outdoor and promotional activities like SMS Contest.
Brands
Jubilant FoodWorks faces Rs 47.5 crore GST demand, plans appeal
Tax authorities flag alleged misclassification of restaurant services
MUMBAI:Â Jubilant FoodWorks Limited has landed in a tax tussle after receiving a GST demand of Rs 47.5 crore from the office of the additional commissioner of CGST and central excise in Thane, Maharashtra.
The order, issued under the provisions of the Central Goods and Services Tax Act, 2017, relates to an alleged incorrect classification of certain services under the category of restaurant services. According to the tax authorities, this classification resulted in a short payment of goods and services tax for the period between the financial years 2019-20 and 2021-22.
The demand includes Rs 47.5 crore in GST along with an equal amount as penalty, in addition to applicable interest. The order was received by the company on March 13, 2026.
In a regulatory filing to the BSE Limited and the National Stock Exchange of India Limited, the company said it disagrees with the order and believes its arguments were not adequately considered.
The company is preparing to challenge the decision and plans to file an appeal. It added that once the redressal process is complete, the demand is likely to be dropped.
Despite the sizeable figure attached to the notice, the company said it does not expect any material impact on its financials, operations or other activities.
The disclosure was signed by Suman Hegde, EVP and chief financial officer, who confirmed that the company received the order at 19:06 IST on March 13 and has already initiated steps to contest it.
The development places the quick service restaurant major in the middle of a tax debate that could hinge on how certain restaurant-linked services are classified under GST rules. For now, the company appears ready to take the matter from the tax office to the appeals desk.
