I think that AF-KL is unusual among the "big three" European groups in terms of C pricing. On BA, it is not unusual for C returns within Europe to cost around £200. On some LH group airlines (not so much LH, but LX, OS, and SN), I have frequently had C offered for the same or even less than Y on some routes. So I think that most of the C cabin on AF-KL is filled by connecting pax whilst LH and BA are a mixture of connecting long haul and short haul upsales.

I'm not sure if the AF-KL strategy makes sense or not, but it is certainly at odds with the two main competitors in terms of pricing. As for the food, both BA and LH can have very poor offering on some routes, but at least, it is good on others. AF and KL are pretty pathetic network-wide on short haul and should be ashamed of what they pass for a meal on longer flights - say above 2.5 hours - in particular. At the moment, I probably wouldn't even pay €20 or 30 extra on a leg to get that sort of mediocre food.