uh...ok
FDJ2 said:
Actually, DAL will be increasing Song service by doubling the fleet to over 100 Song equipped 757s in the next 2 years. What DAL is doing is incorporating a winning product into its mainline.
When you create a test bed entity like Song and it works, it only makes sense to incorporate it in your mainline.
http://www.ajc.com/business/content/business/delta/1005/29bizsong.html
Song sung blue: Delta scraps its low-fare unit
By
RUSSELL GRANTHAM
The Atlanta Journal-Constitution
Published on: 10/29/05
Delta Air Lines is cutting off its Song in mid-verse.
The ailing airline on Friday said it will scuttle the 2-year-old, low-fare unit that flew under the odd but attention-getting name Song and used white jets covered with lime green swooshes.
But some of the offshoot's accoutrements — namely video screens with live television, games and music lists at each seat — will survive and spread to more Delta flights. The airline said it will keep the TV systems in those jets and add them to about 50 others over the next two years for domestic flights of more than 1,750 miles.
"While Song aircraft will no longer be externally identifiable, Delta intends to gradually raise the in-flight entertainment bar," said industry analyst Jamie Baker of JP Morgan.
Baker said the move shows big airlines are realizing passengers may want the same entertainment options they have elsewhere, rather than being limited to "the latest Adam Sandler movie."
First class re-installed
Song, which flies mainly from New York and has little Atlanta presence, will cease flying next spring and the planes will be repainted in Delta colors, the airline said. Its 48 jets will be used on more long-range domestic flying from Atlanta, New York and other cities.
Delta filed for Chapter 11 bankruptcy protection in September and is retooling route strategies as part of its turnaround plan.
Meantime, Delta will re-install first-class sections in Song's Boeing 757s, a concession that the unit's all-coach concept puts off business travelers who pay higher fares. Song's planes currently fly between New York and Florida and other leisure markets. Delta executives said they concluded that, to draw a better mix of fares, the carrier needs to boost the number of first-class seats it offers, particularly in New York, and to upgrade its coach service.
Delta never broke out financial results for Song,
but on Friday said it plans to use the aircraft on "more profitable flying." It also said re-absorbing the unit will aid its recovery effort by simplifying operations.
Song's demise will cap a decade-old effort by Delta to run an all-coach "airline-within-an-airline" to serve high-volume routes that bypass hubs. It began with Delta Express, which debuted in 1996 and flew between Florida and the Northeast and Midwest.
The idea was to create a unit with lower costs that better match the fare mix on heavily leisure routes. Other big airlines tried similar units in the 1990s, most of them folding back into the main airline.
Song, which debuted in 2003, was essentially a high-concept version of the same idea, with bigger planes, a broader route system, better in-flight perks and a hip marketing angle. It was aimed in part at blunting the challenge of New York-based JetBlue, which has succeeded with a cheap chic image and low fares.
Some of Song's features, such as leather coach seats, simplified fares and quick turnaround times at airports, are already being adopted more broadly by Delta as it tries to recover from a five-year slump. "As Delta continues its transformation to become a more customer-focused airline, we are incorporating the best of Song into the best of Delta," said Delta Chief Executive Gerald Grinstein.
CEO was skeptical
Song was launched under the management regime of Grinstein's predecessor, Leo Mullin. Grinstein has said he was skeptical from the start, wondering if it should be called "Swan Song." But the Song unit survived in a 2004 turnaround plan and added planes and routes.
One of Song's more noticeable features is video screens at each seat, offering 24-channel live television, 10 on-demand video channels, games and MP3 song playlists.
Delta didn't say how much it will cost to add the systems to more jets. It spent $65 million on reconfiguring jets and other costs when it launched Song. Delta's Boeing 777s, used mainly on international routes, already have seat-back video screens in coach but its other non-Song planes do not.
Bankruptcy proceedings do not prevent airlines from spending on strategic upgrades or changes, although executives typically consult with creditors before launching such moves.
Joanne Smith, currently president of Song, becomes vice president of consumer marketing for Delta, effective immediately, the airline said.
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bye bye Song and the failed concept