Quantcast

Delta Air Lines expands focus city strategy amid rising loyalty revenue

Tycoon unveils £25 billion rival Heathrow expansion plan
Proposals for commercial planes to operate with one pilot shelved after critical EU report
Air Travel Fatalities Up 300% in 2024, According to Shocking Global Report
Boeing Halts Strike Talks Amid $36 Billion Deal & Union Dispute
FAA’s Broader Runway Safety Push Builds on EMAS Legacy
Ryanair CEO says aviation sustainability targets are 'dying a death'
US FAA funds system to prevent accidents involving runaway airplanes
Exclusive: Korean Air makes airline's biggest-ever Boeing jet order amid Trump-Lee summit
Boeing Stock Jumps on Massive Korean Air Order
FAA EMAS: Proven Safety Wins Since 1996
Air Canada flight attendants try to build on US gains on unpaid work
Cathay Pacific warns of declining fares and cargo uncertainty, shares fall
Clear intentions, cloudy path: aviation's ongoing ESG challenge
Turkish Airlines is preparing binding offer for Spain's Air Europa, executive says
Air Canada flight attendants approve strike mandate
US criticizes use of AI to personalize airline ticket prices, would investigate
Ethiopian Airlines' annual revenue rises as it draws more passengers, adds routes
Major strike action to hit 12 Spanish airports that have Ryanair flights
JetBlue, United partnership gets go-ahead from U.S. Transportation Department
United-JetBlue partnership gets US DOT approval
Air India Warned Over Crew Fatigue and Training Failures Following Fatal Crash
Heathrow Chief Defends £50–60 billion Third Runway Amid Rising Costs Debate
New UK airline with cheap US fares is ‘parked’ after just TWO flights – with people fearing it’s been scrapped for good
US carriers shamed in surprising new list of the world’s ‘cleanest’ airlines
Air Force Pilot Wasn't Alerted to Collision Course with Passenger Jet Before Scary Near Miss, Says Official
Transportation Secretary Sean Duffy may deny flights from Mexico over broken aviation agreement
Plane Makes Emergency Landing After ‘Unruly’ Passenger Attempts to Open Exit Door Mid-Flight
American Airlines Launches Ultra‑Long‑Haul DFW–Manila Flights
Thousands of flights canceled or delayed across America's busiest airports
Summer flight delays to be 'worst ever' this year - what to do if affected
Delta Air Lines expands focus city strategy amid rising loyalty revenue
Research
Webp ed
Ed Bastian, Chief Executive Officer | Delta Air Lines

Delta Air Lines has developed a distinct approach to its route network by establishing "focus cities" at certain airports, a strategy that sets it apart from other major U.S. carriers.

The airline currently designates Austin-Bergstrom International Airport (AUS), Cincinnati/Northern Kentucky International Airport (CVG), and Raleigh-Durham International Airport (RDU) as its focus cities. These locations are larger than typical destinations, known as "spokes," but do not reach the scale of Delta's main hubs such as Hartsfield-Jackson Atlanta International Airport, Detroit Metropolitan Wayne County Airport, or Salt Lake City International Airport.

Focus cities receive more routes and flights compared to non-focus destinations. For example, Delta operates significantly more routes from its Austin focus city than from San Antonio, which is not a focus city.

Get the Newsletter
Sign-up to receive weekly round up of news from Sky Industry News
By submitting, you agree to our Privacy Policy and Terms of Service. By providing your phone number you are opting in and consenting to receive recurring SMS/MMS messages, including automated texts, to that number from our short code. Msg & data rates may apply. Reply HELP for help, STOP to end. SMS opt-in will not be sold, rented, or shared.

Unlike Delta, American Airlines and United Airlines do not officially designate any of their airports as focus cities. Some locations on their networks might function similarly based on flight volume alone—such as Boston Logan International Airport and RDU for American, or Cleveland Hopkins International Airport for United—but the airlines do not use the same terminology or strategy.

Delta executives say that having focus cities increases relevance among frequent flyers—a key factor in building customer loyalty. Glen Hauenstein, president of Delta Air Lines, explained during a recent earnings call: "What makes customers choose Delta over a different carrier? I think the answer is relevance. If we're not relevant, we cannot acquire the SkyMiles [members], we cannot acquire the credit cards — the ecosystem — you have to have relevance. That's why it's important for us to have focus cities."

Hauenstein highlighted Austin as an example: "Austin we've chosen because we don't have a Texas hub," he said. "Texas is in and of itself a huge revenue market. So, seeing those opportunities, looking at the demographics, looking at the GDP ... and saying where do we need to have a relevant offer so people will join our SkyMiles program, they will get our credit cards, and we can produce the relevance."

Delta's competitors have large hubs in Texas—American at Dallas Fort Worth International Airport and United at Houston’s George Bush Intercontinental Airport—while Southwest Airlines counts Dallas Love Field and Houston’s William P. Hobby Airport among its largest bases.

Loyalty programs now represent a significant source of income for Delta. In the three months ending September 2025, nearly $2 billion—or 12% of total revenue—came from loyalty activities such as SkyMiles memberships and cobranded credit card usage.

The choice of new routes from focus cities like AUS is influenced by more than just passenger demand. According to Hauenstein, route decisions involve analyzing how best to maximize interactions between airline operations and cardholder engagement rather than focusing solely on individual route profitability. This could lead to flights being added even when travel demand does not independently justify them if there is evidence that many local loyalty members travel to those destinations.

Data from aviation analytics firm Cirium indicates that in 2025 Delta will operate about 25% more flights and offer roughly 20% more seats from AUS compared to 2024. The expansion includes new connections to Denver International Airport, Indianapolis International Airport, Louis Armstrong New Orleans International Airport—and less obvious additions such as McAllen International Airport in Texas and Northwest Florida Beaches International near Panama City Beach.

Meanwhile, growth at CVG and RDU has been slower; seat capacity increased by just 3% and 4%, respectively this year compared to last year according to Cirium data. Both remain smaller than before the COVID-19 pandemic in 2019.

Delta has no current plans to add more focus cities despite noting their profitability and ongoing role in its network strategy. Airports once considered for this status—such as Nashville International or San Jose Mineta—have reverted back to regular spoke destinations after previously holding focus city status before the pandemic.

There remains potential for airports to move beyond focus city designation; Boston Logan was upgraded from a focus city to hub status in 2019.

Organizations Included in this History
More News

The Fair Work Commission has ruled that a former employee of dnata Airport Services was unfairly dismissed and awarded $36,468.39 in compensation.

Oct 22, 2025

The Los Angeles International Airport (LAX) has announced the closure of Terminal 5 to allow for a significant redevelopment.

Oct 22, 2025

The SFO Facility recently hosted a Breast Cancer Awareness Day, which was deemed a success by organizers.

Oct 22, 2025

Flying Food Group, Inc. recently held an appreciation event at its SFW facility to honor its employees.

Oct 22, 2025

Flying Food Group has announced that it contributes all of its taxable income annually to the Chicago-based Sue L. Gin Foundation Trust, which supports healthcare, education, legal aid, and immigration rights.

Oct 21, 2025

Eileen Ho, the Human Resources Manager of Flying Food Group, announced that the company will implement wage increases for cooks and coordinators following a lack of response from Unite Here to its Memorandum of Understanding (MOU).

Oct 21, 2025