Summary of Key Points
During the pandemic, airlines simplified their in-flight meals to cut costs, which led to low passenger satisfaction. Now, airlines are focusing more on improving their food services, investing significantly in new initiatives such as specialty dishes, seasonal menus, high-end collaborations, and paid options. However, food is not the primary factor that influences passengers' decision to book a flight; rather, it plays a crucial role in shaping their overall experience and loyalty. Nevertheless, improving food quality alone may not significantly boost airline profits. The real goal is to differentiate from competitors and prevent customers from choosing other airlines due to poor meal offerings.
1. Why Have Airlines Shifted from Simplifying Meals to Improving Them? — A Major Change in Business Strategy
During the pandemic, airlines faced tough times with reduced flight operations and decreased revenue. They had to cut costs, which often meant simplifying meals to the point of making them unappealing to passengers. Now that flight schedules have resumed, airlines want to retain customers and increase loyalty by turning meal services into a competitive advantage. Additionally, the focus on cost reduction has shifted to internal efficiencies (such as fuel savings, route optimization, and better negotiations with suppliers). After all, while the cost of meals is not high, a poor dining experience could deter passengers from flying with the same airline in the future.
2. What New Approaches Are Airlines Taking to Improve Meals? — From Just Being Edible to Being Delicious and Unique
Airlines are putting a lot of effort into making their meals more appealing:
- Regional Specialties: Airlines like China Air and South China Air offer dishes from their hometown cities, updating the menu monthly or quarterly to prevent passengers from getting bored.
- Seasonal Themes: East China Air adjusts its menu according to the traditional Chinese lunar calendar (e.g., serving green rice dumplings during Qingming Festival or tremella soup at the beginning of autumn).
- High-End Collaborations: Airlines like Hainan Air partner with international hotel chains and Michelin-rated restaurants to provide customized menus for business class passengers.
- Luxury Additions: Luxurious amenities like Häagen-Dazs ice cream, champagne, and fruit wines, previously available only on international flights, are now also offered by domestic airlines.
- Paid Options: Airlines have introduced paid meal options ranging from light snacks to custom meals costing up to 200 yuan. These options are not meant to replace free meals but offer passengers more choices.
3. Have Airline Spending on Meals Really Increased? — More Money Spent in Three Years, with Rising Costs per Passenger
The data speaks for itself:
- The three major airlines (China Air, East China Air, and South China Air) spent approximately 8.6 billion yuan on meals in 2023, rising to 12.8 billion yuan in 2024 and over 14 billion yuan in 2025, an increase of more than 60%.
- Each airline's spending increased by 8%-10% in 2025.
- The cost per passenger has gone up from 18-26 yuan to 28-31 yuan, indicating a significant investment in meal services.
4. What’s the Impact of Improved Meals on Passengers and Airlines?
- Passenger Perspective: When booking a flight, price (34%) and baggage allowance (16%) are the main considerations, while meals account for only 6%. However, the quality of meals can significantly affect whether passengers will choose the same airline again. For example, when airlines stopped serving drinks during the pandemic, passenger satisfaction in super economy class dropped by 38 points. Passengers are willing to pay an extra $27 (about 190 yuan) for better meals, especially in premium classes, as food is one of the most memorable aspects of their flight experience.
- Airlines’ Perspective: Airlines don’t rely on meal sales for profits; instead, they use high-quality meals to maintain their brand image and premium product offerings. Business class passengers are willing to pay more for a better experience.
5. Can Improved Meals Lead to Higher Profits? — Not the Main Driver, but It Helps Avoid Losing Customers
Although improving meals incurs costs, it’s unlikely to significantly boost airline profits:
- Low Cost Contribution: Meals account for only about 3% of total expenses, so even small improvements won’t have a major impact on overall profitability.
- Profit Drivers: Success in improving meals is often linked to other factors such as a strong route network, a diverse customer base, and the ability to charge higher fares. Airlines still rely on these core aspects for profitability.
- Differentiation: With similar aircraft and flight schedules, airlines need to differentiate themselves through details like meal offerings. Paid meal options turn meals from a cost factor into a revenue-generating product.
In summary, airlines are investing in improving their meal services to ensure that poor food quality doesn’t deter customers from choosing them in the future. In today’s competitive market, focusing on these details can help retain passengers and enhance overall customer satisfaction.