Name: Nida Barros ID: 6019088 Section:

11

SWOT & STEEP of Singapore Airlines

Strengths

 A strong global airline brand with a strong backing from its government
 Known for its premium and excellent service and unparalleled customer service and
hospitality
 High brand visibility of Singapore Airlines through sponsorship of events
 One of the top airline brands in terms of market capitalization and number of
passengers carried
 
Weaknesses
 Poor margins and market share decreased because of the growth of low-cost airlines
and competition
 Low capacity comparing to competitors like China Southern Airlines, China Eastern
Airlines, Air China, Emirates Airline, Qatar Airways and Etihad Airways
 Rely heavily on international traffic because domestic market in Singapore is limited
 Ticket price is too expensive if passenger travel as a family in order to save cost
unless they are travelling alone or travelling to longer destinations and willing to pay
more for better service

Opportunities
 Leverage on its high value brand image and expand their list of destinations. Many
people would fly with Singapore Airlines since it has a good reputation and SIA
would be able to expand its market share
 Build more partnerships with other airlines, world top hotels, cruises,
telecommunications, car rentals and credit card companies. For booking all the
necessities with SIA for the trip to helps to save troubles for passengers. At the same
time, these companies will get regular customers. SIA will earn profits and giving
quality services to its passengers.

Threats
 Price of ticket/fee increased because of the price increasing in oil and fuel  
 Unstable economy will affect SIA eg. war, disaster or protest going on in a country.
The pricing of the flights will not be fixed and passengers will not be satisfied. They
will have to bear any loss.
 Competition from brands such as China Southern Airlines, China Eastern Airlines,
Air China, Emirates Airline, Qatar Airways, and Etihad Airways
STEEP

Social
 Change in Customer perspective over low cost airline People who is less wealthy
tends to use low cost airline because it is affordable and could save cost.
 Customer preferences Different generations, demographic and sociological attributes
tend to have different habits so SIA needs review the social attributes as it may
present future opportunities.
   
Technological
 Famous for technologies investment. They introduce many technologies into its
services. They were the first to fly Airbus-380, the first to offer in-flight entertainment
system for customers, the first to provide global satellite in flight telephone service.
With that, they attracted huge global publicity, boost its brand image and differentiate
itself further from its competitors
 Adopting new innovations such as headsets, reclining seats and seatback
entertainment systems 

Environmental
 Integrating Green issue into the corporate social responsibility (CSR) policies and
marketing plans in order to carry out sustainable operations. Eg.reduction of the
carbon footprints

Economic

 The growth in fuel costs

 Interest rates
 Taxation changes
 Economic Growth
 Exchange rates
 Inflation

Political

 A stable political environment which strongly backing Singapore Airline by

government
 Allow freedom in corporate governance and have set little restriction to the industry.
The company are able to make over 90% of the decision on its own. The government
only influence the company by appointing director over the company, and supported
the company for retrenchment practice during economy crisis
References:

http://stefanietanct.blogspot.com/2013/11/swot-analysis-of-singapore-airlines.html
https://www.ukessays.com/essays/marketing/analysis-on-singapore-airlines-limited-
marketing-essay.php
https://royluowei.wordpress.com/s-w-o-t/
https://www.marketing91.com/swot-analysis-of-singapore-airlines/
https://www.mbaskool.com/brandguide/airlines/344-singapore-airlines.html
https://www.swotandpestle.com/singapore-airlines/
https://www.ukessays.com/essays/marketing/pestel-and-five-forces-analysis-of-singapore-
airline-marketing-essay.php
http://www.academia.edu/27391637/Singapore_Airlines_Limited_case_study
http://www.essay.uk.com/free-essays/business/strategic-management-singapore-airlines.php
https://www.scribd.com/doc/14477098/External-Industrial-Environment-Analysis-for-
Singapore-airline