SilkAir merged into SQ, takes up SQ regional routes, gets lie-flat business class
A bit of a triple-whammy out of Singapore to start the day!
SIA's regional arm SilkAir will be rolled into its mainline parent Singapore Airlines, take over some of SQ's regional routes and get new lie-flat business class seats (along with seatback IFE from tip to tail) in a massive $100m+ program https://www.ausbt.com.au/silkair-ado...business-class |
That's quite a change in strategic direction!
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Ahhh I can just imagine getting a sudden equipment swap to a non-refurbed Silkair plane doing some of the longer 'regional' routes. Unlikely to happen but fun times if it does. :p
I'm surprised that they would suddenly dilute the SQ brand business class from being all flat-bed when the A330s are fully replaced, back to a mix of flat-bed and lie-flat given the marketing and branding they did for the new regional product. |
Good news as far as *A is concerned.
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I wonder which routes will go to SQ and which will be transferred to Scoot? One suspects India, Australia, Japan and China will stay in SQ stable, but the Indonesia routes will go to Scoot, and perhaps PEN, LGK, HKT, CNX? Not sure about those going to Laos, Cambodia, DAD or Philippines.
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Originally Posted by lokijuh
(Post 29766645)
I wonder which routes will go to SQ and which will be transferred to Scoot? One suspects India, Australia, Japan and China will stay in SQ stable, but the Indonesia routes will go to Scoot, and perhaps PEN, LGK, HKT, CNX? Not sure about those going to Laos, Cambodia, DAD or Philippines.
I wouldn't assume that they would just divide it up just by distance. |
Originally Posted by SQShortFinal
(Post 29766821)
I can't imagine SQ letting go their Indonesia routes, which are some of their most lucrative and are cash cows.
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Originally Posted by Xiaotung
(Post 29766532)
Good news as far as *A is concerned.
Originally Posted by lokijuh
(Post 29766645)
I wonder which routes will go to SQ and which will be transferred to Scoot? One suspects India, Australia, Japan and China will stay in SQ stable, but the Indonesia routes will go to Scoot, and perhaps PEN, LGK, HKT, CNX? Not sure about those going to Laos, Cambodia, DAD or Philippines.
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Originally Posted by Romain_
(Post 29766941)
Exactly my thoughts. And hopefully a bit more consistency in treatment as well.
Same comment as above, I don't think it'll be split by country (e.g. MNL-SIN full in business more often than not, but obviourly the same wouldn't apply to Boracay). It's already not split by country today anyway. |
Can't speculate on how they'll divide the other routes, but I can see CEB and DVO go to SQ using re-branded Silk Air planes. Given that Kalibo being a secondary airport for Boracay is more of a leisure route it would go to Scoot.
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Originally Posted by lokijuh
(Post 29766975)
For reference I was speculating about which Silk Air routes get transferred to SQ vs Scoot. I made no reference to existing SQ routes such as MNL-SIN, one assumes these including MNL and the lucrative CGK routes will stay under SQ (or in most cases have both SQ and TR flights as they do today), although there could be a possibility of downsizing certain flights to a SQ 737. |
Originally Posted by SQShortFinal
(Post 29767325)
Downsizing for CGK makes little sense. This is a high load route, with high loads in biz and even F, so what is the incentive to downsize to a 737 from a 777? A year ago, SQ even tried to add another daily flight to their already 9 per day, with a flight that would continue to SYD. Sadly that appeared to be stopped by the Indonesian gov’t last minute. Jakarta-Singapore is also the third busiest international route in the world. And during peak times of the year they even add temporary extra flights. |
Ok, let's go with your scenario of Saturday afternoon loads are usually light compared to other days. How does this downgauging play out? You're saying the 777s or A330s on near regional routes are swapped on Saturday afternoons and replaced by 737s. But then what about the other side of the coin? Those 777s and A330s you just swapped out, would they then be put on MI destinations like Danang, Manado and Siem Reap?
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Originally Posted by lokijuh
(Post 29767350)
Does it though? At non-holiday off peak periods I've been on some quite empty flights to the near haul destinations ( Saturday afternoons is something that comes to mind). Many carriers, in particular the US carriers, now employ capacity discipline techniques, throttling capacity off peak and increasing frequency using smaller aircraft during peak periods to maximise traveller flexibility and maximise yield. Of course it may not be a regular year round thing , and bilateral rights place constraints on the concept of higher frequency/smaller capacity, but the beauty of folding MI into SQ is it gives another tool in the toolbox for SQ to manage yields more carefully and yes I'm afraid to say ultimately that may see 737's put into service on business/trunk routes when loads are historically lighter.
