In-flight Catering as a Marketing Strategy
By
Victoria Gerhardt
INTRODUCTION
Airport in-flight catering is a very unique area of food service. Both the purpose and the
organization differ greatly from traditional cafeteria or restaurant establishments. In-flight
catering services began in the 1920s when commercial air travel became a more popular mode of
travel(1). Originally, passengers were only served simple sandwiches and tea as the turbulence of
the low altitude flights allowed limited equipment on the aircraft(1). As flight equipment became
more advanced to accommodate longer distances at higher altitudes, it became increasingly easy
and even necessary to adapt and serve higher quality food as well. The airline industry was
negatively impacted after the terrorist attacks in 2001, leading to a major reduction in meals
served on board as meal service became more of a superfluous expense and was a good place to
implement reductions(2). The numbers of meals served on the flights were dramatically reduced,
while trying to maintain the quality of the food that was served(2). Airline catering is a vital part
of the travel experience and is well incorporated into the airline business in spite of necessary
reductions made in recent years. Marketing is an important aspect of food service systems and is
used extensively in the airline industry as well. It is the primary method used to encourage
customers to be aware of a product and its benefit. In-flight catering services have been an
effective marketing tool in recent years and airlines continue to use this service to provide an
experience worth investing in by distinguishing class and luxury in air travel, keeping up with
the current trends including fresh food, new innovations and convenience, and reducing waste
while remaining in compliance with ecologically friendly expectations of modern society.
1
EVOLUTION OF CATERING AS A MARKETING STRATEGY
In-flight Catering as a Luxury for All Passengers
Continued reductions in in-flight catering and the cost associated with the service
have definitely transformed in-flight meals into a status symbol. After the major reductions in the
airline industry after 2001, meals were primarily reserved for the more elite business and first
classes who were willing to pay more for the service, as opposed to the economy class(2). Many
airlines returned to limited services, offering buy on board options instead of a catered meal,
which had problems of their own including trouble with forecasting and excess waste(3). More
recently, airlines have attempted to maintain the quality and status of the in-flight service for
higher paying customers and frequent fliers while still increasing their revenue by offering
quality food services for all passengers.
The introduction of online options for purchasing as well as the availability of cheaper
flights has changed the dynamic of air travel and the market for elite, high-paying flyers(4). It is
harder than before to identify the segment of the market purchasing particular tickets, but
marketing researchers suggest that price, service (such as catering options), and convenience are
still important considerations in choosing a particular airline(4). Passengers flying in the more
expensive seats can range anywhere from the business traveller and frequent flyer to the
passenger simply looking for a better quality flight during a trip and willing to pay for the
difference(4). Despite the changing dynamic of the market for both business and economy class
customers, those paying for the experience expect the best and airlines attempt to accommodate
this demand. In reference to the travel experience, catering managers argue that the onboard
services are now the face of the airline and tangible form of the brand as other services become
2
more automated(2). Passengers can now check in for their flight at home or at automated kiosks
throughout the airport, making the catering services one of their first interactions with the actual
employees and making it the primary representation of the brand. This can affect the decision
between different airlines or between other forms of travel.
In spite of the high-class associations that have been established for first and business
classes and premium food service, some airlines are attempting to extend this luxury to the
economy class as well in an attempt to increase their quality and customer base. Passengers
generally expect to pay less than the current price for meals on board, making the need for high
quality food that exceeds their expectations or less expensive options(5). To account for this, the
Dutch airline, KLM, has begun a pilot project offering a la carte service to economy passengers
for only fifteen Euros in an attempt to extend this premium service to economy passengers as
well(6). Airline revenue is expected to increase as more passengers are offered this superior
service. Food service is a very important aspect of air travel and a deciding factor in travel for
many.
Trends in Various Airlines
New innovation in products and services are necessary to ensure future growth and
airlines all over the world have made adjustments to in-flight catering to accommodate
increasing demand for variety and quality(4). Frequent fliers now enjoy more variety with many
more options on the menu as several airlines have introduced celebrity chefs to spice up the
menu and others claim a permanent gourmet chef to assist in creating more attractive and
appetizing menus(2). Continental Airlines now includes a number of exclusive award winning
chefs from fine restaurants in New York on their catering team and Delta Airlines has
3
incorporated gourmet food from Wolfgang Puck and catering from well-known restaurants(7,8).
The menus have been revamped to include a wide array of cocktails, drinks, and high-quality,
restaurant-style food, including locally grown ingredients as well(2). Many airlines now serve
local cuisine during the flight to create a better ambiance for the travelers. Virgin America tries
to emphasize its California roots by serving organic and local ingredients, including their wellknown wines, while Finnair serves its trademark crayfish during its crayfish season(9). Included
with some of these newer, fresher adjustments is the trend toward healthier options on board.
Customers are beginning to demand a wider selection of healthy options and even organic
choices while they fly. Airlines such as Continental have begun offering healthy snacks for
purchase and parting with their formerly included standard meal for economy class(6).
