14 Apr 2009

Air NZ doubles premium economy seating

7:06 am on 14 April 2009

Air New Zealand is hoping an expansion of its premium economy seats on its 777 planes will pay off in tougher times, as it doubles the number of seats available at the expense of economy class.

Air New Zealand will spend about $2 million refitting its eight planes to boost the more spacious premium economy seating from 18 to 36, despite a downturn in air travel.

Long haul general manager Ed Sims says it's proved popular with younger, high end foreign travellers, while also appealing to cost-conscious New Zealand business people travelling offshore.

He says "high end" economy seats give Air Zealand greater control over pricing than curent discounting at the lower end of economy fares. This, he says, is of greater financial concern that spending more on changing the seating.

Mr Sims says the price gap between economy and premium economy has risen to between 30% - 40%.

It's upgraded the food service to the equivalent of a business class service and broadened inflight entertainment options.