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In Wellington, Test captain Pat Cummins and coach Andrew McDonald lamented Australia's third innings lapses. In Christchurch, it happened again.

Australia stand guilty of ignoring their leaders' advice after a another third-innings lapse in Christchurch which threatens to end their summer on a low note.

Pat Cummins' side are in all sorts heading into day four of the second Test at Hagley Oval.

Set 279 for victory, Australia stumbled to stumps on Sunday at 4-77.

They will need a mighty rearguard action to avoid a second straight drawn series following their home capitulation to West Indies.

The day three scorecard made for sorry reading compared with just a day earlier, when the tourists established a 94-run first-innings buffer.

There were whispers on the banks of the picturesque ground on Saturday afternoon that unless New Zealand's bats found some ticker, the Test - and the series - could be done that night.

The Black Caps put paid to those ideas with a disciplined display with the bat.

Four of the top five - Tom Latham, Kane Williamson, Rachin Ravindra and Daryl Mitchell - made half-centuries as Australia let slip their advantage.

Again.

In the aftermath of the first Test in Wellington, Cummins and Andrew McDonald urged the side to improve their third innings efforts.

"There's been a few games over the last couple of years where we just had the opposition, right where we want them and probably just gave them half a look back into the game," Cummins said.

"Absolutely I think it's something we can get batter at.

"Particularly around that third innings where the game seems to speed up a little bit, (we need to be) ruthless."

McDonald was singing from the same songsheet, saying Australia had "underachieved with the bat, which has left games open".

"It's probably more particularly in the third innings of games," he said. "We've had some chances in the third innings to really shut out the opponent and we've left the door ajar at times."

In Wellington, a third-innings lapse didn't cost Australia.

At the Basin Reserve, they followed up their 383 with a meagre 164 - with Nathan Lyon top-scoring - to give the Black Caps a sniff.

Lyon took 6-65 to see off New Zealand's attempted chase.

In Christchurch, it could be a different story.

Australia let New Zealand off the hook as the hosts amassed 372 - easily their highest score of the series.

Only Cummins (4-62) and Lyon (3-49) were worthy of a pass mark, with Mitchell Starc uncharacteristically poor and Josh Hazlewood unable to follow up his first innnings heroics.

Australia's top order didn't fare any better, all dismissed cheaply with the score reading 4-34 before Travis Head and Mitch Marsh stabilised the innings.

Lyon said the mood among the Australians was dark late on day three.

"When it happens, it's not the greatest change room to be in," he said.

Of the third innings fade outs, Lyon described it as a learning experience.

"We're on a path and on a journey, on a dream to become one of Australia's great cricket teams ... I'm not saying that we are at the moment," he said.

"We've got a lot of work to do."