New DL Marketing Campaign = "High Quality Industrial Transport Company"

[WorldTraveler]

of course they haven't.

There is no market volatility that employees can control. Employees do have access to the same message that is provided to investors because no publicly traded company can provide materially different information to its employees than it provides publicly.

You can find what DL says on delta.com under investor relations.

You can look up on deltanet the same things Kevin can see anyway.

It's the step you use right before you use your pass benefits that DL gave you.

 

[Kev3188]

Interesting Kev. Have they passed on informant to actual employees (couldn't help myself) about a campaign to calm market fears?

(chuckle)

This is but one piece of their larger "branding" campaign. They not only want to be a carrier of choice (obviously), but also want to be regarded in the same vein that, say Fed Ex, UPS, Coke and other companies that are perceived as both high performing and "stable" are.

The internal push for this has been massive in scope.

Of course that means different targets depending on the audience. For employees that may mean something as simple as uniform signage across the system, clean carpets in a luggage office, or a push for new (as in unworn) uniforms. For the investment community, the play is that we want to step off the volatile rocket that is the aviation sector. IOW, no longer be perceived as an "airline" in the context that we historically have.

I think Josh's nod to the Railroads in the early '00's is a pretty accurate comparison.

 

[WorldTraveler]

(chuckle)

This is but one piece of their larger "branding" campaign. They not only want to be a carrier of choice (obviously), but also want to be regarded in the same vein that, say Fed Ex, UPS, Coke and other companies that are perceived as both high performing and "stable" are.

The internal push for this has been massive in scope.

Of course that means different targets depending on the audience. For employees that may mean something as simple as uniform signage across the system, clean carpets in a luggage office, or a push for new (as in unworn) uniforms. For the investment community, the play is that we want to step off the volatile rocket that is the aviation sector. IOW, no longer be perceived as an "airline" in the context that we historically have.

I think Josh's nod to the Railroads in the early '00's is a pretty accurate comparison.

so DL had dirty carpet in the baggage service office before but now they cleaned the carpet so you think that makes them investment grade?

Did DL permit worn uniforms before and now they don't?
How do DL's uniform wearing regs compare with FedEx (as much as you chose to exclude them since they are non-union, they are a high quality transportation company)?

 

[Glenn Quagmire]

(chuckle)This is but one piece of their larger "branding" campaign. They not only want to be a carrier of choice (obviously), but also want to be regarded in the same vein that, say Fed Ex, UPS, Coke and other companies that are perceived as both high performing and "stable" are.The internal push for this has been massive in scope.Of course that means different targets depending on the audience. For employees that may mean something as simple as uniform signage across the system, clean carpets in a luggage office, or a push for new (as in unworn) uniforms. For the investment community, the play is that we want to step off the volatile rocket that is the aviation sector. IOW, no longer be perceived as an "airline" in the context that we historically have.I think Josh's nod to the Railroads in the early '00's is a pretty accurate comparison.

I think it is good strategy if they can pull it off.

Remember Amazon.com when they were simply thought of as an online bookseller. I would never have thought they would become one of the premier go to places to shop online...for everything.

They did it through fantastic customer service, and "branding".

Maybe Delta has more on the horizon (up their sleeve) to turn itself into a "high quality industrial transport company".

Maybe they can break into this niche market:

<http://youtu.be/F-Wb9NQ4aEE>

http://m.youtube.com/watch?feature=youtu.be&v=F-Wb9NQ4aEE&desktop_uri=%2Fwatch%3Fv%3DF-Wb9NQ4aEE%26feature%3Dyoutu.be

They could trade in "The Spirit of Delta" for "Air Horse One" 😉

 

[Kev3188]

How do DL's uniform wearing regs compare with FedEx (as much as you chose to exclude them since they are non-union, they are a high quality transportation company)?

Oh, I included them. Look again.
 
