As yet another airline announces it will begin phasing out their First Class product, is this the beginning of the end for First Class? Oman Air, LATAM, Malaysia Airlines, and Air New Zealand have all removed First Class products, preferring to make space for a more premium Business Class product. While some have removed the cabin altogether, other airlines only offer First Class on selected routes that service the world’s financial capitals or, like Qantas First Class, only offer it on select aircraft, like their Airbus A380.
Why Is This Happening?
There could be multiple reasons behind why an airline might decide to remove its First Class cabin. From profitability, changing customer preferences or not being able to keep up with the ever changing product demand. One of the biggest reasons has been the reduced demand for First Class. Oman Air CEO has said that by removing First Class, they can provide a more competitive price point on flights.