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AirAsia: The journey to becoming a digital airline has begun
Wednesday, 26th April 2017
Source : Corinne Wan

AirAsia always has big ambitions, evident from its growth from a two aircraft airline in 1993 flying to a handful of destinations to currently the biggest low cost carrier in Asia with 165 destinations in 25 countries.

Now its group chief executive officer Tan Sri Tony Fernandes has another vision " to transform AirAsia into a digital airline.

The carrier has started the ball rolling by investing heavily in digitalisation and has been growing its digital services such as BIG Duty Free, BIG Pay, BIG Loyalty, Rokki onboard WiFi and Xcite inflight entertainment.

Earlier this month it also acquired a 50% stake in Malaysia-based online travel planner, Touristly, for US$2.6 million to expand its ancillary portfolio.

Apart from meeting the needs of tech-savvy customers, the move is also a revenue booster for the airline.

“Digitalisation is expected to boost our ancillary income from RM46 (US$10.50) [per passenger] currently to our RM60 (US$13.70) target. Some of the initiatives include dynamic pricing of baggage allowance and Tune Protect insurance, offering an extra-seat option to our customers and enhancing our inflight meal options,” said Fernandes when announcing the airline’s vision late last year.

Hackathon first step towards engaging with startups

The budget carrier also hosted its first ever hackathon, AIRVOLUTION 2017 on March 18-19 as another step in its evolution into a digital airline company.

Additionally, the event supports the tech community in giving it a platform to explore new ideas, as well as to express their dreams through funding and guidance.

Read the full story here.

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