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Can anyone confirm this? Any link to SIA someone can share?
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Originally Posted by SQShortFinal
(Post 29767376)
A route can be a high load route and still have certain flights that experience low load.
Not saying this is exactly what SQ will do, but it is fun to speculate :). The airline isn't run by complete fools and there are probably several reasons why it makes sense to do this. Having smaller capacity aircraft operating under the SQ brand makes them more nimble, and could be one of those reasons. HAN is a great example, one flight on 737 and one on 330, in the future both will be SQ flights. |
Originally Posted by lokijuh
I
Not saying this is exactly what SQ will do, but it is fun to speculate . The airline isn't run by complete fools and there are probably several reasons why it makes sense to do this. Having smaller capacity aircraft operating under the SQ brand makes them more nimble, and could be one of those reasons. HAN is a great example, one flight on 737 and one on 330, in the future both will be SQ flights. |
Originally Posted by lokijuh
(Post 29766831)
Didn't mean CGK, DPS or SUB, but maybe places like Manado, Makassar etc. I noticed they've just moved Pekanbaru across to Scoot from Silkair.
DPS may still see mix fleet. CGK will definitely unchanged The rest of smaller cities (KNO, SRG, BDO, PKU, PLG, LOP, UPG, MDC, BPN, JOG) will still be served by MI. Also RGN may go back to all MI. HAN may also be downgraded to both MI. Perhaps KUL will be another all MI destination Actually the winner is *A |
Originally Posted by SQShortFinal
(Post 29767372)
Ok, let's go with your scenario of Saturday afternoon loads are usually light compared to other days. How does this downgauging play out? You're saying the 777s or A330s on near regional routes are swapped on Saturday afternoons and replaced by 737s. But then what about the other side of the coin? Those 777s and A330s you just swapped out, would they then be put on MI destinations like Danang, Manado and Siem Reap?
I was on SQ963 on Sunday with less than 100 people (or even less than 50) in economy. I saw the incoming flight was quite full. |
Originally Posted by lokijuh
(Post 29767419)
HAN is a great example, one flight on 737 and one on 330, in the future both will be SQ flights. My assumption they need to keep SQ flight on the morning flight due to connecting from European flight. So need to maintain this as *A, just like SUB. So if MI merged into SQ, they can pass both flight to MI, maybe add the third flight ? Vietnam route I guess it is tight margin as there are quite some budgets airlines there. |
Originally Posted by lokijuh
(Post 29766831)
Didn't mean CGK, DPS or SUB, but maybe places like Manado, Makassar etc. I noticed they've just moved Pekanbaru across to Scoot from Silkair.
Now, if only there could be a direct SIN-AMQ, but that may be a bit of a reach. As for the Philippines, I'm fairly certain that CEB will remain, but since the Philippine government has restricted access to Boracay, KLO may be suspended. But, MI also currently flies SIN-DVO-CEB. |
Offical news release:
http://www.singaporeair.com/en_UK/au/media-centre/press-release/article/?q=en_UK/2018/April-June/ne1718-180518 |
So is SQ going to benefit from increased *A codeshares to the regional routes of MI?
