What date will AS and DL announce that their partnership will end?
#212
Join Date: Apr 2011
Location: Treasure Coast, FL
Programs: DL Diamond, Marriott LT Plat, HH Diamond, Avis Preferred Plus, National Executive
Posts: 4,578
They asked AS for more domestic feed at SEA and the answer was simply "No, we have to maintain our own hub at SEA first, with flight times and available seats that will generate a profit for our own operations." It is not hard to understand this thinking because the share of the fare that AS would get from a code-share connection to an international flight is based on the ratio of mileage of each of the segments and the domestic segment of 200-500 miles is so small compared to the over the water segment that AS would end up losing money on the proposition. They wisely turned it down, but that meant that now DL has been forced to build up their own domestic feed for their international flights out of SEA. So SEA was a logical choice for DL, but AS chose not to play along with it.
SO BE IT. We will see what develops from here.
SO BE IT. We will see what develops from here.
#213
Join Date: Jul 2003
Location: OMA / MUC
Programs: Former NW PE, now DL DM
Posts: 1,006
The first sentence you refer to is factual, as related to me by my contact at Delta. The second sentence is factual, that is the way airlines divide up the through fare when there are code-share flights involved. The last sentence is my opinion, and I venture that anyone who understands the airline business would come to the same conclusion.
#214
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Join Date: Jun 2009
Programs: Delta skymiles DM + 1MM
Posts: 8,144
exactly my point in that there is very little direct travel from SEA to Asia/China. A significant amount of the folks that fly to Asia/China from SEA are connecting. Delta's domestic reach is far from where it should be if it wants to be a true contender as a launching point for international travel. They are easily going to have to double their domestic feed at SEA if they want to be taken seriously at SEA. What they have is simply not close to being enough.
#215
Join Date: Nov 2003
Location: ORD / MDW / FLL
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Posts: 2,295
What confuses me about DL's SEA strategy is where they are adding service if they are attempting to grow international feed. I'm not sure I understand the logic of adding feed from small or medium west coast stations over larger midwest and eastern stations like PHL, DC, ORD, DFW, IAH and so on. I know these are routes with multiple carriers serving SEA but if the purpose is international feed it seems like DL could handle the competition.
#216
Join Date: Jul 2003
Location: OMA / MUC
Programs: Former NW PE, now DL DM
Posts: 1,006
What confuses me about DL's SEA strategy is where they are adding service if they are attempting to grow international feed. I'm not sure I understand the logic of adding feed from small or medium west coast stations over larger midwest and eastern stations like PHL, DC, ORD, DFW, IAH and so on. I know these are routes with multiple carriers serving SEA but if the purpose is international feed it seems like DL could handle the competition.
There isn't a snowball's chance in .... that DL could get enough O&D traffic from the cities you mentioned, which are already "established fortress hubs" for other carriers.
#217
Join Date: Jan 2008
Location: SJC/YUL
Programs: DL PM, Marriott Gold
Posts: 3,878
What confuses me about DL's SEA strategy is where they are adding service if they are attempting to grow international feed. I'm not sure I understand the logic of adding feed from small or medium west coast stations over larger midwest and eastern stations like PHL, DC, ORD, DFW, IAH and so on. I know these are routes with multiple carriers serving SEA but if the purpose is international feed it seems like DL could handle the competition.
DL clearly is not pursuing a single strategy (ie, Asia) with Seattle. They are also working hard on building up their West Coast domestic traffic, and SEA and LAX are a big part of that. Adding the smaller stations brings new customers into the DL system that otherwise had little or no access to DL.
#218
Join Date: Aug 2013
Location: LAS HNL
Programs: DL DM, 5.7 MM, UA 3.1 MM, MARRIOTT PLATINUM, AVIS FIRST, Amex Black Card
Posts: 4,479
If DL wanted to start a price war with AS from SEA. They could with fares starting at $39 from the following cities. It worked for WN and Texas International (CO) back in the day. Throw in AA and Braniff all fighting for Texas (Southern USA) fares around $19. Sometimes as low as $15.
Cities AS flies to that DL could continue flying or add non-stop from SEA:
Albuquerque
Anchorage, Alaska
Atlanta, Ga.
Austin, Texas
Baltimore
Bellingham, Wash.
Billings, Mont.
Boise, Idaho
Boston, Mass.
Bozeman, Mont.
Burbank, Calif.
Charleston, S.C.
Chicago
Colorado Springs
Dallas/Fort Worth
Denver
Detroit
Eugene, Ore.
