1.0 Introduction Our MKT303/310 lecturer, Mr.

Lawrence Sheah had assigned us a group assignment which takes up to 30% of the coursework. This group assignment has been done by Teah Su Hoey, Angel Chia, Lo Sau Fui and Shim Yun Khi. In this assignment, students are needed to select any one local or multinational service company to do a research report regarding on how the company plan, decide and execute their service marketing activities in order to compete and to survive in the competitive business. After a few days of discussion, four of us decided to choose company in airline service sector. The reason we are choosing this sector is because we found out its interesting and attractive part. As a result, we had finally choose the AirAsia Sdn Bhd airline. The reason why we choose this company is due to its luxury and satisfied service that we had experienced and this had inspire us want to know more about this company. In general, this assignment had covers the company background, following by methodology. The methodology for our research paper is using the secondary method which includes the companys website, online articles, books, and so on. After the methodology will be the 8Ps of service marketing and the flower of service that the company had applied. Lastly, we have include the conclusion for the whole assignment and some of the recommendations for making the solutions of the company.

2.0 Methodology In this assignment, all of the information we found are from the secondary research method which is also known as desk research. Generally, mostly all of the companys information are collected from its own website, other articles, news, books as well as through surfing internet. Secondary data is very useful for us in completing this assignment because it is considerably more efficient in a way of saving cost as well as time. It is a network of data in which all the information are gathered and distributed is readily available.

3.0 About The Company Company Background Air-Asia Berhad is a low cost airline in Malaysia. It is the largest low-fare, nofrills airline and the first choice of low-cost travel in Asia. (AirAsia, 2012) AirAsia runs domestic and international flights and it is the first airline in the country practicing fully ticketless travel and unassigned seats. (Faridtk, 2010) It has a fleet of 72 aircrafts, route network to over 61 domestics and international destinations, and operates over 400 flights daily from centre located in Malaysia, Philippines, Indonesia, Thailand and Japan. In 5th February 2009, AirAsia has applied allocated seating across all AirAsia flights including in their associate companies like AirAsia X, Thai AirAsia, Philippines AirAsia Inc, Indonesia AirAsia and AirAsia Japan. (AirAsia, 2012) Today if we look into the progress, AirAsia has over 55 million passengers across the country and wants to continue expand to more inclusive route network through its associate companies. (Wong P.M, 2009)

Company History AirAsia was first established in the year of 1993 and began its operation on 18 November 1996. (Flightpedia, 2011) This airline was originally founded by DRBHicom which is a government-linked company. However, on 2 December 2001, the former Time Warner executive of Tune Air Sdn Bhd, Tony Fernandes has bought the heavily-indebted airline for the token of RM1 (about USD 0.26 at that time) with USD 11 million (RM 40 million) worth of debts. (malaysiaairlinesfamilies, 2012) Tony Fernandes said that It is not easy to sell the idea of operating an airline particularly to the government. In fact, his request for a license to operate from the government was rejected two times. (Lim, 2009) However, within two years, Datuk Tony Fernandes has turned AirAsia into a profit-making company and launch new routes from its hub in Kuala Lumpur. After three years of operation, AirAsia has listed in the Kuala Lumpur bourse with one of the largest IPO offer of RM717.4 million. (AirAsia,2008) In addition, AirAsia had also won awards such as certification by Superbrands International and this has made another award to Fernandes - the Best Entrepreneur of the Year

by Ernst & Young Entrepreneur Award in 2006. (AirAsia, 2008) In March 2006, with the huge load of passengers to such a capacity, a new LCCT (Low-cost terminal) was built in Kuala Lumpur. According to AirAsia (2008), this LCCT can fill up 10 million passengers every year and has 30 parking lots for the aircrafts.

Philosophy, Vision, Mission and Values

Our Philosophy: Now Everyone Can Fly

Our Vision: To be the largest low cost airline in Asia and serving the 3 billion people who are currently underserved with poor connectivity and high fares.

