HomeTravelAmerican Airlines Upgrades Premium Offerings to Close Gap With Delta, United

American Airlines Upgrades Premium Offerings to Close Gap With Delta, United


The carrier is catching up to United and Delta.

American Airlines isn’t a favorite for fliers, and the carrier is making a series of changes to win over customers. From acquiring new aircraft to expanding its premium offerings, the Texas-based airline is seeking to close the gap with its two largest competitors, United and Delta.

Delta and United both posted profits last quarter, while American reported a loss. The first nine months of the year were lucrative for its competitors—Delta earned $3.8 billion and United $2.3 billion, while American Airlines only reported $12 million in earnings. The carrier’s stock value has also declined, while both United and Delta have enjoyed growth this year.

Additionally, the airline, which operates more flights than any other, is falling short on customer satisfaction and is often ranked as one of the least on-time carriers in the United States.

Clearly, the airline needs to find ways to turn its fate around.

One of the strategies American Airlines is employing is increasing its premium seats. The airline plans to boost its lie-flat and premium economy seating by 50% on long-haul flights by the end of the decade. It is also upgrading older planes and adding new lounges.

In June, American Airlines debuted its Boeing 787-9 aircraft from Chicago to Los Angeles with 51 Flagship Suite seats that offer a privacy door and lie-flat beds. The aircraft is now in use on international routes and is the company’s most profitable.

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Beyond the Boeing upgrade, American is introducing a new Airbus on December 18 to advance its luxury offerings. It received the first A321XLR in October; the single-aisle, narrow-body aircraft will operate flights from New York to Los Angeles. It features 20 Flagship Suites with lie-flat beds and privacy doors, and 12 premium economy seats with winged headrests and increased privacy through a two-by-two configuration. The carrier will add more routes as additional aircraft are delivered—the airline has ordered 50—including the international New York to Edinburgh service.

American is confident this overhaul will significantly improve revenues by 2026, its chief strategy officer, Steve Johnson, told Reuters. He said, “As these changes that we’re making are introduced and have some time to gel, you’re going to see them deliver value to us.”

This year, American Airlines has also enhanced its premium customer experience. In September, the airline announced a collaboration with Champagne Bollinger, now offering champagne to its business and first-class members both onboard and in its lounges. In October, it partnered with Italian coffee brand Lavazza, and starting in 2026, customers across all cabins will enjoy premium coffee in the air and on the ground. Another partnership with leather goods brand Raven + Lily provides stylish amenity kits for first, business, and premium-economy-class members on select flights.

Another significant change for American Airlines loyalists is the new credit card deal signed with Citibank in 2024. The carrier ended its partnership with Barclays and will now offer benefits exclusively with Citi co-branded credit cards. Co-branded cards are highly beneficial for airlines; United and Delta also have exclusive deals with Chase and American Express. This move could prove to be a game-changer for American—Delta made $7 billion from its partnership with AmEx last year, and revenue is expected to increase to $10 billion.

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