It was on 28 January last in Kuala Lumpur and the group AirAsia presented its new identity: Capital A. The name change reflects a new commercial strategy for the carrier. Capital A in fact brings together a wide range of activities in the travel and lifestyle. Quite a unique phenomenon in the airline world.
This is what Tony Fernandes, CEO of AirAsia and now of Capital A, emphasises. This is an important step that marks a new era for the group. This announcement reinforces the fact that we are no longer just an airline. It has always been my firm intention, long before the arrival of the pandemic, toexploit the data we have accumulated over 20 years. And tointegrating new cutting-edge technologies to offer a wide range of products and servicesIt goes beyond simply selling airline tickets. "
Diversification at the heart of Capital A's strategy
Paradoxically, the Covid pandemic played a key role in this decision.. The virtual cessation of aviation activity has accelerated the diversification of the business. Capital A aims to be a one-stop digital travel and lifestyle services group. With the Association of South East Asian Nations, theASEAN. " With access to more than 700 million people in the regionI foresee incredible growth opportunities for our brand in many sectors in all our major markets.explained Tony Fernandes.
one of the top three online travel agencies in ASEAN
Because it's not just about selling airline tickets, the former AirAsia group has become a jack-of-all-trades in the services sector. " We offer 16 products and services on our application AirAsia Super App. Not only do we offer the best flight and travel deals. But we also cover everyday lifestyle needs, from food and retail to e-commerce, 24-hour delivery, car rental and much more. This makes us one of the top three online travel agencies in ASEAN. Our Super App is soon to become the region's leading lifestyle app, "says Tony Fernandes. According to the CEO, AirAsia's Super App is used by 50 million people every month…
One of the most dynamic applications, for example, is BigPay. An application that includes a credit card, money transfers to a dozen countries and the ability to manage an account.. Currently available in Malaysia and Singapore, it is now awaiting the green light from the authorities in Indonesia and Thailand.
Air transport expected to recover in 2022
As far as the airlines are concerned, Tony Fernandes acknowledges that the situation remains complex because of the Asia's reluctance to reopen to the world.
" If Capital A is the new name of the group's holding company, one thing that hasn't changed is the AirAsia brand name for our airlines. It is one of the strongest brands in Asia. It provides a solid platform for all our other products and services, which can then be mutually enriched.he describes.
" The last two years have been the most difficult and turbulent in the history of commercial aviation, but I look forward to the year ahead with greater confidence. Domestic air travel has already started to rebound in our main markets. And I hope that the borders will gradually reopen throughout 2022 and that our international services will return to normal capacity by the middle or third quarter of this year, "says Tony Fernandes.
In 2021, the AirAsia Group airlines carried 4.8 million passengersThis represents a decline of 64% compared with 2020 (13.3 million passengers). This also represents 9% of its 2019 traffic. In fact, during the last year before the Covid crisis, the group recorded a record 51.56 million passengers…
Malaysia accounted for most of the traffic with 3.1 million passengers in 2021, followed by Thailand with 2.93 million. Indonesia and the Philippines saw similar passenger traffic at just over 800,000.
A bright future?
The situation is not hindering Capital A's ambitions. By 2026, the Group has set itself the following targets:
- Connect more than one billion people to, from and within ASEAN
- To become a leader in aviation maintenance and repair.
- Strengthen AirAsia Super App and BigPay.
- To increase its Teleport subsidiary's market share in the ASEAN logistics and e-commerce sector to 10%.
- To reach more than 21 million orders each month on airasia grocer.
- To have 5 million enrolments on its teaching subsidiary AirAsia Academy.
The airline also hopes to make Santan, its in-flight catering service, a restaurant franchise throughout ASEAN.. The first restaurant already exists in the heart of Kuala Lumpur, and ready-to-use dishes are already available.
The latest development is that the company has just signed a non-binding memorandum of understanding to lease a minimum number of 100 VX4 aircraft to international aircraft leasing company Avolon. The VX4 is a vertical take-off aircraft (eVTOL), which would be used as a flying taxi. It would be virtually silent in flight, produce no emissions and have a low cost per passenger-mile.. The VX4 would be one of the new forms of urban mobility, with a range of 150 km and a cruising speed of 320 km/h.
