Credit card service fee to be implemented on Singapore-based booking from 20 Jan 2018

[feb01mel]

SIA cancels plan to charge credit card fees for flights departing from Singapore

https://www.channelnewsasia.com/news...d-fees-9831474

SIA cancels plan to charge credit card fees for flights departing from Singapore



SINGAPORE: Singapore Airlines (SIA) has cancelled its plan to charge credit card fees for flights departing from Singapore.

The national carrier earlier announced on Wednesday that it will charge a 1.3 per cent "service fee" based on the total cost of the booking, capped at a maximum charge of S$50 per passenger from Jan 20.


However, it said in an update on Thursday morning that it has decided not to proceed with the implementation of the fee "following a further review".

Read more at https://www.channelnewsasia.com/news...d-fees-9831474

[tth_ben]

I wonder who are the people that make up the Transformation Office.

[reddevil0728]

Delete

[CarbonMan]

Ouch. The inside story is going to be very interesting.

[flyguy]

I wonder who are the people that make up the Transformation Office.

am sure the CEO is one of them as he announces this "transformation team" and also he must approved the recommendations too before its released.
However do not think this now cancellation of the credit card charges will be the end of it. SIA might just add in or built in this cost "hidden" into the fare like some have mentioned that they should have done this instead of actually bringing this credit charge up.

[concept|infinit]

It feel real stupid for SQ to impose the credit card fee for the lowest tier. Can just simply add in the fare n no one will notice. Maybe can just add $5 or $10 per ticket into their all in ticket price during the pricing.

Well that's because the people buying the lowest tier fares are highly price sensitive, and are not loyal to any carrier. They are likely to go with what appears cheapest at a glance on Skyscanner.com. Sadly this is the trend these days and SQ probably realised they cannot ignore this segment or they will be playing themselves out of the market.

[flyguy]

Well that's because the people buying the lowest tier fares are highly price sensitive, and are not loyal to any carrier. They are likely to go with what appears cheapest at a glance on Skyscanner.com. Sadly this is the trend these days and SQ probably realised they cannot ignore this segment or they will be playing themselves out of the market.

Believed SIA should not go the way of using budget airlines ways of cutting costs. SIA is supposedly a premium full service airline and should stay that course as it was its forte for its better service than other airlines before. And yes some other FSC have adopted such budget practices, but the question is now whether SIA will now or wants to follow the "me too" or stay as a premium Full Service Carrier.

[EWR]

Well that's because the people buying the lowest tier fares are highly price sensitive, and are not loyal to any carrier. They are likely to go with what appears cheapest at a glance on Skyscanner.com. Sadly this is the trend these days and SQ probably realised they cannot ignore this segment or they will be playing themselves out of the market.

Indeed. SQ should not only focus on what other airlines are doing to race to the bottom. The fine balance is to maintain its lead (as it has always done in historical times - give out free drinks, free blankets, choice of meals etc - and to understand what kind of a travel market defines the current generation. This is an Internet age, and the younger generation goes for modern, good value, status and choice; not quaint, Oriental, or demure. The transformation team seems to be axing the wrong things..

On another note, this half baked policy and its withdrawal seems really stupid. It makes - confirms that - the airline seem like it doesn't know what it's doing.

[scooby5]

They must have read the earlier post.......just add it in the price of the ticket and nobody would be any the wiser.

[sbs2716g]

I think people are also angry because why target only the lowest tier fares. It make people feel that SQ only value those premium pax.

[scooby5]

Well that's because the people buying the lowest tier fares are highly price sensitive, and are not loyal to any carrier. They are likely to go with what appears cheapest at a glance on Skyscanner.com. Sadly this is the trend these days and SQ probably realised they cannot ignore this segment or they will be playing themselves out of the market.

Out of Singapore, where these charges were to be added, SQ is never on the first few pages of any search engine like SkyScanner, even after filtering out so-called LLC. For the sake of $50 it wouldn't get any page further forward, the gap between SQ and others out of Changi is too great.

[b777jubilee]

This isn't transformation, its just pushing the limit of charging customers and see if you can get away with it. Replicating the practice of budget airlines into a premium carrier? Don't think you need to form a transformation team to do that.

I can see pay for wine, bailys cream going forward.... you can your standard meal and standard drinks but more expensive drinks like alcohol is chargeable.

its like ordering the most expensive caviar in the house and you dont have to pay credit card charges, but you have 1.3% added to your bill if you order fish and chips?

[EWR]

I can see pay for wine, bailys cream going forward.... you can your standard meal and standard drinks but more expensive drinks like alcohol is chargeable.

I hope your predictions don't go down the road. I have enjoyed SIA Y because of their drinks (and to some extent even catering) selection (I am a sleeper and don't spend a lot of time on KrisWorld). If they took away wine and bailey's cream, they would finally cease to be any different than QR and EK for me. In fairness, passengers don't have the same drink all the time - and to have the choice to vary the flight experience by selecting different foods/drinks is great (and hopefully not taken for granted)

Again, SIA is inviting cyclical risks at the back of the bus if it loses its economy base. Y pax are the ones that help maintain regular, daily service in times of austere business travel

[726]

very indecisive of SQ. What next? Cancel the new fare type altogether?
Yes, I am one of the Y pax that was regular on SQ with nearly 100% of my flights were SQ, but now switched to other carriers (Y and C), but still within star alliance - though I still use SQ from time to time. A future weird/unreasonable rule change in KF to I am off KF as well.

About that bailey cream, SQ was rather consistent back then even on short-haul. Now I have to negotiate in order to have one. At least in Y class, I have to say "normally I can get it", and then they pretended to search business class to find me a glass of bailey. Not sure what others here experienced when ordering bailey. That said, SQ lost the differentiating factor with other airlines such as OZ (same thing - they do not serve bailey in Y class under normal circumstances), and I will just go with the airline with the lowest fare now instead of choosing SQ even with higher price like I used to. Still though, TG does not serve bailey even in C class - though I thoroughly enjoyed their food today and yesterday.

[SQ_326]

this flip-flop is a marketing hazard, a reflection of over confidence or under estimation. What has led to it?