Instead, prices come down, customers are given real choices on service and timetables, and every one is kept honest. Even the prospect of heavyweights like Virgin and Qantas coming here has been enough to spur Air New Zealand into cutting prices through its no-frills subsidiary Freedom Air. Imagine what will happen once the competition is up and running. The sky would appear to be the limit. Unfortunately, there is a cloud or two blocking unlimited glee.
History is against any newcomer being a success.
This goes right back to the days of Spanz taking on the might of NAC in the 1960s, and continues right through the recent demise of Ansett New Zealand and its last reincarnation as Qantas New Zealand. It is no easy task to sustain two airlines in a country of such a limited population, let alone three or more. Chances are there will be casualties, with nervousness down the track for customers fearing that they will be left holding worthless tickets. The saving grace this time is the weight of those involved. Virgin Blue is a formidable carrier, having been hugely successful in Britain, on the trans-Atlantic route, in Australia and many other countries around the world.