Airasia Essay 7

Comp both Background AirAsia Berhad as know as AirAsia is a Malayan low- cost airline. It operates scheduled domestic and international u flights and is Asias largest low fare, no frills airline. AirAsia pioneered low cost travelling in Asia. The airline was established in 1993 and started operations on 18 November 1996. A government-owned conglomerate DRB-Hicom origin ally founded it. On 2 December 2001, the heavily-indebted airline was leveraged by former Time Warner executive Tony Fernandess federation Tune Air Sdn Bhd.AirAsia is the source airline in the region to apparatus fully ticketless travel and unassigned seats. However, as of 5 February 2009, AirAsia has implemented allocated seatings across all AirAsia flights, including in their sister airlines, Indonesia AirAsia and Thai AirAsia. In 2003, AirAsia opened a abet hub at Senai international Airport in Johor Bahru near capital of Singapore and launched its first international flight to Bangkok. AirAsia has since sta rted a Thai subsidiary, added Singapore itself to the terminal figure list, and commenced flights to Indonesia.Flights to Macau started in June 2004, while flights to Mainland China (Xiamen) and the Philippines (Manila) started in April 2005. Flights to Vietnam and Cambodia followed later in 2005 and to Brunei and Myanmar in 2006, the latter by Thai AirAsia. Its main base is the Low make up Carrier Terminal (LCCT) at Kuala Lumpur International Airport (KLIA). LCCT will ab initio handle 10 million passengers a year. Its affiliate airlines Thai AirAsia and Indonesia AirAsia bewilder hubs at Suvarnabhumi Airport, Thailand and Soekarno-Hatta International Airport, Indonesia, respectively.The airline is also considering founding Hong Kong AirAsia in the future. AirAsias registered mail service is in Petaling Jaya, Selangor while its head office is on the grounds of Kuala Lumpur International Airport in Sepang, Selangor. AirAsia operates with the worlds lowest unit cost of US$0. 023/ ASK and a passenger break-even load factor of 52%. It has hedged 100% of its fuel requirements for the next three years, achieves an aircraft turnaround fourth dimension of 25 minutes, has a crew productivity level that is triple that of MalaysiaAirlines and achieves an add up aircraft utilisation rate of 13 hours a day. AirAsia is currently the largest single client of the Airbus A320. AirAsia Rock India Campaign This wise unfoldment is subsequent to AirAsias huge victory of Tiruchirapplalli (Trichy) followed-by Kolkata, Kochi and Thiruvananthapuram (Trivandrum) recording an average of 80% load factor on all four existing routes. Thus, these new services will not solely complement AirAsias aggressive growth in India, but is also nourishment more traffic into the country.The reason why AirAsia is choosing India market is because India market is second only to China in growth, as the India market is booming AirAsia has pertinacious extending its footprint with the launch of it s direct flights to 6 new routes in the first quarter of 2010. This new services to key metro cities include Chennai, Bangalore, Hyderabad, Mumbai and new-fashioned Delhi from Kuala Lumpur and from Penang to Chennai. It is also noteworthy to highlight that AirAsia is the only airline from Malaysia which will be flying to Bangalore and Hyderabad from Kuala Lumpur and from Penang to Chennai.The Chennai, Bangalore and Hyderabad sectors will be serviced by AirAsias A320 aircrafts, Mumbai and Delhi will be served by its long-haul affiliate, AirAsia X via its new Airbus A330 fleet. AirAsia is the only airline which connects to the most points in India from Malaysia with a total of 148 flights weekly. Segmentation To promote India tourism sport and stimulate new travel demands and further tap markets AirAsia is focus on working adult, families and backpackers. peculiarly to young working adults and families, to travel to Malaysia and thereafter use Kuala Lumpur as a gateway to over 130 ro utes in Asia, that includes regional ASEAN cities or long-haul sectors serviced by AirAsia X. And to achieve AirAsia objective Now everyone can fly AirAsia will give birth this by liberalizing the air travel with undisputed low-fares, opening-up the India market to the world and animation businesses and more. Database selling Approximately 60% of overall meshs are made online by AirAsia website.The remaining 40% of bookings are done through Nationwide presage Centre, Preferred Travel Agents, AirAsias Airport Stations and Sales Offices. Consumers who choose online obtain ticket have to fill up name, gender, occupation and others information and for consumers who offer to get latest news or promotion from AirAsia they can give an posting and become a member of AirAsia. With all database that collect from online booking and sales office, AirAsia able to track their customer and segment them by demographic segmentation. With these databases AirAsia able to have got consumer b y sending E-gift voucher for them. The E-Gift Voucher is an modern gift for all occasions as well as universe a much-appreciated corporate gift for its high perceived value. ) Direct Marketing Offer Planning While everyone is foc development on China market, AirAsia develop and create a wonderful strategy and come out with modified offering to their customer to successfully in their business by taken a first move good extends their business to India and have the advantage of being the first low cost airline in India with using Price Leadership Strategy to attract consumer form Malaysia or India.This set aside it to establish itself before competition increases in this low cost segment, aside from competition that already exists across segments (low cost vs full service carriers). This is a major strength, as AirAsia will be laying down the rules and frameworks for the manufacturing in a manner that suits its business and operational model. This also adopt cross selling to Ai rAsia. To add value, AirAsia, under GoHoliday at www. airasiago. com, also offers more or less great online hotel deals to stretch the dollar where guests can choose their holiday pad from over 50,000 hotels, tour packages and ground transfers.Guests are also encouraged to purchase food, supersize their baggage, hot seats online to enjoy more discounts and savings through www. airasia. com. AirAsias low-cost model, with its ultra low fares and modern fleet of comfortable and spacious aircraft, is undoubtedly an attractive consumer proposition, strong enough to compete with premium airlines. At any time after a booking has been made AirAsia may channelise their schedules or cancel, terminate, divert, postpone reschedule or delay any flight where they reasonably consider this to be justified by circumstances beyond their control or for reasons of safety or commercial reasons.Unfortunately the legal injury and Conditions of AirAsia dont allow for a refund but to protect consumers in the font of such flight cancellation, AirAsia shall at their option, either carry consumers at the earliest opportunity on another of AirAsia scheduled services on which space is available without additional charge and, where necessary, extend the validity of consumers booking or choose to travel at another time, retain the value of consumers fare in a credit account for future travel provided that consumers must re-book within three month.