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Delta likes its 'basic economy,' will expand it

 

Delta's answer to the ultra-low-cost-carriers, 'Basic Economy' fares is working so well for the airline its planning to extend the option to more domestic markets. The other legacy carriers are following a similar path, but Delta has been the leader, and first to report.

The fares are lower than the regular economy, or coach, fare passengers are used to, but there's a price. No seat assignment, no changes, no upgrades even for a fee, and fees for every other extra. The fares are often 20-25% cheaper, and are aimed at competitng with carriers such as Spirit, Allegiant and Frontier.

Delta attributes $20 million in extra revenue in the first quarter of 2016 from filling those seats with passengers who might have booked otherwise on a true ULCC. In effect, you now have three classes of economy on Delta, the basic, the regular, and a premium economy that comes with a bit more room and amenities. Delta believes its service reputation gives it a boost over the ULCCs.

The extension to more routes will come mainly where ULCCs are strong competitors, and not on routes where they are not.

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I like choice, so this is overall good news for consumers.

On a somewhat unrelated topic, we've covered Canadian jet manufacturer Bombardier on our pages.  It seems the company is very near agreement with Delta to sell it 125 of its new C series jets.  It would be a big boost to Bombardier and might allow Delta extra basic economy seats and new routes on which to sell them.  More on that story at this link.

Twitter: @DrFumblefinger

"We do not take a trip, a trip takes us".  John Steinbeck, from Travels with Charlie

DrFumblefinger posted:

I like choice, so this is overall good news for consumers.

On a somewhat unrelated topic, we've covered Canadian jet manufacturer Bombardier on our pages.  It seems the company is very near agreement with Delta to sell it 125 of its new C series jets.  It would be a big boost to Bombardier and might allow Delta extra basic economy seats and new routes on which to sell them.  More on that story at this link.

I'm excited to fly in a C-Series and will go out of my way  to buy a ticket when they start appearing! 

I also like the trend of one way tickets being less because that opens up lot's a route opportunities

If you want a thing done, ask a busy man.

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