Basic Business? Delta to Consider Creating Different Tiers of Premium



Key Points

  • Delta Air Lines is testing the creation of different tiers within its premium business class cabins to better segment its offerings.
  • Premium revenues for Delta have grown faster than main cabin revenues, prompting a greater focus on premium travelers.
  • Other major airlines, including United and American, are also introducing new or segmented business class products as demand for main cabin seats weakens.

Summary

Delta Air Lines is exploring the segmentation of its premium business class cabins, aiming to offer more tailored options and price points for customers. This strategy follows strong growth in premium revenue and reflects a broader industry trend, as airlines increasingly rely on premium travelers due to declining demand for main cabin seats. Competitors like United and American are also rolling out new premium offerings to capture this lucrative market segment.



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