SQ to offer all-business-class seats on Los Angeles, New York flights

[Naim 6]

This is innovative, I must say.

 

SIA to offer all-business-class seats on Los Angeles, New York flights

Posted: 04 March 2008 1738 hrs

 

SINGAPORE - Singapore Airlines (SIA) will offer an all-business class seating on its non-stop flights to Los Angeles and New York starting in mid-May, the carrier said Tuesday.

 

The decision to remove economy seats and offer only business class is aimed at catering to strong demand from its premium travellers, said SIA, one of the world's most profitable carriers.

 

Under the new configuration, SIA will replace the existing two-class, 181-seat arrangement on its five Airbus A340-500 long range planes with 100 business class seats for the direct flights between Singapore and the two US cities.

 

"The peak demand for the non-stop flights is from our business class customers, and this change will expand business class capacity from 64 to 100 seats on each flight," said Huang Cheng Eng, executive vice-president for marketing and regions.

 

SIA said the business class seats, each measuring 30 inches (76 centimetres) wide, can be converted into a fully flat bed.

 

The business class seats are the same design as those fitted on the Airbus A380, the world's biggest passenger plane. SIA is the first airline worldwide to fly the A380.

 

SIA charges S$11,000, including taxes, for a two-way business class ticket to Los Angeles and S$12,100 to New York, according to travel agents.

 

A return economy ticket for Los Angeles is priced at S$2,710 and for New York at S$2,920, they added. - AFP/ir

 

http://www.channelnewsasia.com/stories/sin.../332821/1/.html

[Rozhan 0]

SQ offers real top class products which customers are willing to pay. Good for them.

 

 

[Izanee 0]

impressive. that's the way to go. instead of coming up with crappy terminology like leisure focused business interested or whatever; go and prove that you're the best.

[Irni Mastura 0]

A promising move. To rationalize, people flying long international flights would usually opt for comfort and quality of service first, before they consider the cost. But I guess frequent flyers who loves SQ for its renowned service but are on limited budget scope might find this news a bit irksome if it means that they have to either stretch their budget.. or fly another airlines.

[BC Tam 2]

..... frequent flyers who loves SQ for its renowned service but are on limited budget scope might find this news a bit irksome if it means that they have to either stretch their budget.. or fly another airlines.

At those price differentials, one does not stretch the budget anymore. More like revamping one's priorities in life if on "limited budget scope"

Never mind, there are still the non-nonstop services to choose from

[Nik H. 3]

Huge SIGH.

 

Since 2000 I have proposed for Mh to let me have two B737s configured all biz class to run HKG, SIN, BKK and JKT but was told the idea was far fetched. Told them to give me two years then pat my back if successful, or kick my butt if not but no one took the idea seriously.

 

Also told them to let me have 2 B737s configured all EY to run low cost to BKI, TWU, MYY & KCH, but no joy too.

 

Good thing they let me have this little patch of Charter sandbox to play in.

 

Back to topic, this Biz Class move by SQ.....does this mean they are building on the experience of the Super EY flights to LAX? How successful was that ?

[Ruiz Razy 1]

Huge SIGH.

 

Since 2000 I have proposed for Mh to let me have two B737s configured all biz class to run HKG, SIN, BKK and JKT but was told the idea was far fetched. Told them to give me two years then pat my back if successful, or kick my butt if not but no one took the idea seriously.

 

Also told them to let me have 2 B737s configured all EY to run low cost to BKI, TWU, MYY & KCH, but no joy too.

 

Good thing they let me have this little patch of Charter sandbox to play in.

 

Back to topic, this Biz Class move by SQ.....does this mean they are building on the experience of the Super EY flights to LAX? How successful was that ?

 

That's a brilliant idea!

[Izanee 0]

Capt Nik... we need more people like you on the MAS board. I have no confidence in the rest of the guys.

 

 

[Min 6]

MAS think they know what they doing... they dont want to listen ppl's idea, so they dont get their name on whos idea to improve MAS.

only if someone did it first, then MAS will copy it . who agree...

[Mushrif A 3]

Huge SIGH.

 

Since 2000 I have proposed for Mh to let me have two B737s configured all biz class to run HKG, SIN, BKK and JKT but was told the idea was far fetched. Told them to give me two years then pat my back if successful, or kick my butt if not but no one took the idea seriously.

 

Also told them to let me have 2 B737s configured all EY to run low cost to BKI, TWU, MYY & KCH, but no joy too.

 

Good thing they let me have this little patch of Charter sandbox to play in.

 

Back to topic, this Biz Class move by SQ.....does this mean they are building on the experience of the Super EY flights to LAX? How successful was that ?

 

This means that the super EY or premium Y is not making enough money. People are not willing to pay much more (over normal Y) for the generous amount of real estate. Premium Y on the A345s have better pitch than MH's biz seats on the 734, and probably almost just as wide. The demand for biz seats on the A345 tend to be more, and the marginal increase in airfare over normal J, does not seem to bother these folks, who value the non-stop service.