Our Mission: To be the best company to work for whereby employees are treated as part of a big family

o o o

Create a globally recognized ASEAN brand To attain the lowest cost so that everyone can fly with AirAsia Maintain the highest quality product, embracing technology to reduce cost and enhance service levels

Our Value We make the low fare model possible through the implementation of the following key strategies,

Safety First: Partnering with the worlds most renowned maintenance providers and complying with the with world airline operations.

High Aircraft Utilisation: Implementing the regions fastest turnaround time at only 25 minutes, assuring lower costs and higher productivity.

Low Fare, No Frills: Providing guests with the choice of customizing services without compromising on quality and services.

Streamline Operations: Making sure that processes are as simple as possible.

Lean Distribution System: Offering a wide and innovative range of distribution channels to make booking and travelling easier.

Point to Point Network: Applying the point-to-point network keeps operations simple and costs low.

4.0 Findings 4.1 8Ps of Service Marketing

Figure 1 The 8Ps of Service Marketing This concept is one of the most popular and useful marketing tools in every business world especially for the introductory marketing course. According to Wirtz (2007), in order to capture the distinctive nature of service performances, we need to modify the original terminology and speak instead of product elements, place and time, price and other user outlays, and promotion and education. This is then extended to the mix of other four service delivery elements which are the

physical environment, process, people and productivity and quality. These eight elements which is known as the 8Ps of service marketing is to create viable strategies for meeting customers need profitably in market place. (Khan, 2012) Product Elements The term product is refers to tangible or physical products however service is an intangible and do not have physical presence. (Frog, 2010) In this context, a well-designed service is very important and it consists of a core product that responds to the customers needs and others supplementary services are to help customers to use the core product effectively as well as adding value through welcomed enhancements. (Keyur D., 2012) Guest Convenient AirAsia believes that by providing convenient services will make the travelling easier and to achieve their customers satisfactions. AirAsia had made a lot of changes in delivering their products especially the new invention where guests can make booking through combination of ways. The launch of this innovative technology was officiated by YAB Dato Seri Abdullah bin Haji Ahmad Badawi, the Deputy Prime Minister of Malaysia in August 2003. (PressRealease, 2003) The company had become the first airline in the world which offer guests to book and pay for the AirAsia seat, check flght schedule as well as to obtain latest update on AirAsia promotions through short messaging service or commonly known as SMS. (Claret, 2008) Besides that, AirAsia also practicing the airlines online programme where guests can book tickets through online. Frequent flights According to Admin (2011), AirAsia practices a quick turnaround of 25 minutes, which is known as the fastest throughout the region, and resulting in high aircraft utilization, lower cost and higher productivity. This is to ensures guests convenience and satisfaction is met. Ticketless Services This concept was launched on 18 April 2002 with the idea of complements the airlines booking through internet and call centre service. The guests are no longer need to the hassle of getting printed tickets.

Price and Other User Outlays Price refers to the value or worth of a product or service that attracts the buyer to exchange money and also assess the outlays of their time and effort. (Pearson, n.d.) Low fare, no frills As per discussion above, AirAsia is practising a significantly lower price than those of other airline operators. This service is targeting to those who will take flight without frills of meals, airport lounges and so on. The airlines have no complements for meals and drinks but recently the AirAsia has introduced the snack- attack on board at a very affordable price. Guests are now have their choice to purchase any meals offered. (massod, 2008) Place and Time Distribution is about how the service is being delivered to the customers, looking at location and where a service is delivered. This shows whether the guests need to collect it or the company deliver it to the customers. Internet Booking One of the criteria for those low-cost companies is the direct booking through internet because this can avoid being extra charged through commissions or credits to travel agents. (airasia.com, 2012) Raja Azmi claims that over half of AirAsia bookings are done via internet while the rest are through sales office, the internet, as booking tool for travelling has remains an exotic curiosity for a sophisticated few.(Claret, n.d) As Asia first online airline, the AirAsia allows guests to book seat online through its website http://www.airasia.com/ . On 10 May 2002, the website is available in 7 languages namely English, Bahasa Malaysia, Mandarin, Tamil, Bahasa Indonesia , Thai and Tagalog. Reservation and Sales Office This is convenient for the walk-in customers and it is available at airport and town centers.

