FlyerTalk Forums - View Single Post - Delta Launches LAX to SFO Shuttle
View Single Post
Old Sep 9, 2013, 5:34 am
  #88  
bennos
 
Join Date: Dec 2008
Location: Mostly living in the basement
Programs: Newly minted free agent; MR LT(!)TE, HH SE, BA SECM, DL MM, UA PS, 2V Fanboi, CBP GE
Posts: 5,108
Originally Posted by jdrtravel
I guess I still don't understand this service from a business standpoint. Same day fares on this route are usually under $500, and if booked in advance can be around $150. What makes this profitable, and why not other routes? Is it because its such a short route flown by RJ's?
I'm wondering if this isn't a sort of "loss leader". DL doesn't care about the people buying $39 AP fares, but might care about those buying the last minute fares. ie: the same people who, having tried DL and found the in flight service better than expected, might consider buying a last minute LAX-TYO, LAX-SYD, or SFO-JFK J ticket.

Given that the Shuttle introduction was more about amenities than frequency (DL was already at 12x or 13x daily as mentioned upthread), the incremental investment here is pretty low.
bennos is offline