Air New Zealand will stop selling Seat+Bag fares and add more inclusions to its seat-only tickets on Trans-Tasman and Pacific Island routes.

The Kiwi flag carrier will retain the foundations of its “Seats to Suit” model on international short-haul services, where customers have a choice of fare categories with different inclusions. But following this change, the cheapest fares will soon have more inclusions. This could help Air New Zealand to differentiate itself more from true low-cost carriers like Jetstar.

Air New Zealand is also adding a new flexible fare option in Economy, Premium Economy and Business Class.

The new fare products will be available for sale from 11 June 2024. They will be available on flights between Australia, New Zealand and the Pacific Islands, excluding Perth, Papeete and Honolulu.

Changes to Air New Zealand Economy airfare inclusions

Currently, Air New Zealand offers four types of Economy Class products on trans-Tasman and Pacific Island routes: Seat, Seat+Bag, The Works and Works Deluxe. As previously reported, Air New Zealand will discontinue its Works Deluxe product next week.

These are the equivalent fare options on the Gold Coast-Auckland route from June:

Air New Zealand’s “The Works” fares include a checked bag, in-flight entertainment including movies, standard seat selection, and a meal and drinks on board the flight. This is not changing.

But Air New Zealand will soon stop selling “Seat+Bag” as a separate airfare category. Customers who want to check a bag but don’t need a meal on board can still purchase a Seat fare and add on a checked bag during the booking process for an extra $30.

From June, Air New Zealand will, for the first time, provide a complimentary snack (but not a full meal), as well as coffee, tea, water and juice to all passengers with a Seat booking.

Seat passengers will also gain full access to the in-flight entertainment content. Previously, Air New Zealand provided everyone with complimentary access to TV shows but required Seat and Seat+Bag customers to pay extra for movies.

“We want every customer to have an exceptional experience onboard. Part of our promise is to provide manaaki to all who fly with us so we’re excited that everyone onboard will now be treated to full in-flight entertainment. Seat-only customers will now also be offered one of our incredible new snack options too,” Air New Zealand General Manager Short Haul Jeremy O’Brien said.

These new Economy Class fare products somewhat resemble those offered by Fiji Airways.

No more food for sale on board

As part of this change, Air New Zealand will stop selling food on board its international short-haul flights. Customers with a seat-only fare will only receive the complimentary snack and not have the option to purchase additional food.

Air New Zealand will still offer additional drinks for sale to passengers with a “Seat” ticket. The airline will continue to accept credit cards and Airpoints for on-board payments, but will stop selling vouchers at the airport.

New flexible airfare options

From 11 June, Air New Zealand will also offer new “flexi” fares in all classes of travel on international short-haul routes.

Customers with a flexi ticket will be able to change their flight without paying a fee. They will only need to pay any fare difference, if applicable. Flexi fares also come with the flexibility to cancel for a full refund.

Flexi fares will be available for a fixed surcharge amount over an Economy Works, Premium Economy or Business airfare. On trans-Tasman routes, the additional charge will be:

• $60 to upgrade from theworks to worksflexi in Economy Class
• $80 to upgrade from premiumeconomy to “premiumflexi“
• $120 to upgrade from businesspremier to businessflexi

“Our customers have told us affordable flexibility is important, especially for many of our frequent fliers, so we’re introducing a new fully flexible and refundable fare option in each cabin,” O’Brien said.

“The new Seats to Suit updates are based on customer feedback and changes our passengers were looking for. We’re excited to make these a reality for those jumping onboard for short-haul international travel and can’t wait to see them introduced in June.”

Air New Zealand’s harsh refund policy

Currently, to add flexibility to an Air New Zealand flight, you’d need to pay a hefty premium for a flexible fare. On an Economy Class flight from Sydney to Auckland that we checked, for example, the additional payment required was over $300.

Air New Zealand has quite a strict policy of never refunding customers who haven’t added flexibility to their ticket. That’s fair enough in most instances. However, it can even apply if Air New Zealand cancels your flight.

That’s right, Air New Zealand can cancel your flight and doesn’t legally have to give your money back. Instead, it will offer a new flight or a credit.

The airline came under a lot of criticism for this policy during the COVID-19 pandemic. This policy is still in place – at least you’ll soon have the option to purchase a flexible ticket for a more reasonable surcharge.

Matt Graham

The editor of Australian Frequent Flyer, Matt's passion for travel has taken him to over 90 countries… with the help of frequent flyer points, of course!
Matt's favourite destinations (so far) are Germany, Brazil & Kazakhstan. His interests include aviation, economics & foreign languages, and he has a soft spot for good food and red wine.

You can connect with Matt by posting on the Australian Frequent Flyer community forum and tagging @AFF Editor.