Delta strips perks from new cheaper premium fares
Delta is adding basic business and first-class tickets that skip lounge access, advance seat selection and some flexibility.
By Frankie Delgado · News Reporter
3 min read
Delta Air Lines is giving premium travelers a cheaper way into the front of the plane, with a catch: fewer of the perks that usually make those seats feel premium.
The airline said Wednesday that it is creating new basic fare options for its higher-end cabins, including a Basic Business ticket for Delta One, its lie-flat, long-haul product. CNBC reported that the new fares will remove benefits such as airport lounge access and free advance seat selection.
Under the new setup, passengers buying the basic Delta One fare will have seats assigned at check-in, according to CNBC. They will also earn fewer miles than travelers who buy pricier premium tickets.
The tickets will come with tighter rules, too. CNBC reported that changes or cancellations will be allowed only for a fee, and customers on the basic premium fares will not be eligible for same-day standby or confirmed same-day flight changes.
Delta is also adding a comparable basic option for first class, a cabin more commonly used on shorter routes, and for premium economy, CNBC reported.
Premium cabin, economy-style slicing
The move brings a familiar airline playbook into more expensive seats. Airlines have long split economy cabins into fare tiers, selling cheaper tickets with fewer extras while charging more for flexibility and choice.
Delta’s former president Glen Hauenstein previewed the strategy during an earnings call last July, according to CNBC. He said the airline’s main-cabin segmentation would become a model for premium cabins over time because customers have different needs.
The new fares go on sale Wednesday for flights beginning in September, CNBC reported. Delta said they will be available only in select markets, though the airline did not immediately identify which routes will get the option.
The change comes as airlines chase more revenue from customers willing to spend on roomier cabins and higher-end service. CNBC reported that resilient demand from those travelers has helped support the industry.
Delta, based in Atlanta, is the most profitable airline in the United States, according to CNBC. The carrier is scheduled to release its second-quarter results on Friday.
United already made the move
Delta is not alone in trimming benefits from some premium fares. CNBC reported that United Airlines made a similar change earlier this year for its Polaris long-haul business class and other higher-tier cabins.
That means the front of the plane is becoming more finely divided, with airlines using fare rules, mileage earning, seat selection and lounge access to separate cheaper premium tickets from fuller-service ones.
For passengers, the new Delta fares may put lie-flat and first-class seats within reach at a lower price. For those who expect the whole premium bundle, the price tag may no longer tell the full story.
This story draws on original reporting from CNBC.