The end of free meals?
Leave a CommentBritish Airways is the latest high-profile airline to start charging for meals. Not all passengers will have to pay, and the airline is touting it as an enhancement to the service offering on board BA short-haul flights, but the reality is that it’s another revenue mechanism and means for the airline to compete with low cost carriers.
Low cost carriers have developed their business model around ancillary fees. In the most basic of models, what you are buying is transportation from A to B, and everything else is Extra. Ryanair – known for its outlandish schemes – even charges passengers to check in. Of course it’s ridiculous that you buy a product for which you will have to pay a fee to be able to use the product, but somehow they get away with it. This article though, is focusing on catering.
There are some advantages to buy-on-board for passengers. Whereas in the past when there was a free meal, there was little choice; chicken or beef, anyone? Buy on board has introduced menus to passengers and items for sale, though they often depend on the length of the flight, can vary from a bag of chips, to a full hot meal. The airlines, of course, are hoping to make a little money on this not only through the sale of the meals, but also on savings that they can realize.
Fuel prices have gone up, and everything that gets loaded on to the aircraft means the plane gets heavier. When the plane gets heavier, it burns more fuel. Buy-on-board may not necessarily save on fuel if the entire menu has to be stocked for the aircraft, but many airlines are now offering the opportunity to pre-order. This way they know beforehand who wants what, and they can load accordingly.
These systems do take time, and cost money to implement. But with the proper management, they can be an excellent source of revenue for any airline and helps them keep fares competitive.
