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N649DL wrote:I found an article looking up MEM terminal photos from when DL still hubbed there last decade: https://www.memphisdailynews.com/news/2 ... d-go/print
Now it's obvious that MEM was geographically close to DL's fortress hub and HQ in ATL. After merging with NW, MEM was quickly rebranded into a full on DL hub and even continued to serve MEM-AMS on a 763ER. Transferring through MEM in 2011 on LAX-MEM-EWR the concourse was absolutely jam packed and buzzing with people and flights prior to the evening bank as well. Flight from LAX-MEM was on a A320 and MEM-EWR was on a E170. There was even a dinner service in F on the MEM-EWR leg as well.
However, I forgot that ultimately what killed the MEM hub for DL were its high costs for DL to maintain. That and oil prices were higher after NW merger for a while between 2010-2013.
I was wondering what were DL's initial intentions at MEM? The hub certainly got rebranded quickly, but should the airport had worked with them to lower costs, do you think the MEM could've hung around for a while? Or was it basically dead in the water from day one (and the quick rebranding of the airport was just a courtesy?) I guess my other question would be if MEM's costs went down, did the hub setup that DL inherited from NW have potential to be profitable at all both from an O&D and/or connecting standpoint? I recall that it seemed like in some ways back then, DL used MEM as a reliever hub for ATL in a similar way STL was a reliever hub for AA at ORD after merging with TWA (and AA's CFO commented in an article last year that leaving STL back in the 2000s was in retrospect a mistake.) Should this had been true in the way that DL used the MEM hub as a reliever wouldn't be terribly surprising. Especially since s*** can easily hit the fan when severe weather hits the ATL hub.
Thoughts? I definitely thought it was a cute little unique hub for DL the only time I went through it.
Cubsrule wrote:People forget, I think, that MEM is pretty far from ATL even though it’s in an adjacent state. MEM is only 40 miles closer to ATL than CVG, and CVG is a much more vibrant local market. So if DL needed an ATL reliever (it didn’t and doesn’t), CVG made more sense.
Because MEM was a weak local market, there really wasn’t an obvious way to lower the costs of the hub. The heavy banking and consequent huge building footprint for the size of the hub were absolute necessities.
Lootess wrote:MEM did connect to cities like Lubbock. It had that going, the west Texas market and easy connect to the AMS hub.
Some flights at the time of the closure made the move over to ATL easily like FSM and COU.
Retiring more CRJs and the Saabs also played into its closure.
Iloveboeing wrote:Cubsrule wrote:People forget, I think, that MEM is pretty far from ATL even though it’s in an adjacent state. MEM is only 40 miles closer to ATL than CVG, and CVG is a much more vibrant local market. So if DL needed an ATL reliever (it didn’t and doesn’t), CVG made more sense.
Because MEM was a weak local market, there really wasn’t an obvious way to lower the costs of the hub. The heavy banking and consequent huge building footprint for the size of the hub were absolute necessities.
And yet DL cut CVG as a hub as well. I believe that when DL merged with NW, they had the full intention of gutting MEM and CVG. IIRC, they “promised” to keep all the existing hubs for awhile, but after that, that was the end.
N649DL wrote:I found an article looking up MEM terminal photos from when DL still hubbed there last decade: https://www.memphisdailynews.com/news/2 ... d-go/print
Now it's obvious that MEM was geographically close to DL's fortress hub and HQ in ATL. After merging with NW, MEM was quickly rebranded into a full on DL hub and even continued to serve MEM-AMS on a 763ER. Transferring through MEM in 2011 on LAX-MEM-EWR the concourse was absolutely jam packed and buzzing with people and flights prior to the evening bank as well. Flight from LAX-MEM was on a A320 and MEM-EWR was on a E170. There was even a dinner service in F on the MEM-EWR leg as well.
However, I forgot that ultimately what killed the MEM hub for DL were its high costs for DL to maintain. That and oil prices were higher after NW merger for a while between 2010-2013.
