Politics, Weather, Photography, and the Dog
Friday 22 August 2014

Crain's has the story this morning about how the airline is adapting to reduced travel expense accounts:

Waning customer interest in the costliest tickets prompted American Airlines to drop first class as it adds seats to its 47 long-haul Boeing Co. 777-200s. The aircraft will get new lie-flat business seats — plusher than coach, but lacking first- class flourishes such as pajamas, slippers and an amuse bouche.

“We're responding to what demand is,” Casey Norton, an American spokesman, said yesterday. “We've looked at what the demand level is for business and also what we need in the main cabin as well. That's where we think we've hit the sweet spot.”

The changes will leave American with international three-class service — first, business and economy — only on the 777-300ER, the carrier's biggest aircraft. Fort Worth, Texas- based American has 14 of those planes flying on some of its most-lucrative overseas routes, such as Miami-Sao Paulo, while using the 777-200 for city pairs including Chicago-Beijing.

There are some other factors here. Intense competition for business-class passengers—but not for first-class—has driven most airlines to build business classes that would be incomprehensibly luxurious to passengers who flew first class as recently as 1995. The last time I flew first class overseas on American was Tokyo to Chicago in December 2011. I didn't pay the $12,000 for the seat the airline charged other people on the plane; I paid $400 for a fare-class adjustment to my coach ticket and used frequent-flier miles for the upgrade.

If you want to travel Chicago to London next week on American, you'll pay $7,700 to fly American or BA in business class and $10,600 to fly in first class. Four weeks out the business class price remains the same but first-class seats dry up as the airline moves the refitted 777-200s onto the route.

I love flying in American's business class overseas. But like most people who do so, I'll probably never pay full price for it. And this is the root of the airline's problems with first class.

Friday 22 August 2014 10:08:17 CDT (UTC-05:00)  |  | Aviation | Travel#
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David Braverman is the Chief Technology Officer of Holden International in Chicago, and the creator of Weather Now. Parker is the most adorable dog on the planet, 80% of the time.
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