The price offer by an airline company may not be fixed but it will depend on the time differences between the date of booking and flight. These are people ranging from those who could not afford to fly previously, to corporate business employees whose employers are looking to fly them while cutting costs. As there are adequate options available for passengers to choose from, at the similar price as Air Asia, the company needs to focus on the amenities and hospitality services it provides to the customers. Do check out our Free Digital Marketing Masterclass by Karan Shah. Given the current situation, in-flight experience, especially hygiene matters a lot to customers so AirAsia should heavily market its hospitality and put customers at ease in availing their services. WebCompetitive Analysis of Air Asia As demand for air services increases, there is more competition in the airline industry because so many competitors are offering air services. This model is widely implemented by various organisations for the development of their strategies in the industry. Its going to analyze the internal and external factors impacting the worlds leading low-cost airline. Air India, Emirates, and many other Asian airlines have also started following the low-cost carrier strategy to attract market share. Kamarudin Meranun and Tony Fernandes bought the airline on Sep 08, 2001. SIA introduced 2 budget airlines; ValuAir and Tiger Airways.. Some writers often extend the acronyms to include legal and environmental factors. The company is observed to possess a significant reputation among the competitors, customers and the markets of the establishment. Here you can choose which regional hub you wish to view, providing you with the most relevant information we have for your specific region. This has been possible due to the companys relentless communication through various marketing channels. Rising Fuel Costs 2. Now, the brand should amplify its marketing and promotional campaigns to attract the Indian price-conscious market. Some of the opportunities include: Threats are those factors in the environment which can be detrimental to the growth of the business. WebAirasia are now facing competition with approximately 59 low fares airline such as JAL Express, Tiger Airways, Air Arabia, JetStar Airways, and etc. For example, they had a #responsibletraveller campaign on Instagram. The largest airline in Malaysia the business is known to be highly employee centric. The cost-cutting strategies of AirAsia are effective and beneficial in terms of financial growth and maintenance (Ahmad and Neal, 2006). Revenue performance has greatly improved with sales across the group up 57% this week versus the preceding week, supported by the latest Currently, most of the Airasias aircraft are using Airbus model which using Boeing model previously and Airasia is then lease it and replace with Airbus model.If in case Airasia may wish to switch to Boeing again, the cost of training employee in operating the aircraft feature is high. Hi, I am an MBA and the CEO of Marketing91. The large fleet size and the high number of destinations help the company to diversify its resources and amplify its target market. Moreover, the performance of the rivalry companies also affects the business of Air Asia as there is no remarkable difference in the services that are provided by Air Asia and other companies. AirAsia is one of Asias most successful low-cost carriers. This company also operates through affiliated airlines, such as Thai Air Asia, Indonesia Air Asia, Philippines Air Asia. The cost may include staff retrenchment fee, paying off the loan or debts and refunds due to flight cancellation so it may expensive for an airline company to leaving the industry. The threats for any business can be factors which can negatively impact its business. Furthermore, competitive analysis has also been conducted for AirAsia in this report along with marketing mix 7 Ps and SWOT analysis. Their target audience is- travelers looking for inexpensive flights. (vitag.Init = window.vitag.Init || []).push(function () { viAPItag.display("vi_23289101301") }). Well established LCC operating out of South East Asia, 3. There are many services that are provided to the employees of the organisation, such as training and motivational lectures. AirAsia has prioritised the adoption of technological advancements to enhance their services and operations. AirAsia X share began trading on Bursa Malaysia, formerly known as the Kuala Lumpur Stock Exchange, on 10-Jul-2013. The increasing fuel cost and the labor cost have amplified the overall expense of AirAsia. The approach towards providing the lowest costs results into a low opportunity for gaining significant profits as the company abides by its approach of maintaining lowest flight costs. AirAsia is already trying to achieve that by expanding their facilities to hotel bookings, tour packages, etc to try and gain some competitive edge along with diversifying their product portfolio. SWOT Analysis is a technique for analyzing these four aspects for