Delta Air Lines, Inc. (NYSE: DAL) announced on Tuesday that it will soon serve Shake Shack, Inc. (NYSE: SHAK) burgers to its first-class passengers on select flights.
What Happened: Delta's partnership with Shake Shack will begin on flights out of Boston on Dec. 1.
First-class customers on routes over 900 miles may pre-select a Shake Shack cheeseburger as their meal option. Delta said it has plans to expand the offering to other U.S. markets throughout 2025.
"A delicious cheeseburger is an iconic comfort food - our customers know that which is why burgers are one of the top ordered menu items we offer, and we're thrilled to elevate the offering with Shake Shack," said Delta managing director Stephanie Laster.
Delta has a separate partnership with Shake Shack's founder Danny Meyer and his Union Square Hospitality Group (USGH). Meals from Union Square Events, USHG's catering arm, are available on select Delta flights out of JFK airport.
Why It Matters: Airlines of yesteryear would typically serve up lavish meals to passengers, including lobster, roasted chicken and foie grois. Today, it's fast-food cheeseburgers.
Still, it's enough to convince investment bank Goldman Sachs analysts to praise Delta's penchant for catering to first-class passengers. A move like this is key to the carrier's recent recovery from the COVID-19 pandemic travel restrictions, analysts say.
Delta's First Class offerings include priority check-in and boarding, free earbuds and in-flight entertainment, luxury bedding, as well as complimentary Starbucks Corp. (NASDAQ: SBUX) coffee, wine, beer, spirits and soft drinks.
Other perks include free Wi-Fi, charging outlets, gourmet dining options, reclining seats and additional legroom.
Goldman Sachs' Catherine O'Brien expects airlines exposed to premium and corporate demand to outperform other airlines that do not offer as many options and upgrades.
Price Action: According to Benzinga Pro, Delta Air Lines shares are down 0.06% at $64.71 at the time of publication Wednesday.