I was wondering what were DL's initial intentions at MEM? The hub certainly got rebranded quickly, but should the airport had worked with them to lower costs, do you think the MEM could've hung around for a while? Or was it basically dead in the water from day one (and the quick rebranding of the airport was just a courtesy?) I guess my other question would be if MEM's costs went down, did the hub setup that DL inherited from NW have potential to be profitable at all both from an O&D and/or connecting standpoint? I recall that it seemed like in some ways back then, DL used MEM as a reliever hub for ATL in a similar way STL was a reliever hub for AA at ORD after merging with TWA (and AA's CFO commented in an article last year that leaving STL back in the 2000s was in retrospect a mistake.) Should this had been true in the way that DL used the MEM hub as a reliever wouldn't be terribly surprising. Especially since s*** can easily hit the fan when severe weather hits the ATL hub.
Thoughts? I definitely thought it was a cute little unique hub for DL the only time I went through it.
CMHARJ wrote:Yes, DL connected AMA and LBB to MEM...
Dominion301 wrote:Outside of bank periods that were 90% of pax traffic, the terminal was a ghost town.
WidebodyPTV wrote:MEM, CVG, STL, CLT, PIT, etc. were small hubs that had largely become obsoleted as the industry consolidated + economics changed.
LAX772LR wrote:WidebodyPTV wrote:MEM, CVG, STL, CLT, PIT, etc. were small hubs that had largely become obsoleted as the industry consolidated + economics changed.
Not really sure how you're throwing CLT into that one.... I'm guessing you meant RDU?
WidebodyPTV wrote:MEM failed as hub because its local market lacked both volume and dollar amount. The advert of the regional jet, which allowed airlines to fly from smaller, southeastern destinations to distant larger hubs, was the so-called 'nail in the coffin.'
- NW looked at replacing MEM with ATL in the early 1990s (after EA's demise; in fact, NW was awarded EA's ex-DCA assets under the assumption it would relocate MEM to ATL) but lacked the finances.
- In the late 1990s, NW studied relocating MEM to BNA, but ultimately concluded such move was cost prohibitive & NW then reached a deal to expand MEM.
- In the mid-2000s, NW and FL considered merging -- which almost unquestionably would've seen MEM folded into ATL -- but (among other reasons), the finances didn't exist.
It isn't like NW didn't try to make NW work. Among other moves, NW tried to make MEM its Mexican gateway (the only year-round service to MEX & CUN) + serve smaller destinations in the Central/Mountain time zones + it operated hub banks that were time exclusive to MEM (for example, if you wanted to leave LAX at 4PM or MCO at 7PM, MEM was your sole option, as flights to DTW & MSP were dropped).
By the time of the merger, CRJs dominated MEM. Remember, ATL was built with volume -- e.g. operating larger mainline aircraft enabled DL to lower its costs. DL had a huge surplus of 50-seats -- not a big shock that MEM stuck around only until DL resolved it (e.g. it's cheaper to fly the jets than to pay to park them, at least in the short term).
MEM, CVG, STL, CLT, PIT, etc. were small hubs that had largely become obsoleted as the industry consolidated + economics changed. On these forums, the defense & portrayal of these hubs in a positive light is generally done by a.net members upset their hometown/favorite hub went away. E.g. DTW had more than 2x the local traffic and more than 3x the revenue of CVG, yet the CVG fans have long portrayed it as being on equal terms.
TTailedTiger wrote:WidebodyPTV wrote:MEM failed as hub because its local market lacked both volume and dollar amount. The advert of the regional jet, which allowed airlines to fly from smaller, southeastern destinations to distant larger hubs, was the so-called 'nail in the coffin.'
- NW looked at replacing MEM with ATL in the early 1990s (after EA's demise; in fact, NW was awarded EA's ex-DCA assets under the assumption it would relocate MEM to ATL) but lacked the finances.
- In the late 1990s, NW studied relocating MEM to BNA, but ultimately concluded such move was cost prohibitive & NW then reached a deal to expand MEM.
- In the mid-2000s, NW and FL considered merging -- which almost unquestionably would've seen MEM folded into ATL -- but (among other reasons), the finances didn't exist.