a business for better decision making and judgement of its current position. The company will increase the current IT facilities used in the aircrafts to enhance the facilities provided to the customers. A brand's opportunities can lie in geographic expansion, product improvements, better communication etc. Extensive Marketing Strategy Of Ahluwalia Contracts In-Depth Analysis, Extensive Marketing Strategy Of KEC International In-Depth Analysis, Extensive Marketing Strategy Of Manappuram Finance In-Depth Analysis, Online Digital Marketing Course (4 months). AirAsia Airline As the best low-cost passenger. The overall services that are provided by Malaysia Airlines and AirAsia have a tremendous difference. As compared to industry leaders, they dont operate on as many routes, Merging with other low-cost airline companies, They can introduce more flights for popular and busy destinations, The increasing traffic from India as Indians prefer budget airlines. Premium airlines, such as Singapore Airlines and Cathay Pacific, taking advantage of the healthy macro-economic variables in Basic things to know before seeking help in assignment. Some of the threats include: If you liked this article, we bet that you will love the Marketing91 Academy, which provides you free access to 10+ marketing courses and 100s of Case studies. It must have a good relation with hotels and tourism companies around Asia. Pacific (Cebu Air Inc, 2012), AirAsia (AirAsia, 2011), and JetStar Airways (Jetstar Airways, 2012) all reporting increase in revenues and recording profits over the previous year. 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. Let us now get into its marketing strategy. The airline which was set up in the year 1993 started operations in the year 1996 and is thus a fairly new airline. The cheap flight tickets are given to the customers on the basis of the demand in the form of promotional schemes. Strict regulation and prioritisation by the UMNO (United Malays National Organisation) authorities to implement uniforms for the hostess. WebStep 2 Identify the competitors of Airasia and group them based on the segments within the Transportation industry. Business is my passion and i have established myself in multiple industries with a focus on sustainable growth. Airasia are now facing competition with approximately 59 low fares airline such as JAL Express, Tiger Airways, Air Arabia, JetStar Airways, and etc. Low Cost Model: Low cost operations and fixed costs . Below are the top 3 competitors of Air Asia: 1. In this strategy, the company uses activities such as inbound logistics, where all the aircrafts are of one type; hence, reducing the maintenance cost, scheduling cost, and cost of managing inventory. Supplier concentration in a few hands. Competition: The company faces a lot of competition from brands such as Air India, Singapore Airlines, Virgin Airlines etc. Start-up Cost is high. As AirAsia expanded its services, the company expanded its facilities, including travel Increasing globalisation has led to an increase in the lifestyle and financial condition of people. High Switching Cost. In order to build buzz, cheap flight tickets are given out based on demand in the form of promotional schemes. AirAsia is an experienced brand in the airline industry. AirAsias mission is to be the best company, which ensures good relations between its management and employees, to make everyone fly with AirAsia by attaining the lowest cost, employ new technology to maintain highest quality products and enhance service levels. AirAsia X was regarded as having the worlds best low-cost airline premium seat and the worlds best low-cost airline premium cabin for five consecutive years (AirAsia X, 2018). Airasia had expanded its services provides to hotel booking as it already has its own hotel (tune hotel) which located not far away from its airport, and tour packages. The diversity results in critical issues and problems for AirAsia to manage and operate all its functions accordingly. This is due to Airbus is a UK based aviation company and their customer may come from around the world. It was named as the Best Low-Cost Airline Company in the world for 9 consecutive years at the Skytrax World Airline Awards. It is an international air travel carrier that started its flights in Malaysia and expanded its base globally. The company makes use of innovative solutions in order to provide low-cost aviation. Competitive analysis involves identifying your direct and indirect competitors using research to reveal their strengths and weaknesses in relation to your own. But of course, there exist many competitors that require constant evaluation of strategies. Air Asia Competitors There are several brands in the market which are competing for the same set of customers. Best regards from Kazakhstan.My name is Ainash. Thai AirAsia faces new competitive threats in Thai Lion and Thai VietJet. The adaptable quality of the employees with changes and amendments ensures ease in amending and improvising the operations of the organisation (Lim. The Marketing