Revival of Macarena no dance of the desperate, says Pacific Blue boss

Mark Pitt. Photo / Supplied

Pacific Blue's new boss says the airline's travelling Macarena troupe is not a dance of the desperate in the cut-throat domestic and short-haul market.

While the airline's rivals have persistently talked of room for only two carriers around New Zealand, the Virgin offshoot is looking to grow.

Chief executive Mark Pitt says the airline is here for the long haul: "I can categorically say we're committed to the market."

The airline plans a range of new in-flight services next year and the long touted domestic route is still on.

Pacific Blue started flying internally two years ago - where it claims 11 per cent of the market - and added to flights to Australia, the Pacific Islands and now Bali, and carries about 2.5 million passengers a year.

It has revived the 90s dance action song, the Macarena, in an advertising campaign that Pitt admits is either loved or loathed. The "happy flying" ads, starring Pacific Blue pilots, crew and actors had exceeded expectations in encouraging brand recognition.

This has been extended to a group of actors doing the Macarena in the main centres.

"It's absolutely not a sign of desperation. It's about being a little bit edgy. We always knew it would be a love or hate campaign but it's probably exceeding our expectations," Pitt said.

Air New Zealand has stolen the marketing march with adverts and campaigns featuring body-painted staff going global, in the traditions of the larrikin persona of the Virgin group's founder, Sir Richard Branson.

Pitt insists Pacific Blue is getting back to its roots, not playing catch-up.

"We don't follow Air New Zealand in any respect - it's not consistent with the Virgin brand. We don't add value by following other airlines.

Pacific Blue was trying to redefine its position in the market. Jetstar firmly occupies the budget end of the market, Air New Zealand the corporate end, plus cut-price grabaseat fares. Pitt says it is trying to offer quality and price.

The airline's parent, Virgin Australia, began an ambitious Sydney-Los Angeles service earlier this year and V Australia is promoting cut-price connecting packages from New Zealand using Pacific Blue and Emirates across the Tasman.

Pitt says this is part of Virgin Australia's wider ambitions. "Ultimately it's going to improve the opportunities for Pacific Blue guests, because slowly we're connecting the world."

Pitt, 46, came from Air New Zealand subsidiary Mt Cook, where his last job was as chief executive, after starting his aviation career as an Air Force pilot. In between he had been a pilot or instructor with Qantas New Zealand and Ansett New Zealand.

His Air Force career spanned 12 years, flying Hercules on missions including Pacific cyclone relief and peacekeeping in the Middle East, rising to the rank of squadron leader in charge of recruitment.

It was in the Air Force he became acquainted with Air New Zealand chief executive Rob Fyfe, a fighter squadron flight commander responsible for engineering and logistics.

"I've got the utmost respect for Rob, he's got very strong leadership skills."

Pitt says it's a style he will employ for his staff of 600.

"You need to have a strong leadership style so that everyone in your company understands what is expected of them so we can all row the boat in the same direction."

Pacific Blue had been heading for profit last year, but was hit by soaring fuel prices and weakening demand. Pitt says its financial position had stabilised.

"The trends we've been seeing for the past 12 or 15 months have stopped. I'm not going to say the recovery has hit and we're away - we've got to be cautious for the next 12 months."

He is also coy on expansion plans although the airline will introduce premium economy to its transtasman flights and is looking at more routes within New Zealand.

MARK PITT

* Appointed Pacific Blue chief executive earlier this year after two years in same role at Mt Cook Airlines.

* Previous airline experience includes roles with Ansett New Zealand and Qantas New Zealand, and 12 years with the RNZAF as a pilot and as recruitment director.