Malaysia Airlines Drops First Class In Favor Of “Business Suites”

This sure is a strange move. Malaysia Airlines presently has first class on 12 aircraft, including six Airbus A350s and six Airbus A380s.

Their A380s each have eight first class seats, spread across two rows in a 1-2-1 configuration.

Meanwhile their A350s each have four first class seats, spread across a single row in a 1-2-1 configuration.

Well, Malaysia Airlines has revealed that they’re dropping first class throughout their fleet… sort of… but not really.

Malaysia Airlines rebrands “first class” as “business suites”

As of December 12, 2018, Malaysia Airlines is rebranding their first class as business suites. This applies to both their A350s and A380s.

So, what’s changing when it comes to the passenger experience? Absolutely nothing. Malaysia Airlines says they’ll maintain exactly the same service, food, drinks, lounge access, and everything else as they currently have. Literally nothing is changing… other than the name.

Why is Malaysia Airlines eliminating first class (in name)?

Malaysia Airlines’ logic here is truly bizarre. Malaysia Airlines’ head of customer experience tells AusBT the following:

“We realise that with the recent economic situation a lot pf people have moved away from first class, and a lot of corporate passengers now have the limitation of not flying first class (due to) corporate policy, so we want to cater to that market and open it up.”

So essentially it sounds like they’re trying to do this to allow travelers to trick their corporate travel policies. But here’s the thing — Malaysia Airlines will continue to use first class fare codes for business suites, which includes F, A, and P.

Apparently Malaysia Airlines plans to lower the price of first class with this rebranding as well. The price for the new business suites will allegedly be about halfway between their current first class fares and current business class fares.

What does make sense…

The truth is that there’s not really sufficient demand for Malaysia Airlines to have first class. Business class on Malaysia’s longhaul flights is often sold out, and that’s largely because they have very attractive fares. However, first class is pretty consistently empty, in my experience.

There’s no denying that the airline should get more creative with trying to upsell to first class for a reasonable premium. However, I’m not sure why that needed to come in the form of rebranding the cabin as business suites.

Bigger picture, Malaysia’s markets just don’t seem to have a need for first class, given that it’s not selling. Yet they still took delivery of A350s with first class. My guess is that this may have been more due to government demands than anything else, though.

Bottom line

Malaysia Airlines’ logic for rebranding first class as business suites is bizarre. Are they really encouraging corporate travelers who aren’t allowed to book first class to try and deceive their company with this, even though the product will continue to book into the “F” fare class?

This also creates a lot of confusion when it comes to branding. Will the Malaysia Airlines first class lounge in Kuala Lumpur be renamed the Malaysia Airlines business suites lounge?

This solution is certainly attempting to address an issue the airline has, which is that they’re not selling first class well. However, I don’t feel like this will make it better.

What do you make of Malaysia rebranding first class as business suites?

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Peter Alba Guest

Sensible and innovative. Perhaps an idea other airlines might follow to offer greater customer choice at a more value driven price and crucially increase passenger numbers. Bit like what premium economy has done!

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Bour Guest

Fewer and fewer airlines are offering first class. It is dying. We are moving to two broad service categories - economy/coach and business. But, economy now supports a range of value propositions from basic economy right up to premium economy which offers more personal space. It would be naive not to expect business class to likewise evolve and, as the analogue to premium economy at the top end, I think Malaysian are prescient in recognising business suites. They can clearly be marketed as offering more privacy on board for executives working with sensitive materials. I don't think that is deceiving employers. I can see a genuine business need/advantage for greater privacy - as a business you don't want your executive's seat mate to read the urgent email s/he receives about a pending acquisition for example. Wi-Fi on planes, and the implications that sensitive emails might arrive at any time, is a driver for change.

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Airways and Travels Guest

I have just flown MH First NRT-KUL and I must say they beat my expectations! A very good product, both hard and soft.

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Rupert Guest

The MH A380 have mostly been pulled of regular, scheduled service, leaving 6 A350 with a grand total of 24 First class seats. It makes no sense to incur the cost of maintaining separate First branding for that little volume. And the people most benefiting from this will be government employees who can now enjoy them - makes sense for a government controlled airline... Most people who fly First for business/leisure in the region fly SQ anyway....

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Andy Diamond

Lucky, corporates tend to look at what the travel agents invoice shows. Our travel agents’ (a global player) invoices - oddly - tend to go with with fare class codes - which has some strage effects: For instance LOT (LO) uses F for their cheapest Business fares - with to consequence we have to book some more expensive fares, because the travel agents’ invoice for LO F Business Class will show First Class, which is not permitted in any case. The opposite occurs with TK - the invoice for K class shows Economy, although it is a Business fare ... with the consequence that some staff in other divisions started booking it even on trips they are not entitled to Business Class ... and my staff moans that their boss being too knowledgable ... Therefore I suspect that MH will not be able to attract too many more customers for Business Suites, as long as they carry F fare codes ... Cerainly my staff (including myself!) will not be able to book Business Suites.

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