In a previous life, I did revenue management and pricing for airlines(rather successfully, by all accounts, given that Air New Zealand once offered me a senior role in their RM organisation).
I thought I was seeing things when I saw this fare display on airnz.com a month or so back
They’re actually offering their PREMIUM economy product CHEAPER than their STANDARD product?
There’s one clear rule in this scenario: don’t EVER do it.
You can ask people at check-in if they’d like to upgrade for $200/$100 or you can select from loyalty program profiles and upgrade for free.
But don’t EVER tell customers that your premium product is worth less than your standard product.