Delta Turns Focus to Regaining Respect

 
Old Oct 8, 03, 10:28 am
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Delta Turns Focus to Regaining Respect

...from the Atlanta Journal-Constitution:

<font face="Verdana, Arial, Helvetica, sans-serif" size="2">After two years focused on keeping Delta Air Lines solvent, the Atlanta carrier's chief executive officer says it's time to work on regaining respect.

To do that, Delta must expand its route network and restore slipping customer service and employee morale, despite continuing cost-cutting efforts, said CEO Leo Mullin.

"We are ready to resume the important work of affirming a strategy that will make our company the most respected and successful airline in the world," Mullin said in a seven-page memo that was to be issued to employees today.

In a brief interview Tuesday, Mullin said he intends it as the first broad strategy outline he has sent to employees since the Sept. 11, 2001, terrorist attacks.</font>
[This message has been edited by Canarsie (edited 10-08-2003).]
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Old Oct 8, 03, 11:33 am
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Look at the last two sentences:

"Delta has also been using smaller regional jets to reduce capacity and increase the number of flights at its four largest hubs, including Atlanta. Mullin said Delta will extend the strategy to its secondary hubs."

Well, hooooooray!
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Old Oct 8, 03, 11:41 am
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<font face="Verdana, Arial, Helvetica, sans-serif" size="2">Originally posted by jjglaze77:
"Delta has also been using smaller regional jets to reduce capacity and increase the number of flights... Mullin said Delta will extend the strategy to its secondary hubs."</font>
Interesting- I felt that much of the mainline service in DFW, SLC, LGA/JFK and MCO has already been guted. What secondary hubs is he talking about? SFO, LAX? Is he thinking CRJs to HNL?

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Old Oct 8, 03, 11:44 am
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<font face="Verdana, Arial, Helvetica, sans-serif" size="2">Originally posted by Canarsie:
...from the Atlanta Journal-Constitution:
</font>
Since I am not skilled in marketing, let's see what lessons can be learned from this:

How to bring your airline out of the red:

1.
Decide to annoy and offend your employees by cutting them and their benefits while padding your own wallet, outsource customer service to India.

2.
Efeectively offend fiercely loyal customers by profoundly reducing their perks and then try to convince them that "they asked for it"

3.
Load more on 2 by telling those loyal customers most affected, that they are the scum of the family and should try to avoid letting the door hit them on the way when they leave for the compettitor

4.
Top 1-3 off by rewardding the highest perk status to people flying 1-20 trips per year for redicilous first class fares in compettetive markets and continue to scrabe off the Medaillion list those who flies all the time on expensive LUT fares in non-compettetive markets

5.
Add to 1-4 by Taking away the perks some even pay for, such as meal service, presentation, assistance.

6.
See to even long distance routes are replaced with Regional tin cans, while keeping or increasing the ticket price, and further reduce to the point of elimination any comfort associated with flying.

7.
And when the seeds of 1-5 are resulting in an ever meager customer harvest, indicate in a 5 page memo how these points need to be improved on in order to stay in business.

Definitely makes a lot of sense to me!!!

[This message has been edited by Flying_Duck (edited 10-08-2003).]
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Old Oct 8, 03, 11:52 am
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"smaller jets to reduce capacity and increase the number of flights"

This guy is a idiot.

On time now will be sacrificed due to getting back to the skies getting crowded with RJs at a time then Air Traffic Controllers are starting to retire in droves. Let's increase the RJs and concentrate on "higher fare paying customers" who do not want to fly the RJs.

I seem to remember that airlines went to larger planes in order to cut down the number in the sky..As a result with more seats available fares went down but the planes were more efficient.

Many other airlines have newer more efficient aircraft in their fleets.
Delta still is basically a MD88 and 757
airline. Some may be paid off but they are not competitive.

If Delta doesn't want the lower fare passenger many others will take them, and they make a profit.
Delta's east coast business to Florida is families and they will not pay higher prices. Song is a joke..When I checked on
fares BOS-MCO/TPA Song was only $5.00 less round trip...

The "low cost " airline means LOW OPERATING COSTS NOT FARES.

So if Leo wants Delta to "get respect" he needs to stop playing games with terminology
and provide what people THOUGHT he meant.
Where is the low price ? Where is the entertainment systems that were supposed to be on the planes ?

"Respect"? may come when Leo stops trying to "con" the customers.
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Old Oct 8, 03, 12:06 pm
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Leo doesn't know he's trying to con the customer, aka doublespeak.
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Old Oct 8, 03, 12:10 pm
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Rodney Dangerfield also complains that "I don't get no respect."

The difference, of course, is that Dangerfield knows that he is a clown.
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Old Oct 8, 03, 12:13 pm
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Any CEO who thinks the interests of his company and the interests of his customers are polar opposites is doomed.
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Old Oct 8, 03, 12:14 pm
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<font face="Verdana, Arial, Helvetica, sans-serif" size="2">Originally posted by traveling_again:
"Interesting- I felt that much of the mainline service in DFW, SLC, LGA/JFK and MCO has already been guted. What secondary hubs is he talking about? SFO, LAX? Is he thinking CRJs to HNL? "</font>
I must be missing something with the whole RJ issue...

Using smaller jets increases frequency and opens up new routes. Isn't this what customers want?

I typically fly Delta from via SLC to FCA, MSO and GTF. I think the move to all Skywest CRJs is great as it doubles the number of flights I can take.

Delta isn't perfect, but using RJs to adjust capacity to demand is a logical business move. (Then again, improving their product and cost structure to make fill up a mainline jet with more profitable customers is also a smart business more.)

Edited to correct formatting.

[This message has been edited by sxf24 (edited 10-08-2003).]
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Old Oct 8, 03, 12:51 pm
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RJs are fine if they replace a J31. They're resented if they replace a 757. SLC-MSO might be OK, but CO operates IAH-YYZ with an RJ now, a three-hour sector, and it's got to be a total nightmare.

Also, if the main reason you are loyal to an airline is to have a crack at F upgrades and RJs have no F, you no longer have a main reason for staying loyal.
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Old Oct 8, 03, 12:59 pm
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<font face="Verdana, Arial, Helvetica, sans-serif" size="2">Originally posted by BearX220:

Also, if the main reason you are loyal to an airline is to have a crack at F upgrades and RJs have no F, you no longer have a main reason for staying loyal.
</font>
I agree - this IS the point.
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Old Oct 8, 03, 1:11 pm
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<font face="Verdana, Arial, Helvetica, sans-serif" size="2">Originally posted by sxf24:

I must be missing something with the whole RJ issue...

Using smaller jets increases frequency and opens up new routes. Isn't this what customers want? </font>
Maybe other customers, but not me.

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Old Oct 8, 03, 1:22 pm
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Yet again, too little too late! Wonder what drugs Leo takes. Must be good as he is definitely on another planet with announcements like this today.
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Old Oct 8, 03, 1:51 pm
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Is this man for real???? Makes me sick...
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Old Oct 8, 03, 1:59 pm
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<font face="Verdana, Arial, Helvetica, sans-serif" size="2">Originally posted by sxf24:
Using smaller jets increases frequency and opens up new routes. Isn't this what customers want? </font>
Not me either. Hooray for the customers in Podunk who now get service via a bright, shiny RJ. Why screw the pooch and also put that same RJ on a longish SDF-DFW route?
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