Corporate traveler use of premium economy cabins has grown significantly on routes from Singapore over the past two years, according to research by Carlson Wagonlit Travel and Travelport.
The research analyzed 1.3 million bookings departing from Singapore and made in 2015, 2016 and 2017. Premium economy bookings grew an average of 157 percent each year, the research indicated, while bookings in every other class declined, economy by the most. Economy class declined 6 percent on average each year, while first class dropped 2 percent and business class 1 percent. The findings indicate that the growth has come more from companies allowing travelers to upgrade rather than forcing a downgrade.
"This makes sense, given the trend we're seeing where companies are looking beyond travel costs and paying more attention to traveler comfort and productivity," said CWT Solutions Group Asia/Pacific director Richard Johnson. Premium economy "gives travelers that much-needed extra comfort versus economy class on medium- to long-haul flights while costing their companies significantly less than a business class ticket."
Overall, 7 percent of business travel bookings from Singapore were in premium economy in 2017, compared with 1.2 percent in 2015. Economy bookings accounted for 54.5 percent of bookings in 2017, compared with 60.3 percent in 2015. Premium economy availability on flights from Singapore has been growing steadily over the past few years, as well, according to the research. The fare class accounted for 3.6 percent of seats flown from Singapore in 2017, compared with 2.5 percent in 2015. At the end of 2017, about one in five airlines serving Singapore and more than 30 percent of routes from the city-state offered premium economy.