Air New Zealand charging New Zealanders up to twice as much than Australian-based travellers for the same flights
Passengers originating in New Zealand are revealed to be paying up to 100% more than Australian travellers for flights
to North and South America as the airline operates a monopoly on key routes
Sunday 18 March 2018
An investigation by MoneyHub into Air New Zealand’s consumer pricing practices has revealed a number of ways the airline
charges up to five times the price for the same flight and/or fare class depending on what country you book from. The
findings came about after MoneyHub published a report on a number of ways travellers can get the best value for money
from flying with the airline.
MoneyHub’s Senior Researcher Christopher Walsh said “Air New Zealand enjoys a monopoly for most of the year on direct flights from North America to Auckland, whereas it
competes with up to four other airlines flying Australia to North America, albeit with a connection in Auckland. Because
of these market conditions, travellers flying from Australia via Auckland on Air New Zealand will pay as little as 50%
of the airfare for the same flight if it was taken from New Zealand. We’ve seen this in all cabin classes, with the most
significant discounting being in Business Premier. Routes discounted the most included Los Angeles, Buenos Aires and San
Francisco”.
“MoneyHub researched for weeks as it prepared to present a robust set of tips for New Zealanders to use to save money
flying what is arguably regarded as the nation’s favourite airline. In doing this research we found a number of pricing
practices the airline uses to take advantage of specific market conditions. The ultimate effect is that New Zealanders,
especially business travellers, pay thousands more per ticket than their Australian counterparts to board the same
flight to and from New Zealand”.
“MoneyHub also found that domestic airfares booked through AirNewZealand.co.nz are five times cheaper than if purchased
from its overseas sites (UK/US/Singapore). We believe this is disadvantageous to inexperienced travellers who do not use
a price comparison website which would otherwise avoid these airfares”.
Beyond the pricing findings, the research contains about forty tips in general and covers everything from booking the
cheapest airfares, minimizing travel-related partner offer spending and maximizing the benefits of Air New Zealand
loyalty. MoneyHub believes the information would prove to be useful for any New Zealander planning travel for business
or leisure. The dedicated page would be updated on an ongoing basis.
Story link: Air New Zealand Tips