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I agree with many of the comment here. Here's my two cents worth (which includes a number of which include prior comments)
There are probably multiple ideas floating around that led to this decision First, bringing everything under one brand makes sense. Running two separate airlines that were supposed to be the same, doesn't make sense. Silkair has been a thorn for many a *A frequent flyer and this allows SQ a chance to retake the high road on service/product. Second, differentiating budget from full service The merging of Scoot and Tiger meant that they now have have a large budget fleet, and there is a risk that people lump SIlkair with the budget option. And given it is more expensive (as a full service option) people would get disappointed if they expect SQ level service/product for the price, or they might be confused as to why it is more expensive. Third and most out there. The arrival of high speed rail will be a game changer. There were numerous reports that Kuala Lumpur - Singapore was the busiest air route in the world. I suspect that SQ realises that when this route comes online (supposedly in 2026) they will see a precipitous drop in the number of passengers who would prefer the ease of the high speed rail. Rather than fight it with it's full service flights,it seems more likely that SQ will use its budget arm to compete. There will always be passengers who are sensitive to price, so they would use budget. I think the timing also matters here. Most of the time, (Correct me if I'm wrong), when carriers make these kind of announcements, the rebranding starts immediately. In SQ's case, they are saying they will start in 2020. What does that say? It says to me that they haven't fully committed to the timing yet. It seems convenient that the rebranding will start taking place in 2020, when it will take a couple of years to refit their planes, maybe 3-4 years. And then ... HSR is almost upon us. |
Originally Posted by SQTraveller
(Post 29770093)
I agree with many of the comment here. Here's my two cents worth (which includes a number of which include prior comments)
There are probably multiple ideas floating around that led to this decision First, bringing everything under one brand makes sense. Running two separate airlines that were supposed to be the same, doesn't make sense. Silkair has been a thorn for many a *A frequent flyer and this allows SQ a chance to retake the high road on service/product. Second, differentiating budget from full service The merging of Scoot and Tiger meant that they now have have a large budget fleet, and there is a risk that people lump SIlkair with the budget option. And given it is more expensive (as a full service option) people would get disappointed if they expect SQ level service/product for the price, or they might be confused as to why it is more expensive. Third and most out there. The arrival of high speed rail will be a game changer. There were numerous reports that Kuala Lumpur - Singapore was the busiest air route in the world. I suspect that SQ realises that when this route comes online (supposedly in 2026) they will see a precipitous drop in the number of passengers who would prefer the ease of the high speed rail. Rather than fight it with it's full service flights,it seems more likely that SQ will use its budget arm to compete. There will always be passengers who are sensitive to price, so they would use budget. I think the timing also matters here. Most of the time, (Correct me if I'm wrong), when carriers make these kind of announcements, the rebranding starts immediately. In SQ's case, they are saying they will start in 2020. What does that say? It says to me that they haven't fully committed to the timing yet. It seems convenient that the rebranding will start taking place in 2020, when it will take a couple of years to refit their planes, maybe 3-4 years. And then ... HSR is almost upon us. The main reason is, if half the frequent flyers had the habit of reading annual reports or research reports would have read - could have easily found, to reduce costs. Currently they have 2 marketing budgets, 2 teams working on everything from crew uniform etc which can be merged. At the same time, they don’t want to dilute the brand by rebranding poor hard products as SQ, which is why they have delayed the rebranding. It has nothing to do with the high speed train. Tbh, SG is missing a trick by not extending the high speed train to Changi. Imagine if they did that, people flying to and from Malaysia would prefer to board or land at Changi and take the train to KL. That way they can avoid the poor customer service of MH and the crap lounges at KL. |
Originally Posted by spk307
(Post 29772452)
Am pretty sure ‘Silk air’ being a thorn for *Alliance customers was not what prompted SQ to ditch SilkAir brand. If they were so concerned about *Alliance customers, they can do more practically useful things like making Krisflyer gold lounge better and getting the online redemption setup faster (half of *alliance redemption options still not available on Krisflyer website). The main reason is, if half the frequent flyers had the habit of reading annual reports or research reports would have read - could have easily found, to reduce costs. Currently they have 2 marketing budgets, 2 teams working on everything from crew uniform etc which can be merged. At the same time, they don’t want to dilute the brand by rebranding poor hard products as SQ, which is why they have delayed the rebranding. It has nothing to do with the high speed train. Tbh, SG is missing a trick by not extending the high speed train to Changi. Imagine if they did that, people flying to and from Malaysia would prefer to board or land at Changi and take the train to KL. That way they can avoid the poor customer service of MH and the crap lounges at KL. I don't think High Speed Train is matter for SQ. Seriously with the change of regime, many people is betting that this project may be delayed or even scrapped. Without the HST, in fact many Malaysian did indeed fly via SIN and you notice sometimes it is cheaper to fly ex KUL compare ex SIN on SQ especially on PE. Currently there is only 3 SQ flights (1 on weekend) between SIN and KUL, with the rest of flights are MI flight. This definitely a big hindrance if you are *A and limit the connection US on weekend. Luckily TG does not fly to US. If now MI is merged into SQ, then as *A you can take any flights. This is also why I am betting KUL will become all narrow body destination probably with increase frequencies |
Originally Posted by lingua101
(Post 29772682)
If now MI is merged into SQ, then as *A you can take any flights. This is also why I am betting KUL will become all narrow body destination probably with increase frequencies
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Originally Posted by lingua101
(Post 29767704)
My bet, SUB will be downgraded to both flight served by MI.