It isn't like NW didn't try to make NW work. Among other moves, NW tried to make MEM its Mexican gateway (the only year-round service to MEX & CUN) + serve smaller destinations in the Central/Mountain time zones + it operated hub banks that were time exclusive to MEM (for example, if you wanted to leave LAX at 4PM or MCO at 7PM, MEM was your sole option, as flights to DTW & MSP were dropped).
By the time of the merger, CRJs dominated MEM. Remember, ATL was built with volume -- e.g. operating larger mainline aircraft enabled DL to lower its costs. DL had a huge surplus of 50-seats -- not a big shock that MEM stuck around only until DL resolved it (e.g. it's cheaper to fly the jets than to pay to park them, at least in the short term).
MEM, CVG, STL, CLT, PIT, etc. were small hubs that had largely become obsoleted as the industry consolidated + economics changed. On these forums, the defense & portrayal of these hubs in a positive light is generally done by a.net members upset their hometown/favorite hub went away. E.g. DTW had more than 2x the local traffic and more than 3x the revenue of CVG, yet the CVG fans have long portrayed it as being on equal terms.
You are neglecting the passenger experience. Delta still (or at least before covid) offers CVG and RDU for connections. And those are the two nicest connecting experiences you will find in the US. ATL is always a shoulder to shoulder madhouse and way too much walking is involved at DTW and MSP. I'll never understand why DTW didn't link A and B/C by train. It's an awful experience and doesn't allow for quick connections. A 30 minute connection MCO-RDU-DCA is a breeze.
TTailedTiger wrote:You are neglecting the passenger experience. Delta still (or at least before covid) offers CVG and RDU for connections. And those are the two nicest connecting experiences you will find in the US. ATL is always a shoulder to shoulder madhouse and way too much walking is involved at DTW and MSP. I'll never understand why DTW didn't link A and B/C by train. It's an awful experience and doesn't allow for quick connections. A 30 minute connection MCO-RDU-DCA is a breeze.
WidebodyPTV wrote:MEM failed as hub because its local market lacked both volume and dollar amount. The advert of the regional jet, which allowed airlines to fly from smaller, southeastern destinations to distant larger hubs, was the so-called 'nail in the coffin.'
- NW looked at replacing MEM with ATL in the early 1990s (after EA's demise; in fact, NW was awarded EA's ex-DCA assets under the assumption it would relocate MEM to ATL) but lacked the finances.
- In the late 1990s, NW studied relocating MEM to BNA, but ultimately concluded such move was cost prohibitive & NW then reached a deal to expand MEM.
- In the mid-2000s, NW and FL considered merging -- which almost unquestionably would've seen MEM folded into ATL -- but (among other reasons), the finances didn't exist.
It isn't like NW didn't try to make NW work. Among other moves, NW tried to make MEM its Mexican gateway (the only year-round service to MEX & CUN) + serve smaller destinations in the Central/Mountain time zones + it operated hub banks that were time exclusive to MEM (for example, if you wanted to leave LAX at 4PM or MCO at 7PM, MEM was your sole option, as flights to DTW & MSP were dropped).
By the time of the merger, CRJs dominated MEM. Remember, ATL was built with volume -- e.g. operating larger mainline aircraft enabled DL to lower its costs. DL had a huge surplus of 50-seats -- not a big shock that MEM stuck around only until DL resolved it (e.g. it's cheaper to fly the jets than to pay to park them, at least in the short term).
MEM, CVG, STL, CLT, PIT, etc. were small hubs that had largely become obsoleted as the industry consolidated + economics changed. On these forums, the defense & portrayal of these hubs in a positive light is generally done by a.net members upset their hometown/favorite hub went away. E.g. DTW had more than 2x the local traffic and more than 3x the revenue of CVG, yet the CVG fans have long portrayed it as being on equal terms.
TTailedTiger wrote:WidebodyPTV wrote:MEM failed as hub because its local market lacked both volume and dollar amount. The advert of the regional jet, which allowed airlines to fly from smaller, southeastern destinations to distant larger hubs, was the so-called 'nail in the coffin.'
- NW looked at replacing MEM with ATL in the early 1990s (after EA's demise; in fact, NW was awarded EA's ex-DCA assets under the assumption it would relocate MEM to ATL) but lacked the finances.