Fairbanks, Alaska
Ft. Lauderdale, Florida
Fresno, Calif.
Honolulu
Houston, Texas
Juneau, Alaska
Kahului, Hawaii (Maui)
Kansas City, Missouri
Ketchikan, Alaska
Kona, Hawaii (Big Island)
Las Vegas
Lihue, Hawaii (Kauai)
Los Angeles, Calif.
Medford, Oregon
Minneapolis/St. Paul
Milwaukee, Wisc.
Missoula, Mont.
Nashville
New Orleans
Newark, N.J.
Oakland, Calif.
Oklahoma City
Omaha, Neb.
Ontario, Calif.
Orange County, Calif.
Orlando, Fla.
Palm Springs, Calif.
Philadelphia, Penn.
Phoenix
Portland, Ore.
Raleigh-Durham, N.C.
Reno, Nev.
Sacramento, Calif.
San Antonio
Salt Lake City
San Diego
San Francisco
San Jose, Calif.
Santa Barbara, Calif.
Spokane, Wash.
Sun Valley, Idaho
Tampa, FL
Tucson, Ariz.
Washington, D.C. / Dulles
Washington, D.C. / National
Calgary, Alberta
Edmonton, Alberta
Vancouver, British Columbia
Victoria, British Columbia
Cancun
Guadalajara
Ixtapa / Zihuatanejo
Los Cabos
Mazatlan
Mexico City
Puerto Vallarta
DL is not doing this. But if they did for about 3 years, who would win the war? DL. Is DL stupid enough to do this price war - NO. It seems to me DL and AS are handling this correctly for now. DL could bleed red ink in SEA for years if it wanted. AS could not.
I posted something similar a few months ago on this thread. The cities listed are only the main flts that AS currently fly (not all) and DL could add if they wanted. AS is a great airline. DL is a great airline. I hope it does not come down to this. For the PX living in SEA it would be a win-win!
Cities AS flies to that DL could continue flying or add non-stop from SEA:
Albuquerque
Anchorage, Alaska
Atlanta, Ga.
Austin, Texas
Baltimore
Bellingham, Wash.
Billings, Mont.
Boise, Idaho
Boston, Mass.
Bozeman, Mont.
Burbank, Calif.
Charleston, S.C.
Chicago
Colorado Springs
Dallas/Fort Worth
Denver
Detroit
Eugene, Ore.
Fairbanks, Alaska
Ft. Lauderdale, Florida
Fresno, Calif.
Honolulu
Houston, Texas
Juneau, Alaska
Kahului, Hawaii (Maui)
Kansas City, Missouri
Ketchikan, Alaska
Kona, Hawaii (Big Island)
Las Vegas
Lihue, Hawaii (Kauai)
Los Angeles, Calif.
Medford, Oregon
Minneapolis/St. Paul
Milwaukee, Wisc.
Missoula, Mont.
Nashville
New Orleans
Newark, N.J.
Oakland, Calif.
Oklahoma City
Omaha, Neb.
Ontario, Calif.
Orange County, Calif.
Orlando, Fla.
Palm Springs, Calif.
Philadelphia, Penn.
Phoenix
Portland, Ore.
Raleigh-Durham, N.C.
Reno, Nev.
Sacramento, Calif.
San Antonio
Salt Lake City
San Diego
San Francisco
San Jose, Calif.
Santa Barbara, Calif.
Spokane, Wash.
Sun Valley, Idaho
Tampa, FL
Tucson, Ariz.
Washington, D.C. / Dulles
Washington, D.C. / National
Calgary, Alberta
Edmonton, Alberta
Vancouver, British Columbia
Victoria, British Columbia
Cancun
Guadalajara
Ixtapa / Zihuatanejo
Los Cabos
Mazatlan
Mexico City
Puerto Vallarta
DL is not doing this. But if they did for about 3 years, who would win the war? DL. Is DL stupid enough to do this price war - NO. It seems to me DL and AS are handling this correctly for now. DL could bleed red ink in SEA for years if it wanted. AS could not.
I posted something similar a few months ago on this thread. The cities listed are only the main flts that AS currently fly (not all) and DL could add if they wanted. AS is a great airline. DL is a great airline. I hope it does not come down to this. For the PX living in SEA it would be a win-win!
#219
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Join Date: Jun 2009
Programs: Delta skymiles DM + 1MM
Posts: 8,144
If DL wanted to start a price war with AS from SEA. They could with fares starting at $39 from the following cities. It worked for WN and Texas International (CO) back in the day. Throw in AA and Braniff all fighting for Texas (Southern USA) fares around $19. Sometimes as low as $15.
