Published HBT 2 Sept 2015
Jetstar’s imminent arrival with cheaper airfares is a fantastic Christmas present. Air New Zealand are already dropping their prices in response, despite claiming for years we were not being overcharged. Some may remember Group GM Louise Struthers (HBT Feb 10 & 23) denying Air New Zealand fares were excessive.
Of course to retain Jetstar we must support them. Diehard Air New Zealand supporters should remember cheaper airfares have only arrived because of the new kid on the block, whilst those who suddenly find air travel is affordable, should remember last time they went by bus because the airfares were so high.
Lower fares will grow the market for both airlines and whilst the national carrier might earn a bit less, they recently announced a $330m record profit. Air New Zealand is a ruthless organisation that has buried many competitors including Origin Pacific and Trans Air. They have also unceremoniously dumped unwanted destinations such as Westport and Whakatane, and would do so to us if it suited them. We owe them nothing and need to understand their only loyalty is to themselves.
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