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Delta’s Cantarutti: “We don’t have to choose to be profitable versus having happy customers … we can do both”

December 10, 2009

Perry CantaruttiPerry Cantarutti is the vice president for sales and customer care at Delta Air Lines, the airline’s top customer-service position. I wanted to find out his tips for getting better customer service from an airline — particularly his. So I asked.

Delta used to have a sterling reputation for customer service among legacy carriers. In recent years, you’ve tried to recapture that with internal programs like “First Point of Contact”. How is the customer experience now, in your opinion?

Delta employees are extremely proud of the fact that for a generation we were known as the industry leader in customer service. That’s why our focus today is on delivering a high level of service for customers, but one that is adapted to 21st century expectations.

Deregulation and technology completely changed our industry. Fares are at all-time lows, fuller planes have been required to achieve profitability and customers expect speed and quality that far exceeds what the industry delivered in its early years.


Some of the recent changes we’ve made at Delta to address our current reality have included reintroducing “First Point of Contact” service recovery to allow our flight crews, airport staff and reservations agents to compensate passengers on the spot. We have also reintroduced “Red Coats” to provide assistance in our airports and have added self-service automation to our Web site and airports to eliminate lines and waits during delays.

What areas of customer service are you happy with? And which areas are you working on?

Since joining Delta from Northwest almost a year ago, I have come to appreciate the passion Delta people share with their Northwest counterparts in providing our customers with the highest level of service possible. So the will is there and that is always the hardest part in creating a successful customer service program.

Our challenge now is to ensure that our employees have the tools and programs in place to live up to their potential and provide a consistent experience for our customers. Technology is helping in this area and we are continuing to identify solutions that can advance these efforts and further support our employees’ efforts.

Speaking of technology, what’s the best way of contacting Delta when you have a problem with a flight?

It depends on where the customer is during the travel experience. Prior to travel, you should contact our reservations line at 800-221-1212 and ask for a customer service representative. If the customer is at the airport, they should seek assistance from the nearest customer service agent. If travel has been completed, contact customer care via delta.com by selecting “contact us”.

Can you offer any tips for getting a speedy resolution to a customer service problem, in the unlikely event that one occurs with Delta?

The best thing a passenger can do is to have all of their information on hand when they contact us. This includes date of travel, SkyMiles membership information, confirmation and ticket numbers, passengers’ full names and flight schedule.

Summarizing concerns in a clear and concise manner will allow our employees to effectively and efficiently handle concerns. We train our agents to work with customers dealing with extenuating circumstances, as well as those that haven’t received the level of customer service we are committed to providing. Each situation is unique and we ask our customer service agents to treat it as such.

There’s been a lot of recent discussion among airline passengers about H1N1 and change fees. It’s my understanding that Delta has taken a flexible attitude toward changes, even on nonrefundable tickets. Can you describe your current policy?

We do work to offer some flexibility. In situations where a passenger is unable to travel because of an illness, a doctor’s note may be required to waive change fees for non-refundable tickets.

I get an average of two or three requests a day from Delta passengers, asking me to intervene with the airline to bend a rule for refunds or changes. Can you help my readers understand why airlines like Delta have rules regarding ticket changes and refunds?

When purchasing a ticket, similar to other airlines, a passenger enters into an agreement with us to provide them with travel services. We refer to this as the contract of carriage and make it available at delta.com for review by our passengers. The contract of carriage establishes guidelines to ensure that we live up to our end of the contract and helps to establish the expectations the passenger should have in terms of our service.

These rules are important because the product we sell is a perishable one, meaning that once a flight has taken off we can no longer sell those specific seats to that destination. As a result, for each flight we offer variety of fare classes that provide a mix of cost and level of flexibility for changes and refunds.

The various types of fare classes allow passengers to determine what kind of flexibility they require for their travel at what price. The amount of risk the passenger is comfortable with in the unfortunate event that their plans change needs to be considered when they purchase various fare types.

How has the merger with Northwest Airlines affected service?

The merger with Northwest has made Delta a stronger carrier in a number of areas, but particularly in some of our customer facing functions. Combined we have created a best-in-class frequent flyer program and leveraged many customer related benefits. These benefits include information technology applications to further improve Delta’s customer experience from the time they check-in until they arrive at their final destination.

Some examples include enhanced meal services, check-in technology improvements, online itinerary change options during inclement weather and the introduction of Delta signature Red Coats at former Northwest hubs.

What can air travelers do to get the best possible customer experience from an airline like Delta?

As the head of Delta’s customer service efforts, I’m sure you can imagine I get asked this quite often. I always tell customers that the best thing they can do is report an issue as soon as possible. Track down one of our agents and explain your situation at the airport. Our newly introduced Red Coats are also a great resource for customer service related issues and can be easily identified by their signature Red Coat.

