Airlines chase profits in premium cabins, deepening a fare class divide on flights

Airlines are increasingly pursuing profits in premium cabins, deepening a fare-class divide on U.S. flights by expanding first class, business class, and premium-economy offerings. The shift, accelerated since the COVID-19 pandemic, has created sharply different passenger experiences on the same aircraft, ranging from priority screening and invite-only lounges to crowded gates and late boarding for lower fares. Carriers including Delta Air Lines, American Airlines, and United Airlines have reconfigured aircraft and invested in amenities to extend top-tier treatment beyond jets. Delta CEO Ed Bastian said in a Fortune podcast interview that airlines cannot win by offering the cheapest option but must provide the best. United CEO Scott Kirby has argued that premium investments are part of a broader strategy for all customers, citing seatback entertainment and improvements to the airline’s mobile app. Earlier, airlines often filled empty first-class seats with complimentary upgrades for loyal flyers, while Delta later used pricing tools to sell more premium seats to coach customers.