GOL Linhas Aéreas to terminate Delta Partnership

GOL Linhas Aereas, better known as GOL, will see the end of the collaboration with Delta Air Lines. This move comes as Delta has invested in the South American giant, LATAM. Since LATAM has a much larger footprint on the continent, it makes sense for Delta to end its collaboration with GOL. However, for the Brazilian low-cost carrier, this could mean the end of other lucrative partnerships.

  GOL ends partnership
GOL's partnership with Delta Air Lines comes to an end. Photo: Nathan Coats via Wikimedia Commons

Delta terminates partnership with GOL

GOL issued a statement on the end of this partnership. In the airline rejected all negative consequences of this cancellation. Like the US statement after LATAM announced a partnership with Delta Air Lines, GOL negated the effect of losing a partner.

  Delta and GOL Partnership
Delta will terminate its partnership with GOL. Photo: Delta

In terms of income, the relationship only gave approx. 0.3% of GOL's total revenue. This probably came from connecting passengers. However, Delta does not have much of a connection system in place in Sao Paulo, and recently completed its flight to the Brazilian hub from Detroit.

Delta to dispose of GOL

Delta invested in the airline and got a seat on the Board of Directors. Their 9% stake will be phased out. However, GOL did not fit perfectly with the Atlanta-based carrier.

Featured Video:

Delta is a well-known full-service haulage company with a proper business class. On the other hand, GOL is a low cost company. This makes it hard to imagine that a passenger buying a Delta One ticket to Sao Paulo would want to connect to a GOL premium economy aircraft that would lack the business-class amenities.

GOL is a low cost company based in Brazil. Photo: Rafael Luiz Canossa via Wikimedia Commons

GOL does not fly to any of Delta's hubs. In fact, to the United States, the airline offered connections to Delta via Miami and Orlando. As this is not a Delta hub, this did not provide many benefits for passengers who are likely to be routed from Miami or Orlando via Atlanta, which will put a new stop on the journey.

Are Air France-KLM and Aeromexico next?

Air France-KLM and Aeromexico also cooperate with GOL. However, Delta has significantly swayed across all three airlines. As a result, these three airlines may also terminate their GOL partnerships in favor of a more comprehensive partnership with LATAM. Since GOL does not fly to Europe due to a lack of reach on its aircraft, it is likely that the end of a GOL partnership will not have a significant impact on operations at any end.

GOL primarily flies Boeing 737 aircraft that cannot fly from Brazil to European hubs such as Amsterdam. Photo: Boeing

However, it will still be a battle for GOL to lose four major partners. Time will tell if the end of the partnership with Delta will have significant consequences.

What do you think about this? Does GOL Need to Find an American Partner? Let us know in the comments!

Source link

Back to top button