Why Delta Will Continue to be Successful

As I wrote yesterday, there is a lot going on in the miles and points space right now. Change has come, and we are where we are. Delta kicked things off last year with a move to revenue-based earning, and things haven’t quite been the same since. There’s been a good bit of pontification and conjecturing with yours truly being accused of everything from being an idiot to a good candidate for an executive position at Delta. I think I’ve been pretty clear that I am not a fan of the way Delta has introduced some of its changes, even if I am at peace with the underlying reasons why things are changing.

To be clear, I think Delta is one heckuva lot better justified in thinking it can get away with a total conversion of the idea of loyalty and a switch to a revenue-based program than its competitors. Specifically, a certain airline based in a lakeside city with really cold temperatures during the winter months.But today, I saw one more clear reason why I think Delta is going to pull its changes off where no other airline could.

I boarded an MD-88 right on time headed north. My upgrade had cleared and I walked on greeted by a very pleasant flight attendant. I took my seat, 2A for those that are interested, and within a few minutes my heavy coat was picked up to be hung. It didn’t take long for me to realize that the aircraft was being catered while we boarded. In fact, it was being catered well into the boarding process. At about 15 minutes prior to departure, that was all done. On any other US airline, that would’ve been the end of it, but on Delta…not so much. At 15 minutes prior, the lead F/A came around offering pre-departure beverages to every first class customer. Not only were those PDBs delivered, refills were offered to those that wanted them.

Now, that’s a very small gesture overall, but it’s one that I routinely see aboard Delta Air Lines. Others….not so much. Late catering would’ve been an excuse not to deliver an expected service on most airlines, but not Delta. Yes, I know… a PDB wine is no makeup for mileage devaluations or missing award charts. However, this is a recognition that most of us appreciate the little things too, like a reliable airline, and great service provided by people that care.

Yes, I think Delta could have done a better job with communicating some of the things its been up to with its loyalty program. I continue to think Delta needs to really consider what it’s up to in the loyalty space. That said, a decent airline still matters, and more than anything else, that’s why I think Delta will continue to be successful.

-MJ, February 23, 2015

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[…] couple of days ago, I wrote a post that most would take as supportive of Delta Air Lines. I noted in the post a few reasons why I […]

john

@ Jason, Delta’s new program creates a conflict of interest that should be reported. Period. Are you out of touch enough to think that employees including execs will never make travel decisions based on or influenced by the amount of FF miles they will receive for taking a high-priced flight especially now that FF miles from flying delta will be so hard to come by from flying cheap tickets? Just make sure your answer agrees with the answer of corporate internal audit and legal.

Jason

John, you do realize that you’re making my point about this community being out of touch with how most travelers look at FF programs? They aren’t making decisions based on how many points they earn. They make decisions based upon schedule. When their assistants fill out your precious forms I’m sure the reason specified is more convenient schedule. Are they supposed to blow half their day in airports getting less work done to avoid being awarded more miles and points? I think you’re overthinking this a bit.

john

@Jason, I’m not sure what bubble you thought you were bursting but you definitely avoided answering my question. It is a pretty simple. But I can spell it out for you. Any exec I know making $500K must complete an annual corporate conflict of interest form disclosing any business transactions in which the exec has a personal financial interest. With delta’s revenue-based FF programs, employees who get their employers to pay 3X more than necessary for getting from A to B also receive a 3X greater reward from delta. Before revenue-based program, the benefit to the employee did not depend… Read more »

Jason

@John – The execs I speak of are justifying their direct and more expensive flights on the fact they aren’t stuck in airports and planes for an extra four hours. When you’re a corporate vice president and your company is paying you $500k+ per year and you tell the travel department that you’d rather fit in the extra conference call or two they typically go along with it. I’d make the same argument for AA out of DFW or UA out of SFO if SkyMiles were an attractive program. Most flyers who actually fly for transportation value their time over… Read more »

Bill

Somehow, every blogger who flies DL doesn’t have the same “service and amenity” experience on UA or AA. Somehow, as a UA Lifetime Gold who also flies AA and DL occasionally, that’s not been my experience. I always get offered a pre-departure beverage in UA and AA premium class, just as I do on DL. I think DL offers a nice product but I don’t believe it’s much different than that on UA or AA overall. Yet this pre-departure beverage is somehow supposed to make readers think that DL is better and therefore should be and is able to get… Read more »

Brian L.

@Jason – I agree with you 100%. The vast majority of travelers probably don’t care that much about FF miles. People who DO care about FF miles, and constantly post about them on FT, vastly overstate their number, and their importance.

john

@ Jason, Are the execs who are paying 3x the price for a direct delta flight and are reaping a huge amount of personal skymiles for the high-priced tickets that their employers are springing for reporting these purchases on their company conflict of interest forms? It is a conflict of interest the same as if a supplier they contract with gave the exec a personal reward that varied directly with the amount of money the exec got his company to pay for supplies.

Nick

It just kind of changes the equation. I now expect their points to be worthless. So if they are a bit cheaper and more convenient sure I will give them a go. I just discount the amount I will pay to fly them vs the competition, all other things equal.

Jason

I think the thing that most people that obsess about miles and points and free upgrades don’t realize is that they truly are in the minority and as long as Delta keeps offering a superior product they can do what ever they want. To most travelers, the FF program is gravy and not why they fly a specific airline. Will American tempt some hardcore travelers in the know that are obsessed with redeemable points? Sure. But in a market serviced by ATL, DTW, SLC, MSP or even my home CVG, why would a business person who, God forbid, actually travels… Read more »

Gene

We were going to misconnect yesterday in SEA due to our delayed BA flight. I called Delta from London to see of they could SDC us to a later flight. Our original fare class was not available, but Delta made the changes for us for free anyways. They even booked us into high fare classes (one B and one M), which resulted in our upgrades clearing at the gate. This kind of treatment keeps us coming back. Thanks, Delta!

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