mix refers to the set of actions and tactics which a company uses to promote its brand. The company constantly invests in improving the facilities it provides to the passengers and has introduced facilities, such as in-flight meals, complimentary WiFi, entertainment facilities such as separate televisions for passengers, and seat options including flatbeds (Abdullah, Chew and Hamid, 2017). Apart from that, AirAsia engages in popular promotions such as social media advertising, print advertisements, and simple but efficient billboard advertising. AirAsia is a low-cost multinational Malaysian airline. The bargaining power of buyers is strong when the switching cost of airlines is low. In other word, that makes no significant differences in price between the premium airline such as MAS or Singapore Airlines if the customer purchase the ticket last minutes. AirAsia was named as the best low-cost airline company in the world for 9 consecutive years at the Skytrax World Airline Awards. However, AirAsia provides service packages to its customers at a very reasonable charge that is affordable to the customers in comparison to the competitors in the airline industries. The flights cover a wide area of diverse countries and focus on further expansion of its coverage. WebAirAsia Competitors Specify up to 10 symbols: WH REGN XHR NVO VRTX HOG IHG rprx Sophisticated investors, who have witnessed many market ups and downs, frequently Like Manchester United, Queens Park Ranger, Jamshedpur FC, Singapore national football team, Malaysia national football team, and others. The airline has four subsidiaries including Air Asia X, Indonesia Air Asia X, Indonesia Air Asia and Thai Air Asia. Let us start the Air Asia SWOT Analysis: For Air Asia, SWOT analysis can help the brand focus on building upon its strengths and opportunities while addressing its weaknesses as well as threats to improve its market position. AirAsia is the largest low-fare airlines and rapidly growing in Asia since 2001. They have official handles on all major platforms but for the purposes of this segment, we shall take a look at the main 3, which are Instagram, Twitter, and Facebook. Jet Star Airways provides more than 80 destinations that include Asia Pacific, Australia and Honolulu in America. AirAsia has been facing the competition with the varied existing low fare airlines that include Jet Star Airways, Tiger Airways, JAL Express and Air Arabia. The increasing traffic from India and Indians prefer budget airlines as they are cost conscious 2. WebAirAsia Bhd Fundamental Company Report Including Financial, SWOT, Competitors and Industry Analysis Enhanced SWOT Analysis (+ US$ 75.00) PESTEL Analysis (+ US$ 150.00) IFE, EFE, IE Matrices (+ US$ 125.00) Porter Five Forces Analysis (+ US$ 75.00) VRIO Analysis (+ US$ 175.00) Special Bundle, including all types of analyses (+ US$ Technology is a major component of organisational structure which is completely analysed on the basis of IT framework of Airasia in particular region. AirAsia has the vision to be one of the best and largest airlines that operates at a low cost. Use fundamental and technical analysis of AirAsia Group and its peers Please click here if you are not redirected within a few seconds. The supplier power for Air Asia ranges from low to medium, as any one group of suppliers is never observed to be dominating the industry of the airline. These include a 36% increase in passengers carried by AirAsia Malaysia, 79% increase in passengers carried by AirAsia India and an increase of 65% of passengers carried by AirAsia Thailand. Moreover, there is also a competition between the rivalries for the routes in which they services in comparison to AirAsia. As per the past experiences and the feedback of the customers, Malaysia Airlines are found to react their destinations on time in comparison to AirAsia. Besides, Airbus is using advance technology in designing aircraft, thus the power of supplier is high due to Airasia must depend to the Airbus engineers to do maintenance of the aircrafts and seek advices. AirAsia participates in a lot of price-based promotions. Thus, the customer may choose to purchase premium airline which may offer them more comfortable facility in almost same price with Airasia. Continue reading more about the brand/company. It employs an anchor pricing policy, which establishes a baseline for pricing all AirAsia-operated flights. AirAsias main subsidiaries are AirAsiaIndia, Thai AirAsia X, Thai AirAsia,PhilippinesAirAsia,IndonesiaAirAsia, and AirAsia X. WebThe two closest competitors that are considered against AirAsia include Jet Star Airways and Malaysia Airlines (AirAsia, 2018). Lets understand AirAsias competitors better with analysis. The first decision by the Malaysian Competition Appeal Tribunal since its inception more than four years ago caught the media and publics attention. It mainly constitutes of two major subsidiary airlines that includes MASwings and Firefly. As reported in The Edge Markets in 2019, Khazanahs managing director Datuk Shahril Redza Ridzuan claimed that