Budget airlines Scoot and Tigerair will begin functioning under a single brand and operating licence next year, according to an announcement on Friday November 4 by Budget Aviation Holdings Pte Ltd. The merger is currently expected to take full effect in the second half of 2017, after all regulatory, operational and commercial considerations have been addressed.
The integration will include flight scheduling, connections and touchpoint integration for guests, comprising a single website and common contact centre and check-in counters.
Speaking about the announcement, Goh Choon Phong, CEO of Singapore Airlines and chairman of Budget Aviation Holdings, said: “Scoot and Tigerair have made good progress in their integration since the establishment of Budget Aviation Holdings as a common holding company in May.
“The integration has already led to commercial and operational synergies between Scoot and Tigerair that are providing growth opportunities for both airlines, an example being Scoot’s plan to launch its first European service, to Athens, next year. Following a review, we have determined that the logical next step is to pursue a common operating licence and common brand identity to enable a more seamless travel experience for customers.”
The integration comes as Scoot has been undergoing a number of changes, including adding new routes to Jaipur and Hokkaido, in addition to its Athens service next year, while axing its existing service to Hong Kong as part of a process to maximise resources.