AirAsia Group expands Thai presence

[webfact]

AirAsia Group expands Thai presence
SUCHAT SRITAMA
THE NATION
KUALA LUMPUR


Tony Fernandes

BANGKOK: -- AIRASIA GROUP is establishing new businesses in Thailand, ranging from insurance to communications and entertainment, as it anticipates growing market demand once the Asean Economic Community is realised next year.

Tony Fernandes, chief executive officer of AirAsia Group, said it would continue to focus on its Tune Insurance unit, which was rebranded from Osotspa Insurance after the Malaysia-based group completed the acquisition of the Thai firm in May for Bt700 million.

Next year, AirAsia plans to add more on-board entertainment services like Tune Box on its flights into and out Thailand. It is also waiting for approval for a communications business.

It has also been reported that AirAsia may be interested in running a private-jet business called Tune Jet, which would soon take over M Jet from Minor International. If true, this would be the first time a low-cost airline has got into the super-luxury service. However, Fernandes denied AirAsia was in talks with Minor International Group.

He said Tune Insurance Thailand was confident not only of building a secure foundation for the company in this region, but also of providing a wide range of insurance solutions and services to its people.

"We believe that the brand is already identifiable in Thailand, as it is available to all travellers on AirAsia flights through online booking. The market in Thailand is huge."

He said Tune Insurance had great potential to expand its service base and grow rapidly in Thailand, as it is designed to offer simple and affordable coverage, with high service quality and prompt claims settlements.

Aside from existing customers at Osotspa, Tune Insurance expects to have more than 4,000 student customers from an Osotspa affiliate at Bangkok University.

Tune Insurance's niche is travel coverage, and it claims it has generated favourable feedback and gathered a strong following in this region.

It also offers personal accident, fire, automobile, marine and miscellaneous insurance, including industrial all risks, construction all risks and erection all risks.

Apart from its ventures with AirAsia, Tune Insurance plans to roll out new joint campaigns with retail business partners, including in the food sector and educational institutions.

Source: http://www.nationmultimedia.com/business/AirAsia-Group-expands-Thai-presence-30243014.html


-- The Nation 2014-09-11

[terryp]

do you want add on fees with that

[wdr]

He missed a good opportunity for an other fee: Use of toilet in flight

[halloween]

He missed a good opportunity for an other fee: Use of toilet in flight

Apparently not needed, though I would happily pay should necessity arise.

Why? AA recently let me know that a big sale was due and I booked my return flights for next year well in advance. Surat Thani to KL, less than B1000, KL to Gold Coast, B3,500. For that I get a seat and 7kg carry-on, which is all that I need.

BTW the new terminal at KL is flash - it even has jetways.

[ezzra]

The biggest mistake of those LLC airlines that they become hungry and want to grow quick and fast

and it's always, but always, on the expense of the passengers, never the other way around, and soon,

they will be so big and so incumbersome, just like a regular airline with ten of thousands of workers

and expenses up to the wazu, and soon after that, they will fold, the message is: stay small and

efficient less headache and less problems...

[SOTIRIOS]

....and this is on the forum because......

[Gunna]

The biggest mistake of those LLC airlines that they become hungry and want to grow quick and fast

and it's always, but always, on the expense of the passengers, never the other way around, and soon,

they will be so big and so incumbersome, just like a regular airline with ten of thousands of workers

and expenses up to the wazu, and soon after that, they will fold, the message is: stay small and

efficient less headache and less problems...

The bigger LCC ( low cost carriers ) are usually the most profitable, eg Southwest, Ryan Air, Easyjet and Jetstar, even though it's owner Qantas is losing lots of money. Part of the reason is economies of scale and also being owned/managed by a switched on entrepreneur. By being large they can afford to have spare plans and crew on standby in case of problems and lessen the chances of pissing off large numbers of customers when flights get delayed or cancelled. Also flights of up to 2 hours are usually the most profitable so long as you can turn the plan around quickly and use them late into the night time, eg 20 hours a day .

Legacy carriers ie government owned ones either currently or in the past usually have too many overheads eg free flights for government officials, staff and their families, plus over the top salaries and perks for the staff. Plus they have higher fuel costs because their fleets are as modern and fuel efficient, and also multiple models of aircraft. It is much more efficient to only have 2 or 3 types of aircraft rather than multiple models from Boeing, Airbus plus other smaller aircraft manufacturers.

[halloween]

The biggest mistake of those LLC airlines that they become hungry and want to grow quick and fast

and it's always, but always, on the expense of the passengers, never the other way around, and soon,

they will be so big and so incumbersome, just like a regular airline with ten of thousands of workers

and expenses up to the wazu, and soon after that, they will fold, the message is: stay small and

efficient less headache and less problems...

AA is already big, but I'm not sure about incumbersome.

[luckytrev]

Quote from OP

"Tune Insurance's niche is travel coverage, and it claims it has generated favourable feedback and gathered a strong following in this region. It also offers personal accident, fire, automobile, marine and miscellaneous insurance, including industrial all risks, construction all risks and erection all risks".

Does the erection insurance come with the extended replacement cost and is it guaranteed renewable. I

would also be worried about any hazardous location clauses, liquidity loss control, re entry conditions and how much reserve the company requires?

[getthaid]

The biggest mistake of those LLC airlines that they become hungry and want to grow quick and fast

and it's always, but always, on the expense of the passengers, never the other way around, and soon,

they will be so big and so incumbersome, just like a regular airline with ten of thousands of workers

and expenses up to the wazu, and soon after that, they will fold, the message is: stay small and

efficient less headache and less problems...

Ryanair is among the biggest airlines

in The world - (it is the biggest LCC) has approx 10,000 staff, refuses to stay small, and is increasingly efficient.

The company rewrote the rules on managing airlines. They are recognised as being an innovator and leader in the field.

In other words, the biggest and best budget airline does exactly the opposite to what you recommend.....

Personally I do not like their policies, and they are an annoying airline to fly with. However they have the best on-time record, the lowest fares, and the most destinations that suit me. So despite me not liking them - I constantly fly with them

That said, their customer service as improved tenfold in the past six months

Edited September 11, 2014 by getthaid

[masuk]

Adding another flight or two from CNX to KUL would be nice. Twice a day right now is not enough.

Their insurance cover was out for me as soon as I hit 75. Happy to take my air travel for some years, but not the risk of insuring an oldie!

[wileycoyote]

Yes ,more new routes like CNX-KUL would be welcomed

[Patje]

He missed a good opportunity for an other fee: Use of toilet in flight

Naaah , would leave him with too dirty and smelly chairs for the next flight !!

[masuk]

Ever tried to get money back from them? I accidentally double booked a return flight, and applied for a refund.

They approved and said the money had been sent to my bank.! there goes another pig flying past!!

It still hasn't turned up, and all I get is automated replies when I asked for a progress report.

[wdr]

You're kidding when you expect any kind of personalized response? Service is not their biz. AA is known as "Cattle Airways" and you have to accept to be handled like cattle.