In a Price War in Minneapolis, Delta Uses Basic Economy as a Weapon

For years, airlines have charged an extra $70 or $80 roundtrip to escape stingy basic economy fares in the U.S. But recently, Delta began charging double, triple, or more that amount to bump up to a better main cabin fare … on flights from one airport, and one airport only: Minneapolis-St. Paul (MSP).
On flights to destinations like Orlando (MCO), Asheville (AVL), Las Vegas (LAS), San Diego (SAN), and a dozens more from Minneapolis on Delta, the cost to move from a basic economy ticket to a standard economy fare – the tickets that still earn miles and status , let you pick a seat and can be changed or canceled for free – is regularly close to $200 or even $300 more roundtrip. It's a shocking jump from the usual $70 or so upcharge that has been a standard across the airline industry for years. And it's only happening in Minneapolis.
 
 
Why? Two words: Sun Country.
As the small, ultra-low-cost carrier keeps growing and challenging Delta's dominance at its second-biggest hub , Delta is turning to basic economy as a weapon. They're using basic economy fares to match or even undercut Sun Country's prices, hoping to poach their cost-conscious customers. But if you want to be able to pick a seat, cancel your ticket for an eCredit, and even get into Delta Sky Clubs , you'll have to pay up – and pay a lot more.
Average airfare nationwide has fallen steadily over the last year and change, yet a growing chorus of Minnesotans is experiencing the opposite – feeling priced out by Delta's high fares. And this strategy with basic economy is part of the reason why.
 
What's Delta Up to in Minneapolis?
Minnesota travelers won't see these $200 or $300 upsell rates on every domestic route, but the pattern is unmistakeable.
It's most prevalent on the leisure-heavy routes to Florida, East Coast vacation spots like Asheville (AVL) and Myrtle Beach (MYR), Texas, and California – and only on routes where Sun Country flies, too.
Our team of flight deal analysts has consistently seen that $150, $200, or even $300 price gulf on nearly three dozen Delta routes from Minneapolis – always on routes that it shares with Sun Country.
 
 
Whether this is a long-term pricing strategy from Delta or merely a shot across Sun Country’s bow is anyone’s guess. Airlines simply don't talk about their pricing, period.
In a way, this is exactly what basic economy fares were designed to do.
As ultra-low-cost carriers like Spirit and Frontier unbundled fares – charging dirt-cheap fares but higher fees for everything from bags, to seats – the major U.S. airlines introduced basic economy as a way to compete on price. It's a budget fare on a full-service plane.
But the dirty secret of the airline industry is that carriers like Delta and American don't actually want you to buy these cheaper tickets. They exist to lure you in with a cheaper fare, then hit you with a bunch of restrictions meant to convince upsell you to a better fare. The cheap upfront price is the carrot … and the restrictions are the stick.
 
 
So while Delta will sell you a $178 roundtrip fare from Minneapolis to Tampa (TPA) and back this spring – less than what Sun Country is charging for the exact same dates – what Delta really wants is for you to pony up for that better, $446 fare.
 
 
And Delta has gone further in that upsell effort than just about any other airline, making these fares as painful as possible. While you still can bring a carry-on bag with a Delta basic economy ticket, you can't:

Get into Delta Sky Club lounges, no matter which pricey credit card or paid membership would otherwise get you access
Earn redeemable SkyMiles
Work your way toward Delta Medallion Status
Upgrade to an exit row, Delta Comfort Plus , or first class seat
Change your ticket or cancel for an eCredit when plans change ( or prices drop ) – at least not without forfeiting a $99 fee
Get guaranteed seats next to a child, making these fares a special source of heartburn for traveling families

Delta has practically conditioned its loyal flyers to skip basic economy … and it works. Delta President Glen Hauenstein previously told investors that just 5% of customers were buying basic economy tickets as of late 2022 – down from 15% before the pandemic. Before that, he wondered aloud: “What are people willing to pay” to avoid basic economy?
“Basic economy is not something that we want to grow,” Hauenstein continued. “As we’ve outlined before, it’s a defensive product against (ultra-low-cost carriers).”
And as their battle with Sun Country in Minneapolis heats up, that strategy is reaching new heights.
 
