It’s no coincidence that when billionaire Richard Branson launched the US edition of his Virgin Airlines over here he chose the San Francisco Bay Area as its headquarters. The brand’s philosophy and attitude make Virgin America more like its Bay Area cohorts (Apple, Google, Facebook) than the big carriers (United, American, USAir…) with which it competes.
Virgin America, the three-year old innovative airline “startup,” was recently named the most eco-friendly airline in the industry. And yesterday, standing alongside the Governator (aka Arnold Schwarzenegger) and San Francisco Mayor Gavin Newsome, Branson kicked off Virgin America’s inaugural international flight- from San Francisco to Toronto, with additional routes being added later this year. It’s growing- with style and brand innovation- at a time when the industry struggles.
The airline’s Burlingame-based headquarters was recently retrofitted to qualify for LEED Silver certification. In addition, it will become one of two “anchor tenants” in the airport’s new Terminal 2, the $383 million redesign and retrofit that will also meet LEED Silver standards. When completed in 2011, Terminal 2 will serve as California’s only airline hub. The new terminal will boast improved indoor air quality, reduced energy consumption, preferred parking for hybrids, a farmer’s market and will offer the first airport dining program in the country using Slow Food vendors.
The terminal will be “the greenest expansion of any airport in the United States of America,” San Francisco mayor Gavin Newsom said. “We’re going to have a slow-food pavilion, a farmers’ market. All these values that everyone loves to mock us about are being put together in this unique, extraordinary environment.”
Newsom said that Virgin shares the Bay Area’s “values of sustainability, long-term business strategy, long-term branding strategy…(and have) an innovative spirit in their approach to the governance of an airline in an industry that needs a new spirit and an entrepreneurial approach.”

Offset your footprint in-flight
But it’s not just that the brand is moving a decidedly ungreen industry closer to green, it’s how it’s doing it. It’s throwing a party!
As Caroline McCarthy suggests, Virgin America’s success has always been defined by “both tech-savviness and sex appeal.” Last year, it became the first U.S. airline to offer fleet-wide Wi-Fi access. At the launch yesterday, over cupcakes and champagne, guests were reminded that since its launch Virgin America has operated a brand new fleet that is up to 25% more fuel and carbon efficient than the average fleet flying domestically. The airline employs practices such as single engine taxiing, maximizing use of efficient ground power, utilizing advanced avionics to fly more efficiently, and cost index flying – the practice of regulating cruising speeds to reduce fuel burn.
Virgin America was also the first to offer guests the ability to offset the carbon footprint of their flight – in-flight via the touch-screen Red seatback entertainment through partner Carbonfund.org. Virgin America also voluntarily offsets its headquarters footprint on an annual basis. In addition, Virgin America has initiated recycling pilot initiatives and currently recycles in-flight waste from approximately 47 percent of its flight.
We’ll see how the rest of the struggling airline industry responds to Virgin America’s scrappy innovation.