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Delta stints on food spending - under HALF per pax. that of AA!

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Delta stints on food spending - under HALF per pax. that of AA!

 
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Old Oct 16, 2000, 4:15 am
  #1  
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Delta stints on food spending - under HALF per pax. that of AA!

Delta stints on food spending - under HALF per pax. that of AA!
http://www.latimes.com/business/2000...000098233.html

What They Spend

A comparison of the major carriers' food expenses (excluding beverages). Food cost per passenger in the fourth quarter of 1999:

Singapore: $15 (up to $45*)
American: 8.44
United: 7.79
Continental: 5.23
Northwest: 4.97
Delta: 4.16

Sources: Aviation Daily, U.S. Transportation Department, airline reports

*Estimated range

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Old Oct 16, 2000, 6:45 am
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In that case, I would say that American seriously overspends as there is very little difference between the two.
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Old Oct 16, 2000, 6:59 am
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I'd love to see it broken out apples for apples. For example, on JFK-LAX, AA spends $X, and DL spends $Y.

AA's route mix is different from DL's.

I wonder if that takes into account routes where no food at all is served? i.e. do those routes count for $0, and then divide by total number of pax? If so, keep in mind that DL has DelEx, which produces lots of pax but has relatively low food costs.

[This message has been edited by HRGM (edited 10-16-2000).]
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Old Oct 16, 2000, 2:20 pm
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I'm also curious if Comair and ASA flights are included in the number since DL owns them, or for that matter Sky West also since they all use DL fight numbers.

I would also venture to guess that AA's domestic flights are typically longer than DL's since AA only has 2 main domestic hubs vs. DL which has 4.

But maybe DL is just stingier with the food as they are with the seat pitch.
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Old Oct 16, 2000, 2:28 pm
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I agree that this isn't an apples-to-apples comparison. Delta has a ton of short haul routes in the southeast where food service isn't practical and ATL isn't that far from many of the high-traffic east coast destinations (hence limited food service on many of those relatively short flights as well), whereas AA's major DFW hub is a great distance away from all of these east coast cities and therefore meal service would be the norm on virtually all of those flights. Add to that the fact that AA does a ton of non-hub transcontinental flying where meal cost is relatively high. All of this would tend to skew costs upward, on a per passenger basis, for AA.

I would bet that, apples to apples, AA outspends Delta about a buck per passenger.
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Old Oct 16, 2000, 5:50 pm
  #6  
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Yes, the figures of course are not terribly comparitive, but look at the UNITED figure, and remember that their MASSES of Sh!ttle flights where NO food is ever served, other than the legendary tiny packs of "pretzel surprise" even in First!

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Old Oct 16, 2000, 5:52 pm
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i.e. assuming UA spends 10c on each pax on food for each Sh!ttle flight, and there are HEAPS each day, their average cost of a "real" meal even in coach must be up around 10 bucks, which does surprise me. (And most who get to eat it too, I bet!)

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Old Oct 19, 2000, 8:08 pm
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ozstamps:

United Shuttle only accounts for a tiny fraction of all United operations worldwide.

And why does it matter if they eat it? If they accept it, it doesn't get reused, so it makes no dif if they eat it or not.
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