Singapore Airlines Strategy to Win the Competition Against Its Competitors

Valid until 31 January 2015 (unless noted)

Singapore Airlines (SIA) is one of the strongest brand in Asia. SIA has known as one of Airlines Company which have an excellent service to its passengers. In order to serve its passengers, SIA was intensifying to its service quality improvements. Singapore Girl wearing sarong kebaya as an icon of Singapore Airlines. SIA did not compete on price but they preferred non price competition such as better service, more destinations, more frequent schedules and newer fleets. However price became a more important feature. With the existence of other competitors which have adopt low price strategy, then it became a threat to SIA. But in fact, against the competitors, in 2000 SIA has achieved remarkable profit. With its own strategy, Singapore Airlines has consistently been one of the most profitable airlines globally, and has always had the reputation of a trendsetter and industry challenger. To adept their strategy, basically it needs a relatively high cost. Each brand benefit requires significant investment, careful management and detailed implementation programs to live up to the brand promise. Singapore Airlines Strategy has carefully built a financial and fixed cost infrastructure which allows them to continue investing to support the brand while challenging the competition on costs.

Singapore Airlines Strategy

a. Excellent Services
SIA has plan to improve the three pillar that provide quality experience to the customers : PRE FLIGHT – IN FLIGHT – POST FLIGHT. The excellent service is to build an image or to build brand name the customer that SIA is the best brand in airlines industry.

- Outstanding Service on the ground
They have an outstanding service on the ground, means it focusing on improving service at reservation, ticket offices and most importantly at each airport SIA flew to. Making positive customers’ perception of ground service is very important. Their commitment in service on the ground has been implemented already. For instance, since 2000 SIA use Abacus a computer reservation program with extended array of services including airline and hotel, reservation, ground arrangements and regional travel news. Each airport unit was given standards in terms of punctuality, baggage handling, speed and friendliness of check-in, efficiency of seat assignment, number of compliments from customers and professionalism in handling delays.


- In Flight Service
SIA’s service in flight is no doubt one of the best service in airline industry. Singapore Girl wearing sarong kebaya as an icon of Singapore Airlines, as symbol of Asian charm, grace and hospitality,. It combined the charm of traditional Asian wear with elegance of French haute couture. Passengers are treated to excellent food, served with lots of smiles, warm towels, and attention to details. The airline provides all passengers, regardless of class, with cocktails, fine wines, and in-flight movies at no extra charge. In fact, SIA pioneered all these "frills". SIA also use "the most modern fleet", with a lot of facility to satisfy the passengers such as TV screens, video entertainment, satellite–linked air to ground telephone service. With these all service, the passengers feels an amazing experience in flight with Singapore Airlines.



b. Advanced Technology and Innovation Capabilities
SIA had a strong reputation for inflight firsts. For example : the first airplane that use sky telephone. The first that introduce personal entertainment system and video-on-demand. Introduce the suite (class beyond first (2007)). First airlines operates Boeing B777 and A380 air fleet etc. Singapore Airlines recognizes that each innovation has a relatively short life span. Once other airlines adopt it, it is no longer considered "innovative". Therefore, the airline continues to invest heavily in R&D, innovation and technology as an integrated part of the business strategy to further differentiate itself.


On the technology side, Singapore Airlines still maintains the youngest fleet of aircraft amongst all major air carriers, and keeps to the stringent policy of replacing older aircrafts for newer, better models. The use of new technology, include the modern air fleet, because it can reduce the operations cost and maintenance cost of the fleet, it more efficient. In long term this will deliver remarkable thrift for performance finance of SIA.

c. Human Resource Management
The airline industry is a service industry. Service is provided by people; hence the basis for differentiation in the airline industry is the way the company’s employees treat customers. Behind the excellent service SIA, SIA’s human resource management processes, a crucial aspect of any service business, where people, especially front-line staff, are a core part of the offering and the most visible element of the service. They manage their human resource with stringent selection and hiring of people, extensive training and retraining, formation of successful service delivery teams, empowerment of the front line, and staff motivation.

d. Communicating The Message
Singapore Airlines has been as consistent in its communication vehicles as in its brand strategy. The primary message "Singapore Airlines - A Great Way to Fly" has been consistently conveyed in exclusive print media and also in selected TV-commercials of very high production value to underline the quality aspirations of brand. All communication messages are featured through the iconic Singapore Girl in different themes and settings. The Singapore Girl has contributed immensely to the success of Singapore Airlines' brand strategy and its entire positioning around customer and service excellence.

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Sources :

Kottler, P. and Keller, K (2006), Marketing Management, 12e, New Jersey: Pearson Education, Inc.

Pelajaran Strategi dari Singapore Girl, available at http://strategimanajemen.net/

Singapore Airlines Corporate Website, http://singaporeair.com/

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