DL 2Q 2020 Earnings - $7B Loss
#31
Join Date: Sep 2013
Location: Paradise
Posts: 1,617
NW had nothing comparable. The 319's couldn't do the job the 73G was bought for.
#32
formerly jackvogt
Join Date: Dec 2015
Location: Atlanta, GA
Programs: Delta SkyMiles,
Posts: 822
I have watched Delta's response to this whole situation since March. They seemed to be the first to introduce strict cleaning standards, requiring masks and flexible changes/cancellations. I also noticed Delta slashed their schedule to the point where being based in Atlanta I could not get where I needed to be without inconvenient times and long connections. This has since improved.
Delta got a lot of praise for what they did. I suspect most of it was a PR move. It makes total sense, if people are scared of the risk of flying, lets show them they should be scared. Perhaps their planes are cleaner, but I don't think flying is a particularly safe thing to do during a pandemic so either I'm ok with that risk, or I just stay home.
Now I'm wondering if they are losing their share of the market due to remaining very conservative when it comes to the virus. It will be really interesting to which airline comes out on top after all of this is over.
Delta got a lot of praise for what they did. I suspect most of it was a PR move. It makes total sense, if people are scared of the risk of flying, lets show them they should be scared. Perhaps their planes are cleaner, but I don't think flying is a particularly safe thing to do during a pandemic so either I'm ok with that risk, or I just stay home.
Now I'm wondering if they are losing their share of the market due to remaining very conservative when it comes to the virus. It will be really interesting to which airline comes out on top after all of this is over.
#33
FlyerTalk Evangelist
Original Poster
Join Date: Mar 2013
Programs: DL PM, MR Titanium/LTP, Hilton Diamond
Posts: 10,130
I have watched Delta's response to this whole situation since March. They seemed to be the first to introduce strict cleaning standards, requiring masks and flexible changes/cancellations. I also noticed Delta slashed their schedule to the point where being based in Atlanta I could not get where I needed to be without inconvenient times and long connections. This has since improved.
Delta got a lot of praise for what they did. I suspect most of it was a PR move. It makes total sense, if people are scared of the risk of flying, lets show them they should be scared. Perhaps their planes are cleaner, but I don't think flying is a particularly safe thing to do during a pandemic so either I'm ok with that risk, or I just stay home.
Now I'm wondering if they are losing their share of the market due to remaining very conservative when it comes to the virus. It will be really interesting to which airline comes out on top after all of this is over.
Delta got a lot of praise for what they did. I suspect most of it was a PR move. It makes total sense, if people are scared of the risk of flying, lets show them they should be scared. Perhaps their planes are cleaner, but I don't think flying is a particularly safe thing to do during a pandemic so either I'm ok with that risk, or I just stay home.
Now I'm wondering if they are losing their share of the market due to remaining very conservative when it comes to the virus. It will be really interesting to which airline comes out on top after all of this is over.
This is what Ed claimed on the earnings call re: this topic
We have received a lot of customer feedback that in fact I would say when we survey customers today about the reasons you're purchasing a ticket on Delta, the space onboard the plane, the blocked middle seats, has gone through the number one reason why customers are choosing Delta. They really – they see it consistent with our brand. Everyone appreciates it's not going to last forever, but in the face of a health crisis, that space onboard really matters and customers are telling us that. And we're seeing it in our Net Promoter Scores which have gone up considerably on a year-over-year basis, 20 points in the month of June over last June which last June was already a good number. And we hear it from our corporates, we hear it anecdotally from many of our travelers.
#34
formerly jackvogt
Join Date: Dec 2015
Location: Atlanta, GA
Programs: Delta SkyMiles,
Posts: 822
Delta is claiming they have a higher NPS score now than they did last June and they are working off a pretty good base. They seem pretty confident in positioning themselves as the safest option in this time and feel like it's both working and aligned with their brand. At a minimum I think being conservative helps the brand and more importantly I think it keeps them out of the news. As opposed to AA where you see reports every couple days of packed planes and people ignoring the mask rules.
This is what Ed claimed on the earnings call re: this topic
This is what Ed claimed on the earnings call re: this topic
#35
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Join Date: Sep 2007
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I know multiple people who are booking and flying DL due to the advertised cleaning standards and capacity limits instead of the potential sardine can on AA or UA. So their marketing/PR is working from that respect. I think the point is to reduce cash burn (flying at 60% still loses money, but a lot less then parking planes) while trying to generate some goodwill from pax who are flying.