For baggage issues, although occurrences of delayed and damaged baggage are extremely rare, I encourage passengers to report such occurrences at the airport if possible and to do so within 24 hours. This gives us the best chance of returning their luggage. Otherwise, we do offer the option of the customer filing a claim using a form that is available online at delta.com.

Here’s a question I try to ask of all airlines: Is it possible to run a profitable airline and have happy customers? Or does an airline have to choose one over the other?

The answer is that we don’t have to choose to be profitable versus having happy customers at Delta we know we can do both.

First, we are uniquely positioned as a result of our merger with Northwest and have the benefit of looking at two network carriers and adopting policies and procedures from each to create an award-winning customer service program.

Over the last year or so, even in a weakened economy Delta has continued to reinvest in our customers in both technology upgrades making the check-in process easier, as well as our onboard products making the in-flight experience more comfortable. Along with this, we are working to identify ways to streamline the process for the occasions when our operations are disrupted and passengers are inconvenienced to get them reaccomodated and on their way to their final destinations as soon as possible.

I get a lot of complaints about fees, from luggage fees to change fees. Is there any scenario under which you see Delta eliminating a la carte fees and charging a price for the entire air travel experience? Or are ancillary revenues too important now to the overall revenue picture?

The entire industry has moved towards these “a la carte fees” and Delta will continue to remain competitive with other carriers. In fact, our most loyal customers don’t incur these fees as they typically apply to customers that choose to fly Delta on a less consistent basis.

Ancillary revenues have been critical in the current economic environment. At Delta, fees are a source; however, we also rely on revenue from both our cargo and maintenance, repair and overhaul operations.

Christopher Elliott is the author of Scammed: How to Save Your Money and Find Better Service in a World of Schemes, Swindles, and Shady Deals. Critics have called it “eye-opening” and “inspiring” — it’ll “grab your attention and won’t let go.” Order your copy now on Amazon, Barnes & Noble or iTunes.

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11 comments

  • http://www.Travel-Writers-Exchange.com Travel-Writers-Exchange.com

    It’s possible for airlines to be profitable and have happy customers. Why wouldn’t airlines want happy customers? Happy customers equal profits :)

  • Lou Ruh

    I am not a big fan of the “fees for everything” approach by Delta and other airlines. And … no … it is not true that the “entire industry” has moved to a la carte fees. And, at the same time, he can say that “fares are at all-time lows” (gee … let’s talk about costs … not just fares).

    Even if it was true that the “entire industry” has moved to a la carte fees (isn’t Southwest in this industry?) … how is matching the inane (in my opinion) approach of continually reaching into your passengers wallets for every little thing classified as being competitive … why not try to have a competitive advantage? Isn’t that what competition is about … what makes you different (and hopefully better) from the competition … not how much you can match the other players in your industry???

    And, airlines might make me feel a little better (however slight) if they would, at a minimum, refund the baggage fees if they do not deliver your baggage in good condition and on the same plane as you. In a recent occurrence of a baggage problem, I had to beg Delta with numerous e-mails just to get a voucher for a discount toward a future flight (which I may never use since I am still not happy with Delta) … it should not be that way!!

  • Raven

    I would like to hear his explanation as to why I had to wait at PVD on 10/19 for nearly 2.5 hours for a late flight because they decided to change equipment without realizing the crew selected was not cleared on the new equipment. I’d also like to know why only ONE gate agent was there to change everyone’s connections and why passengers (many elderly) were forced to stand in line for over 2 hours for said connection changes.

  • Jesse

    What a CROCK OF B.S. I can’t believe you sat there and let this guy shovel bucket loads of sunshine up your ass. Delta used to provide consistant service until their “No Waiver/No Favor” mentality came into their corporate culture and the arrogant attitude of NW only made it worse. Go ahead and live in Delta’s La La Land, we the traveling public know better.

  • Bill

    I found the article an interesting read. Thank you.

  • kwok chan

    I don’t think the merger help us at all. I noticed that they increased the frequent mileage for an award ticket after the merger of Delta and NWA. The round trip from MIA to HKG was asked for 90,000 to 120,000 miles instead of 60,000 last years or before the merger.

  • Kevin M

    Separately from the complaints above about fees and quality of service, I’d like to point out the inherent BS in Cantarutti’s line about nonrefundable fees. The suggestion seems to be that the fact that seats on a flight are perishable (they can’t be sold once the flight takes off) governs the cost of the tickets. Which is nonsensical, because that would mean that when seats were purchased well in advance, when they’re “fresh” and you can guarantee availability, prices would be highest, while seats at the last minute, about to “perish”, would go for any reasonable sum that at least covered the basic costs, just to move them. In fact, I can remember when that was the approach, more or less.

