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Scoot’s CEO Leslie Thng on Singaporeans’ fave destinations, budget airline misconceptions and more

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Scoot recently announced the latest addition to its fleet – nine new Embraer E190-E2 planes – that will operate flights from Singapore to six Southeast Asian destinations starting in May, including two brand new destinations in Thailand’s Koh Samui and Malaysia’s Sibu.

What does this mean for the Singapore low-cost carrier? CNA Lifestyle sat down for an exclusive interview with Scoot’s chief operating officer Leslie Thng to find out more about their plans – as well as ask some questions many of us would've probably been itching to ask.

How does Scoot decide on its destinations? Is there a friendly competition between them and Singapore Airlines? What are the most popular destination among Singaporeans? Read our interview below.

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YOU’RE A VETERAN IN THE AVIATION INDUSTRY, WHAT’S BEEN YOUR BIGGEST TAKEAWAY?

I think the experience that I have from two different business models: The food service, as well as budget airlines. As well as operating in two different countries, one airline based in Singapore and the other one, Vistara, which is based in India.

What we have been through in the last couple of years, including the pandemic, would have taught anyone to be more nimble, more agile, as well as to be more resilient. Because you can’t expect, for example, something like a pandemic to happen. I think that gives us a lot of insight in terms of how to be a stronger and more effective leader.

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Scoot CEO Leslie Thng. (Photo: CNA/Try Sutrisno Foo)

WHAT TRENDS DO YOU EXPECT FROM TRAVELLERS IN 2024 AND BEYOND?

What we've seen post-COVID are travellers are traveling more often than pre-COVID. Maybe pre-COVID, some would have traveled once every six months, once every year. But we have now seen that travellers are coming back more often. Because I think one, they have not been traveling that much in the past. But at the same time, there are airlines like ourselves that are now venturing into new exotic destinations, which will provide more travel options. And I think the trend will continue.

SCOOT HAS ANNOUNCED 9 NEW EMBRAER PLANES, WHICH ARE SMALLER – WHY CHOOSE TO EXPAND THE FLEET WITH THESE?

We take a very long perspective in terms of how we want to expand our network. So after a very comprehensive and detailed evaluation, we found that the (Embraer) E190-E2 was a perfect fit for the organisation because it is totally complimentary to the Airbus A320s, A321s that we have, as well as the Boeing 787s. It does allow Scoot to open new routes where demand is thinner. I think it gives us a lot of opportunity going forward

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Scoot's new Embraer E190-E2 plane. (Photo: Scoot)

CAN YOU SHARE WITH US YOUR THOUGHTS ON THE NEW PLANES’ SEATING CONFIGURATION?

This E190-E2 that we are bringing into the Scoot fleet is a totally new aircraft, something that we are leasing from the market. But it's a new aircraft and it comes with a two-by two sitting (layout) in an all-Economy Class configuration that offers 112 seating capacity. So two-by-two means that there is no middle seat. So any customers who fly on the E2 will either be sitting along the aisle or beside the window.

HOW DOES SCOOT DECIDE WHICH DESTINATIONS TO TRAVEL TO? FOR EXAMPLE, THE NEW PLANES WILL BE FLYING TO KOH SAMUI AND SIBU.

I think when we look at the potential of a new route, we look at what would be the current demand that is being served by some of the existing carriers.

We look at market data, what is the demand from Singapore and also, what is the demand going to be outside of Singapore. Because we not only fly within Southeast Asia; Scoot flies to Europe, China, Japan, Korea, Taiwan, Hong Kong, and also India.

So we look at where the potential of the flow of traffic is. And eventually, the team will do a detailed study to make sure that the projected economics of the route makes sense. And that is where we then decide, for example, Koh Samui (in Thailand) and Sibu in Malaysia. And the operating team will then try to operationalise the plan in terms of engaging the ground arrangements as well as working with relevant foreign authorities.

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Scoot CEO Leslie Thng. (Photo: CNA/Try Sutrisno Foo)

WHAT ARE THE MOST POPULAR DESTINATIONS AMONG SINGAPOREANS AND ASIANS?

