The Wall Street Journal came out with their annual US airline rankings. Rather than subjective scores, the rankings look at hard data, such as canceled flights, tarmac delays, or involuntary bumping. The results are out and the results should come as no surprise if you were a passenger last year.
American Airlines is the US’s worst airline
American Airlines is the largest airline in the world, and with that comes challenges and opportunities. For the last several years, American has only been paying lip service to providing good customer service (what happened to actually Going for Great?), not to mention getting the X’s and O’s of running an airline right. Exacerbated by the MAX cancellations and a labor dispute with mechanics, American’s already dismal operational record went to low record levels (along with its stock price) in 2019.
In the rankings, American finished dead last in four of the seven categories (the other three they were in the bottom third). What sticks out to me the most is that American’s obsession with D0 – meaning departing (pushing back from the gate) on time – once again did not translate to on-time arrivals (6th out of 9). In fact, it continues to have the opposite effect in customer service terms, as gate agents – who are already overworked – don’t always have time to process upgrades, help with seat changes, etc. Further, customers with tight connections are missing their flights rather than hold them a few extra minutes (like United’s connection saver, which has saved over 50,000 connections).
What’s more is that the bulk of American’s hubs are in temperate cities, such as Charlotte, Miami, Dallas, and Los Angeles, meaning weather shouldn’t be playing a primary factor in operational issues.
The categories American finished last in: cancelled flights, 2 hour tarmac delays, mishandled baggage, and involuntary bumping. Ouch. These are all things that an airline can mostly control, yet American gets it wrong on all of them.
American continues to placate it’s customer base
These rankings further illustrate that their management is out of touch with customers and employees. American has tried to be everything to everyone, even competing with Spirit, while still trying to earn the revenue premium that Delta does. All the while, American continues to cram more seats into its planes and tear-out seat back screens, while at the same time offer sit down dining that pours Krug to its international first class customers.
Because of this dual strategy of placation, American excels at neither. One thing that’s struck me as I’ve moved my flying to United is that I do see a broader mission and purpose being communicated to its employees. For years, American has been devoid of such a mission statement that inspires its people. This lack of vision is evident in not only the raw numbers that the WSJ used for its rankings, but in basic customer service, particularly in premium cabins that they sell as “Flagship”. I’ve flown over one million, butt-in-seat miles with American and my experiences are really all over the place, especially when sitting up front (I don’t expect much in economy).
There are many great employees at American, however their meteoric fall from the best of the Big 3 airlines to the bottom overall is one that business schools will study long after Doug Parker’s tenure ends.
My takeaway
The rankings come as little surprise to me, especially after a brutal 2019 for American. Delta – airline that they’re trying to emulate – is tops in the operational rankings and continues to earn a revenue premium that American simply can’t command, even with better hubs and newer aircraft. I was impressed with Doug Parker’s ability to see American through the merger with US Airways, however it’s been seven years since the two joined. I know that I’m not alone in feeling like it’s time for a change in leadership and direction at American.
