Singapore LCCs: Scoot's fast growth, Jetstar Asia slows

Scoot plans to pursue further rapid expansion over the next few years, resulting in significant market share gains in Singapore. The Singapore Airlines low cost subsidiary plans to grow its network to nearly 80 destinations by the end of 2020 and its fleet to 70 aircraft by the end of 2021.

Scoot currently serves 65 destinations with a fleet of 45 aircraft. Scoot has a 14% share of seat capacity in Singapore and a 43% share of LCC capacity. Scoot is now more than twice the size of Singapore's other local LCC, Jetstar Asia.

Jetstar's share of Singapore's LCC market has shrunk from over 27% in 2010 - when it was as large as Scoot's predecessor Tigerair - to less than 20% currently. Its market share will shrink further and could dip below 15% as Jetstar Asia has no plans to resume expansion, whereas Scoot is poised to grow by another 50% over the next few years. Scoot's share of the total Singapore market will likely exceed 20% by 2022 but Jetstar's share could shrink below 6%.