DPS may still see mix fleet. CGK will definitely unchanged The rest of smaller cities (KNO, SRG, BDO, PKU, PLG, LOP, UPG, MDC, BPN, JOG) will still be served by MI. I would not at all be surprised to see other routes go the same way eventually, depending on market dynamics over the next 2-3 years. |
Originally Posted by lokijuh
(Post 29772953)
Well you can eliminate PKU from that list well before 2020 ... (along with LGK & KLO) ... Scoot to Take Over SilkAir's Langkawi, Pekanbaru and Kalibo Services
I would not at all be surprised to see other routes go the same way eventually, depending on market dynamics over the next 2-3 years. |
Originally Posted by yewgene
(Post 29772799)
Even with the merger, Who knows, SQ may continue to annoy *A flyers if they choose to transfer KUL routes to Scoot, just like how some current MI routes are now TR operated. KUL is interesting destination in my opinion. It is so short, and most people really do not care which aircraft is being used. After all there will be no real service that you can experienced. |
Will we see the MI crew in a kebaya now?
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When will this happen? I am flying with silk air in DPS soon and would like them to honour my *G status :/
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Originally Posted by sodaisei
(Post 29893240)
When will this happen? I am flying with silk air in DPS soon and would like them to honour my *G status :/
If "soon" is in the context of normal human experience, alas, you are out of luck. They are looking at SilkAir being folded into SQ brand from around 2020 onwards, and have reported timeline dependent on when seat manufacturers can deliver the new product. They need to upgrade SIlkAir hardware to SQ standards first. |
Originally Posted by lokijuh
(Post 29893409)
If "soon" is in geological timeframes, you'll be OK. :p
If "soon" is in the context of normal human experience, alas, you are out of luck. They are looking at SilkAir being folded into SQ brand from around 2020 onwards, and have reported timeline dependent on when seat manufacturers can deliver the new product. They need to upgrade SIlkAir hardware to SQ standards first. I will try asking this elsewhere but: I am *G with ANA flying DPS - SIN - NRT. DPS - SIN is marked as SQ 5275 but operated by Silk Air. Departs at 10:25. Then, SIN - NRT on Singapore Airlines departs the next day at 9:25. I have the hope that being less than 24 hours connection they would let me check my luggage directly to NRT and access the lounge in DPS. Is this possible? |
Originally Posted by sodaisei
(Post 29893664)
That sucks...
I will try asking this elsewhere but: I am *G with ANA flying DPS - SIN - NRT. DPS - SIN is marked as SQ 5275 but operated by Silk Air. Departs at 10:25. Then, SIN - NRT on Singapore Airlines departs the next day at 9:25. I have the hope that being less than 24 hours connection they would let me check my luggage directly to NRT and access the lounge in DPS. Is this possible? You will have access to Krisflyer Gold Lounge in T3 SIN. |
Originally Posted by sodaisei
(Post 29893664)
That sucks...
I will try asking this elsewhere but: I am *G with ANA flying DPS - SIN - NRT. DPS - SIN is marked as SQ 5275 but operated by Silk Air. Departs at 10:25. Then, SIN - NRT on Singapore Airlines departs the next day at 9:25. I have the hope that being less than 24 hours connection they would let me check my luggage directly to NRT and access the lounge in DPS. Is this possible? |
The lounge in DPS is an absolute and utter disappointment, you won't miss anything. We fly J to and from DPS and could access based on that, but we haven't stepped into the lounge the last 4-5 trips. In SIN you can use the KF Gold Lounge as *G travelling in Eco.
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Originally Posted by demue
(Post 29897350)
The lounge in DPS is an absolute and utter disappointment, you won't miss anything. We fly J to and from DPS and could access based on that, but we haven't stepped into the lounge the last 4-5 trips. In SIN you can use the KF Gold Lounge as *G travelling in Eco.
Originally Posted by SilverChris
(Post 29896706)
You can almost certainly check your bags through but I won't hope for lounge access. Doesn't hurt to ask but departing on an MI-operated flight doesn't entitle you to *G benefits -- SQ code or not.
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SilkAir has chosen the Thompson Vantage seat for the 737 MAX Business Class. Upgrades commence in May 2020.
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For what it's worth, Singapore Airlines has confirmed to Australian Business Traveller that the SilkAir B737 seat will be Thompson's Vantage: https://www.ausbt.com.au/singapore-a...business-class
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