NEW YORK – AUGUST 24 : An Airbus A321 operated by Delta Airlines takes off from JFK Airport on August 24, 2019. (Photo by Bruce Bennett/Getty Images) (Photo by Bruce Bennett/Getty Images)
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Airlines have perennially had to contend with multiple converging factors – air travel demand that increases year over year, shortages of pilots, crew and aircraft and how to fit 10 pounds of potatoes into a five pound bag.
This last element has resulted in ever increasing load factors over the past decades. In the quaint days of the 90’s an average load factor of 70% was considered the maximum. But with the advent of dynamic pricing models and sophisticated capacity management, load factors have continually increased.
The International Air Transport Association (IATA) recently reported that August 2024 saw a record load factor of 86.2%. This was an increase of 1.6% over the previous year. And this is an average across all global regions, many of which have looser demand and capacity ratios. The global average for the entire year was 85.3%.
As a result, most travelers have experienced the pre-boarding announcement from the flight attendants that “This is a completely full aircraft” too many times.
However, another trend in the industry over the past many years has been “premiumization.” In other words, if we can’t fit any more potatoes into the bag, can we change the profitability of the full aircraft? This has spawned the rise of “comfort plus” and “premium economy”, sections that capitalize on the crowding by offering better seat spacing, recline angles and amenities such as blankets and travel kits for a price in between economy and first class. The old “Business Class” rarely exists.
These moves have improved the bottom line and ensured that seat manufacturers such as SAFRAN, Collins Aerospace and Recaro Aircraft Seating have a steady supply of orders as aircraft are reconfigured to meet the new seating plans.
Now Delta Airlines is taking this premiumization trend even further with a surprising experiment. Faced with delays for first class lie-flat seats for seven new Airbus A321neo’s, it has announced that it will depart from its standard seating arrangement.
Delta stated “Select A321neo aircraft are expected to begin their entrance into service next year with an updated seat configuration designed with comfort in mind. We look forward to sharing more in 2026.”
This arrangement is rumored to be a first class section of 44 seats versus the standard 20 that it employs on the other 75 A321neo’s in its fleet. These seats will presumably have the same pitch and spacing as current first class.
The rest of the airplane will follow the seating proportions of 60 comfort plus and 114 economy seats in their respective sections.
Economy section of an Airbus A321neo. (Photo by Nicolas Economou/NurPhoto via Getty Images)
NurPhoto via Getty Images
The reason for the shift lies in the fact that Delta has already taken delivery of the seven A321neo’s and the lie-flat seats are not expected for at least a year. The cost of a new A321neo is roughly $120 million (although large airlines such as Delta negotiate steep discounts off list). Nevertheless, Delta is facing carrying “dead” assets of at least a half a billion dollars if the airplanes are not put into revenue service.
These aircraft are also configured for the eventual lie-flat seating arrangement meaning lavatories and galleys are already positioned in Delta’s traditional seating layout. Such “monuments” (in industry parlance) are difficult to move as it requires significant relocation of wiring and plumbing, not to mention structural alterations.
A major unknown is how “first class service” will be provided for a section that has more than doubled in size. Although flight attendant crews can be augmented, ovens, refrigerators, bathrooms and coffee makers cannot.
Delta has also not specified which routes will receive the new aircraft. The A321neo has been very successful against the Boeing 737MAX due to its increased size and range. It has nudged the aging Boeing 767’s off the West Coast to Hawaii run, and this would be a likely new home for the enlarged first class aircraft.
But passengers bemoaned the removal of the widebody 767’s as the A321neo being more crowded and claustraphobic for a six hour passage. They quipped “economy class service with a larger tray table.”
Delta will doubtlessly be watching the passenger reaction to a 44 first class seating section. If it isn’t too outrageous, the 16 lie flat seats might never be installed and the potatoes in the bag will be mashed together.
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