Delta Air Lines‘ Commitment to Economy Class
Delta Air Lines’ President, Glen W. Hauenstein, recently highlighted the importance of the coach experience as critical to the airline’s long-term growth strategy. Speaking at the Morgan Stanley Laguna Conference, he stressed that most travelers start their journey in economy class before transitioning to premium cabins.
American Airlines‘ Premium Product Investments
On the other hand, American Airlines is investing significantly in premium features, such as business suites on the Boeing 787-9 and new cabins on the Airbus A321XLR, debuting this December. However, the airline has faced scrutiny for not investing equally in its economy section, raising concerns about its understanding of the entire passenger experience.
Premium Aspirations vs. Economy Realities
For airlines, economy passengers constitute the majority of their clientele. The economy cabin is not just about filling space after selling premium seats; it defines initial impressions and helps build loyalty. Experiences starting in standard economy often lead to upgrades over time.
According to View from the Wing, this passenger progression is why carriers like Delta and United prioritize enhancements in their economy offerings, while American Airlines lags. Hauenstein noted that nurturing loyalty requires strong value propositions in the coach class, especially since the average Delta One customer is 61 years old.
American Airlines and Economy Enhancements
American Airlines has made strides in premium areas by upgrading lounges and redesigning seating in their 787-9s. However, their domestic first-class offerings remain outdated, and economy passengers experience limited benefits.
In comparison, airlines such as United, Delta, Alaska Airlines, and JetBlue offer more amenities, like seatback entertainment and buy-on-board food options, positioning themselves as more comprehensive choices for economy travelers.
Challenges in Passenger Experience
The overall customer experience encompasses more than just seating. Policies such as obliging passengers to recheck bags on separate tickets or restricting same-day routing adjustments affect convenience and stand contrary to a premium image.
American Airlines leads US carriers in mishandled baggage incidents, and even when baggage isn’t lost, it often takes longer to appear on the carousel than competitors. These issues affect passengers in all cabins.
Culture of Service
To be recognized as a premium airline, American must enhance its economy alongside business class offerings, including improved food quality, legroom, and entertainment options. Equally, fostering a service-oriented culture from leadership to middle management is vital for delivering consistent quality.
A Comprehensive Path to Premium Status
Achieving a premium airline status extends beyond upgraded lounges or luxury suites. It requires a decade-long commitment, consistent investment across all cabins, customer-centered policies, and a shift in service culture. Brand impressions start in economy, with customers gradually moving to premium levels.
For American Airlines, the challenge lies in treating economy as the essential starting point of the customer journey to foster long-term loyalty.