1. Operational Philosophy
Our dedicated corporate operations team will support each discipline within the
organization. Our extensive service experience makes this leadership team a
differentiator for Virgin Hotels. This experience informs our heightened service
standards and operating procedures by discipline and a mystery shopper program that
ensures the standards are maintained. We will also incorporate a consistent internal
audit system and scoring methodology for process improvement possibilities. From
guest preferences to request tracking systems, we will utilize available technologies to
perpetually communicate feedback from operations and guests. Our intranet will house
all of this operations data, posting scores and guest service stories.
Other differentiators include our in-house food and beverage operation and our
established relationships with top operators. From our in-house design and architecture
departments to our own internal technical services department, Virgin Hotels is
positioned to enter the hospitality industry with the operational fundamentals in place to
build a strong new brand of hotels.
Operations Formula
Operating Discipline + Distribution
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Higher REVPAR
Higher Margins
Higher Guest Loyalty
Cycle of Operations
The Process
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People-First Mentality

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Balanced Scorecard Approach
Focus on Process Improvement
Keep-It-Simple “OPS”
Use Technology to Free up Talent
CRM Linked to Guest Preferences System
One-Stop Shop Customer Service
Mystery Shopper System
Intranet Houses Business Intelligence Data
The Operating Platform
Virgin Hotels Brand Pillars
Culture
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Virgin Hotels Purpose
Core Beliefs
Training Methodology
Service Experience
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Service Experience Differentiators
Technology Experience and Interface
Operating Standards
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Service standards
SOPs
Training
Quality Improvement
Financial Reporting
Design and Brand Standards
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Design Parameters
Facilities Programming Standards
MEP Standards
OSE Standards
Technology Standards
Sustainability Strategy
Technology
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Vision
Selection Criteria
Operating Systems
Guest Technology
Cloud Systems
Strategic Partnerships

3. Operating Leverage Results:
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Lower Brand Fees than Industry Averages
Higher Department Profit Margins
Higher GOP Margins
Higher Associate Satisfaction Scores
Lower Turnover
Higher Guest Satisfaction Ratings
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Marketing
Virgin Hotels' marketing efforts are strongly rooted in digital, CRM and public
relations. Leveraging Virgin’s global brand awareness to create collaborative marketing
strategies with its other companies will allow Virgin Hotels to quickly garner brand
awareness in the hotel industry in a fraction of the time it would take another new hotel
brand.
Digital Marketing
Digital marketing is at the core of our marketing strategy as it achieves the most optimal
revenue results while providing the highest ROI. We place a large amount of resources
against creating the best in class websites, SEO/SEM efforts, email and mobile
marketing, social media, and visually engaging content.
Understanding Our Customer
Understanding our customer all the way through is vital to our marketing campaigns as
we strive to provide meaningful, and contextual offers as well as personalizing their
stay by knowing their preferences.
Customer Relations Management
Our CRM will be centered on bringing in new ambassadors for the Virgin Hotels brand
as well as introducing it to the 65 million Virgin consumers worldwide.
Virgin Airlines Customer Base
Virgin Hotels will immediately align itself with the over 8 million Virgin Atlantic,
America and Australia frequent flyers converting them into frequent hotel guests
through preferred offers and status.
Earned Media
We value the importance of earned media and what that means to the hotels bottom line
so our public relations efforts are focused on providing exciting and relevant content
that will be picked up by our targeted digital and traditional media outlets.

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Direct Sales
The property sales force, working in tandem with the sales force for Virgin America and
Virgin Atlantic, make a winning combination in achieving our topline goals. Ours sales
teams consist of the most tenacious, and value driven professionals that provide revenue
building in the following key segments:
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Group—meetings, incentive trips, conferences and exhibition (MICE), from
corporations, associations and social organizations
Entertainment—television, movie, and music
Travel—travel management companies (TMC), consortia, tour and wholesale
Corporate Transient—business travel (managed and unmanaged)
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Distribution & Revenue Management
Virgin Hotels provides a powerful and cost-effective distribution system along with
best-in-class technology resulting in exceptional top and bottom line results. Our
distribution system is fully integrated with our revenue management, customer
relationship and property management systems, as well as the Global Distribution
Systems (GDS) used by travel agents and online travel agencies (OTAs). This allows
for real-time revenue management strategies to take place and provide market-share
premiums in any city a Virgin Hotel calls home.
Central Reservation System
Sabre Hospitality Solutions' industry-leading SynXis CRS powers our distribution. Its
next-generation application framework combines state-of-the-art technology with
advanced user features to deliver the most flexible and easy-to-use reservation and
distribution solution.
Revenue Management System
IDeaS Revenue Management System provides us with the most reliable, up-to-date
information at our fingertips. Simple keystrokes, coupled with Virgin Hotels revenue
management guiding practices, allow us to book the right guest at the right time at the
right rate. This is what leads to steadily increasing revenue.
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Human Resources
Infrastructure
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Global HR support from Virgin Group.

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Virgin “Open Door and Fair Treatment Policies” promoting fairness, stability,
and low turnover.
Succession planning program with other Virgin companies.
Ongoing organizational climate surveys.
Virgin packaging of workman’s compensation, national health, safety, and
comprehensive loss/risk management services and materials.
Proactive Hiring & Training:
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Simple job descriptions to minimize ambiguity.
Tough screening processes coupled with exceptional orientations.
Training intertwined with everyday work activities and meetings to reduce costs.
Supplementary online training. Virgin University.
Daily pre-shift meetings focusing on “Service Standards of the Day.”
Internal social media programs aimed at spreading the culture.
Safety:
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Compliance with applicable regulatory mandates.
Progressive safety programs.
Reduced costs through reduced claims.
Recognition & Improvement:
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Performance-based compensation with incentives to exceed targets.
Over-the-top recognition and celebrations.
Twice-a-year Associate Opinion Survey independently managed with results
posed online.
Internal company newsletter focused on associates.
Interactive and social intranet housing all forms, documents, standards, awards,
and recognition such as posted service stories.
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Finance
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A focus on internal financial controls.
Detailed accounting standard operating procedures.
State-of-the-art, web-based accounting system allowing immediate access to
hotel financial information plus consolidated and ad hoc reporting capabilities.
All modules are written specifically for Virgin Hotels.
Consistent internal audits and follow up plans and actions with a low threshold
for non compliant items.
Balance sheet and cash management focus.
Short and long term forecasting looking for potential revenue enhancement and
cost reduction opportunities. Forecasting accuracy standards.
Weekly property updates with a focus on “metrics that matter.”
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