Delta to Compete with United

Airfare Competition Lands in Aspen

By Mitzi Rapkin, 5-25-06

Delta Air Lines may be a little behind United when it comes to fixing its financial woes, but strategically, they are giving United Airlines a run for their money by attempting to soar into the Aspen market full-time.

In March, Delta announced it would begin one daily flight between Salt Lake City and Aspen beginning June 8th. Before the planes were soaring, demand was and Delta doubled the flight frequency in July and August to twice a day between Salt Lake and Aspen.

Yesterday, the airline announced it would be offering daily service between Salt Lake and Aspen and would add two daily flights during the winter ski season and will offer year-round flights if the market supports it.

Bill Tomcich, the liaison between the resort and the airline industry and the President of Stay Aspen Snowmass, a reservation agency said Delta’s move is significant in a market where United is the only year-round player. “This is very meaningful competition,” he said. “We’ve had seasonal competition before but Delta is committed all year and is the first time United has had year round competition. Since the announcement that Delta was adding a second daily flight, United has dropped their fares, it’s getting United’s attention.”

United dropped its fare between Aspen and LA from $568 to $318 in the last month.

And it’s not just the Aspen market that Delta is tapping into. It is expanding its service in Colorado towns it already serves, like Steamboat Springs and adding new ones, like Telluride.

Tomcich says this will really give United reason to look at how its propelled. “Delta is expanding into Colorado in a big way,” Tomcich said. “Now Delta is going to have all jet service into all the Colorado mountain communities they serve, whereas United has turbo prop service to many destinations, so it will be very interesting in the competitive market.”

“Delta has always offered our ski aficionados access to several popular ski destinations and this ski season we’ll be offering more than ever before,” said Bob Cortelyou, Delta’s Vice-President of Network Planning. “Because the ski destinations are accessible from all three of our major hubs - including Salt Lake City which is a ski destination in itself – Delta customers worldwide can reach any of these fantastic ski destinations with just one stop.

In addition, Tomcich said Salt Lake City is a bigger hub for Delta than Denver is for United. So new towns and cities such as Fresno and Monterey, California and Sun Valley, Idaho and Missoula, Montana can now connect through Salt Lake to get to Aspen.

“Its going to be easier and less expensive for people to fly here, that will be good for out of state weekend visitors,” Tomcich said. “Maybe it could mean fewer cars in town because more people are flying.”

The carrying capacity for tourists in Aspen is about 8,000 hotel beds. Delta’s inclusion in the market means there will be 6,233 airplane seats bringing people in a week. So, when the City and surrounding area is full, it’s full regardless of how people get here.

“Overall, this is huge,” Tomcich said. “I doubt there is a town this size close to that airline capacity anywhere else in the world. While Delta represents just two of the 16 daily flights coming in here, it brings added element of competition that we haven’t had before except in winter with Northwest." And for the locals who sometimes need to get out, it likely means it’s cheaper to do it and easier to get back.

Like this story? Get more! Sign up for our free newsletters.