Cities AS flies to that DL could continue flying or add non-stop from SEA:
Albuquerque
Anchorage, Alaska
Atlanta, Ga.
Austin, Texas
Baltimore
Bellingham, Wash.
Billings, Mont.
Boise, Idaho
Boston, Mass.
Bozeman, Mont.
Burbank, Calif.
Charleston, S.C.
Chicago
Colorado Springs
Dallas/Fort Worth
Denver
Detroit
Eugene, Ore.
Fairbanks, Alaska
Ft. Lauderdale, Florida
Fresno, Calif.
Honolulu
Houston, Texas
Juneau, Alaska
Kahului, Hawaii (Maui)
Kansas City, Missouri
Ketchikan, Alaska
Kona, Hawaii (Big Island)
Las Vegas
Lihue, Hawaii (Kauai)
Los Angeles, Calif.
Medford, Oregon
Minneapolis/St. Paul
Milwaukee, Wisc.
Missoula, Mont.
Nashville
New Orleans
Newark, N.J.
Oakland, Calif.
Oklahoma City
Omaha, Neb.
Ontario, Calif.
Orange County, Calif.
Orlando, Fla.
Palm Springs, Calif.
Philadelphia, Penn.
Phoenix
Portland, Ore.
Raleigh-Durham, N.C.
Reno, Nev.
Sacramento, Calif.
San Antonio
Salt Lake City
San Diego
San Francisco
San Jose, Calif.
Santa Barbara, Calif.
Spokane, Wash.
Sun Valley, Idaho
Tampa, FL
Tucson, Ariz.
Washington, D.C. / Dulles
Washington, D.C. / National
Calgary, Alberta
Edmonton, Alberta
Vancouver, British Columbia
Victoria, British Columbia
Cancun
Guadalajara
Ixtapa / Zihuatanejo
Los Cabos
Mazatlan
Mexico City
Puerto Vallarta
DL is not doing this. But if they did for about 3 years, who would win the war? DL. Is DL stupid enough to do this price war - NO. It seems to me DL and AS are handling this correctly for now. DL could bleed red ink in SEA for years if it wanted. AS could not.
I posted something similar a few months ago on this thread. The cities listed are only the main flts that AS currently fly (not all) and DL could add if they wanted. AS is a great airline. DL is a great airline. I hope it does not come down to this. For the PX living in SEA it would be a win-win!
Cities AS flies to that DL could continue flying or add non-stop from SEA:
Albuquerque
Anchorage, Alaska
Atlanta, Ga.
Austin, Texas
Baltimore
Bellingham, Wash.
Billings, Mont.
Boise, Idaho
Boston, Mass.
Bozeman, Mont.
Burbank, Calif.
Charleston, S.C.
Chicago
Colorado Springs
Dallas/Fort Worth
Denver
Detroit
Eugene, Ore.
Fairbanks, Alaska
Ft. Lauderdale, Florida
Fresno, Calif.
Honolulu
Houston, Texas
Juneau, Alaska
Kahului, Hawaii (Maui)
Kansas City, Missouri
Ketchikan, Alaska
Kona, Hawaii (Big Island)
Las Vegas
Lihue, Hawaii (Kauai)
Los Angeles, Calif.
Medford, Oregon
Minneapolis/St. Paul
Milwaukee, Wisc.
Missoula, Mont.
Nashville
New Orleans
Newark, N.J.
Oakland, Calif.
Oklahoma City
Omaha, Neb.
Ontario, Calif.
Orange County, Calif.
Orlando, Fla.
Palm Springs, Calif.
Philadelphia, Penn.
Phoenix
Portland, Ore.
Raleigh-Durham, N.C.
Reno, Nev.
Sacramento, Calif.
San Antonio
Salt Lake City
San Diego
San Francisco
San Jose, Calif.
Santa Barbara, Calif.
Spokane, Wash.
Sun Valley, Idaho
Tampa, FL
Tucson, Ariz.
Washington, D.C. / Dulles
Washington, D.C. / National
Calgary, Alberta
Edmonton, Alberta
Vancouver, British Columbia
Victoria, British Columbia
Cancun
Guadalajara
Ixtapa / Zihuatanejo
Los Cabos
Mazatlan
Mexico City
Puerto Vallarta
DL is not doing this. But if they did for about 3 years, who would win the war? DL. Is DL stupid enough to do this price war - NO. It seems to me DL and AS are handling this correctly for now. DL could bleed red ink in SEA for years if it wanted. AS could not.
