Indonesian Political, Business & Finance News

AirAsia-MU deal pays off

| Source: AFP

AirAsia-MU deal pays off

Agence France-Presse, Kuala Lumpur

AirAsia, Southeast Asia's pioneering low-cost carrier, said on
Wednesday its recent sponsorship deal with Manchester United is
already proving its worth in attracting business.

"Its already paying off. The trend is there. We are now seeing
customers from Europe who have changed their holiday plans to
come to Malaysia instead," Kamarudin Meranun, executive director
with AirAsia, told AFP.

AirAsia signed its one-year, low-fare carrier sponsorship deal
with Sir Alex Ferguson's team in July in Hong Kong during the Red
Devils' Asian Tour.

Kamarudin declined to reveal the cost of the deal which comes
with an additional one-year option but said it was a "win-win
agreement" for both AirAsia and Manchester United.

"The sponsorship deal gives AirAsia greater visibility in the
global market. United's games are beamed all over the world,
including to destinations that we fly and plan to fly like China.

"So when a game is played at Old Trafford, AirAsia's logo and
name will be on the electronic (advertising) board and shown
across the world to millions of people," he said.

The agreement, among other things, allows AirAsia to paint its
aircraft in the colors of the world's best supported team and
sell United's merchandise on its flights.

"It is a partnership to build awareness and encourage
potential tourists from Europe to (come to) Asia and fly
AirAsia," Kamarudin said, adding: "We are confident it will
bolster our bottomline."

Kamarudin said AirAsia is also seeking an alliance with an
international carrier, possibly Malaysian Airlines, to fly in
European tourists.

"(These) passengers can then use AirAsia to fly local and
regional routes. We hope we can work with national carrier
Malaysia Airlines," he said.

Earlier this year the possibility of such a tie-up with
Malaysia Airlines was raised by both government and company
officials in the face of soaring fuel bills.

AirAsia was the first regional low-cost carrier. Starting from
humble beginnings it now operates a fleet of 30 Boeing 737-300s
and flies to 52 destinations in Malaysia and six internationally.
It plans new routes to Brunei, Cambodia, China and Vietnam in the
near future.

In the financial year to June, AirAsia carried 4.4 million
passengers, up 55 percent. It recently ordered 100 Airbus A320
aircraft which will completely replace its current fleet of
Boeing aircraft.

View JSON | Print