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Delta Air Lines appoints Dentsu to Japan account

by Anita Davis    9-Nov-09, 12:45

TOKYO - Delta Air Lines has reportedly inked a deal with Dentsu to lobby Japanese politicians on its behalf in an effort to lure Japan Airlines (JAL) into its SkyTeam network - a development that comes after Fleishman-Hillard severed its ties with the airline due to conflicting accounts.

According to sources close the agency, Fleishman ended its relationship with Delta because it represents British Airways within the Oneworld network, a direct adversary of Delta’s SkyTeam.

JAL is currently a member of Oneworld with American Airlines, British Airways, Cathay Pacific, Finnair, Iberia Airlines, LAN Airlines, Malev Hungarian Airlines, Qantas and Royal Jordanian.

Meanwhile, members of Delta’s SkyTeam include Aeroflot, AeroMexico, Air France, Alitalia, China Southern, CSA Czech Airlines, KLM Royal Dutch Airlines and Korean Air.

According to an agency source close to the situation, JAL has considered “defecting” from the Oneworld network as part of a restructure led by the Government in an effort to keep the struggling airline “from going bust”. Yet, the agency’s ties to client British Airways – which is also a member of the Oneworld group – prevented Fleishman from doing work “that would weaken the group in any way”.

“JAL is linked into the Oneworld network, which is one of three major airline groups in the world, with Star Alliance and Delta’s SkyTeam. Because Fleishman works with British Airways in Oneworld, I imagine Fleishman was told to drop this petition project like a hot potato because British Airways – which is especially aligned with American Airlines, which heads up the Oneworld group – is so engrained in Oneworld,” the source said.

JAL is viewed as a valuable member of an airline network because of its frequent flights into Japan and China, which is becoming Asia-Pacific’s most trafficked air market.

News of Fleishman’s appointment by Delta came late last month, when domestic and global news sources reported the public relations agency would work with the airline to lobby Government officials.

The event – which was first reported by Bloomberg – comes as JAL recently announced a loss of more than one billion dollars in the last three months and is seeking its fourth state bailout since 2001.

Sources within Fleishman Hillard could not comment on the event further other than “Delta is not currently a client”.

Sources at Dentsu said they do not comment on client accounts.

To read more about JAL’s recent financial woes, refer to Media’s Brand Health Check analysis in its most recent print edition.
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