Skip to main content

In-Flight Food

It seems nobody cares if an airline serves free in-flight food anymore because we all know how good the food is. While airlines want to cut costs, quick service and casual dining restaurants in airport locations are pocketing more money from travelers. A recent survey reveals that 19% of leisure travelers and 21% business travelers bought a meal or snack on a plane in 2009. When a flight did not offer a free meal, only 6% travelers would purchase food on board, and 56% would buy it in an airport.

Airlines have a profit margin of 50-80% in alcohol sales. However, for every $10 sales of in-flight food, airline can only earn 5 to 10 cents. Regardless, airlines want to offer better-taste, in-flight food again (for a price of course). Healthy food/snacks are available in Air Canada and Alaska Airlines, and are tested by United Airlines in certain locations. American Airlines partners with Boston Market. Even JetBlue is planning to sell food in selected long-haul flights.

Customers benefit from the competitions as they have more options. Chain restaurants and foodservice companies may also be able to catch the opportunities and become airlines' healthy food providers. If not, maybe restaurants can also offer more to-go healthy food/snacks in airport locations? What do you think?

References:
The New York Times: http://tinyurl.com/linchikwok04152010
The picture was copied from: http://tinyurl.com/linchikwok04152010P

Comments

Popular posts from this blog

Social media engagement is immune to COVID-19 (by Steven Valenzuela)

In the unparalleled world of COVID-19, individuals are flooded with choices: whether it be what to eat or what church service to watch. While there are marketing strategies to get consumers to purchase products to immediately increase sales, it may be a more beneficial to engage with low spending consumers in the short term, so that businesses can keep them for the long term.   Social media game strong   During this time, it is crucial to keep social media posts constant and consistently more than ever before. A recent podcast by eMarketer reports that social media outlets such as Facebook have seen a significant rise in usage. The reality is that individuals have more time on their hands, which is why it is important for businesses to utilize their free time to create content for their social media channels. In a recent interview with the hospitality net, Leland Pillsbury stated  “Customers are going to come back...And if you allow your competitors to reengage with the guests before

The 7 Ps marketing mix of home-sharing services: Insights from over one million Airbnb reviews

The 7 Ps marketing mix framework is a widely used managerial tool that helps businesses identify the principal components of a service product. The 7 P elements include Product, Promotion, Price, Place, Participant, Physical Evidence, and Process.   The 7 Ps framework can assist marketers in making decisions regarding segmentation, positioning, and differentiation. Even for the same type of products with different brands, marketers can still drive higher sales through the improvement of a product’s marketing mix.     The empirical study about 7 Ps of home-sharing services   Building upon the 7 Ps marketing mix framework, I led a research team in a big-data, supervised machine learning analysis of over 1.14 million English reviews of 37,092 Airbnb listings in San Francisco (SFO) and New York City (NYC). We aimed to discover new meaningful business intelligence through the analysis of an immense quantity of online review information that is created by consumers in the cyber marketplace

The repositioning of Ten Ren’s Tea Time (by Eddie Long)

Ten Ren’s Tea was founded in 1953 and now operates one hundred retail stores globally, providing the finest teas to their loyal customers worldwide. Ten Ren’s combines modern technology and traditional methods when processing tea leaves to provide customers with the highest quality tea that aids in improving the quality of life and health for their customers. Ten Ren’s Tea Time, the restaurant, has a total of nine locations in the Southern California area. New Image: Ten Ren’s Tea Time recently changed its logo, as shown below. We can say that the marketing team wanted a change of the company’s logo to regain customer’s attention and regain their sales.  Just like they changed their logo, they also updated the website to fit the new theme. Their website appears more modernized than their previous design s, which can attract potential customers and returning customers. The company wanted to show its target market that they know what customers want and can accommodate any customer’s