So long, SIA: Why Singaporeans are ditching the national carrier

It's budget over comfort for most Singaporean fliers.

Singaporeans are spending more cash on holiday travel, but more and more are choosing not to ride the country’s national carrier.

The CIMB’s Cost of Living Survey revealed why SIA has been struggling with falling passenger yields for 11 straight quarters.

According to the report, falling passenger volumes are not surprising since about 58% of respondents are increasingly using budget airlines for their holiday travel.

Only 24% of respondents are still refusing to give up the comforts of travelling with the national carrier, but 18% are opening up their wallets to Asia-based full-service airlines or Middle Eastern airlines.

But airlines needn't worry much. According to the report, “Airlines as a whole should not worry about growth. Some 30% of our respondents expect to take more flights per year, in the next 3-5 years; only 8% expect to take fewer flights."

More From Singapore Business Review

• Singapore’s 20 most expensive hotel suites
  

• Korea’s Yoogane to open second outlet in Singapore
  

• Singapore’s 20 hotels with most expensive buffet lunches