 

I've done the EWR runs, and it was so long that having slept, ate, watched whatever there was worth watching and read whatever there was worth reading - I still had some 5 hours to go, to just twiddle thumbs.

 

As for your concept of having a biz only 737, how do the economics work versus say, the current A330 runs, which offer some 40+ seats in biz? How many biz seats would you fit onboard the 734 (or the 735 then)? Legacy airlines which have such services tend to offer these to connect to or from a secondary city where there are folks who would pay for premium tickets but there aren't enough cheaper or leisure bums to warm the Y seats. E.g. LH's Privatair-outsourced DUS/MUC services to ORD/EWR or AF's Dedicate (sp?) services. I've done a few of the LH/Privatair transatlantics and I do appreciate the smaller number of people at the gate and onboard.

 

I would love to fly on the biz only MH 737 services, which would also attract day-trippers to CGK, BKK - meaning the couple of planes will be busy in the mornings and evenings - but what would they do in between, during the off-peak hours? Also, as neither the city of origin (KUL) nor destinations (CGK, BKK, SIN, HKG) are the so-called secondary cities, wouldn't mainline aircraft be able to accomplish the same thing? (Unless the Y cabin are practically empty during the peak hours, which I doubt). In theory, if say there's a large movement of oil execs from TGG to MYY, then such a flight between the two cities may be justified using the biz-only aircraft.

 

 

 

 

 

 

 

 

 

[Naim 6]

MAS think they know what they doing... they dont want to listen ppl's idea, so they dont get their name on whos idea to improve MAS.

only if someone did it first, then MAS will copy it . who agree...

 

I think they seriously lack in-house strategic thinkers. Sure, want to do BTP or whatever? Just hire a bunch of expensive consultants to do the job. And as we say in the consulting business, they are just like birds, fly in, then out, and leave the owner to clean up the sh*t left behind.

[Min 6]

they should join this forum and see sort of idea we come up with... then say thanks to us

[BC Tam 2]

they should join this forum and see sort of idea we come up with... then say thanks to us

Before you get too hopeful, please refer here, post #152, first line, starting from around the eighth word onwards .....

(sorry, contributor of said post does not like cut and paste feature )

[Ryan Soh 3]

A promising move. To rationalize, people flying long international flights would usually opt for comfort and quality of service first, before they consider the cost. But I guess frequent flyers who loves SQ for its renowned service but are on limited budget scope might find this news a bit irksome if it means that they have to either stretch their budget.. or fly another airlines.

 

Their one-stop flights via ICN, TPE and NRT are doing very well. The A345 on the other hand, the YCL+ is finding it very hard to perform because of the premium that has to be charged to maintain a margin. Without such, sometimes it might even lead to a loss.

 

JCL on the other hand, it more often that not fully booked. There is enough demand for premium services from US to Singapore / Asia. The nonstop flight is a very attractive option for business travellers and so is the frequency (daily). Thus, so capitalise on that demand, it is a good thing to go fully-JCL for these two US nonstop.

 

I am not surprised that their daily run to Jakarta/CGK on the 100% JCL A345 will also turn out well due to the very high yields that come from there. SQ is presently (if not already) one of the largest international carriers out of there and I believed have surpassed Garuda in the amount of international passengers that fly out of CGK. Additionally, a HUGE amount of Krisflyers and PPS reside in... you guessed it, JAKARTA.

 

So we have not seen the end of the A345 just as yet. But I would miss the YCL+ though because now... sob sob.. no more.

[Nik H. 3]

This means that the super EY or premium Y is not making enough money. People are not willing to pay much more (over normal Y) for the generous amount of real estate. Premium Y on the A345s have better pitch than MH's biz seats on the 734, and probably almost just as wide. The demand for biz seats on the A345 tend to be more, and the marginal increase in airfare over normal J, does not seem to bother these folks, who value the non-stop service.

 

I've done the EWR runs, and it was so long that having slept, ate, watched whatever there was worth watching and read whatever there was worth reading - I still had some 5 hours to go, to just twiddle thumbs.

 

As for your concept of having a biz only 737, how do the economics work versus say, the current A330 runs, which offer some 40+ seats in biz? How many biz seats would you fit onboard the 734 (or the 735 then)? Legacy airlines which have such services tend to offer these to connect to or from a secondary city where there are folks who would pay for premium tickets but there aren't enough cheaper or leisure bums to warm the Y seats. E.g. LH's Privatair-outsourced DUS/MUC services to ORD/EWR or AF's Dedicate (sp?) services. I've done a few of the LH/Privatair transatlantics and I do appreciate the smaller number of people at the gate and onboard.

 

I would love to fly on the biz only MH 737 services, which would also attract day-trippers to CGK, BKK - meaning the couple of planes will be busy in the mornings and evenings - but what would they do in between, during the off-peak hours? Also, as neither the city of origin (KUL) nor destinations (CGK, BKK, SIN, HKG) are the so-called secondary cities, wouldn't mainline aircraft be able to accomplish the same thing? (Unless the Y cabin are practically empty during the peak hours, which I doubt). In theory, if say there's a large movement of oil execs from TGG to MYY, then such a flight between the two cities may be justified using the biz-only aircraft.

