If you do a minimal install of VL7, XFCE doesn't install.
If you still want to use Terminal without the XFCE desktop environment, you'll need a couple libs.
Expand the archive, hop down in the directory and run arch-makepkg. This'll create a xfce4-libs package for you to install.
These are probably usefull for installing other XFCE-oriented apps in a standalone mode, like Thunar.