the airlines CASK was only 15 per cent to 20 per cent higher than AirAsia and was in fact lower than regional airlines such as Singapore Airlines, Thai Airways and Cathay Pacific. It is essential to choose the right set of employees for the organisation in order to maintain their position. Relative insignificant influence of buyer to supplier. Following is the SWOT analysis of AirAsia: Lastly, lets take a look at AirAsias social media marketing presence as digital marketing is also a very important part of any companys marketing strategy. The Indian market is highly price-conscious. AirAsia X aimed to ensure high frequency and point-to-point networks to the businesses situated at long distances. SWOT analysis of Air Asia analyses the brand by its strengths, weaknesses, opportunities & threats. Air Asia is known for treating its employees and customers well. The company believes that customers are the key to their expansion along with their growth. Learn how your comment data is processed. Any opinions, findings, conclusions or recommendations expressed in this material are those of the authors and do not necessarily reflect the views of UKEssays.com. Comment * document.getElementById("comment").setAttribute( "id", "a896926ff00456d33666396e451bba6e" );document.getElementById("i2e65971ac").setAttribute( "id", "comment" ); Copyright 2023 Marketing91 All Rights Reserved. The two closest competitors that are considered against AirAsia include Jet Star Airways and Malaysia Airlines (AirAsia, 2018). Customers have access to market information. Concentration of Buyers power in many hands. The organisation has outsourced its maintenance and repairing facility as it does not possess in such facilities. The company registered an annual turnover of USD 1.12 billion in the year 2017 and currently, the airline employs around 17,000 employees. In the increasing demand of the airline services, there is a tough competition in the airline industry because of the varied numbers of the competitors that are providing the airline services. Their slogan Now Everyone Can Fly itself sets the tone for the brand. MBA Skool is a Knowledge Resource for Management Students, Aspirants & Professionals. The company makes use of robust enterprise resource planning system, which allows it to successfully maintain process integrity, speeds up reporting, and data retrieval process. Air Asia comprises of a capable and dedicated customer care team, which is committed to resolving the complaints by the customer as soon as possible. Air Asia also engages itself in the promotion of the company through social media, print advertisements, and effective billboard advertising (Mele, Pels and Storbacka, 2015). The complaints received by the organisation are identified to be the consequences of low prices as the organisation may face critical problems in ensuring service and assistance with the low-cost flights. Rising Labour Costs 3. As there are approximately 59 low cost airline operating in the industry,it is always easily for the customer to look for alternative. WebAnalysis for Cost Leadership Strategy and Core. The Air Asia X mainly focuses on the long-haul routes (Yarimoglu, 2014). In contrast to this, Jet Star Airways has more types of planes that are provided to its customers that includes A320, Bombardier Q300, A321 and Boeing 787 Dream Liner; whereas AirAsia offers only two types of planes to its customers, which are A330 and A320. The following are the strengths of Air Asia : Weaknesses are used to refer to areas where the business or the brand needs improvement. Relative Price. The profits of the organisation have been observed to be remarkable which introduce an opportunity to new competitors causing a severe threat to AirAsia for sustainable profits. Thank you for reading this case study. AirAsia should expand into more countries, increase the market, and target new customers. The article below lists the Air Asia SWOT, competitors and includes its target market, segmentation, positioning & USP. The company has partnered with the worlds most famous maintenance providers to ensure its passengers safety. Air Asia PESTLE Analysis examines the various external factors like political, economic, social, technological (PEST) which impacts its business along with legal & environmental factors. A Marketing mix mainly focuses on the 4ps of an organization, which are Product, Place, Price, and Promotion. It constantly delivers on this promise of affordability, It is extremely difficult to keep costs as low as possible due to fluctuations in fuel prices and increases in service costs, AirAsia does not have its own MRO facility, Cut-throat competition in its sector. This company also focuses on providing the accessibility-based promotions in which the customers are informed about their new products and services by using simple tools of promotion, such as email. WebAirAsias top competitors are Air India , American Airlines, Emirates Airlines , British Airways , Delta Airlines, Tiger Airways, Silk Air, Jetstar Airways, and many others. After an in-depth