Why all the fuss about Air NZ food?

Air New Zealand is targeting its high-value customers with changes to its menu on international flights. For the second time in less than a year, the airline has launched a new menu with fanfare, “A Taste of Aotearoa”, for its Business Premier and Premium Economy customers.

The new food includes confit potato with onion creme fraiche whip and chives, ma¯ nuka-smoked rye sourdough, smoked kahawai rillette with celery, caper, parsley salsa and citrus, crayfish bisque with chive creme fraiche and sourdough croutons, slow-cooked wild Fiordland venison with pancetta, parmesan polenta and balsamic roasted red onions, seared NZ snapper with escabeche vegetables, smoked mussels, white beans and fresh dill. There’s also ambrosia icecream.

Tasty, for those up the front of the plane.

The airline says it also regularly refreshes its Economy offering on international flights but celebrates that with much less fuss.

It is in Premium cabins where airlines make their highest yields and that’s where Air New Zealand has to get its proposition absolutely righ. In airlines, planes and cabin fitouts are “hard product” and that’s where Air New Zealand is hamstrung by its outdated seats and lack of privacy.

Those problems are widely known in the airline industry and acknowledged by the airline itself. A Business Class seat from Auckland to New York and back is close to $18,000 booked a month out right now. Food, drink and service “soft product” are even more important on long-haul international routes where Air New Zealand faces competition.

And that has been especially fierce, a factor in the airline pausing its Chicago services. Hard-working Air New Zealand cabin crew, unfailingly hospitable, can only make up for the current cabin deficiencies to a point. That’s where the tasty additions and effort spent generating interest in new menus come in.

In the high-stakes Premium market, it’s not only good for the airline but also good for all passengers if the formula is bangon. In effect, high-yielding Business fares help allow airlines to discount prices in the Economy cabin. For Air New Zealand, better financial performance on long-haul routes could also help ease the price pain faced by domestic travellers in this country.

The airline is 52 per cent owned by taxpayers and has been upfront about pushing up prices on domestic routes to maintain profitability for the rest of the financial year. It maintains road transport options mean it’s unfair to describe it as having a domestic monopoly, but with more than 80 per cent of the market among airlines, stranglehold is a fair description.

It must be hoped that the airline gets the recipe right at the front of its long-haul planes. With good management, and a willingness to cater to all customers, that should help everyone.