In a move set to enhance travel options across the Pacific, Air New Zealand and United Airlines announced a joint venture revenue-sharing agreement. This agreement, revealed in March 2016, deepens the already robust partnership between these two Star Alliance members, promising mutual customers more convenient and varied travel choices between the U.S. mainland and New Zealand, as well as numerous destinations within their extensive route networks.
This strategic partnership was timed to coincide with United Airlines’ launch of its nonstop service between San Francisco (SFO) and Auckland (AKL), which commenced on July 1, 2016, pending government approvals. This collaboration signifies a significant step forward in the relationship between Air New Zealand and United, leveraging their combined strengths to offer passengers an improved travel experience.
Jim Compton, Vice Chairman and Chief Revenue Officer at United Airlines at the time of the announcement, emphasized the customer-centric approach of this joint venture. “This joint venture will enable us to collaborate more closely with Air New Zealand to refine our trans-Pacific schedules and present our customers in both the U.S. and New Zealand with more convenient flight selections,” Compton stated. He further acknowledged Air New Zealand’s industry leadership and expressed enthusiasm for the continued partnership, aiming for business growth that benefits their shared clientele.
Echoing this sentiment, Christopher Luxon, then Chief Executive Officer of Air New Zealand, highlighted the potential of the U.S. market and the value of strengthening ties with a strong domestic carrier like United. “Air New Zealand is thrilled to be collaborating even more closely with our long-standing partner to further cultivate the potential of the U.S. market,” Luxon commented. He pointed out New Zealand’s appeal to American leisure travelers and expressed anticipation for welcoming more visitors to experience New Zealand’s unique tourism offerings through this enhanced partnership.
More Travel Choices and Greater Convenience
Prior to this joint venture, Air New Zealand already operated direct flights from Auckland to five North American cities. These included daily services to San Francisco, twice-daily flights to Los Angeles, and five weekly flights to Houston. The introduction of United’s San Francisco-Auckland route complements Air New Zealand’s existing services, creating a synergy that provides travelers with greater flexibility in scheduling and routing across the combined networks of both airlines.
Initially, United’s San Francisco to Auckland service was launched with three weekly flights using the Boeing 787-8 Dreamliner aircraft. Demonstrating the commitment to this route and partnership, United upgraded the service to daily flights in November 2016, utilizing the larger Boeing 787-9 aircraft to accommodate increased demand.
A Long-Standing Alliance
The alliance between United and Air New Zealand dates back to 2001. For over fifteen years prior to this joint venture, the airlines had cultivated a relationship that already delivered substantial benefits to passengers through codesharing arrangements, reciprocal frequent flyer programs, and coordinated distribution efforts. Their codeshare agreement covered domestic routes within the U.S. and New Zealand, as well as additional routes spanning North America, Central America, Australia, the Pacific Islands, and even to London.
Enhanced Loyalty Program Benefits
As Star Alliance partners, United and Air New Zealand already offered reciprocal benefits for their loyalty programs, MileagePlus and Airpoints™. Members could earn and redeem miles or points on flights operated by either airline. With the deepening of their partnership through this joint venture, both carriers signaled their intention to explore further enhancements to these loyalty program benefits, aiming to provide even greater value to their frequent flyers. This commitment to improving loyalty program offerings underscores the long-term vision for the Air New Zealand and United Airlines partnership, focusing on delivering exceptional value and convenience to their customers.
About Air New Zealand
Air New Zealand is an internationally recognized, award-winning airline renowned for delivering uniquely Kiwi travel experiences to over 14 million passengers annually. Connecting customers to 22 domestic destinations and international hubs across Asia, Europe, Australia, North and South America, and the Pacific Islands, Air New Zealand operates an average of more than 3,600 flights every week.
About United Airlines
United Airlines, along with its regional partner United Express, operates a vast network of approximately 5,000 daily flights to 342 airports across six continents. In 2015 alone, United and United Express transported nearly 140 million customers across almost two million flights. Boasting the world’s most comprehensive route network, United maintains key U.S. mainland hubs in Chicago, Denver, Houston, Los Angeles, New York/Newark, San Francisco, and Washington, D.C. The airline operates a substantial fleet of over 700 mainline aircraft and anticipated the delivery of 20 new Boeing aircraft in the year of this announcement, including 737 NGs, 787s, and 777s. As a founding member of Star Alliance, United contributes to a global network serving 192 countries through 28 member airlines. With a significant global workforce, approximately 84,000 United employees are based across every U.S. state and in numerous countries worldwide. Further information can be found at united.com.