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The Honolulu Advertiser
Posted on: Tuesday, April 24, 2001



Delta hopes to lure back travelers

Associated Press

ATLANTA — Having already slashed fares for the summer travel season, Delta Air Lines likely won't have trouble luring back travelers who shied away from the carrier because of a possible pilots' strike, industry analysts said yesterday.

Still, that won't necessarily mean travelers will see fares discounted any further, they added.

The nation's third-largest airline averted a strike by reaching a tentative, four-year contract agreement Sunday that would make their pilots the highest paid in the industry.

The agreement, which requires the approval of the union's rank-and-file, came a week before the pilots were to strike. Delta and its 9,800 pilots have been trying to agree on a new contract for 19 months.

Analysts said fliers who were avoiding Delta likely will return without much prodding, although they can expect to get some encouragement from the airline.

"I don't know how quickly we will see any fare cuts, but if I were Delta, I would come out with a public-relations push extolling their virtues," said Richard Copland, president of the American Society of Travel Agents.

Jon Ash of Global Aviation Associates, an aviation consulting group, said travelers can expect some gesture from Delta to "let the world know that they're totally back on track."

"I would expect to see something, some high level of visibility once ratification takes place," Ash said. "Whether that includes any serious discounts in airfares is questionable. Airfares are pretty low already for people who go shopping."

Delta spokesman Russ Williams declined to discuss specific plans, but said the airline is ready to welcome customers back.

"Throughout this process, we've tried to reiterate to customers that they should feel as though they could book with confidence," he said. "We were confident that we would reach an agreement and avoid a strike. We're pleased that that has been the case, and we would encourage customers to continue to book with us."

Tom Parsons, whose Best fares.com Web site tracks airline fare trends, said he expects regular Delta customers will get back on board without the carrier having to offer anything beyond its already reduced fares. Facing a soft market and belt-tightening by high-end business travelers, Delta and other carriers already slashed domestic and international fares for the summer.

"This is like a buyer's market," Parsons said. "How Delta would come in and offer anything cheaper, I don't know."

Delta may have to make some gesture to business travelers, who have cut back as the economy worsens and may have been avoiding Delta because of the strike threat, Parsons said.

Copland said the main concern over Delta's rich deal with its pilots is that it will mean higher airfares in the long run, especially if the other airlines are forced to follow suit.

"You're talking about a lot of money, and the question I have is who's going to pay for it," Copland said. "Inevitably, it is the traveling public."

On the Web:
www.delta.com