Scoot announced (24-Oct-2012) it will acquire 20 Boeing 787 aircraft for delivery commencing in 2014. The aircraft will be used to assist in the airline's expansion and to replace its 777-200 fleet. Scoot CEO Campbell Wilson said, "Scoot has quickly grown to a fleet of four aircraft and a network soon to encompass nine cities. Today’s announcement that we’ll be acquiring 20 Boeing 787’s to power our growth is exciting news and great for our guests – not least because the aircraft’s fuel efficiency will help keep ticket prices low." The 20 aircraft were originally ordered by Singapore Airlines. The airline will announce its engine selection for the aircraft at a later date. [more - original PR]
Scoot to acquire 20 787 aircraft from 2014
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Scoot selects Athens as first route in Europe; head to head against intense Gulf competition
Singapore Airlines' (SIA) medium/long haul low cost subsidiary Scoot has confirmed Athens as its first European destination. Scoot plans to commence four weekly flights between Singapore and Athens in Jun-2017, using 329-seat Boeing 787-8s.
Scoot will need to rely heavily on connections beyond Singapore, particularly to Australia, to make the route viable. Australia has a large Greek diaspora. Scoot will not face any LCC competition from Australia or Southeast Asia to Greece but will need to overcome aggressive competition from Gulf carriers – something that full service Singapore Airlines has struggled with. But Scoot's entry pricing is very aggressive.
High load factors will be required to offset low yields but Scoot could struggle to maintain high load factors on a year-round basis, given the seasonality of the Athens market. Scoot could face similar challenges in the other European markets that it is preparing to launch in 2017.
SIA Group continues China expansion with new Dalian and Fuzhou services from Scoot and SilkAir
The Singapore Airlines (SIA) Group is continuing to pursue rapid expansion in China with the launch of services to Dalian by Scoot and to Fuzhou by SilkAir. The addition of Dalian and Fuzhou will extend the group’s Chinese network to 25 destinations in Nov-2016.
Scoot launched Shenyang as a one-stop service via Qingdao in 2013; it is now upgrading the route to nonstop. Shenyang will give Singapore Changi 25 nonstop destinations in China – more than any other airport in Southeast Asia. Fuzhou is already served from Singapore, while Dalian will initially be served as a one-stop product via Qingdao.
Maintaining a leading network in China is an important component of the current SIA Group strategy. It is also essential, since SIA is unable to codeshare on domestic services within China due to regulatory restrictions.