Premium Economy Class industry

The beginning of the 1990s , the seats on the plane were the same ordinary one and just can recline back a little. A number of long-haul flights from British Airways first class launched fully flat seats as a powerful competition in 1995. Since then, the aircraft seats for the wealthy people are getting more and more comfortable. At the same time , Seats in economy class are fewer and more crowded. Nowadays, on A380 Singapore Airlines, seats of couples in first class can be made up as a closed private room, including a double bed and a sliding door.

At Singapore Airlines, No Detail Is Too Small

The Fourth Option 

If you take the later half of this year’s Singapore Airlines international flights , you may see a few rows of special seats between the business class and economy class. This is a new set of “premium economy class” after two years of investigation from SIA. In generally, aircraft seats are in three ways: First, Business and Economy Class , but there’re some aircrafts have begun to emerge that fourth class. That’s an airline based on changes in the economy and the environment , in order to meet the demand of tourists segments and open up additional revenue streams.

Premium Economy is set up mostly on international flights, which has more 5-7 inches than economy class. After that, it offers some superiority:

• Seat width: 1to2 inches plus
• Seat inclination: 2to3 inches plus
• Larger size of TV screen
• Personal amenity kits
• Charging plug
• Premium foods 
• Premium service

Strategy target

With many companies ending corporate perks like business class, employees purchase for premium economy class and it offers priority boarding and special formalities ideal. Travelers with higher budget choose premium economy class to have a more comfortable flying experience. The cost of it is extra 10-15% more than economy class and it may have a discount before check in. After that, some passengers go business class on business while premium economy class with family mumbers on traveling.

The fare of premium economy is generally 65% less expensive than business Class. In a remote road, the most important thing is comfortable seating for high-end passengers. A business traveler on arrival is ready to go straight for work after a long flight, so the best seat is fully flat bed. In short journey, the only advantage of premium economy class is avoiding crowd on boarding. Since business trips always in a hurry, check-in formalities and priority boarding service quality is critical.

For some travelers, the emergence of premium economy class is a new option that provides opportunities for potential target passengers without business class experience before. Premium economy class is a good choice for passengers but it couldn’t replace Business Class which has a wide set, a fully flat bed. Business travelers still don't want go to the office immediatly after a long-flight sitting in premium economy class. For this reason, the losing of business class passengers does not happen up to this time.

Mainstream premium economy class has a few common characteristics: "comfortable but not extravagant, simple but not simple. " Airlines will pay more attention to business functions and leisure needs. Premium economy class as a "middle-class" choice reflects the specific needs of passengers during the economic downturn. Therefore, there will be more and more airlines join in this competition. The world's best Business Class—Singapore airline has already has premium economy class and now is the time for Emirates to join this effort.

Source: Singapore Airline Offical Page 

Picture Credits: Weibo blog