Could Air New Zealand’s new services to the US and South America entice Aussies to ditch Qantas’ convenient direct access to both regions?
According to Air New Zealand’s Chairman, Tony Carter, it’s already happening, with the carrier noting ‘big demand’ from Australians on new and old routes.
Despite only having launched to Houston and Buenos Aires late last year, the number of Australians booking on these flights contributed to Air New Zealand’s 132 percent increase in earnings before tax during the first six months of the 2015/16 financial year.
In the company’s latest financial report, Carter said traffic from the Aussie market to the two regions has added “strength” to the carrier’s operations, so much so, that the airline will be “building its presence” in Australia in the coming months.
“New Zealand continues to be not only a destination that is in big demand for Australians but it is also a gateway to North America, South America and the Pacific Islands.”
Tony Carter, Air New Zealand Chairman
“In recognition of this opportunity, we will continue to build our presence in Australia.”
Perhaps that ‘Men in Black’ safety video is partially responsible for capturing more Australians, especially on the new Houston route.
The financial report found the carrier welcomed a 154 percent spike in net profit after taxation for the six months to December 2015. Passenger revenue jumped 16 percent to $2.3 billion and group capacity was up 16 percent on the same period last year to 84.4 percent load factor.
In addition to more Aussie passengers to the US and South America, Carter also attributed growth to the airline’s 16 percent capacity increase across the network and the dedication of its employees.
“It is the passion and professionalism that is demonstrated across the airline that makes the Air New Zealand product and travel experience unique and memorable for our customers, and gives us a sustainable advantage against the competition,” he added.
Over the next six months, Carter said the carrier will continue to focus on providing more frequency for guests, additional routes and competitive prices.
There will also be increased attention on the customer experience such as the recent introduction of 3D printing, which allows the carrier to manufacture its own fold down cocktail trays in its Business Premier seat.
Of course, lounge upgrades are also on the way plus more digital innovations.
Meanwhile, Air New Zealand’s competitor across the ditch, Qantas, reported its best first-half of year on record with $921 million in underlying profit before tax during first half of the 2015/16 financial year.
