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Prepared by:

GROUP 10:
VARSHA BHARDWAJ
VISHWAJEET KISHAN GAIKWAD
W JASON SINGHA
YATI K BANSAL
RONIT DAS
As Asia’s leading airline was established with the dream of
making flying possible for everyone.
Largest no-frill airline
Established in 1993 and started in 18 Nov. 1996.
Associate companies: AirAsia X, Thai AirAsia and Indonesia
AirAsia, AirAsia is set to take low-cost flying to an all new
high with their believe

‘’Now EvEryoNE CaN Fly’’


Dato' Sri Anthony Francis Fernandes – founder
CEO of AirAsia
The largest LCC in Asia
The fourth largest airline in Asia

265 aircrafts, in 8 airlines

100 million passengers flown annually >500 million total passengers


flown

152destinations across 22 Countries

Over 388 routes, including


114 unique routes

24 hubs

Over 10,000 flights per week


Ancillary revenue growth from data &
digital initiatives

2008 9x
RM2.06bn
RM0.23b
n
2018
21% Of revenue
9% of revenue ✔ Pick-a-seat (+ hot
Baggage seats) ✔ Wi-Fi, inflight
Pick-a-seat F&B
Inflight F&B ✔ Insurance
✔ our shop
✔ Fly-Thru
✔ Cargo
Data to drive ecosystem expansion BIG
Data and Real-time Insights

Engine & Component

Contact FOMA
Details X Transactions
Online
Activity
Maintenance
Demographic Loyalty
Mobile Feedback
Activity

Transactions Guests Social

Feedback Lifestyle Data Cabin


Data Speed
Queue
Baggage Weight Passengers Time
Weight

Passengers
Movement
Temperature
Apron Terminal
Counter
Available data Aerobridge
Transactions Location
Movement
source Potential

new data source


AirAsia.com - All-in One Travel and
Lifestyle Marketplace

New enhanced homepage


UX/UI on web & mobile
SIMPLE PRODUCT LOW OPERATING
(No Frills) COSTS

Low Cost Carriers (LCC)

POSITIONING

Low Cost Carrier Business Model


MARKETING STRATEGY

Positioning Low-cost short haul, no frills

Aircraft Airbus A320 with 180 seats

Seat Type Single Seat ( Economy class only)

Seat Option Free seating with Xpress boarding option

In-Flight Wide range of light meals and snacks available for


Services purchase on board
Macro Analysis for Air Asia
Political and Legal

 Strict regulation by the UMNO(united Malays national organization)


authorities to implement uniforms for the hostess.
 Government regulations :target particular routes, landing permission.
 Human resource management undergoes political pressure as the
recruitment process of Air Asia is focused on the racial determination
rather than their merits.

Economic

 The increase in oil prices has critically impacted the operations of the
organization.
 New competitors introduced low-cost .
Social

 The diverse people are capable of affording the costs concerning their
location and currency as the organization operates widely among the
diverse locations.
 The adaptable quality of the employees.

Technology and Environmental

 The use of advanced aircraft technology results in lower fuel


consumption.
 The customers are able to book their tickets and gain promotional
discounts through internet booking.
Micro Analysis for AirAsia
Bargaining power of Supplier
 Analysis of the bargaining power of suppliers is crucial for any organisation, as with the
help of this, an organisation manages the capital and makes decisions regarding financial
management
 ranges from low to medium

Bargaining power of Buyers

 The buyer power for Air Asia is analysed to be high as with increasing options in the
international market and decreasing prices of air tickets, people of every category of society
can afford flying, and hence, the bargaining power of buyers is also high.

The Threat of Substitution


 sufficient low-priced airline options available for passengers to travel.
 This is because of increased globalisation among industries and travelling, and the
tourism industry has been severely affected by it. This has raised the threat of
substitution for Air Asia, as in any case of customer dissatisfaction or unavailability of
service, it will be easy for the passengers to shift to some other airline company.
The Threat of New Entrants

 the loyalty of the customers is found to be weak.

 Tiger Airways.

Competitive Rivalry

 The major reason is that the number and type of competitors remain the same for a long
time, and this reduces the chance of an airline company at a lower level coming higher in
the market.

 Brands, such as Tiger Airways, are sustaining in the competition as they also provide air
transportation at cheap costs to people. This affects the customer strength of Air Asia,
and these companies pose a threat to the company.
Awards and Recognition

Masterclass Global CEO of the Year
awarded to


YBhg. Dato' Tony Fernandes

World's Best Low Cost Airline
by Skytrax

AirAsia voted the Air Cargo Industry Newcomer


Award at the ACW World Air Cargo Awards 2010
by
Air Cargo Week
Airline Of The Year By Centre for Asia Pacific Aviation
(CAPA)

Tony received the 2009 Frost & Sullivan Excellence in


Leadership Award by Frost & Sullivan

Best Asian Low-Cost Carrier By TTG Travel Awards


2009

World's Best Low Cost Airline by Skytrax


THANKYOU

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