- US airlines have ditched first class for upgraded business cabins to optimize space and revenue.
- Some global carriers are adopting a different strategy as demand for more luxury increases on board.
- Ultra-rich travelers will book first class on routes private jets can’t reach.
Delta Air Lines and United Airlines years ago eliminated international first class on their planes, and American Airlines is following suit.
They considered business class the most profitable for long-haul flights. It can fit more seats and is more marketable to more people than an expensive first class ticket.
But many global carriers in Europe, Asia and the Middle East are taking the opposite approach, chasing dollar signs with new first-class cabins amid a post-pandemic industry shift that has seen demand for luxury rise in the front of the plane.
This includes multimillion-dollar renovation plans in an effort to lure more customers, keep up with the competition, and boost revenue and reputation. While these carriers still have business class, true first class remains a money winner, despite taking up the least amount of cabin real estate.
Qatar Airways CEO Badr Mohammed Al Meer told CNBC in March that the airline’s first class is here to stay. This was a reversal from its predecessor, which said in 2023 that first class was not necessary with that carrier’s famous Q-Suite business class.
Five-star Singapore Airlines also plans to launch a new first class as part of a $800 million-plus cabin refurbishment project. Air France, Swiss International Air Lines and Lufthansa are also in the mix, among others.
Swiss Senses is among the first class projects to enter service in 2025. Swiss International Air Lines
A study by Mighty Travels Premium, published in October, showed that the revival of first class is mainly corporate travelers from the first Fortune 500 companies.
The study, which analyzed airline revenue data, saw an increase in international bookings from affluent leisure-time individuals willing to pay a premium for luxury benefits.
Transatlantic first-class fares averaged about $2,900 one-way between January and August, excluding taxes and fees, according to data from aviation analytics company Cirium. But this can be much higher on more luxury-focused airlines.
Tiffany Funk, an analyst from travel website Point.me, told Business Insider that the drive behind Singapore’s new first class is partly from ultra-rich people who want to fly in style but can’t reach destinations. certain with a private jet.
“The addition of Singapore first class speaks to its demographics,” she said. “One of the co-founders of Google going back and forth between the US and Singapore is someone who would book it, these are the people who are willing to pay $15,000-$20,000 for that really nice luxury experience.”
Some airlines are adding first class to increase their prestige
Funk said airlines such as British Airways, Singapore, Emirates and Air France don’t always have first class, but have them for “prestige”.
Air France plans to unveil a new first class cabin in late 2024. credit should read STR/AFP via Getty Images
Airlines, especially those with state investment, are willing to accept the compromise for the sake of enhancing their reputation or providing the necessary luxury for their local elites.
“Air France is committed to having this super premium first class product because it’s Air France,” Funk said. “It doesn’t necessarily make economic sense and it doesn’t need to be just four seats to fill on the plane.”
She pointed to other examples like Emirates, which can get more customers in all cabins simply because they include showers in first class — even if people aren’t in a seat with access to that shower.
Then there’s British Airways, which Funk said carries the prime minister and the royal family and has to partially carry first class for that impact.
“You’re not going to have William and Kate flying in business class with 85 other people,” she said.
Qantas’ new Project Sunrise first class flights will travel up to 21 hours between Australia, New York and London from 2026. Qantas Media
9 airlines are planning a new first class cabin
With at least nine new international first class cabins hitting the market over the next two years, deep-pocketed customers have a lot to look forward to — especially since some of these luxury seats will touch down in the US.
Here are nine global airlines introducing a new first class cabin:
- Air India: A new first class will be retrofitted to existing Boeing 777-300ERs starting in 2025 as part of Air India’s $400 million rebranding.
- Air France: The airline’s new first class “La Premiere” is expected to be unveiled by the end of 2024, although details remain limited.
- British Airways: The UK flag carrier is debuting a new first class on the upcoming Airbus A380 and Boeing 777X. No official deadline has been announced.
- Cathay Pacific: The Hong Kong-based airline is introducing a new first class on its upcoming 777X planes, but delivery of those planes and its new cabin is still uncertain.
- Swiss International Air Lines: From 2025, the carrier will offer a new pod-like first class on the upcoming A330, Boeing 777 and A350.
- Lufthansa: Germany’s flag carrier will launch the new A350 Allegris first class on Saturday. The suite is similar to the Swiss one.
- Qantas: From 2026, Australia’s national airline will debut a new first class on the A350 as part of Project Sunrise, which will operate the world’s longest new flights between Australia, New York and London .
- Qatar: The Doha-based airline has released few details about its new first class, but the cabin will be on future 777X planes.
- Singapore: Singapore is the latest airline to unveil a new first class, debuting seven ultra-long-haul A350-900ULRs in the first quarter of 2027.