I posted something similar a few months ago on this thread. The cities listed are only the main flts that AS currently fly (not all) and DL could add if they wanted. AS is a great airline. DL is a great airline. I hope it does not come down to this. For the PX living in SEA it would be a win-win!
#220
Join Date: Aug 2013
Location: LAS HNL
Programs: DL DM, 5.7 MM, UA 3.1 MM, MARRIOTT PLATINUM, AVIS FIRST, Amex Black Card
Posts: 4,479
im sure DL would love to add all of those cities, but how much more room is there for DL at SEA to continue to add service? I mean, it cant be much. DL's hands are pretty much tied behind there backs for a while. DL at SEA will, in my opinion, will need to grow into a significant hub...think somewhere in between MSP and DTW size wise.
I am glad DL is not doing it. It would help my pocketbook if they did. They are not. That is a smart move by DL. If AS keeps screwing with DL, DL could really throw a screw you move to AS. Fly RJ's (with very low wages) against AS mainline. 90% of people buy tickets strictly on price. Those PX do not know what one plane is from another. SkyWest? What is that? It say's DL on the tail (or it looks like it).
DL is smart and taking another approach. Get business clients to commit to DL and work business deals. I was approached by DL several years ago (based in LAS) and have not looked back. It works for me and my firm.
Bottom line if DL wanted to screw with AS they could do it. It appears DL is simply trying to feed the Asia flts from SEA. Perhaps I am wrong.
I owned a company a several years ago. My company was #3 in the products we sold. I dropped my prices (at a loss) for 2 years and knocked #2, #4 and #5 out of business. I sold my company to #1 and made a large profit.
I am now running a new company. I am just saying the same could happen to AS. I hope it does not, as AS is a great airline. DL is as well.
Business is business.
#221
Join Date: Nov 2011
Location: SEA, NYC
Programs: DL PM, Bonvoy Plat, Hertz PC
Posts: 645
I saw a DL ad in GEG last week that advertised one-stop to a bunch of capital cities via SEA -- HKG, NRT, PVG, TPE, AMS, CDG, LHR. So I agree but DL is pushing all of its international flights.
Last edited by pleasantsn; Aug 9, 2015 at 6:06 am
#222
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Join Date: Sep 2005
Location: SEA
Programs: UA Silver, BA Gold, DL Gold
Posts: 9,779
That a hub needs connections to round out demand is not remotely the same as saying that there isn't strong demand at the hub.
#223
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Join Date: Sep 2005
Location: SEA
Programs: UA Silver, BA Gold, DL Gold
Posts: 9,779
Its been stated before by Delta that they want to turn SEA into a major Asian gateway. Without the domestic network that AS enjoys, it will be extremely tough to accomplish this. With the limited gate space situation and the inadequate infrastructure that SEA is right now, it will be very tough for Delta to accomplish this. I think I remember reading somewhere that Delta wants to expand domestically at SEA by a lot but that will of course take a long time to do. OTOH, AA coming in with a bunch of wide bodies to fly TPAC with direct feed from AS can be done as soon as AA can get the planes (or AS for that matter).
2) One more time, as it apparently wasn't clear the first time. No, AA cannot just start service tomorrow using AS feed, unless AS's thinking has changed completely on the matter. They weren't willing or able to do it for DL, and AA would have to take a leave of even their most basic senses to think that AS would do it for them.
Honestly, AS is doing what they think is best for AS. Good for them. But that clearly does not seem to include running a robust feeder network to an international carrier at SEA. Not sure why you think this would change just because that carrier is AA rather than DL.
Oh and AS becoming a TPAC carrier? Please...
#224
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Join Date: Sep 2005
Location: SEA
Programs: UA Silver, BA Gold, DL Gold
Posts: 9,779
LAX had been ruled out because UA was already firmly entrenched at SFO and because every airline in the world already was serving LAX so the competition was far more than would be found up north at SEA. Besides, there is a psychological advantage when you try to sell NYC-SEA-HKG compared to NYC-LAX-HKG. To most people it "seems" to be a shorter and better routing and the distance is actually 900 miles less. So SEA was a logical choice for DL, but AS chose not to play along with it.
#225
FlyerTalk Evangelist
Join Date: Jan 2002
Location: Salt Lake City, Utah, USA
Posts: 10,003
I wouldn't dismiss the distance point. SEA is 10% or closer to most Asian cities than LAX. This has enabled DL to be very creative and even conservative with their fleet choices. That would not have been possible at LAX. I suspect there will continue to be a fair bit of efficiencies to come from that.