Delta Ran Icelandai...
 

Delta Ran Icelandair Out Of Detroit, Then Cut The Route Itself: The Nasty Side Of Competition

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(@lucky)
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Icelandair launched Detroit to Keflavik in 2023, Delta matched it, Icelandair left, and now Delta has cut the route too. Detroit is back to zero Iceland flights.


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Posts: 1443
(@George Romey)
Joined: 6 years ago

Presumably DL has more local demand out of BOS but wanted to defend a hub at the same time. So once Icelandair pulled service from DTW DL moved the route to where there would be stronger demand more importantly higher fares.


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5 Replies
Diamond
(@1990_)
Joined: 2 months ago

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There you go again, Mr. corporate apologist… it’s not merely “higher demand/higher fares" when there’s anti-competitive intent. You treat the symptom (relocating a plane to a stronger hub) as the cause, ignoring the fact that the route was deployed as an exclusionary weapon in the first place.


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(@Retired Gambler)
Joined: 6 years ago

Posts: 135

@1990 - private businesses can make decisions in their best interest. You obviously don’t like it but that is how things work in a capitalist society. No reason for government to get involved. The market can decide (as it should). If you don’t like it ole ty of other places you can live.


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 Udo
Diamond
(@udo)
Joined: 3 years ago

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Hilarious, government regulates all aspects of business. Nothing wrong with that if it furthers the public good.


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(@Retired Gambler)
Joined: 2 hours ago

Posts: 1

Exactly. No collusion just smart, hard nosed business. @1990 wants the nanny state to decide business decisions which is something government has never been good at. Companies should look out for their bottom line and their shareholders-that is their only obligation.


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Diamond
(@1990_)
Joined: 2 months ago

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Posts: 1444

Healthy markets require guardrails. Gambler, your reframing of predatory behavior as 'smart business' is the corporate equivalent of “I don't pay taxes, that makes me smart.” So, you aren't defending capitalism; you're actually just cheering for your own exploitation.


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Diamond
(@1990_)
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Joined: 2 months ago

Bad for consumers. There are terms to describe it; predatory competition, retaliatory route-dumping, etc. If we had actual antitrust enforcement, we’d at least mitigate the harms of unhealthy competition and monopolistic behaviors like this. (Vote accordingly…)


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(@Retired Gambler)
Joined: 6 years ago

Posts: 135

@1990 - private businesses can make decisions in their best interest. You obviously don’t like it but that is how things work in a capitalist society. No reason for government to get involved. The market can decide (as it should). If you don’t like it ole ty of other places you can live.


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Diamond
(@1990_)
Joined: 2 months ago

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Posts: 1444

Oof. No wonder you retired… monopolies undermine free markets by eliminating consumer choice and competition… *facepalm*


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(@Explorer)
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Diamond
(@uldguy)
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Joined: 5 years ago

This sounds like something NW would have done. Holly Hegeman (PlaneBusiness Banter) once said “American wrote the book on airline competition but nobody plays the game like Northwest. This airline has “bully” tattooed on its wings!” DL is clearly taking a page from the NW playbook. Personally I see nothing wrong with what DL did. It’s a dog eat dog industry.


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Diamond
(@1990_)
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‘Personally, I like bullies’ and ‘I don’t care if airlines engage in monopolistic, predatory practices’ is quite a hot-take... “Yowzers!”


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Posts: 1
(@Connor)
Joined: 3 hours ago

As someone whose home airport is DTW, Delta is truly a necessary evil for me but emphasis on evil. The price gouging is unreal. I actually flew with Icelandair to KEF last year and I wish the route survived because I would love to go back, but a one-stop makes an already rough redeye journey that much rougher :,(


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Posts: 8
(@heatproof)
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Joined: 2 weeks ago

Do you really have competition though if your home airport is dominated by just one airline that can put up an impassable barrier to entry?

Local competition is what truly matters, but it's also the hardest to maintain. True competition is amazing, but sometimes it results in a winner, and that winner often has a window of time to build a local monopoly.

Unfortunately for Detroit, though, it probably isn't big enough anymore to naturally support a competitive travel environment. I don't believe any government intervention would have meaningfully done much in this case.


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Posts: 297
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(@gary-leff)
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Icelandair and Wow Air flew DFW-KEF, so AA flew DFW-KEF. When those two airlines were out, American dropped the route as well, preferring to operate from PHL.

Then-CEO Doug Parker said "Somebody starts flying a flight from Dallas to anywhere and American either is already there or we’re gonna be there. Because we’re not going to let customers have another option other than American in and out of here."


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Diamond
(@1990_)
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Congrats on your OMAAT “Gold” status, Mr. Thought Leader! So, when are you, Ben, and Matthew gonna do an inter-blog podcast?


