With improved economy, airlines targeting first class passengers

Tuesday, 18 Mar, 2010 0

As perception grows that a recovery is under way, airlines are rolling out the red carpet for their favorite customers: upgraded business travelers.
 

"The business traveler is the most profitable part of the traveler segment," said Bob Harrell, an airline consultant.
 

He points out that even in economy class, the lowest domestic refundable fare typically paid by a business traveler is five times the lowest price paid by a leisure flier who bought a non-refundable ticket far in advance.
 

“Perks, from a luxury airport lounge to an in-flight gourmet meal, can persuade a corporate traveler to pick a particular carrier over the competition.” says USA Today.
 

While airline officials say many of the amenities being rolled out this year have long been planned, more business passengers may be able to take advantage of them now that analysts predict a reversal of a travel downturn.
 

Delta spokesman Paul Skrbec says his airline is investing $1 billion through 2013 to enhance services and amenities, particularly for premium-paying and frequently flying passengers.
 

Airlines particularly want to attract more affluent international passengers.
 

While premium passengers account for less than 10 percent of all international travel, the higher fares they pay bring in about 30 percent of the passenger revenue reaped from international trips by most carriers, according to the International Air Transport Association.
 

What are some typical offerings?
 

• Delta is installing flat-bed seats for BusinessElite passengers in 90 planes.
 

• Continental is putting in seats that recline 180 degrees in BusinessFirst cabins flying between such popular routes as Houston-Amsterdam.
 

• Continental announced new menus for BusinessFirst passengers flying overseas in December with broiled tenderloin with asiago cheese.
 

• American Airlines is also adding seats this year to first-class cabins on 106 domestic jets, enabling two more passengers to sit in the premium section.
 

• Delta plans to outfit 66 more regional planes with first-class seats. By midsummer, 219 of the aircraft operated by the airline’s regional carriers will have first-class cabins.
 

• Regional carriers are also getting into the act, with American Eagle offering premium service on shorter flights such as their Chicago to Dallas routes.
 

By David Wilkening
 



 

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