Once recognized as one of the world’s greatest retail executives, Greg Foran has now taken on what might be one of the toughest jobs in aviation—steering Air New Zealand through post-pandemic turbulence.
Foran, the former Walmart U.S. CEO credited with revitalizing the retailer’s struggling stores, has brought the same meticulous approach to the airline industry. From personally checking in thousands of passengers to tracking customer service metrics in real time, he remains deeply involved in operations. However, even his relentless work ethic has been tested by supply-chain bottlenecks, delayed aircraft deliveries, and financial struggles that have kept the airline’s stock down 70% from its pre-pandemic peak.
A Tougher Road Than Most
Unlike its global peers, Air New Zealand faces unique challenges due to its geography. With a population of just 5.2 million, the domestic market is limited, while international routes are predominantly long-haul, making fuel costs a significant burden. The carrier also faces stiff competition from Qantas, Jetstar, and Virgin Australia on its most popular overseas route to Australia.
“We really haven’t had the opportunity to thrive,” Foran admitted in an interview, citing economic slowdowns and supply chain disruptions that have left 16% of the airline’s fleet out of service. These issues, compounded by Boeing’s production delays, mean the company won’t receive its first of eight new 787 Dreamliners—initially ordered for 2022—until 2026.
Investor Confidence Fading
While Air New Zealand struggles, rivals like Qantas have seen their stocks surge, with Qantas shares climbing 68% this year. The Bloomberg World Airlines Index has risen 26% in 2024, with United Airlines leading the pack at a staggering 133% increase.
Investors have not been as forgiving toward Foran, with Air New Zealand’s stock stagnating at NZ$0.56, a fraction of its NZ$2 pre-COVID level. Analysts suggest that many of the airline’s difficulties are beyond his control, yet the market remains skeptical.
A Vision for the Future
Despite these challenges, Foran remains focused on the long game, confident that once supply chain disruptions ease and aircraft deliveries accelerate, Air New Zealand will regain momentum. He is also betting on bold innovations like Skynest, the airline’s upcoming in-flight bunk beds, designed to offer economy-class passengers a four-hour sleep experience on ultra-long-haul flights.
While Skynest has been positioned as a game changer, it is also a gamble. Each slot will cost between NZ$400 and NZ$600 on top of an economy ticket, raising questions about demand. If successful, it could set Air New Zealand apart from competitors; if not, it risks being an expensive misstep.
The Relentless Work Ethic
Foran’s dedication remains unwavering. While his NZ$4.2 million salary at Air New Zealand pales in comparison to the $20 million he once earned at Walmart, he continues to put in the same level of effort. His days often begin before 4 a.m. with workouts, followed by back-to-back meetings. He even spends weekends with engineers learning how to repair essential aircraft components.
Though he once dreamed of returning to New Zealand for a more relaxed life—fishing, boating, and enjoying chardonnay—Foran is still in the trenches, determined to guide the airline through turbulent skies. Whether his strategy will ultimately succeed remains to be seen, but one thing is certain: Air New Zealand’s future is riding on his leadership.
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