There are many! I think during the yearend, many Singaporeans like to go to Japan, Korea. I think those are the typical, very popular destinations.

We have a very strong footprint in China as well. We fly to 17 cities in China. So that gives Singaporeans who want to travel to China a lot of options – not just one city but multiple cities over a couple of years.

Within Southeast Asia, the popular destinations are the “standards” –KL, Bangkok, Jakarta, and of course, Bali.

SOME PEOPLE MIGHT THINK THE “LOW COST” IN LOW-COST CARRIERS MEANS CUTTING COSTS – WHAT ARE YOUR THOUGHTS ON THIS?

I think there's definitely a misconception in terms of what is being perceived as a budget airline. For a budget airline, safety is of the utmost importance. We train our crew, we train our pilots at the highest standards – the same standards as SIA (Singapore Airlines).

Our aircraft are regularly maintained, and we also take additional steps to make sure they satisfy the requirements of different regulators. What is also important for Scoot is that every aircraft we’ve brought into the fleet is brand new. For example, the E2 that are joining us next month are all brand new.

The concept of “budget” is really about trying to offer the customers a range of products tailored to their needs. If you’re a traveller who only wants to buy a seat, we have a seat product. But if you intend to purchase excess baggage, buy food and beverage onboard, the airline will offer those options for you.

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Scoot's new Embraer E190-E2 plane. (Photo: Scoot)

HOW DOES SCOOT POSITION ITSELF IN RELATION TO SINGAPORE AIRLINES? IS THERE AN UNSPOKEN COMPETITION?

First of all, both SIA as well as Scoot belong to the SIA Group. I don't think there’s any unspoken rule – the two airlines actually collaborate very well.

In terms of deploying a specific aircraft to a specific route, we do have a committee that looks into how the two airlines should expand our footprints. For example, there are routes that on Scoot flies and routes that only SIA flies. But there are many routes that both SIA and Scoot are fly – for example (Singapore) to Jakarta, Bangkok, Bali, Guangzhou, Tokyo.These are routes that we felt that there is a market that cater to the full service as well as the budget (service).

Of course, there are markets where only Scoot flies because we feel, from a group perspective, these would be where majority of the travelers are a bit more budget conscious.

But having said that, within the group, we also try to facilitate sales in terms of cross-selling. So customers who purchase an SIA ticket can go to their final destination as a Scoot destination.

For example, we just announced Koh Samui, which we are launching in May this year. Someone traveling from Australia or Europe on SIA, who’s flying into Changi in Singapore, can then connect to a Scoot flight going to Koh Samui.

So that is where the synergy, the cross-selling between the two airlines, will create more opportunities for the group.

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Scoot CEO Leslie Thng. (Photo: CNA/Try Sutrisno Foo)

WOULD YOU SAY THINGS IN THE AVIATION INDUSTRY AND SCOOT IN PARTICULAR ARE BACK TO PRE-PANDEMIC NORMS?

Scoot was one of the first airlines to be first off the block when borders reopened back in 2022, which is why we are now almost back to pre-COVID capacity. And we have also improved in terms of our passenger load factor, meaning the number of passengers that we carry on board.

Both indicators would suggest that Scoot is already back to pre-COVID (norms).

For us, it is no longer about recovery – it’s actually now on to a phase of new growth with the E2s joining us with many other new aircraft that will join us in 2025.

WHAT’S ONE THING YOU WISH MORE PEOPLE KNEW ABOUT SCOOT?

I think Scoot is not just your typical normal budget airline. Yes, we are a budget airline that tailors our product to the needs. But again, we invest a lot in terms of technology in terms of infrastructure, in terms of aircraft, to make sure that we can create a product that would provide a unique travel experience for our customers.

And for some of the customers who have travelled with us, sometimes they realise that our Scooties, which are our cabin crew, would perform “Scootitude X” (themed activities) to interact with our customers on board despite the lack of an in-flight entertainment system, which we do not offer on board.

So I think our Scooties are warm, friendly, and engage with customers whenever there are opportunities to do so on board.

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