- In the late 1990s, NW studied relocating MEM to BNA, but ultimately concluded such move was cost prohibitive & NW then reached a deal to expand MEM.
- In the mid-2000s, NW and FL considered merging -- which almost unquestionably would've seen MEM folded into ATL -- but (among other reasons), the finances didn't exist.
It isn't like NW didn't try to make NW work. Among other moves, NW tried to make MEM its Mexican gateway (the only year-round service to MEX & CUN) + serve smaller destinations in the Central/Mountain time zones + it operated hub banks that were time exclusive to MEM (for example, if you wanted to leave LAX at 4PM or MCO at 7PM, MEM was your sole option, as flights to DTW & MSP were dropped).
By the time of the merger, CRJs dominated MEM. Remember, ATL was built with volume -- e.g. operating larger mainline aircraft enabled DL to lower its costs. DL had a huge surplus of 50-seats -- not a big shock that MEM stuck around only until DL resolved it (e.g. it's cheaper to fly the jets than to pay to park them, at least in the short term).
MEM, CVG, STL, CLT, PIT, etc. were small hubs that had largely become obsoleted as the industry consolidated + economics changed. On these forums, the defense & portrayal of these hubs in a positive light is generally done by a.net members upset their hometown/favorite hub went away. E.g. DTW had more than 2x the local traffic and more than 3x the revenue of CVG, yet the CVG fans have long portrayed it as being on equal terms.
You are neglecting the passenger experience. Delta still (or at least before covid) offers CVG and RDU for connections. And those are the two nicest connecting experiences you will find in the US. ATL is always a shoulder to shoulder madhouse and way too much walking is involved at DTW and MSP. I'll never understand why DTW didn't link A and B/C by train. It's an awful experience and doesn't allow for quick connections. A 30 minute connection MCO-RDU-DCA is a breeze.
TYWoolman wrote:Memphis Hub:
Was for Northwest: leveraging best it can the only asset of the Republic acquisition.
Was for Delta: leveraging best it can the synergy opportunities of the Northwest acquisition.
For Northwest this meant sustainment and expansion. For Delta this meant downsizing and curtailment.
VMCA787 wrote:TYWoolman wrote:Memphis Hub:
Was for Northwest: leveraging best it can the only asset of the Republic acquisition.
Was for Delta: leveraging best it can the synergy opportunities of the Northwest acquisition.
For Northwest this meant sustainment and expansion. For Delta this meant downsizing and curtailment.
I am curious as to where you think MEM was the "ONLY ASSET"? Certainly, DTW was an asset that had been allowed to stagnate and simply languish due to lack of investment. NW was prepared to spend money to create a fortress hub. In order for a hub to successful, it has to have the ability to at least "break-even" on its own O/D or preferably make a profit. The problem with MEM was it couldn't do that. It came close when NW had increased the banks of flights. However, shortly after that increase, the price of fuel increased and a recession occurred. So, NW tried to shrink the hub to profitability and that didn't work either. NW was competing with DL on routes through MEM vs ATL. In reality, they couldn't compete based on all the service problems NW was encountering systemwide.
bfitzflyer wrote:I remember going through MEM the year after the merger and it was a large hub at that point with I believe 5 banks a day and over 400 flights a day. By the time of the DL merger MEM was down to less than half of that and as others have said was heavy on regional jets. DL more or less completed what NW had slowly been doing with MEM over the years.
TYWoolman wrote:bfitzflyer wrote:I remember going through MEM the year after the merger and it was a large hub at that point with I believe 5 banks a day and over 400 flights a day. By the time of the DL merger MEM was down to less than half of that and as others have said was heavy on regional jets. DL more or less completed what NW had slowly been doing with MEM over the years.
Have to say that I don't think Northwest ever had intentions on completely shuttering the Memphis hub as Deta has done (if that's your implication). Rather, NW most likely jumped on the RJ bandwagon to maximize mainline resources elsewhere and, perhaps, any decrease in capacity there portended by management inevitable involvement in industry alliance/consolidation scenarios.
