Originally Posted by
Hotel Kilo
Hello, DAL guy here. Yes, we are #2 at BOS and #2 at SEA. We won't be #2 at BOS for much longer. JBLU is foundering there. We'll continue to capacity dump on them. We've opened the 330 pilot base there and we fully expect to add other fleets to base there. At SEA we are behind Alaska, but not by much. We have plans there and as our 350s continue to roll in expect more of a footprint there as well. If you think we're going to surrender AUS to you I think you'd be wrong. Big plans there.
The problem you all have is you don't offer premium anything. And you are at least a decade behind DAL and UAL on that. The market demographics have been shifting. People, the customers we (DAL and UAL) are targeting, want the premium experience. Do you have galleys in your planes? I don't recall seeing them. Do you offer anything close to D1 or Polaris? Not even your "first class" is comparable to DAL or UAL. Again, you are about a decade behind where the market is moving. UAL and DAL have seen it and they are working to secure that premium flyer.
in order for you to compete with them in the future you're going to have to build lounges, upgrade cabins and service and provide a truly premium product. UAL getting their cabins with more premium is going to give you guys some issues. They fly to more areas that are your "turf" than we do. However, AUS won't be one place we are going to sit idly by. That is a premium market and one you won't be able to compete for unless and until you offer something commensurate with what we and UAL offer.
Lot of friends that fly for you guys, I hope to see you bring your A-game here. But until you get the lounges, the cabin interiors and truly offer a premium product you will lose market share to us and UAL. It's already happening. You can keep flying Joe and Margarita around p2p but in the end the $$$ are in the premium customer.
Just as the sun rises in the east, a hat wearer will appear to inform the masses how great they are. It’s a competitive industry no doubt and many markets are in contest. But to think DL is immune from any sort of competitive squeeze anywhere is laughable. If the margins that Wall Street thinks we will have come to fruition this year, SWA will be neck and neck financially with DL and UAL with a stronger underlying balance sheet, lower cost structure, and doing so without a true premium product. Profitability gives rise to reinvestment and more transformation. I suspect that things will continue to change here at a rapid pace if the analysts are correct but only time will tell. I’m glad DL is doing so well and have a few good friends over there. But can’t help but chuckle at the snotty attitudes. Walking stereotypes. Regardless, looking forward to seeing how everything shakes out and how some good ole fashioned competition sharpens the industry further.