The issue is with business travelers since thats really where they make the money, and there is little to no sign of recovery there yet due to all of the various international limitations and growing domestic restrictions with some states. At this point I'm expecting the airlines to lobby the govt enough that they get an extension through end of the year on the funding support, especially it being an election year and it would be bad political optics to have massive airline layoffs a month prior to the election.
The issue is with business travelers since thats really where they make the money, and there is little to no sign of recovery there yet due to all of the various international limitations and growing domestic restrictions with some states. At this point I'm expecting the airlines to lobby the govt enough that they get an extension through end of the year on the funding support, especially it being an election year and it would be bad political optics to have massive airline layoffs a month prior to the election.
#36
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Join Date: May 2012
Location: MCO
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#37
Join Date: Jul 2004
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"....Delta Air Lines (DAL) on Tuesday said its policy of keeping the middle seat empty and allowing extra space onboard is the "No. 1 reason why customers are choosing" to fly on the airline...."
https://www.investors.com/news/delta...220&yptr=yahoo
#38
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Join Date: May 2012
Location: MCO
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That's pretty much what Ed said during the earnings call on Tuesday:
"....Delta Air Lines (DAL) on Tuesday said its policy of keeping the middle seat empty and allowing extra space onboard is the "No. 1 reason why customers are choosing" to fly on the airline...."
https://www.investors.com/news/delta...220&yptr=yahoo
"....Delta Air Lines (DAL) on Tuesday said its policy of keeping the middle seat empty and allowing extra space onboard is the "No. 1 reason why customers are choosing" to fly on the airline...."
https://www.investors.com/news/delta...220&yptr=yahoo
#39
Join Date: Apr 2011
Posts: 159
EYW is a relatively premium route (at least by leisure destination standards) so I'd be surprised if they stuck a CRJ-700 on it. Same reason why HHH magically had an E-175 flying on it most days rather than a CRJ despite the fact that Delta saves all their nice jets for more competitive markets while Atlanta gets the dredges.
So even if it goes back to a CRJ, it probably wouldn't see any where near as many cancellations.
#40
Join Date: Apr 2010
Location: EYW
Programs: DL GM
Posts: 302
Now AA flies the E-175 to MIA and has a daily 319 to DFW. UA flies to ORD and IAD with 319s and 739s. DL could get away with the CRJ back in the day, but the hard product would not be competitive now.
Fingers crossed that the EYW 73G flights are replaced with the 220.
#41
Join Date: Sep 2013
Location: Paradise
Posts: 1,617
"On December 18, the 737-700 opened new Delta route between Atlanta and Honduras capital of Tegucigalpa. It allowed Delta to add service to unique airports, such as Tegucigalpa's Toncontin International Airport, with short runways, extreme temperatures and high altitudes"
#42
Join Date: May 2011
Programs: Delta PM, Hyatt Plat-ist, Bonvoyyyyyyed, Hilton $15 Daily F&B Receiver, Food Lion MVP
Posts: 1,203
I know multiple people who are booking and flying DL due to the advertised cleaning standards and capacity limits instead of the potential sardine can on AA or UA. So their marketing/PR is working from that respect. I think the point is to reduce cash burn (flying at 60% still loses money, but a lot less then parking planes) while trying to generate some goodwill from pax who are flying.
The issue is with business travelers since thats really where they make the money, and there is little to no sign of recovery there yet due to all of the various international limitations and growing domestic restrictions with some states. At this point I'm expecting the airlines to lobby the govt enough that they get an extension through end of the year on the funding support, especially it being an election year and it would be bad political optics to have massive airline layoffs a month prior to the election.
The issue is with business travelers since thats really where they make the money, and there is little to no sign of recovery there yet due to all of the various international limitations and growing domestic restrictions with some states. At this point I'm expecting the airlines to lobby the govt enough that they get an extension through end of the year on the funding support, especially it being an election year and it would be bad political optics to have massive airline layoffs a month prior to the election.
#43
Join Date: Feb 2017
Programs: DL DM, UA Gold, Alaska MVP, Bonvoy (lol) Ambassador
Posts: 2,994
Are you implying that Delta will do an acquisition of another airline or company over book value? That's the only way intangible assets get created on a balance sheet. There is no magic line item called "Public Goodwill" that a company can adjust on their balance sheet because they've done good marketing.