Polot wrote:TYWoolman wrote:bfitzflyer wrote:I remember going through MEM the year after the merger and it was a large hub at that point with I believe 5 banks a day and over 400 flights a day. By the time of the DL merger MEM was down to less than half of that and as others have said was heavy on regional jets. DL more or less completed what NW had slowly been doing with MEM over the years.
Have to say that I don't think Northwest ever had intentions on completely shuttering the Memphis hub as Deta has done (if that's your implication). Rather, NW most likely jumped on the RJ bandwagon to maximize mainline resources elsewhere and, perhaps, any decrease in capacity there portended by management inevitable involvement in industry alliance/consolidation scenarios.
NW was never going to completely shutter the hub but MEM was a complete afterthought to the airline. They were a distant third in the region to DL/ATL and US/CLT and they essentially resigned themselves to that. Focus going forward was MSP/DTW and NRT overflying with the 787.
TYWoolman wrote:bfitzflyer wrote:I remember going through MEM the year after the merger and it was a large hub at that point with I believe 5 banks a day and over 400 flights a day. By the time of the DL merger MEM was down to less than half of that and as others have said was heavy on regional jets. DL more or less completed what NW had slowly been doing with MEM over the years.
Have to say that I don't think Northwest ever had intentions on completely shuttering the Memphis hub as Delta has done (if that's your implication). Rather, NW most likely jumped on the RJ bandwagon to maximize mainline resources elsewhere and, perhaps, any decrease in capacity there portended by management inevitable involvement in industry alliance/consolidation scenarios.
drerx7 wrote:Lootess wrote:MEM did connect to cities like Lubbock. It had that going, the west Texas market and easy connect to the AMS hub.
Some flights at the time of the closure made the move over to ATL easily like FSM and COU.
Retiring more CRJs and the Saabs also played into its closure.
Yea...but those markets were easily and already connected via DFW and IAH. I would bet the Skyteam market was less than 10%. By that time the DFW Delta hub had been gutted.
Cubsrule wrote:Iloveboeing wrote:Cubsrule wrote:People forget, I think, that MEM is pretty far from ATL even though it’s in an adjacent state. MEM is only 40 miles closer to ATL than CVG, and CVG is a much more vibrant local market. So if DL needed an ATL reliever (it didn’t and doesn’t), CVG made more sense.
Because MEM was a weak local market, there really wasn’t an obvious way to lower the costs of the hub. The heavy banking and consequent huge building footprint for the size of the hub were absolute necessities.
And yet DL cut CVG as a hub as well. I believe that when DL merged with NW, they had the full intention of gutting MEM and CVG. IIRC, they “promised” to keep all the existing hubs for awhile, but after that, that was the end.
Well, of course. Without cutting hubs, what was the point of the merger? There was essentially no fleet synergy other than scads of CR2s and a motley crew of 752s.
rbavfan wrote:Cubsrule wrote:Iloveboeing wrote:
And yet DL cut CVG as a hub as well. I believe that when DL merged with NW, they had the full intention of gutting MEM and CVG. IIRC, they “promised” to keep all the existing hubs for awhile, but after that, that was the end.
Well, of course. Without cutting hubs, what was the point of the merger? There was essentially no fleet synergy other than scads of CR2s and a motley crew of 752s.
And the 757-300's that only NW & CO had in the US
.
Iloveboeing wrote:Cubsrule wrote:People forget, I think, that MEM is pretty far from ATL even though it’s in an adjacent state. MEM is only 40 miles closer to ATL than CVG, and CVG is a much more vibrant local market. So if DL needed an ATL reliever (it didn’t and doesn’t), CVG made more sense.
Because MEM was a weak local market, there really wasn’t an obvious way to lower the costs of the hub. The heavy banking and consequent huge building footprint for the size of the hub were absolute necessities.
And yet DL cut CVG as a hub as well. I believe that when DL merged with NW, they had the full intention of gutting MEM and CVG. IIRC, they “promised” to keep all the existing hubs for awhile, but after that, that was the end.
rbavfan wrote:Iloveboeing wrote:Cubsrule wrote:People forget, I think, that MEM is pretty far from ATL even though it’s in an adjacent state. MEM is only 40 miles closer to ATL than CVG, and CVG is a much more vibrant local market. So if DL needed an ATL reliever (it didn’t and doesn’t), CVG made more sense.
