Singapore's Tourism Industry In Singapore

1998 Words8 Pages
Among many means of transportation, airways have been regarded as the most appealing ones judging by its superiority in speed, quality of services and safety standards for its goods and passengers carried. Despite these strong points, its expensive freight has discouraged a considerable number of potential travellers and made airports to be the destination to only some people, not all. Aware of this situation, some airlines, especially Singaporean ones, have now offered annual cheap flights with a view to attracting more loyal customers and exerted certain effects on national tourism yield. In the first part of this paper, basic knowledge of low cost airlines, which are illustrated by a specific one in current operation in Singapore, would be presented. The second part is designed as a general analysis into the consequences of low cost airlines on Singapore’s tourism industry from both consumers and providers perspectives in economic, social and environmental aspects. Recommendations for further development and suggestions for ways of surmounting obstacles and difficulties would be presented in the final part. Low cost airlines (LCAs) known as no-frills, discount or budget carriers or cheap flights, refer to airway companies that draw attention to passengers by lowering travel costs in exchange for removing traditional in-flight services. There are some distinct features characterizing LCAs from full service carriers (Callaghan, 2006): - Attach special importance to minimizing fare and maximizing productivity - Lower costs passed on to consumers as lower fares - Mainly employ point-to-point services instead of hub and spoke model - Immediate flights between regions - Primarily utilize secondary and local airfields - Work on newer... ... middle of paper ... ...mand. To ensure stable growth, one should not only take good care of domestic market but also need to brainstorm practical schemes to extend its activities into global scale; however, the choice of potential market and strategies of penetration have to be rational enough to achieve certain success. Customers’ satisfaction must also taken into account, judging by the fact that stressing too much on cutting services can push travellers out of the business with LCAs. Insensitivity towards customers’ feelings may put an end to their relationship with any airway company however low tickets they advertise in the market. As a result, Customer Relationship Management (CRM) methodology need to be underlined accompanying with low cost mock-up. LCAs have to flexibly combine cheap price and tolerable service to retain passengers and attract loyal fan for long-term business.

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