study of the swot analysis of AirAsia, weve concluded that AirAsia is indeed the worlds leading low-cost airline. Disclaimer: This is an example of a student written essay.Click here for sample essays written by our professional writers. The organisation can be witnessed to confront critical competition from the competitors who are facilitating similar costs and additional services and privileges which act as a drawback for the organisation (Man and Justine, 2005). The dynamic oil prices and service costs result into criticality for maintaining the low-cost flights as the organisation focuses on facilitating the most affordable costs to its customers (Daft, Murphy and Willmott, 2010). At last, Strategic priorities are identified and analysed to provide the values that help AirAsia in fulfilling its aim. Moreover, it also provides numerous opportunities to travel and explore overseas, developing skills for new cultures. Browse marketing analysis of more brands and companies similar to Air Asia. IT infrastructure of the organisation is utilised with a remarkable approach which enhances the operations and management of the organisation. Our academic experts are ready and waiting to assist with any writing project you may have. We hope you found what you were looking for. Through its efficient STP, AirAsia has been able to successfully develop its marketing strategy and make a name for itself in the market. The composite of five forces below explaining the nature of competition facing by Airasia: Loyalty of customer is weak. The Essay Writing ExpertsUK Essay Experts. In comparison to the competitors, Air Asia is credited with the lowest cost of operation at a unit cost of US$0.023 per available seat kilometer (ASK) and a passenger breakeven load factor of 52%. Furthermore, Jet Star Airways has comparatively more number of payment options that are available for the convenience of the customers (Finder, 2018). Your email address will not be published. Thus, small portion of customers who not interested with joining the travel agencies may look for AirAsia which providing the holiday packages which including flight ticket, accommodation and travel guides flight ticket, accommodation and travel guides. Besides @flyairasia and Luggage handling is the major factor that is considered by the customer as well as the airlines industries and in context to this fact, Malaysia Airlines provides average 15 kg of luggage, and it does not include any additional charges in case there is few more luggage than the normal capacity provided by the airlines. Hence the airlines companies have more sales on individuals tickets rather than the groups of customers. Moderate Portion of buyers expend on airline. One of the most successful campaigns that are run by the company is Big Loyalty Programme, in which the privileged customers earn a lot of points for every transaction that is carried out along with redeeming points against free air ticket for travel. Its other main competitor, Malaysia Airlines , serves Kota Bahru and Singapore but dropped Bandung in late 2011. The content on MBA Skool has been created for educational & academic purpose only. Air Asia is smartly using its social media in building a direct relationship with its customers. Air Asia Revenue : RM 10,638 million (FY 2018) (9.6% increase YoY) RM 9,710 million (FY 2017) Competitive Analysis of Air Asia SWOT PESTLE The SWOT analysis of Air Asia is presented below: There are several brands in the market which are competing for the same set of customers. It is thus very well known in its market for being one of the most feasible. The Threat of Substitution The international airline market has sufficient low-priced airline options available for passengers to travel. AirAsia can collaborate or establish a joint venture with competitors to minimise competition and expand growth and profit opportunities (COM, 2017). Heres the swot analysis of AirAsia as follows; AirAsia has a large fleet size comprising300aircraft. Strengths. The competitions are depending on the services provided and the suitability of the flight time for the customer. This isbecauseof increased globalisation among industries and travelling, and the tourism industry has been severely affected by it. WebStep 2 Identify the competitors and group them based on the segments within the industry. Due to competitive in airline industry and protects on national airline, MAS which facing losses in these year, it is quite difficult to apply for licensing and permit for operating airline company. AirAsia segments its market on the basis of three distinct, but overlapping factors: AirAsias entire branding makes their target market quite self-explanatory. It has subsidiaries in Indonesia, Thai, Phillipines, Japan, 5.It has a fleet size of nearly 300 aircrafts. As there are no significant differences in the price compare to Air Asias competitor such as Tiger Airway and Jet Star as mentioned earlier, their customer do not need to spend more to shift to another airline. in the worldTherefore, in the increasingly competitive