While Air New Zealand's immediate attention will be focused on meeting the challenge of Pacific Blue on domestic routes, the airline has also been looking ahead for innovation in its long-haul services.
Introducing lie-flat beds in business class and establishing new premium economy sections have had striking results:
the demand for both has been strong and many customers previously lost to other carriers have returned.
However, the airline's decisions to acquire Boeing's 787-9 Dreamliners and, more recently, 777-300ERs to replace the 747 jumbos, have provided the opportunity to look at how the comfort of the great majority of passengers, who travel economy class, can be improved on long-haul routes.
Air New Zealand already has better than average arrangements. It is not generally recognised that the airline's seat pitch - the distance between the backs of seats on its aircraft - is greater than in those of most of its competitors.
None of the airlines operating to New Zealand match Air New Zealand's business class configuration, only three equal its seat pitch in economy class, and Air New Zealand is alone in having premium economy seats. A sample of US and European carriers also compares unfavourably, especially in economy class.
This month, Air New Zealand's CEO, Rob Fyfe, said the airline was working closely with IDEO, "one of the world's most innovative design organisations", on the interior design of the new aircraft on order. He said this would "really set us apart from the competition and give us a competitive advantage".
He added later that Air New Zealand was looking to find an economy seat that would allow people at the back of the plane to sleep comfortably. This led to some speculation about bunk or pod type accommodation, but both space and weight considerations would need to be taken into account. Whatever finally emerges, Fyfe says the airline's "goal is to redefine what long-haul travel can be".
* David Stone is an aviation commentator and consultant.
