Lets Scoot off to somewhere

Lets Scoot off to somewhere

Singapore Airlines will give its rivals a run for their money with its newly-launched long-haul budget airline said to offer airfares at 40% less than other regular, full-services airlines.

Simply called Scoot, the no-frills airline is expected to take-off by mid-2012 with initial destinations in Australia and China using four Being 777 aircrafts, purchased from its parent company Singapore Airlines (SIA) which made an initial investment of S$223 million (RM548.5 mil).

CNN reported that the new airline is banking on creating a strong brand identity with its unusual name.

Scoot CEO Campbell Wilson describes the name as short and snappy and stands out.

An airline with a different attitude. People with a different attitude Scootitude, says Wilson.

Scoot chief executive Campbell Wilson (background) unveils the new low-cost carrier in Singapore.

In less than a decade, the budget travel segment had grown from nothing to nearly a quarter of passenger traffic though Singapores Changi Airport, Wilson shares.

Theyre going after the low end of the market which is much faster growing than the premium sector. In order for SIA to grow, theyve come to realize they have to go after this segment, states Brendan Sobie, senior analyst with CAPA, Centre for Aviation an Australia-based global aviation company.

Scoots closest competitiors would be Malaysias long haul budget carrier AirAsia X, and Singapore-based Qantas low cost airline JetStar.

Singapore Airlines is also a majority shareholder in Tiger Airways, a Singapore-based budget carrier for Asia routes.

While it may be a no-frills airline, Scoot is upping the ante by offering a wireless in-flight en! tertainm ent system which essentially allows passengers to use their own devices to log into the entertainment system. Whether the airline manages to get this relatively new technology in place by its first flight may be a challenge but it is safe to say this is a future standard for the industry, Sobie says.

Source: CNN

Published Nov 2 2011