A Hard Landing Looms for Delta and Business Travel During Pandemic: Business Casual
In December 2019, sweeping all 11 categories, corporate travel professionals in the annual Business Travel News Airline Survey named Delta Air Lines the #1 airline for the ninth consecutive year—the only airline to have earned the top spot for business travel nine years in a row. But in a pandemic-stricken world, numerous industries are declining in the jet stream left by the coronavirus, including the aviation industry, forcing airlines globally to park planes, cut costs and raise capital to stem losses.
Powered by RedCircle
In what some analysts call the worst season in aviation industry, Delta posted a $2.8 billion adjusted net loss, or $4.43 per share, for the second quarter as passenger revenue plummeted 94%. And with the majority of companies whose workers travel via air for business reasons not willing to jeopardize the safety of their employees until a COVID-19 vaccine is developed, leading to a possible 12- to 18-month lag in business travel demand, Delta is projecting a poor-performing third quarter, expecting both revenue and flight capacity to be at only 20% to 25% of what it was at the same time last year.
As Delta hemorrhages $27 million each day, Daniel Litwin and Tyler Kern, the Business Casual crew, discuss how the pandemic is grounding airlines around the world, and with a financial outlook that indicates the industry will most likely not return to a pre-COVID scale, address the impacts to Delta, the airline sector and business travel jetting forward.
Every week, Business Casual brings topics to the forefront that affect travelers and workers in the aviation sector as well as other B2B industries. Tune in each Wednesday and Friday to stay abreast of the trends and news shaping our country and skies today.
Follow us on social media for the latest updates in B2B!
Twitter – @MarketScale
Facebook – facebook.com/marketscale
LinkedIn – linkedin.com/company/marketscale
Latest
Mastering AV Sales Strategies: A Diverse Market Requires Understanding Individual Needs
Mastering AV sales strategies in a global professional audio-visual (Pro AV) market, poised to reach $79.2 billion by 2028, requires much attention to detail. The surge in demand from corporate, government, and institutional sectors, driven by the need for enhanced productivity and efficient working environments, gives AV sales pros a lot of opportunity. In […]
Cybersecurity in Healthcare: Addressing the Growing Threat
To keep up with the growing threats, cybersecurity in healthcare is a high-level priority. The recent ransomware attack on Ardent Health underscores a stark reality for the healthcare industry: cyber threats are a significant and ongoing challenge. Mike Saylor, the CEO of Blackswan Cybersecurity, LLC, sheds light on the complexities of cybersecurity in healthcare. […]
Effective Debt Management Holds the Keys to Small Business Cash Flow and Growth
Effective debt management through a robust accounts receivable system is essential for small business cash flow and growth, necessitating automated payment schedules and strategic policy adjustments. Collaborating with a collection agency as a strategic partner can enhance revenue recovery while preserving positive customer relationships. How critical is effective debt management for the financial health […]
