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Learning Customer Service From the Airline Business?


In the 1970s, the airline industry was getting commoditized. Everyone had similar planes, the food was awful in most cases, and airline companies provided high levels of service only to business or first class passengers.
Sounds like an industry on its way down or an opportunity for someone to shatter the status-quo?

Enter Singapore Airlines, the ‘Top Notch Service’ Brand
Singapore Airlines (SIA) was quick to tap this opportunity and use Customer Service as a differentiator. Year after year, they have delighted customers. They do this with a customer centric approach including attention to passenger preferences on food. Their staff are always warm and courteous.
SIA also uses technology to significantly improve reservations, checking-in and frequent flyer programs. In 2008, as they had many times before, SIA won the Airline of the Year Award in the World Airline Awards program.

But, what about the Balance Sheet?
The question on everyone’s mind is – does all this really impact revenue or profitability growth?
As the global recession takes its toll on the aviation industry, SIA has not escaped unscathed. Nevertheless, for the quarter ending December 2008, SIA announced a net profit of $223 million, a respectable figure considering the exceptionally low passenger demand this year.


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