For decades, the airplane was split into two tribes: those who could afford the luxury of business or first class, and everyone else. But there is another way.
Last week, Korean Air confirmed that it will be the latest big-name brand to join the premium economy club. What started in the early 1990s as a quirky differentiator at Taiwan’s EVA Air has gone hyper-mainstream.
Why? A premium economy seat can command between 1.5 and three times the yield of standard economy, but often takes up marginally more real estate and service cost. The result is a mid-tier cabin that’s quietly become a rockstar profit center at many airlines.
For its part, Korean Air will roll out the new cabin from September as part of a $215 million overhaul of its Boeing 777s. Offering an insight into its pricing strategy, the Seoul-based carrier told Skift that the uplift for its “Premium Class” fares will be around 110% of regular economy. Passengers can look f
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