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The Street
The Street
Jeffrey Quiggle

Delta Air Lines makes changes to its priorities for granting upgrades

During the past couple of months, a number of questionable choices made by some major U.S. airlines have gathered increasing scrutiny.

These have often concerned offers for passengers that the carriers have newly created or that are existing deals that have been changed.

Related: Target adds beloved brand Walmart, Costco, and Kroger don't sell

In September, for example, Delta Air Lines (DAL) -) pushed forward on a plan to scale back its airport lounge access by diminishing the frequency of visits to them SkyMiles passengers were allowed.

This move was met with denunciations from travelers and news sources, including social media, to such an extent that Delta was forced to listen. The airline soon announced it would ease those proposed conditions for entry.

But already in place was an Alaska Airlines (ALK) -) plan to offer Delta's SkyMiles participants an enticing deal to join its loyalty program.

JetBlue (JBLU) -) also offered SkyMiles participants upgrades — and even began calling them over the phone to directly pitch transactions.

In an appeal to travelers to participate in its loyalty program, Southwest Airlines (LUV) -) made changes to its Rapid Rewards program.

And American Airlines (AAL) -) introduced its new AAdvantage Business loyalty option that made overtures to both businesses and those who travel for those businesses.

People lounging in a Delta Sky Club.

Shutterstock

Delta changes how it prioritizes upgrades

Through all this, Delta has continued to make adjustments to its offers, including to the way it handles passenger prioritization for requests to fly first-class.

"In the midst of all of the rancor and chaos, there's a change to who gets upgrades going forward," wrote Gary Leff of View From the Wing. 

One development related to the change is that Delta is experiencing higher rates of filling its first-class seats than it has previously.

"There are two major problems that limit upgrades at Delta," Leff wrote. "First is, given that they've gone from selling 13% of first class seats to selling 75% of them (for some amount of cash), they no longer have enough first class seats."

Leff suggested that Delta should seriously entertain the idea of adding more luxury seats.

"This is something entirely in their control. It makes sense to add seats now that they’re monetizing them so well," he wrote.

"Elite upgrades do still matter for driving long-term business and for encouraging co-brand card spend where the airline is working to grow annual Amex revenue from $7 billion to $10 billion," he added.

The airline travel publication also raised a second purported point of contention about the processing of requested upgrades.

"Delta is notoriously bad at actually processing upgrades at the gate," Leff wrote. "I'm constantly hearing from readers who don't get upgraded and where flights go out with empty seats up front. If you aren't upgraded in advance, it's in the lap of the gods whether upgrades will be processed."

Man with a champagne glass flying first class in an airplane seat by a window.

Shutterstock

A proposed solution to improve the situation

Leff expanded on his view that Delta has the means to control these matters.

"Addressing these two issues would allow Delta to sell more premium seats and retain the loyalty of premium customers who increasingly have to spend more with the airline and on its premium co-brand cards just to stay even (or, with fewer seats for upgrades, to still fall behind)," he wrote.

"Adding premium seats would come at the cost of the marginal coach seats on the aircraft," Leff continued. "Ensuring that gate agents process upgrades would not come at such a cost, but would take crucial minutes as they try to get flights pushed back."

The priorities for issuing upgrades in 2024 are the following, according to Leff.

1. Medallion status

2. Cabin purchased (original plus paid upgrades)

3. Delta SkyMiles Reserve American Express Card members

4. Delta Corporate travelers.

5. Medallion Qualification Dollars (MQDs) earned in the current calendar year.

6. Date and time of upgrade request.

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