 

Maybe they can break into this niche market:

<http://youtu.be/F-Wb9NQ4aEE>

http://m.youtube.com/watch?feature=youtu.be&v=F-Wb9NQ4aEE&desktop_uri=%2Fwatch%3Fv%3DF-Wb9NQ4aEE%26feature%3Dyoutu.be

They could trade in "The Spirit of Delta" for "Air Horse One" 😉

Lol. Awesome.

...And if it's wildly successful, who knows? Maybe they can bring one of these back:
 

 

 

[WorldTraveler]

yes I saw you included FedEx but when did uniform wearing guidelines or terminal cleaning procedures clean in pursuit of being a high-quality transportation company?

DL is pushing itself as a high quality company because it is delivering operational performance that exceeds its peers, including many of whom operate in only part of the US where weather is more favorable.

Did you notice that the latest DOT report shows DL had the 2nd best Ontime behind only Hawaiian, had the lowest percentage of cancellations of any carrier, had the best baggage performance of the legacy carriers plus WN....

DL's strong operational performance plus is prudent financial measures are what is transforming DL into an investment grade airline. Operational excellence translates into revenue premiums which is a factor that corporate customers absolutely consider.

DL is becoming an investment grade airline after a lot of years of hard work, including doing things differently than other airlines... namely not feeling a need to spend billions of dollars that don't translate into revenue generating capabilities or reduced costs that exceed the acquisition price.

DL started the process of fixing the interiors of its planes and terminals years ago. The results of years of work are becoming obvious.

BTW, DL is on creditwatch positive for upgrades which says Wall Street is liking what they see.

 

[topDawg]

except DL employees aren't interested in CBAs. and DL employees don't see themselves as needing CBAs in order to achieve industry leading pay.

 

STOP!
 
FX/UP make 50 an hour + for their AMTs. 
IIRC its almost 15 more an hour than Delta. How in the hell is 15 less an hour leading? 
 
hell UA and WN make more than Delta too. (ahem, both after those evil kid killing union dues) 

 

[WorldTraveler]

you just need to convince your peers... Tech Ops has long been one of the least interested areas of DL for unionization

Also, tell us the percent of maintenance that each of those operators contract out. Even with DL's cabin mod programs which have almost entirely been done by contractors, DL outsources less maintenance than all of the legacy airlines except for AA.

 

[Kev3188]

STOP!
 
FX/UP make 50 an hour + for their AMTs. 
IIRC its almost 15 more an hour than Delta. How in the hell is 15 less an hour leading? 
 
hell UA and WN make more than Delta too. (ahem, both after those evil kid killing union dues) 

 
Fistful of asterisks coming 'Dawg's way in 5...4...3...2...

 

[eolesen]

The idea that DL's image will ever be the same as CSX, UPS, Fedex or UP?

Laughable. They're totally different in how they function and operate. The only thing they have in common is being highly dependent on fossil fuels and the Railway Labor Act.

DL's biggest problem isn't employee relations -- it's the relationship it has with its customers.

The fact is that boxes don't complain if the handlers are wearing skintight dresses way to revealing for the person's size or threadbare hoop skirts. They don't mind if the lavs stink, or if the carpet in the lounge or aircraft is a little dirty. And they don't really care about how many miles or their elite status. They just want to be reasonably on-time.

Those companies can focus on what they need to do: delivering a quality product.

And yes, part of their strategy has involved paying their people well. But, they also have had the consistent profit margins to support it, and a much easier time controlling their revenue. It's a much more stable revenue environment, and you don't have as much exposure to external influences like Emirates to undercut your pricing.

WT will be along any time now crowing about how a months worth of salary as profit sharing is the bee's knees.

The guys at real industrial transport companies prefer guaranteed income, not subject to special items, accounting tricks, or any other means that could be used to reduce the size of the profit sharing pool in the future.

 

[WorldTraveler]

AA and US' own employees in another part of this forum are saying that DL has an advantage in the marketplace because of the compensation it gives its employees that AA/US do not.