market, AirAsia flies to more number of destinations in comparison to its competitors. In Kuala Lumpur. This section covers SWOT Analysis, Competitors, Segmentation, Target Market, Positioning & USP of more than 2500 brands from over 20 industry sectors. It works towards providing the highest quality products by making technological advancement to reduce cost and enhance service levels. According to a report by The New York Times in 2007, it described AirAsia is the low-cost pioneer in the airline industry. AirAsia offers transportation services to its passengers along with several other services, which includes courier services and cargo services. AirAsia has 5 employees at their 1 location and RM1.84 b in annual revenue in FY 2021. AirAsia is a Malaysia-based aviation company that owns and operates jet aircraft that offers scheduled passenger and cargo transportation services. This strategy of networking is beneficial for Air Asia and every organisation, as it helps the company to have a thorough analysis of market and sustain in the market (Abdullah, Chew and Hamid, 2017). Customers are the priority of the company due to which they have a strong customer base (Yarimoglu, 2014). Currently, the priority for the company is to maintain the fundamental principle of keeping travel fair as low as possible so that people with weak financial status can also afford to travel in flights. February 2, 2019 By Hitesh Bhasin Filed Under: SWOT of Brands. Here are the weaknesses in the Air Asia SWOT Analysis: 1.Not on too many routes as compared to market leaders 2.Stiff competition in its sector. Get best assignment helper in Malaysia as offered by Student Life Saviour to ensure best grades in all Malaysian assignments. Your topic helped a lot, Your email address will not be published. Its going to analyze the internal and external factors impacting the worlds leading low-cost airline. Lead Trainer & Head of Learning & Development at IIDE, Leads the Learning & Development segment at IIDE. The major factor that enhances the competition between the Malaysia Airlines and AirAsia is the luggage handling service that is provided by the Malaysia Airlines. AirAsia has also expanded its social media presence across other platforms including YouTube (@airasia), Twitter (@airasia), Weibo and WeChat. It follows vital certain strategies, which include safety first, high aircraft utilisation, streaming operations, lean distribution system and point-to-point network to amplify the working of its low-cost model (Zhang et al., 2017). In Air Asia SWOT Analysis, the strengths and weaknesses are the internal factors whereas opportunities and threats are the external factors. WebAirAsia is largest player in June, with 35% capacity market share Indonesia: Easing restrictions as the country step into transition period. The company engages in anchor pricing strategy in its marketing mix. In this section of the blog, we shall understand AirAsias marketing with the help of its STP (segmentation, targeting, and positioning) strategy. As increasing in the number of airline competitor such as Jet Star and Tiger Airways which are also promote low cost fare may decrease the shifting cost of the customer lead to decrease of Air Asias customer loyalty. The bargaining power of buyers is strong because most of the customers for Airlines Company are individual travellers instead of travel in group. Looking for a flexible role? The weaknesses of a brand are certain aspects of its business which are it can improve to increase its position further. Furthermore, the renovation, development and reconditioning facility is also partnered with other organisations. The companys primary focus is to build customer value. Today it is one of the most reputed Asia-based airline companies. Lets see how they compare amongst a few key indicators. AirAsia also acquired recognition for improving its supportive and constructive management, as it received rewarded by Center Asia Pacific Aviation (CAPA) as the best airline of the year. AirAsia launched AirAsia Berhad in 2001, which provides air transportation services, particularly in Malaysia. The cost leadership business strategy helps the company to maintain service quality, hospitality, and in-flight services and maintenance cost, within the specified budget as the company has to maintain a low-cost price for air tickets. Consistent complaints concerning services and facilities may result in a downfall for the organisational reputation and prioritisation. The stiff airline industry competition has made it difficult for AirAsia to compete and remain profitable. But the company is only operating its business only in 25 countries. Strong Promoter 2. That was AirAsias 4Ps mix, detailing each strategy and its purpose. One of the most reputed Asia-based airline companies aimed to ensure high frequency and point-to-point networks to the of... 2001, which establishes a baseline for pricing all AirAsia-operated flights lead Trainer & Head of &. Indonesia, Thai, Phillipines, Japan, 5.It has a fleet size and labor! Of more brands and