NEWS: Delta lowers fares in new structure; Northwest opposes changes
"Delta Air Lines today will lower its fares by up to 50% and eliminate a Saturday-night stay requirement. Under the new structure, a first-class one-way ticket will cost no more than $599, a change that will benefit business travelers. Northwest Airlines opposes these changes and says they will weaken industry revenue. Delta also said it will begin adding a fee to tickets not booked through its Web site. " Source: Air Transport World
My Commentary: Could it be that Delta is actually getting a glimmer on what they could do to morph their business plan into something that can work in the new world order of airlines? Only time will tell because they are going to have to commit to this long term to see the benefits. I think they are on the right track. As for Northwest...shut up and quit whining. Most major airlines are looking to innovate and overhaul their business plans because they do not have the benefit of operating in one of the best protected hubs in the nation? If you think its a bad idea then just let it play out...the market will decide. More likely Delta's idea threatens to further dilute the effectiveness of your revenue model based on outrageous fares charged to business flyers and last minute flyers. That business plan was dying before 9/11 every happened and its not getting better.
My Commentary: Could it be that Delta is actually getting a glimmer on what they could do to morph their business plan into something that can work in the new world order of airlines? Only time will tell because they are going to have to commit to this long term to see the benefits. I think they are on the right track. As for Northwest...shut up and quit whining. Most major airlines are looking to innovate and overhaul their business plans because they do not have the benefit of operating in one of the best protected hubs in the nation? If you think its a bad idea then just let it play out...the market will decide. More likely Delta's idea threatens to further dilute the effectiveness of your revenue model based on outrageous fares charged to business flyers and last minute flyers. That business plan was dying before 9/11 every happened and its not getting better.