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Posts: 265
(@Powerball Winner)
Joined: 8 years ago

Northeast cities make more sense to connect to Iceland anyway. Detroit likely resulted in a lot of circuitous routings. Nothing like flying west to then fly east.


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Posts: 353
(@rrapynot)
Joined: 7 years ago

AS announced STS-SLC and DL announced the same route within days and dumped really cheap fares into the market. AS cancelled the launch. Wondering how long it will take L to cancel their service?


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(@Powerball Winner)
Joined: 8 years ago

Posts: 265

To be fair, Alaska has no business flying that route. They do not have a hub in SLC.


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Posts: 7622
Diamond
(@tim-dunn)
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Joined: 5 years ago

the DL flight is loaded for the summer of 2027. It does not operate on a year round basis including today.

It is just a tad premature to declare that DL will not cancel the route in 2028 because the summer of 2028 is not yet in the booking window but summer of 2027 is and the flight is operating.

You're gonna have to wait a few months, Ben.


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7 Replies
Diamond
(@maxpower)
Joined: 3 years ago

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Posts: 1297

DTW-KEF is selling a total of 4 flights in summer, 2027.

Please, Tim. Do some research before you embarrass yourself defending Delta, again...

That is a dead route if it's only loaded 4x lol


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Diamond
(@tim-dunn)
Joined: 5 years ago

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then the flight is not cancelled.

Esp. if you are only able to find 4 flights.

But tell us what automated tool you used that was paid for by your employer that shows only 4 flights operating on DL DTW-KEF for 2027, Max.


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(@Explorer)
Joined: 2 years ago

Posts: 115

Google flights. There are zero non stop flights listed for most of 2027.


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Diamond
(@maxpower)
Joined: 3 years ago

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Posts: 1297

I went to google flights, typed in the city pairs, then filtered on “nonstop”

You’ll be amazed how easy it is to look things up.
Hence my words “… is selling a total of 4 flights”

You really do walk into such ridiculously simple data traps of your own making lol


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Diamond
(@tim-dunn)
Joined: 5 years ago

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Posts: 7622

hogwash.

You are a paid airline employee and it is obvious for who.

You have cited Diio data before. that is not "google able"

you do tell so many lies, Max.

and even if it is only 4 flights, the route is not cancelled on DL


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Diamond
(@maxpower)
Joined: 3 years ago

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Posts: 1297

Oooh. It’s obvious, huh? lol

Who is it? I’m dying to know this since I’m missing my paycheck from your paranoia.

If you think a route selling 4 times total in the entire summer is staying on, I’ve got some ocean front property in Arizona to sell you…


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Diamond
(@maxpower)
Joined: 3 years ago

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Posts: 1297

I do love your comebacks though
Tim, you say something stupid? And you can’t figure out how to reply intelligently, your auto default is: “You’re clearly an employee of “””” airline”

I believe you’ve said I’m AA, United, and I’m pretty sure you said I was America west or maybe I was just “of their ilk” while you were drunk ranting about cranky one day…
It’s hard to keep up with your rambling


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Posts: 59
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(@bigt3x)
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Joined: 2 years ago

That's nothing. AA reconfigured planes into a money losing configuration, started flying them out of Love Field, and stopped the day Legend went bankrupt.


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Diamond
(@tim-dunn)
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Joined: 5 years ago

what's the point?

If DL's enormous financial advantage can run Icelandair out of DTW, do you suppose DL is now targeting BOS? B6 is clearly not long for this world so maybe DL is focused on taking out the foreign carrier competition too.

I mean, tell us how many DFW-KEF flights operate today. I distinctly recall that AA started DFW-KEF, oh, about the same time that Icelandair started DFW.

and, in case your readers donl't want to wait for the answer, or lie, there are no DFW-KEF flights today.

competition is brutal.

DL just happens to be focused on LAX and TPAC but they have the bandwidth to take on carriers like Icelandair.


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Diamond
(@maxpower)
Joined: 3 years ago

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Posts: 1297

“I mean, tell us how many DFW-KEF flights operate today. I distinctly recall that AA started DFW-KEF, oh, about the same time that Icelandair started DFW.”

Deflect, deflect, use info Gary Leff already said, deflect then misdirect

You’re a predictable one 😉


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(@antwerp)
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In the case of Detroit, and a few other fortress markets (Not MSP) airlines could be a bit more creative with the 737-MAX and A321 long range. For Detroit it's simple: Icelandair launches flights from Toledo Express with the MAX calling it in their marketing "Toledo/Detroit." Given that feeder traffic is not what they are after in U.S. markets outside of arrangements (I think?) with WN...this is an easy-in to the region and one that I doubt Delta will care about. If BOS results in the same response from Delta, Icelandair just shifts to Manchester.


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