SilkAir 2017 outlook: needs to rebrand as 737 MAX arrives amid challenging conditions

SilkAir is approaching an important juncture in 2017, with potential strategic ramifications for the Singapore Airlines (SIA) Group, as the full service airline subsidiary takes delivery of its first 737 MAX aircraft. SilkAir has grown by approximately 30% since taking its first 737NG aircraft three years ago, but has not expanded as rapidly as initially planned.

The 737 MAX aircraft could usher in a new phase of faster growth. SilkAir will be able to use the improved range of the MAX to open new longer range routes and take over more flights from the parent airline, accelerating a trend which has emerged over the past several years.

However, as SilkAir continues to expand and starts operating alongside SIA in more markets, it will need to review its product and commercial strategy. With the MAX, SilkAir has the opportunity to improve its product and close the gap with SIA mainline. Closer integration with SIA and a rebranding should be considered.

This CAPA Premium Analysis article is 3,141 words.

To access CAPA Premium Analysis you need a CAPA Membership

Your window into the latest insights

CAPA employs an industry-leading Analyst team based in Europe, North America, Asia and Australia who offer unique perspectives and independent and accurate commentary of critical industry developments globally. CAPA Members rely on our Analysis to unlock valuable insights and actionable intelligence to keep ahead of the game.

Big picture strategic view

Our Analysts don’t just report the news - they take a big picture strategic view of aviation dynamics, issues and trends and analyse the implications of these developments for you.

Global intelligence

The CAPA Analyst team is based globally to ensure our CAPA Members have access to independent, unique perspectives covering an entire spectrum of daily, worldwide commercial aviation developments.

Customise your Alerts

CAPA Members can use CAPA Alerts to receive daily, weekly or monthly and customised updates on our Analysis.

I'm very impressed by the factual and detailed analysis CAPA is always doing.

- CEO, Airline Member
To learn more, contact us:
Phone: +61 2 9241 3200 | Email: membership@centreforaviation.com