SIA-MAB codesharing furore: Dealing with customers feeling ‘short-changed’

Singaporean netizens on Facebook have not been the most supportive of the recent expansion of the partnership between Singapore Airlines (SIA) and Malaysia Airlines (MAB), which includes the expansion of codeshare flights beyond Singapore-Malaysia routes and enhancements on the frequent flyer programme.

The announcement made last week, brought out the cattier side of netizens who were not keen on paying a premium price for an SIA ticket, and then heading on to fly with MAB which has seen some turbulent times in recent years. Earlier last month even, the Malaysian national carrier incurred the wrath of Defence Minister Mohamad Sabu when he saw his flight to London delayed and hence missing a meeting with the PM. Others netizens commented on the security aspect that they do not wish to have an SIA aircraft maintained by an MAB maintenance team. These comments were largely from netizens based in Singapore.

Bringing the brand equity conversation into the mix, one netizen commented: “Does Hermes collaborate with Bonia? Image takes a generation to build and a moment to squander. What happened SQ? Where are your better minds?”

MAB has made headlines for the past few months given the talks about the brand being being sold off, shut down or refinanced – despite the fact that MAB posted a 2% year-on-year increase in revenue for the first quarter of its financial year ended 31 March 2019. While it has no doubt made strides in regaining its popularity, it has also not yet been able to wash the stain of the disappearance of flight MH370 and the crash of MH17.

Dominic Mason, managing director, Sedgwick Richardson also added that from a branding point of view, SIA will need to address negative perceptions arising from customers who feel short-changed and make the call whether these perceptions outweigh benefits from revenue and cost savings.