Diving into Delta's Strange, Steep Fares
You'll find these sky-high rates to avoid basic economy on Delta flights from coast to coast – but only from Minneapolis.
Again, you won't see this huge gulf in pricing on every single flight every day. As of publication, we haven't found fares that suggest this pricing strategy has spread to international destinations or other Delta hubs like Detroit (DTW), Atlanta (ATL), Salt Lake City (SLC), and others.
But there's a common thread: Where Delta is competing head to head with Sun Country, it's slashing prices for a basic economy ticket … but leaving the price untouched for the standard main cabin fares (the tickets its loyal customers typically buy) at much higher rates.
For example, let's look at flights from Minneapolis-St. Paul (MSP) to Myrtle Beach (MYR) this spring. On many days, you've got a choice between flying either Delta or Sun Country nonstop for around the same price, $200ish roundtrip, maybe even less.
 
 
But if Delta convinces you basic economy is too bad, they'll charge you a whopping $180 to move up to a better main cabin fare. That dwarfs the additional $75 or $100 you'd pay to add bags and seat assignments with Sun Country.
 
 
Yet Delta is only hiking these upgrade prices on flights from Minneapolis. Delta flyers heading to Myrtle Beach from Boston (BOS), Detroit (DTW), or Atlanta (ATL) still pay just $60 or $70 extra at most to avoid basic economy. To date, we haven't seen these egregious upgrade rates from any other Delta hubs: Only Minneapolis. 
 
 
That all but confirms it's a response to Sun Country, Delta's only real competition in Minneapolis. They've gone tit-for-tat for years with new route announcements and fare pricing, but this is something else.
And the jump up to main cabin fares is even worse on many other routes.
Take flights to Fort Myers (RSW), for example, where Delta charges as little as $167 roundtrip this summer – right on par with Sun Country.
 
 
But if you decide you need a main cabin fare with seat selection, flexibility, and other perks, it'll cost you: An extra $300 per ticket, more than double the cost of the basic economy fare.  
 
 
There's no reprieve if you've got SkyMiles, either. Delta is the only major U.S. airline that sells basic economy award tickets when redeeming SkyMiles, and the gulf is equally enormous on some of these routes.
 
 
To upgrade to main cabin from basic economy, you'll need to fork over an additional 30,000 SkyMiles – significantly more than the average 5,000 to 6,000 SkyMiles difference you'll see on most other domestic routes.
Where Delta isn't charging out the wazoo to avoid basic economy, there's also a pattern. Sun Country might also fly from Minneapolis to Nashville (BNA), Denver (DEN), and Dallas-Fort Worth (DFW) … but so do Southwest, United, and American Airlines, respectively. Those bigger carriers keep Delta's pricing in check.
So while bumping up to a main cabin ticket to Asheville (AVL) often costs an additional $200, it's just an additional $70 to nearby Charlotte (CLT), an American Airlines hub.
 
 
From Delta's perspective, this is a win-win. They can slash basic economy rates to compete on price with Sun Country in Minneapolis, then convince some (maybe even most) of them to pay a boatload more for a better, more-inclusive fare. The diehard Delta flyers in Minneapolis who never look at Sun Country fares or consider buying basic economy, meanwhile, keep paying more, padding Delta's revenues.
But for those same loyal Delta flyers, these prices may be starting to feel like an insult.
 
Bottom Line
It's still a David versus Goliath situation, but the airline battle in Minneapolis is heating up – in an unusual way.
Delta is using cheaper basic economy fares as a weapon against Sun Country, slashing prices to win the clicks from cost-conscious Minnesota travelers. But that's leading to some exorbitant upgrade rates of $200 or more to avoid basic economy, giving loyal Delta flyers heartburn.
Will it last? Will this strategy spread to other Delta hubs? Only time will tell.