 

A330 capital cost against amortized B737-400 will allow low utilization economics to work. What's an A330 cost ? USD 130 - 160 million?. A B737-400 10 years vintage; USD 10-12 million and USD 1.5 on refurbishment? Remember, utilization is a means, not an end. 'Island' financial reporting so actual unit P&L can be looked into and monitored on a daily basis. Small agile dedicated unit just like what I do with Charters was the vehicle ideal to run this. The very reason why Privatair and LH is workable.

 

Then there is also flexibility when run by a small independent organisation. Aircraft can be mobilised onto other ops, similar with what AK is doing with their single widebody.

 

I know it would have worked.

Edited March 5, 2008 by Nik H.

[Kenneth T 0]

MH once said that business class passengers are not lucrative and tried to concentrete on the leisure sector. Well, SQ prooves it the other way round. Let's just see who is right as time goes...

[jani 0]

Very good point there. I honestly think SQ will scrap this within a few years or so.

 

I know SQ are doing well, but can they actually sell 100 Business Class seats for an 18+ hour journey everyday?

 

I myself would personally prefer a one stop journey, then can flex a bit at the airport instead of being stuck on a plane for that long.

 

But I guess Nik H.'s idea of having fully Business Class seats to Hong Kong and Singapore would have been a super idea.

 

Who knows sir, maybe by the end of the year we'll see you up there? Haha.

[Izanee 0]

Correct ... MAS has turned its nose against the premium passengers who helped put SQ and EK where it is now.

 

Lets see how well that pans out.

[LeeCH 0]

I am not surprised that their daily run to Jakarta/CGK on the 100% JCL A345 will also turn out well due to the very high yields that come from there. SQ is presently (if not already) one of the largest international carriers out of there and I believed have surpassed Garuda in the amount of international passengers that fly out of CGK. Additionally, a HUGE amount of Krisflyers and PPS reside in... you guessed it, JAKARTA.

 

A345 twice daily run to CGK has been pulled out effectively already. Service is reverted back to using a B777 in the morning and a B744 for the evening service.

[Sandeep G 1]

A345 twice daily run to CGK has been pulled out effectively already. Service is reverted back to using a B777 in the morning and a B744 for the evening service.

 

G'day LeeCH!

How's life??? When you coming down to PER/JDK??

 

I heard that this change for the A345 is the beginning of the end for the fleet too... eventually -200LRs supposed to take over the show.. you heard any of these rumours from level 4C?? I know they've been around for ages but the echoes are getting louder nowadays.

[KC Sim 2]

MH once said that business class passengers are not lucrative and tried to concentrete on the leisure sector. Well, SQ prooves it the other way round. Let's just see who is right as time goes...

 

I believe both are right . . . concentrating on the biz class passengers would not work for MH simply because KUL hasn't yet become the destination of choice for the high-yielding corporate travellers. So MH has to realistically look to serving the needs of the leisure traveller - but must still find a way to reap adequate or better yield. MH does not deserve to be perceived to be a low-price full-service carrier.

 

SQ has over time converted a lot of people to not only accept Ultra Long-Haul (ULH) travel - that has not been easy with DVT issues cropping up at the beginning - but also accept that the long elaspe time of these flights makes it more worthwhile for corporate travellers to pay more for business class travel (arrive in better shape - to borrow a tagline fm CX - and save time).

 

SQ has consistently filled the business class cabin of the A345. Corporate travel planners and travel agents have consistently found it difficult securing seats in the front end and it was therefore inevitable that SQ reconfigure the A345s into a 100-seater BizJet. The SIN-EWR-SIN and SIN-LAX-SIN will now - in addition to being the two longest commercial air routes - become the two longest exclusively premium-class routes in the world.

 

I think when comparing MH and SQ (an inevitable thing considering the joint history of both carriers), one must remember that the homebases of both carriers have got their specific characteristics and makeup which dictate the kind of travellers each attract.

 

As for ULH vs one-stop service . . . all I can say is that having travelled SIN-LAX-SIN twice on the A345 and BKK-JFK-BKK also on the A345 once, a one-stop service is a very unattractive option for me.

 

KC Sim

[Chan CS 0]

Capt Nik, after so many posts of yours, I can see that you're really a great people for MH! Alas, great people need great management, and the latter is the one you don't have... But we really thank you for all your efforts and keep it on! :drinks:

 

[jani 0]

Thats why I said, by the end of the year, we can see him at the top..

 

Then baru la VI boleh bangga lagi

Edited March 6, 2008 by jani

[Ryan Soh 3]

A345 twice daily run to CGK has been pulled out effectively already. Service is reverted back to using a B777 in the morning and a B744 for the evening service.

Alamak... What does this mean for the currency of the tech crew then?

[Mushrif A 3]

Alamak... What does this mean for the currency of the tech crew then?

 

When would SQ's A330s start arriving?