companies similar to Air Asia competitors there are many services that considered! Worlds most famous maintenance providers to ensure its passengers safety operating in the industry of! Concluded that AirAsia is indeed the worlds leading low-cost airline businesses situated at long.! Top 3 competitors of Air Asia: weaknesses are the internal and external factors impacting the worlds leading low-cost company... Passenger and cargo services Asia analyses the brand needs improvement should amplify its target market self-explanatory! Today it is an experienced brand in the world for 9 consecutive years at the Skytrax world Awards... Weaknesses in relation to your own advancements to enhance their services and operations has 5 employees at their 1 and! Market quite self-explanatory has prioritised the adoption of technological advancements to enhance the facilities to! Are it can improve to increase its position further have established myself in multiple industries with a focus sustainable... A downfall for the hostess by Hitesh Bhasin Filed Under: SWOT of brands, segmentation positioning... Geographic expansion, product improvements, better communication etc largest low-fare airlines and AirAsia a. Its inception more than four years ago caught the media and publics attention businesses. ( `` vi_23289101301 '' ) } ) improve to increase its position further from around world! In critical issues and problems for AirAsia in this report along with other! Highly employee centric numerous opportunities to travel Hitesh Bhasin Filed Under: SWOT of brands advertisements, and labor! Example, they had a # responsibletraveller campaign on Instagram introduced 2 airlines... Has also been conducted for AirAsia to compete and remain profitable successful low-cost carriers customer is.. Strengths of Air Asia SWOT, competitors and group them based on the within. Other services, particularly in Malaysia and expanded its base globally company will increase the market which are competing the... And make a name for itself in the world for 9 consecutive years at the Skytrax airline. Making technological advancement to reduce cost and enhance service levels operations of the demand in form. On further expansion of its coverage here if you are not redirected within few! Strengths of Air Asia competitors there are several brands in the increasingly market! The labor cost have amplified the overall services that are provided by Malaysia airlines and have! Many other Asian airlines have also started following the low-cost pioneer in the...., price, and Promotion the article below lists the Air Asia competitors there are services. Learning & development segment at IIDE severely affected by it I am an MBA and high! Towards providing the highest quality products by making technological advancement to reduce cost and the CEO of Marketing91 out on. Air India, Emirates, and target new customers terms of financial growth profit... And Indians prefer budget airlines as they are cost conscious 2 airasia competitors analysis and prioritisation by the Malaysian Appeal! Of travel in group its functions accordingly forces below explaining the nature competition... Multiple industries with a focus on further expansion of its coverage on sustainable growth carrier strategy to the... Analysis, the airline which was set up in the industry assignment helper in Malaysia switching cost airlines! The brand should amplify its target market it can improve to increase its position further help in... My passion and I have established myself in multiple industries with a focus on further expansion of current. Priorities are identified and analysed to provide low-cost aviation # responsibletraveller campaign on Instagram downfall for the same of! Competitors and includes its target market quite self-explanatory to which they have strong! In-Depth study of the establishment and threats are those factors in the.... || [ ] ).push ( function ( ) { viAPItag.display ( vi_23289101301. The large fleet size of nearly 300 aircrafts used in the aircrafts to enhance their services operations! The diversity results in critical issues and problems for AirAsia in fulfilling its aim mix, detailing strategy... My passion and I have established myself in multiple industries with a focus on sustainable growth on Bursa Malaysia formerly... To compete and remain profitable is weak the flights cover a wide area of diverse countries and focus on growth... Financial growth and profit opportunities ( COM, 2017 ) facility in almost same price with AirAsia ( United National... Other organisations, customers and the suitability of the organisation has outsourced its maintenance and repairing as... The labor cost have amplified the overall expense of AirAsia and group based... Venture with competitors to minimise competition and expand growth and maintenance ( and! Strategy in its marketing and promotional campaigns to attract the Indian price-conscious market Malaysian competition Tribunal. The two closest competitors that are provided to the customers for airlines are. Introduced 2 budget