    Instead, last-minute fares are the highest. Why? Not because of “perishability”; because the airline knows that most people flying last-minute are businesspeople who will pay whatever it takes to go when they need to go.

    Meanwhile, the objection to refunding/changing advance-purchase fares is explained as though that early-purchaser had deprived another potential passenger of that seat until the last minute, with the late “return” of the seat to inventory meaning it goes unsold. Again,a crock; the only flights I’ve flown in the last ten years that were 100% full were on Southwest, which has no change fees and all fares are fully applicable to future travel; every flight on a legacy carrier had anywhere from 20 to 50% of the seats empty, meaning nobody who really wanted on that flight was kept from traveling, other than by the rapacious pricing levied on last-minute travelers.

    I’m not suggesting airline fares be regulated – I’m just saying they should be honest with their pricing strategies, which are: We charge as much for the seat (and for everything else that’s not bolted down) as we think we can get away with. Interviewers who allow industry figures to spout such nonsense as “These rules are important because the product we sell is a perishable one, meaning that once a flight has taken off we can no longer sell those specific seats to that destination.” At least he was moderately more honest when he said “The amount of risk the passenger is comfortable with in the unfortunate event that their plans change needs to be considered when they purchase various fare types” – translated slightly, he means “You can get a cheap fare if you’re absolutely certain nothing, including acts of God, Mother Nature, or anything else beyond your control will cause you to need to change your plans; otherwise, you should pay through the nose for the refundable type, because otherwise we’re going to screw you with so much in change fees and fare differentials you’ll wish you’d never heard of advance purchase.”

  • Shari

    It seems as though there is a disconnect between the on-the-ground personnel vs. Mr. Cantarutti. I’m sure he’s flown on his airline, and I bet that he’s gotten exemplary service. I imagine that he gets glowing reports of how customer service is good and prices are improving. However, if Mr. Cantarutti were to see the airline from an outsider’s point of view, he would see it badly lacking. Their gate attendants are zombies at best and obnoxious at worst. The flight attendants are consistently worse than other airlines (which is impressive, at least when you’re comparing Delta to other legacy airlines). Their lounges aren’t any better than the public waiting areas. And they’re terrible when it comes to add-on charges. My last flight with Delta, about 2 months ago now, will be my last for the foreseeable future. I’m more than willing to pay more to fly with another carrier if it means I don’t have to worry about flying Delta.

  • http://www.linkedin.com/in/elizabethasmith Beth

    I must be flying a different Delta, because I’ve flown 63 flights on my Delta this year, many of them between two troublesome airports, ATL and LGA, and I haven’t had any problems whatsoever. The merger has been mostly invisible to me, customer service has been good, the in-air product has improved, and they’re working on better technology. I appreciate your interview, Chris.

  • Rae

    “The merger with Northwest has made Delta a stronger carrier in a number of areas.”

    Our home airport is TRI, a small regional facility. Since the merger of Northwest and Delta we have lost all flights to Memphis and Detroit (the former Northwest hubs) and will be losing all service to Cincinnati in a few months. That leaves our airport only with direct flights to Atlanta, Charlotte, and whatever Florida destinations Allegiant is serving in any given week. That’s great customer service! Thanks, Delta!

  • http://www.twclimited.com Carter Stewart

    I don’t suffer from the new vagaries of domestic US airline travel everyday since moving to the UK. Instead, I faces with a whole new set of interesteting obstacles which are out of the airlines hands such as taxation and aging infrastructure.

    What did catch my eye, is Cantarutti saying “The entire industry has moved towards these “a la carte fees,” which is clearly flawed and very US-Centric view of a global business- one which Delta likes to see itself as a big player in. While he may have intended his comments for domestic consumption, US carriers do not traditionally in my opinion do well with originating market traffic from international destinations- instead relying on 80 US O/D traffic to make up the bulk of their business.

    Why? In my view there are many interesting differences between US and other world carriers. While BA is giving in to the US a la carte LCC model in a bid to stay alive, others still offer varying levels of service for a fixed price.

    Setting aside our largest LCCs like Ryanair, Air AsiaX, and EasyJet, in Europe and Asia many carriers still offer the full service price, even in the economy cabin. Airlines like SWISS, Virgin, Lufthansa, JAL, Singapore, and Thai still offer high levels of service for a single price. Admittedly, some of those names have suffered terrible losses lately, but those are less about operational cabin-service items and more about the network and structural issues.

    As a hard core “wing warrior” with over 500K under my belt this year, I would take a variety of European airlines vs. US carrier trans-atlantically any day. I hope that this a la carte experience does not spread further into the industry on this side of the pond, but I have my doubts.

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