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First-class seats drive airline profits. It wasn’t always this way
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Airlines became better at selling premium seats to travellers, and customers grew much more willing to pay for them.
PHOTO: CHRISTA JARROLD/NYTIMES
DeeperDive is a beta AI feature. Refer to full articles for the facts.
Niraj Chokshi
- Airlines shifted focus to premium seats, with passengers increasingly willing to pay more for enhanced comfort and services. Delta now sells over 70% of its premium seats.
- Major US airlines are investing billions in aircraft redesigns, adding more premium seats and amenities. Southwest expects a $1.27 billion operating profit increase in 2026.
- Demand for premium seats remains strong, driven by affluent travellers seeking better experiences. Airlines believe this demand is durable, even during economic downturns.
AI generated
Twenty years ago, Delta Air Lines was giving away its best seats.
Back then, only about 15 per cent of first-class passengers paid for their seats, while most of the rest were loyal customers the airline had upgraded for free. Delta has since flipped the script: Today, it sells more than 70 per cent of those prime seats, a shift that has helped it become the most profitable airline in the United States.
