Delta Industry News Update #1

North America: powerhouse of global profits

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IATA expects passenger numbers to exceed four billion in 2017. (Rob Finlayson)

New IATA summit reports forecast global airline revenues $743 billion dollars, profits $31.4 billion dollars in 2017, with North America accounting for more than 50%.Industry forecasting a record volume of 4 billion annual travels.Asia Pacific forecasts $7.4 billion dollars, with noted rebound in cargo market, which accounts for more than 40% of global volumes.

IATA forecasts US$31.4 billion in airline profits in 2017


Multiple pressures push airlines competition for Asia and China

Virgin Australia, Singapore airlines, Cathay Pacific post record losses in 2016 from decreasing domestic demand and high costs. Low cost carriers eroded Delta, United and American’s share in the transatlantic market. With looming travels bans disrupting Europe and the Middle East airlines are looking eastward to address China market in efforts to try to regain the huge losses elsewhere.

Loss-making Cathay Pacific makes biggest job cuts in 20 years
财报 | 维珍航空利润承压,欲争抢中国旅游业市场份额
Loss-making Cathay Pacific makes biggest job cuts in 20 years
Singapore Airlines Tumbles Most in Six Years After Surprise Loss

 


It’s a laptopocalypse !

Middle Eastern airline profits plunge, other bracing as travel ban widens

Airline Report #1 - Google Slides.clipular

Airlines are seeing setbacks as a result of the recent carry-on laptop ban for flights traveling to U.S. and UK directly from Middle East. Emirates reported 82% dip in profits from last year and begins cutting flight capacities to major U.S. cities. Recent terror attacks in Europe further confirms airlines fear of new waves of travel and electronic bans both to and from U.S . ,Europe and Middle East.

No carry-on laptop ban on board flights from Europe for now: U.S.
Airline Profits Plunge As Laptop Ban Expands


IT system posts biggest threat to airline profits

More than 75,000 passengers were affected by British Airway’s IT system meltdown over the weekend and caused the airline more than $150 million and countless in long term reputation. Airlines run into frequent IT disaster as their large system are often a result of countless updates, merges and addition of new functions and features, one faulty router sent Southwest system down for more than 12 hours and resulted in more than 2300 flights canceled.

IT meltdown could cost British Airways £150m – it should be much more
Why airlines’ computer systems crash so often

 


Warren Buffett continues to bet on U.S airlines growth

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Biggest shareholder in American Airline, Southwest and Delta Berkshire Hathaway up sizable stake in American Airline and Southwest by 8 and 10 percent respectively from the firm’s first quarter reports. After a decade of consolidation and the shadow of fuel and labor cost, the airline industry is finally soaring into profitability as they slowly monopolizes routes and increased barrier of entry.

Buffett’s Berkshire boosts American, Southwest airline bets; sheds Fox

 


Delta partners with Lyft rideshare

In another smart partnership after Clear and Airbnb to attract more young and professional travellers, Delta frequent flyers will get one point for every dollar they spend on Lyft rideshare. Delta has forego Uber because of its numerous disputes with authorities, drivers and employees. Travelling in taxi/ shared car is also a major part of business travel, operators such as 首汽约车 that also targets a more luxury forward travellers could make great partners for Delta in China.

Delta Air Lines Links Its Rewards Program to Lyft

 


Speed, Comfort, Convenience Delta, Always on time

Delta is slowly becoming U.S. travellers’ favorite airline

Delta tops the chart in on time arrivals, 86.9%, followed by Hawaiian, United, American. Only 65.5% of Virgin’s flights arrived on time, according U.S. Transportation department

On time arrival rate is something that business travellers value the most and will be a key strength for Delta going into the future to capture its frequent business flyers

Creating culture pays off

In the latest report, Delta bumps the least number of travellers off their flights. And also receives the most volunteers who gave up their seats. It goes to show creating culture and showing respect for your customers pays in the long run.

Here are the most reliable U.S. airlines


#Delta Proud

Delta reads 80,000 employee names on livestream 

Delta - How do you thank more than 80,000 hard-working, dedicated....clipular

Delta held a 50 hours long Big Thankyou livestream show reading out 80,000 employees names, 450 participated in the act including celebrities, athletes and business leaders. This act aims to show appreciation for its employees as the busy travel season starts. Many of the viewers are Delta employees and were excited to tune in on their names being read on the live show

Delta holds marathon Facebook Live to read names of 80,000 employees

 

 

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