Super jumbo A380 puts Singapore Airlines on radar

The line of passengers taking pictures of the plane they'd just stepped off at Auckland Airport this week was proof that big aircraft make a big impression.

The line of passengers taking pictures of the plane they'd just stepped off at Auckland Airport this week was proof that big aircraft make a big impression.

They had just got off a Singapore Airlines A380 super jumbo, which has just started flying here, and will help put Singapore back firmly on the radar for Kiwi travellers. An alliance with Air New Zealand means an extra 30 per cent capacity between this country and Singapore, a gateway to the fastest growing aviation market in the world.

Singapore Airlines is trialling the A380 on the Auckland-Singapore route for five months and hopes strong demand will result in year round services to the island state which had been falling out of focus for New Zealand travellers who have over the past decade found new entry points into Asia and transit points on the way to Europe.

Twenty years ago Singapore was the easy introduction to Asia for Kiwis and Dubai was nowhere near the giant global hub it has become. But eight years ago Air New Zealand gave up flying to Singapore, Jetstar gave it a go but pulled out of the route this year after three years of trying and Singapore Airlines had the Singapore-Auckland and Christchurch routes to itself.

Simon McKearney, general manager of product at Flight Centre, said Singapore's profile among New Zealanders had fallen with the growth of other Asian destinations on other carriers and more flights to, and through the Middle East and the United States.

"Singapore used to be front of mind, when you were flying with Air New Zealand you were going there, but Dubai has taken that right of passage," McKearney said. "Without a doubt it [Singapore] will come roaring back."

Air New Zealand will use its own aircraft to fly some of the slots now flown by Singapore Airlines, whose regional vice-president for the southwest Pacific TK Tan said redeploying the A380 from Australian routes where yields had fallen to the morning flight to Auckland was logical.

"We plan on our capacity based on demand - we've seen demand from New Zealand has grown over the years so it was logical to bring the plane in. If we can fill the plane we can make it a year-round operation," he said.

Singapore Airlines has 19 of the A380s, the biggest passenger plane in the world, and was the first carrier to fly them in 2007.

"Every country around the world asks for the plane because it's a good one to have. It's a matter of who can put up the best justification and matching the demand for it."

That's what Singapore Airlines, Air New Zealand and Singapore's under pressure Changi Airport are hoping. Changi frequently wins awards for its innovative spaces and service and ranks around fifth or sixth in terms of passenger numbers, but it is fighting a fierce battle against the other world hubs, Dubai particularly.

Last year 54 million passengers passed through Changi but it has long been overtaken by Dubai, with Qantas recently choosing to bypass it on the way to Europe in favour of the Middle East as part of its deal with Emirates.

Changi Airport Group's senior vice-president of market development Ching Kiat (CK) Lim said the airport was disappointed to lose Qantas from stopping over on its "kangaroo route" but he was not unduly concerned about the threat from Middle Eastern airports.

"There's some areas where we compete but most of the catchment areas are separate, we serve a lot of intra-Asia traffic, they cater to the Middle East and Africa."

Latest regional International Air Transport Association figures show passenger numbers are growing in the Asia-Pacific by 9 per cent, topping 1 billion in the past year. This means tough competition between airlines in Asia and between airports which has resulted in Changi slashing its landing fees until March 2016, offering rebates to airlines.

"This past six to 12 months have been tough for a lot of airlines in South East Asia," Lim said. "Since our airline partners have suffered we thought we had better chip in and do what we can with rebates."

Although Changi costs were only about 5 per cent of most airlines' spending it was an important token, he said.

The airport is also appealing directly to passengers. In association with Singapore Airlines it is offering $40 vouchers for customers transiting through Changi and offering cut rate (around $50) accommodation in four-star hotels for passengers who spend a night in Singapore.

The Government-owned airport is also on the brink of major expansion.

On Tuesday it announced the letting of a $1.57 billion contract to build "Project Jewel" and an expansion of Terminal 1, one of three at Changi.

Project Jewel will feature a dome- shaped glass facade and house shops, airport services and a hotel. It will include a 40m tall waterfall and a lush indoor garden, a distinctive feature of Changi's existing terminals.

"We don't want to be another shopping mall, we want the wow factor," Lim said. "The Air New Zealand-Singapore Airlines alliance means more chance of getting visitors here."

Tourism chiefs have identified Southeast Asia - Indonesia in particular - and India as having high growth potential.

Auckland Airport chief executive Adrian Littlewood said a resurgent Singapore connection exposed New Zealand to India with a population of 1.25 billion and a fast growing middle class.

"It's a market that New Zealand has traditionally undershot because the connectivity was not there."