Because MEM was a weak local market, there really wasn’t an obvious way to lower the costs of the hub. The heavy banking and consequent huge building footprint for the size of the hub were absolute necessities.
And yet DL cut CVG as a hub as well. I believe that when DL merged with NW, they had the full intention of gutting MEM and CVG. IIRC, they “promised” to keep all the existing hubs for awhile, but after that, that was the end.
CVG had been Delta's hub for years. However Northwest had a lot of tie up with the funds to build up Detroits terminals. Delta had to drop 1 of the 2 and dropping Detroit would have required payback on the loans due to early termination of agreements on Employee numbers and other office space in the area. Similar reason they kept MSP abet with less contract restrictions. The lower restrictions had much to do with a lot of MSP international moved to Detroit. Detroit was better positioned for connections than MSP. If MSP had not had those contracts Delta would have picked CVG over Detroit..
Cubsrule wrote:rbavfan wrote:Iloveboeing wrote:
And yet DL cut CVG as a hub as well. I believe that when DL merged with NW, they had the full intention of gutting MEM and CVG. IIRC, they “promised” to keep all the existing hubs for awhile, but after that, that was the end.
CVG had been Delta's hub for years. However Northwest had a lot of tie up with the funds to build up Detroits terminals. Delta had to drop 1 of the 2 and dropping Detroit would have required payback on the loans due to early termination of agreements on Employee numbers and other office space in the area. Similar reason they kept MSP abet with less contract restrictions. The lower restrictions had much to do with a lot of MSP international moved to Detroit. Detroit was better positioned for connections than MSP. If MSP had not had those contracts Delta would have picked CVG over Detroit..
I’m not sure that’s right. Remember that the merger came right at the time that tar sands were the “next big thing” in oil production, and a tremendous amount of traffic into the Dakotas and Alberta flowed over MSP. MSP has a ton of corporate traffic too.
WidebodyPTV wrote:TTailedTiger wrote:WidebodyPTV wrote:MEM failed as hub because its local market lacked both volume and dollar amount. The advert of the regional jet, which allowed airlines to fly from smaller, southeastern destinations to distant larger hubs, was the so-called 'nail in the coffin.'
- NW looked at replacing MEM with ATL in the early 1990s (after EA's demise; in fact, NW was awarded EA's ex-DCA assets under the assumption it would relocate MEM to ATL) but lacked the finances.
- In the late 1990s, NW studied relocating MEM to BNA, but ultimately concluded such move was cost prohibitive & NW then reached a deal to expand MEM.
- In the mid-2000s, NW and FL considered merging -- which almost unquestionably would've seen MEM folded into ATL -- but (among other reasons), the finances didn't exist.
It isn't like NW didn't try to make NW work. Among other moves, NW tried to make MEM its Mexican gateway (the only year-round service to MEX & CUN) + serve smaller destinations in the Central/Mountain time zones + it operated hub banks that were time exclusive to MEM (for example, if you wanted to leave LAX at 4PM or MCO at 7PM, MEM was your sole option, as flights to DTW & MSP were dropped).
By the time of the merger, CRJs dominated MEM. Remember, ATL was built with volume -- e.g. operating larger mainline aircraft enabled DL to lower its costs. DL had a huge surplus of 50-seats -- not a big shock that MEM stuck around only until DL resolved it (e.g. it's cheaper to fly the jets than to pay to park them, at least in the short term).
MEM, CVG, STL, CLT, PIT, etc. were small hubs that had largely become obsoleted as the industry consolidated + economics changed. On these forums, the defense & portrayal of these hubs in a positive light is generally done by a.net members upset their hometown/favorite hub went away. E.g. DTW had more than 2x the local traffic and more than 3x the revenue of CVG, yet the CVG fans have long portrayed it as being on equal terms.
