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Singapore Airlines new cabin products represent baby steps but are important to premium strategy

Analysis

Singapore Airlines (SIA) has taken another step in reinforcing its position as a leading premium carrier with the launch of a new generation of long-haul cabin products, which will debut in Sep-2013 on new 777-300ERs. By investing in yet another new round of cabins and a recently beefed up widebody aircraft order book, SIA remains fully committed to the long-haul and premium markets while also increasing its focus on the faster-growing regional and budget sectors.

The new cabin products unveiled on 9-Jul-2013 do not match the game changing developments of SIA's last generation of long-haul premium products, which were introduced nearly seven years ago and established a new benchmark in the industry. But the opportunities for establishing another new benchmark are limited given where the industry is in the product development cycle.

SIA only needs to tweak its product to remain a leading premium carrier. But the reality is SIA now shares the space at the top with more carriers than ever before.

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