Innovations established in specific airlines are also a good way to increase brand
recognition and preference. Virgin America recently initiated an automated ordering system
available throughout the flight(6). Passengers can now simply swipe their card on the back of the
seat in front of them and order food and beverages or shop during their flight, a process which
has generated about twenty-one US dollars per passengers on the longer flights(6). These have
proven beneficial to both passengers and flight attendants, as they provide more space in the aisle
by eliminating cabin service throughout the whole plane and limiting delivery to those ordering
from their seats. Other airlines are looking to incorporate the Quodpod, a light-weight box for
carrying each meal, into their service(10). The Quodpod was created in an attempt to bring fun
and surprise to customers by adding variation from typical trays and also increasing space on the
airplane. These compact boxes can fit up to 42 per tray, further freeing up space in the aisle.
Customers are also offered the chance to buy their “picnic box” if they choose.
4
Ecologically-friendly Changes
The recent focus on environmentally friendly practices has also influenced the airline
industry. Airlines are now attempting to reduce waste and minimize detrimental effects on the
environment. In the airline industry, the number of passengers is difficult to forecast and this can
contribute to the waste it creates(11). Numbers can vary from scheduled bookings right up until
departure time. Complex evaluations attempt to adjust the meal load up until the end assessing
such values as the passenger load at previous intervals, the day of the week, the cascade effect of
passengers from previous flight cancellations or overselling, whether it is the first or last flight of
the night, the business-class passenger load at previous intervals, and the forecasted passenger
load(11). It is a complex process and can change at any time prior to take-off. Variations in
these forecasted numbers can create unhappy customers on one side and excess of materials
which turn into waste on the other. Experts suggest that each passenger creates about 1.3 pounds
of waste during a typical flight(12). Waste elimination is a complicated issue that airlines are
continually attempting to control.
In reality, eco-friendly modifications aren’t as much a trend as an awareness of the
changing world, and it is necessary to cut down on waste and otherwise hazardous impacts on
the environment and the airline business is no exception. To combat this excess waste, airlines
have incorporated new innovations in their services. Delta airlines has begun to use menus made
from recycled paper and written in biodegradable soy ink and passengers aboard Thai Air are
now informed of the CO2 release in the creation of their meal(12,13). The use of prepackaged
foods made of recyclable materials as opposed to dishes that must be washed in order to reuse
them have also been more beneficial towards money saving and environmentally friendly
5
practices(2). Other airlines are not far behind as government agencies begin to contemplate more
ecologically-friendly regulations(12).
CONCLUSION
In-flight catering systems have proven to be one of the main contributors and
differentiating factors in choosing particular airlines. This service is an important marketing tool
in this particular area of food service systems. Airline food has evolved into a status symbol and
luxury for frequent fliers and continues to adapt by using gourmet chefs as well as fresh and
local ingredients. Individual airlines try to gain recognition through innovative modifications and
novelties to attract customers. The new trend to be more environmentally friendly has also made
its mark on the airline industry as companies attempt to adjust by reducing waste and
environmental damage. Overall, the in-flight catering business has made great advancements
and continues to adjust to the customer’s enjoyment and satisfaction.
6
REFERENCES
(1)
O’Hara L, Strugnell C. Developments in in-flight catering. Nutr Food Sci. 1997;3:105106.
(2)
Cutting catering costs. Available at: http://www.iata.org/pressroom/airlinesinternational/february-2010/Pages/06.aspx. Accessed March 2, 2011.
(3)
King P. Airlines ground, retool onboard meal programs. 2005;39:13:4,67.
(4)
Teichert T, Shehu E, von Wartburg I. Customer segmentation revisited: The case of the
airline industry. Transport Res. 2008;42:227-242.
(5)
Espino R, Martin J, Roman C. Analyzing the effect of preference heterogeneity on
willingness to pay for improving service quality in an airline choice context. Transport
Res. 2008;44:593-606.
(6)
Skelton P. Silver service. Airline Catering Int. 2010;10:26-30.
(7)
Congress of Chefs and Sommeliers. Available at: http://www.continental.com/CMS/enUS/travel/Pages/CongressofChefsSommeliers.aspx. Accessed March 23, 2011.
(8)
Front of the house: Delta tests new menu. Food Management.2003;38:11:18.
(9)
Airlines go local and seasonal in their food offerings. Available at:
http://www.airlinetrends.com/2010/10/05/airlines-local-seasonal-catering/. Accessed
February 22, 2011.
(10)
Davidson K. Boxing clever. Airline Catering Int. 2010;10:42.
(11)
Goto J, Lewis M, Puterman, M. Coffee, tea, or…?: A Markov decision for airline meal
provisioning. Trasport Sci. 2004; 38: (1)107-118.
(12)
Parker S. Green dreams. Airline Catering Int. 2010; 10:14-18.
(13)
Thai Airways shows CO2 footprint of inflight meals on menu card. Available at:
http://www.airlinetrends.com/2010/02/24/thai-airways-catering-carbon-footprint/.
Accessed February 22, 2011.
7