You are neglecting the passenger experience. Delta still (or at least before covid) offers CVG and RDU for connections. And those are the two nicest connecting experiences you will find in the US. ATL is always a shoulder to shoulder madhouse and way too much walking is involved at DTW and MSP. I'll never understand why DTW didn't link A and B/C by train. It's an awful experience and doesn't allow for quick connections. A 30 minute connection MCO-RDU-DCA is a breeze.
The passenger experience is irrelevant - for the airlines, it’s about what resources generate the most revenue. For the passengers, it’s about what offers the best schedule and price. If this wasn’t true, PIT would still be a hub, people wouldn’t be packing jets to ATL, DFW, etc.
rbavfan wrote:Cubsrule wrote:rbavfan wrote:
CVG had been Delta's hub for years. However Northwest had a lot of tie up with the funds to build up Detroits terminals. Delta had to drop 1 of the 2 and dropping Detroit would have required payback on the loans due to early termination of agreements on Employee numbers and other office space in the area. Similar reason they kept MSP abet with less contract restrictions. The lower restrictions had much to do with a lot of MSP international moved to Detroit. Detroit was better positioned for connections than MSP. If MSP had not had those contracts Delta would have picked CVG over Detroit..
I’m not sure that’s right. Remember that the merger came right at the time that tar sands were the “next big thing” in oil production, and a tremendous amount of traffic into the Dakotas and Alberta flowed over MSP. MSP has a ton of corporate traffic too.
Yes but as I stated it was well documented that Detroit was piced over CVG because the cancellation of the agreement would be to expensive and 1 had to close. Family were stockholders in Delta as long as I can remember. There wer comments in some of those about CVG vs DTW. Cost won out as CVG had a larger portion of the US population within a 2 hour flight time vs DTW operations at the time.
VMCA787 wrote:TYWoolman wrote:Memphis Hub:
Was for Northwest: leveraging best it can the only asset of the Republic acquisition.
Was for Delta: leveraging best it can the synergy opportunities of the Northwest acquisition.
For Northwest this meant sustainment and expansion. For Delta this meant downsizing and curtailment.
I am curious as to where you think MEM was the "ONLY ASSET"? Certainly, DTW was an asset that had been allowed to stagnate and simply languish due to lack of investment. NW was prepared to spend money to create a fortress hub. In order for a hub to successful, it has to have the ability to at least "break-even" on its own O/D or preferably make a profit. The problem with MEM was it couldn't do that. It came close when NW had increased the banks of flights. However, shortly after that increase, the price of fuel increased and a recession occurred. So, NW tried to shrink the hub to profitability and that didn't work either. NW was competing with DL on routes through MEM vs ATL. In reality, they couldn't compete based on all the service problems NW was encountering systemwide.
rbavfan wrote:Iloveboeing wrote:Cubsrule wrote:People forget, I think, that MEM is pretty far from ATL even though it’s in an adjacent state. MEM is only 40 miles closer to ATL than CVG, and CVG is a much more vibrant local market. So if DL needed an ATL reliever (it didn’t and doesn’t), CVG made more sense.
Because MEM was a weak local market, there really wasn’t an obvious way to lower the costs of the hub. The heavy banking and consequent huge building footprint for the size of the hub were absolute necessities.
And yet DL cut CVG as a hub as well. I believe that when DL merged with NW, they had the full intention of gutting MEM and CVG. IIRC, they “promised” to keep all the existing hubs for awhile, but after that, that was the end.
CVG had been Delta's hub for years. However Northwest had a lot of tie up with the funds to build up Detroits terminals. Delta had to drop 1 of the 2 and dropping Detroit would have required payback on the loans due to early termination of agreements on Employee numbers and other office space in the area. Similar reason they kept MSP abet with less contract restrictions. The lower restrictions had much to do with a lot of MSP international moved to Detroit. Detroit was better positioned for connections than MSP. If MSP had not had those contracts Delta would have picked CVG over Detroit. This was also well coved in Aviation week & other airline publications from Interviews with Delta execs. The wer very happy with CVG before the move.
