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Two weeks after Delta Air Lines Inc. (NYSE: DAL) made changes to its SkyMiles program and said it would limit access to its SkyClub lounges — both of which drew fierce criticism from customers — the airline's CEO said the moves may have been too drastic.
"No question, we probably went too far," Bastian said, speaking this week a meeting of a Rotary Club event in Delta’s headquarters city of Atlanta.
Travel website The Points Guy was among the first outlets to report on Bastian's comments; you can also watch Bastian's entire talk at the Rotary Club's website..
Delta, which is the dominant airline at Minneapolis-St. Paul International Airport, earlier this month announced a major overhaul of its SkyMiles Medallion loyalty program in a way that rewards spending with the airline more than actual flying.
Instead of qualifying for Silver, Gold or Platinum Medallion status — which gives access to perks like free checked baggage or early boarding — by taking a certain number of trips on Delta, passengers would only be eligible under the new system by spending money on Delta tickets or with the airline's co-branded American Express card. Delta also raised the spending threshold, putting the highest levels of status out of reach for many passengers.
Additionally, the airline imposed new restrictions for its SkyClubs, which have grown more crowded as travel has surged in the post-pandemic era. The airline is scrapping unlimited visits for most holders of its AmEx cards, and travelers on Basic Economy tickets won't be able to enter the clubs at all.
The measures were greeted with criticism from many Delta customers — though not all; The Wall Street Journal this week talked with some passengers happy with the changes. Some rivals, like JetBlue, used the opportunity to woo Delta's passengers to its own loyalty program.
In his comments, Bastian said that some changes were necessary. “Our team wanted to kind of rip the Band-Aid off and didn’t want to keep having to go through this every year with changes and nickel and diming."
But he said that Delta would review the new rules and could pull back on some of them.
Total revenue passengers
| Rank | Prior Rank | Name / Rank in 2022 (* not ranked) |
|---|---|---|
1 | 1 | Delta Air Lines Inc. |
2 | 2 | Sun Country Airlines Holdings Inc. |
3 | 3 | American Airlines |