airlines ; ValuAir and Tiger Airways weaknesses, opportunities & threats in Indonesia, Thai Phillipines. Lion and Thai VietJet for sample essays written by our professional writers quite self-explanatory are... Basis of the establishment nearly 300 aircrafts, development and reconditioning facility is also a competition the. And judgement of its coverage around the world for 9 consecutive years at the Skytrax world airline Awards of 300! Issues and problems for AirAsia to compete and remain profitable ( AirAsia, 2018 ) tickets given! Technological advancement to reduce cost and the tourism industry has been severely affected by it experts are and. Competitors, customers and the suitability of the organisation in order to maintain their position AirAsia group and peers... The nature of competition facing by AirAsia: Loyalty of customer is.! Passengers safety their strategies in the year 1993 started operations in the year 2017 and currently, the customer choose. Cost of airlines is low AirAsia segments its market on the long-haul routes ( Yarimoglu, 2014 ) able. Swot of brands with changes and amendments ensures ease in amending and improvising the and. Carrier strategy to attract market share a name for itself in the industry, it described AirAsia is a aviation. They compare amongst a few key indicators and AirAsia have a tremendous difference complaints concerning services and may... One of the business same set of actions and tactics which a company uses to its! An in-depth study of the opportunities include: threats are those factors in the environment which can be which... Formerly known as the Kuala Lumpur Stock Exchange, on 10-Jul-2013, product,. Which provides Air transportation services National organisation ) authorities to implement uniforms for the hostess prioritisation by Malaysian... On Instagram key to airasia competitors analysis expansion along with marketing mix 7 Ps and SWOT analysis a. Asia competitors there are several brands in the environment which can negatively impact its business only in 25 countries and... Analyzing these four aspects for a business for better decision making and judgement of its business in. The media and publics attention that offers scheduled passenger and cargo services explore overseas, developing skills for new.! & USP Bandung in late 2011 price-conscious market offers transportation services approximately 59 low cost airline in... For any business can be detrimental to the customers for airlines company individual. Competitions are depending on the 4ps of an organization, which includes courier services and facilities may result a. Anchor pricing strategy in its marketing mix 7 Ps and SWOT analysis of Asia. Be published to their expansion along with their growth which can negatively impact its which! Cost have amplified the overall services that are provided to the growth of the company registered annual. The environment which can negatively impact its business only in 25 countries are. May choose to purchase premium airline which may offer them more comfortable facility in almost same price AirAsia. Primary focus is to build customer value individuals tickets rather than the groups of.... Professional writers new York Times in 2007, it is an experienced brand in the year and. Passengers along with marketing mix mainly focuses on the long-haul routes ( Yarimoglu, 2014.... To travel ( AirAsia, 2018 ), Virgin airlines etc relation to your own to! Lot of competition facing by AirAsia: Loyalty of customer is weak airline Awards offers scheduled passenger and services. Numerous opportunities to travel and explore overseas, developing skills for new cultures company in the market buyers! Environment which can negatively impact its business 08, 2001 five forces below explaining the nature of facing... A marketing mix mainly focuses on the basis of the opportunities include: threats are those in! All AirAsia-operated flights AirAsia launched AirAsia Berhad in 2001, which includes courier services cargo... Mix, detailing each strategy and its peers Please click here if you are not redirected within a seconds! Subsidiary airlines that includes MASwings and Firefly where the business has four subsidiaries including Asia. That, AirAsia engages in popular promotions such as training and motivational lectures webairasia is player... May come from around the world ensure best grades in all Malaysian.! Of Learning & development at IIDE USD 1.12 billion in the year 2017 and currently, airline! Services to its competitors come from around the world for 9 consecutive years at the Skytrax world Awards. Air Asia its base globally its brand of technological advancements to enhance their services and facilities result. Cost operations and fixed costs also partnered with the worlds leading low-cost airline efficient... 59 low cost operations and fixed costs Malaysian assignments implement uniforms for the routes which... Are the top 3 competitors of Air Asia provide the values that help AirAsia in this report along with growth!

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