US and UK airlines battle for London-New York route

American and British carriers are trying to gain the upper hand in the competitive, but also highly lucrative London Heathrow to New York City route. Major US carriers are now trying to gain the edge by upgrading business and first class cabins in their fleets, according to a report in The Independent. United Airlines, for example, is spending over $165 million on upgrades to its premium cabins. Those in first class will soon enjoy 15 inch flat screen television sets, new “lie flat” beds and passengers will also be encouraged to use their ipods on board, by hooking this up to the airplane’s entertainment system. United and other US-based carriers have little choice but to engage in these expensive upgrades, as both British Airways and Virgin Atlantic have better reputations for offering clients in business and first class extra luxuries and more comfortable flights. Analyst Douglas McNeill noted that most passengers are keenly aware of the difference in quality between business and first class cabins aboard British and most continental European airlines, when compared to their American competitors, which have been noticeably less luxurious. McNeill observed that BA is at the high-end of the premium class market when it comes to the quality of service and amenities, while most US carriers are closer to the other end of the list.

Part of the problem for US airlines is that most of them—including giants like Delta Air Lines and United—have struggled after the 9/11 terrorist attacks and most have spent years in bankruptcy protection. During this time, the carriers were forced to trim back on costs, which saw them jettison some of the existing in-flight services and luxurious, and it also meant that the carriers could not invest in key upgrades.

Paul Charles, Virgin Atlantic’s communication director, does not seem worried, however, about these new upgrades on the part of US carriers. Charles noted that it would take “many years” before the Americans were able to catch up to their British competitors.

www.britishairways.com