Cubsrule wrote:rbavfan wrote:Cubsrule wrote:
I’m not sure that’s right. Remember that the merger came right at the time that tar sands were the “next big thing” in oil production, and a tremendous amount of traffic into the Dakotas and Alberta flowed over MSP. MSP has a ton of corporate traffic too.
Yes but as I stated it was well documented that Detroit was piced over CVG because the cancellation of the agreement would be to expensive and 1 had to close. Family were stockholders in Delta as long as I can remember. There wer comments in some of those about CVG vs DTW. Cost won out as CVG had a larger portion of the US population within a 2 hour flight time vs DTW operations at the time.
Why would any rational airline pick CVG (closer to ATL, smaller local market) over DTW regardless of any obligations to DTW?
CRJ200flyer wrote:
Separately, metro Detroit population is 4.3 million. Cincinnati is 2.1 million. DTW had a decade old beautiful facility at the time of the merger while CVG had a mixture of older facilities. Why do we keep rehashing this!?
RDUDDJI wrote:CRJ200flyer wrote:
Separately, metro Detroit population is 4.3 million. Cincinnati is 2.1 million. DTW had a decade old beautiful facility at the time of the merger while CVG had a mixture of older facilities. Why do we keep rehashing this!?
Actually Detroit's CSA is 5.34 mil (Cincy: 2.2).
Source: censusreporter.org (2019 info)
rbavfan wrote:Cubsrule wrote:rbavfan wrote:
Yes but as I stated it was well documented that Detroit was piced over CVG because the cancellation of the agreement would be to expensive and 1 had to close. Family were stockholders in Delta as long as I can remember. There wer comments in some of those about CVG vs DTW. Cost won out as CVG had a larger portion of the US population within a 2 hour flight time vs DTW operations at the time.
Why would any rational airline pick CVG (closer to ATL, smaller local market) over DTW regardless of any obligations to DTW?
Back then CVG was a much bigger O& D than it is now. They also had full Customs/FIS that had lots of unused capacity making for much faster connections than DTW.
rbavfan wrote:WidebodyPTV wrote:TTailedTiger wrote:
You are neglecting the passenger experience. Delta still (or at least before covid) offers CVG and RDU for connections. And those are the two nicest connecting experiences you will find in the US. ATL is always a shoulder to shoulder madhouse and way too much walking is involved at DTW and MSP. I'll never understand why DTW didn't link A and B/C by train. It's an awful experience and doesn't allow for quick connections. A 30 minute connection MCO-RDU-DCA is a breeze.
The passenger experience is irrelevant - for the airlines, it’s about what resources generate the most revenue. For the passengers, it’s about what offers the best schedule and price. If this wasn’t true, PIT would still be a hub, people wouldn’t be packing jets to ATL, DFW, etc.
Be honest here. The reason ATL & DFW hubs thoughput of traffic is so high is because AA controls DFW & DL controls ATL (& DTW) without others being able to compete there they can charge higher prices for O & D than compeditors & get away with it. 90% control over cost on those 2. United likewise has that at Newark & wish they had that at Denver as well.
rbavfan wrote:Cubsrule wrote:rbavfan wrote:
Yes but as I stated it was well documented that Detroit was piced over CVG because the cancellation of the agreement would be to expensive and 1 had to close. Family were stockholders in Delta as long as I can remember. There wer comments in some of those about CVG vs DTW. Cost won out as CVG had a larger portion of the US population within a 2 hour flight time vs DTW operations at the time.
Why would any rational airline pick CVG (closer to ATL, smaller local market) over DTW regardless of any obligations to DTW?
Back then CVG was a much bigger O& D than it is now. They also had full Customs/FIS that had lots of unused capacity making for much faster connections than DTW.
Cubsrule wrote:rbavfan wrote:Cubsrule wrote:
Why would any rational airline pick CVG (closer to ATL, smaller local market) over DTW regardless of any obligations to DTW?
Back then CVG was a much bigger O& D than it is now. They also had full Customs/FIS that had lots of unused capacity making for much faster connections than DTW.
Exactly what connections were faster than DTW? While I liked C and it was crazy efficient for OH-OH connections, connecting to or from mainline was a slog and even A to B (or vice versa) connections weren’t that much fun.