Some things change but not Singapore Girls

Singapore Airlines senior vice-president, products and services Pee Teck Tan.

Singapore Airlines is carefully picking its battles as it faces increased competition from Middle Eastern carriers and budget airlines.

It wants to squeeze what it can from "every inch" of space in economy, is rolling out more premium economy seats but is not going to go head to head with other airlines in developing "super" first class.

Singapore Airlines' senior vice- president of product and service, Pee Teck Tan, said the airline was also introducing more automation on the ground - check-in kiosks and improving data bases.

"Pressure on yields is the main challenge, so it's a matter of how we can transform that cost structure that is lightweight and efficient."

One feature of the 42-year-old airline that's not going to change is the use of the "Singapore Girl" imagery in promotion around the world.

Tan said it remains the airline's core tagline and it was not going to change the icon.

There are about 7000 cabin crew among the airline group's 22,000 staff and 'Singapore Girls' were promoted as the epitome of Asian hospitality and charm but had to embody a conservative look.

The cabin crew were all based in Singapore, which cost more than if they were stationed around the world.

"All of them are trained and live in Singapore," he said.

"A lot of other airlines don't do that [but here] they get the Singaporean culture."

One of Tan's main roles is product development and while the airline's A380s are equipped with flash suites, that's as far as the airline is going to go.

Middle Eastern airline Etihad has developed "apartments" on its A380s and Emirates has indicated it might follow suit.

"The super first market is like a private jet where you own the aircraft itself. I don't think it is economically viable although it might give you some bragging rights," he said.

"I think there will always be first class but it will become a little bit route specific at the end of the day. It's not going to be a huge market because corporates are far more cost- conscious after a couple of recessions and the business class product is getting so good."

First quarter operating profit for Singapore fell 52 per cent to $39 million earlier this year but the airline - with 105 wide-body planes - retains giant cash reserves.

The airline was not going to draw on reserves it wanted to save for a "rainy day", Tan said.

"We have to define our battlefield and do what we're good at and what we can build on."

Grant Bradley travelled to Singapore courtesy of Singapore Airlines