If AA/US ACTUAL employees do not think that AA can achieve the same levels of performance that DL is achieving, then I think they are to be believed.

http://www.fool.com/investing/general/2013/12/15/3-charts-that-show-how-delta-air-lines-is-dominati.aspx?source=eogyholnk0000001

This article contains several of the graphs that bear out exactly why DL is carrying the amounts of corporate revenue that it is and why DL has the revenue premium relative to the industry that it does.

I'm not sure who "the guys" are but WN has long included profit sharing as a major part of its compensation strategy and somehow employees on this site consistently point to WN as having the compensation package they once.

For now, however, DL is actually providing higher levels of profit sharing and faster and larger pay raises than WN is offering its own employees.

 

[Kev3188]

WT will be along any time now crowing about how a months worth of salary as profit sharing is the bee's knees.

The guys at real industrial transport companies prefer guaranteed income, not subject to special items, accounting tricks, or any other means that could be used to reduce the size of the profit sharing pool in the future.

So do the guys at a certain ATL-based air carrier...

 

[WorldTraveler]

and your employer heard you and gave you a pay raise... but you also are getting higher profit sharing too.

No union has achieved both of those at the same levels DL is providing, or perhaps you can show me when and where.

 

[topDawg]

you just need to convince your peers... Tech Ops has long been one of the least interested areas of DL for unionization

Also, tell us the percent of maintenance that each of those operators contract out. Even with DL's cabin mod programs which have almost entirely been done by contractors, DL outsources less maintenance than all of the legacy airlines except for AA.

No they don't WT. Stop including the MRO work. Delta work only.
and you said delta gets paid better. That false sorry.
 
I never said I wanted that money an hour, I don't think the MRO would work at those levels.  
 

AA and US' own employees in another part of this forum are saying that DL has an advantage in the marketplace because of the compensation it gives its employees that AA/US do not.

If AA/US ACTUAL employees do not think that AA can achieve the same levels of performance that DL is achieving, then I think they are to be believed.

http://www.fool.com/investing/general/2013/12/15/3-charts-that-show-how-delta-air-lines-is-dominati.aspx?source=eogyholnk0000001

This article contains several of the graphs that bear out exactly why DL is carrying the amounts of corporate revenue that it is and why DL has the revenue premium relative to the industry that it does.

I'm not sure who "the guys" are but WN has long included profit sharing as a major part of its compensation strategy and somehow employees on this site consistently point to WN as having the compensation package they once.

For now, however, DL is actually providing higher levels of profit sharing and faster and larger pay raises than WN is offering its own employees.

 
no offense to those AA guys, but its very clear that they would all be happy to sink the ship just so the Line guys got more money.  They could also careless about trying to work with the company at all. Its a shame....really. (ahem, that said I still view the TWU and IAM as worthless......but the AA crew here seem just happy to send the craft right down the river for pay. They also have this false idea AA can't find a place to put its heavy work........hello, ask the Delta guys how well THAT plan worked out.) 

So do the guys at a certain ATL-based air carrier...

 
no! lies! we are allll happy happy happy! 
 
BTW, good call on the * 

and your employer heard you and gave you a pay raise... but you also are getting higher profit sharing too.

No union has achieved both of those at the same levels DL is providing, or perhaps you can show me when and where.

WN/FX/UPS still all make more, even if they don't make a dime in profit sharing. UA I believe also makes more a year even with profit sharing 
 
And your wrong, Delta's profit sharing will be about the same this year, with a profit increase of like 800M i think. Anyone know why? anyone? 
 
Okay Ill answer, Delta cut profit sharing for the last "raise". Look at this hand, look at this hand.......SMACK!  

 

[WorldTraveler]

DL's level of outsourcing is lower than every other carrier except for AA based on DOT data for 2012, even without the MRO work.

With the MRO work, DL's net level of outsourcing is the lowest in the industry.

You need to check out what your leaders are saying. Profit sharing is going up from under $400M last year to $500M this year... that's a pretty hefty increase. DL INCREASED the total amount of profit sharing even though the percent went down... precisely because of much stronger profits.

It's public info so anyone can even find it - it was discussed on the investor call.