Singapore Airlines (SIA) recorded a three per cent year-on-year growth in systemwide passenger carriage (measured in revenue passenger kilometres) in October this year, while capacity (measured in available seat kilometres) grew by 4.1 per cent. As a result, the Passenger Load Factor (PLF) declined by 0.8 per cent to 77.5 per cent - a narrowing of the year-on-year gap the airline has experienced in recent months, stated a Centre for Asia Pacific Aviation (CAPA) report.
But the quality of the demand is of concern. In early this month, Chew Choon Seng, CEO, SIA stated that while long-haul premium demand is still holding firm, the carrier is seeing more trading down for shorter-haul travel within the region. “Executives are persuaded to travel coach in the short-haul services, but for the long-haul, they know there's the comfort of business class,” he added.
Singapore Airlines passenger load factor for rolling 12 months (%): November 2008 to October 2008 |