Promotion and Education In service marketing, the education communication plays a vital role especially for the new customers. The company need to educate these customers about the benefits of the service that they can obtain and generate a positive customer response. One of the recent example is the AirAsia had an advertising deal with Time. This is done by having the local mobile phone operators logo on one of AirAsias plane. Besides that, there will be more promotions on pull-down trays. In addition, it is also obvious that AirAsia starting offered low fares or sometimes the Zero-fares makes people lining up for hours. (AirAsia berhad, 2008) As a conclusion, this has brought a lot of public to AirAsia and they got more publicity out of that. People The people are one of the important key for Airasia to run their business successfully by influencing customers perceptions on their service quality. However, Airasia do not refer to them as their employees, they are Allstars for Airasia. The philosophy at AirAsia is to attract the best, train and retain them.(Airasia.com, 2012) A Corporate Culture Department was set up in 2004 and came up the same values and vision among the Allstars with an emphasis on One People, One Culture, One AirAsia, One Family. Training will also be provided in order to improve quality of services and also to monitor the workers performance. For example, Airasia is providing a NGL (Next Generation Leaders) programme for those who are highly organized, creative and always prepare for challenge before they join Airasia. Besides, Airasia also has training partnership with CAE Company and Aviation Australia. (Airasia.com, 2012)

In addition, all top managers will share experiences through internet social media such as blogs, mails and twitters. Even the Group Chief Executive Officer, Tan Sri Tony Fernandes will check in guests at the counters or handles baggage on the ramp to keep in touch with all the activities that are happening on the ground and in the air. (Airasia Annual Report, 2010)These are how the employees in Airasia work to keep the AirAsia brand flying. This company will always recruit someone

who is able to fit into the Allstar culture, which is to care about safety, being innovative and creative, working hard and having fun.

Process AirAsia is set to take low-cost flying philosophy which requires its operations to be simple and efficient. Customers can place their order through visiting reservations and sales offices or online booking. Customers can visit Airasia homepage then select the language that they want. After that, they may join member if they want to. No fees will be charged to join member and customers can save their time by avoiding filling up their personal information each time they online booking a ticket since the information has already been saved in the system when they joined member. Select departure and arrival places following by selecting which routes that they prefer. Finally, email of confirmation for the booking will send to customers email address or phone number after they have made their payment by credit card or online transferring. (Airasia.com, 2012)

The process of online booking ticket is simple since AirAsia has upgraded its latest booking innovation in the form of New Skies. This has benefited all the customers to manage their online bookings easier. Besides, they also can check-in through the web without queuing up at the counter. AirAsia Group Chief Executive Officer, Tan Sri Tony Fernandes says, Of course, the self check-in options will still be made available for international flights to further enhance the travel experience and avoid congestions or long queues at the counters. We would still encourage all our guests to conduct self check-in, especially those without any check-in baggage, as well as guests traveling to domestic destinations. (Sepang, 21 December 2011)

Productivity and Quality From 2001 to 2010, Airasia had came up with the result for more than 100 million guests are placing their faith in AirAsia and choosing them as the airline of choice. AirAsias revenue increased from RM3.13 billion in 2009 to RM3.95 billion in 2010. In 2009, and they had grown their fleet from 84 to 90 aircraft. Several methods have been taken for leading them to the way of succeed. One of the main factors would definitely be the practicing of low-cost philosophy and passengers

could customize their choices of services without compromising on quality and services. Airasia have created a brand Now everyone can fly in order to increase their reputation and gain loyalty and satisfaction from the customers. Nevertheless, Airasia practices a quick turnaround of 25 minutes, which is the fastest in the region, resulting in high aircraft utilization, lower costs and greater airline and staff productivity (Air Asia home page, 2012). While on 1st March 2002, Airasia came up with the idea of Easy to Book, Easy to Pay & Easy to Fly, and they were the first airline in Malaysia that allowed customers order their bookings through phone and paid by credit cards. The most important factor that makes Airasia becomes so success is definitely the Allstars. They really provide a very good service and friendly enough to satisfy all the customers needs.

Physical Environment Physical environment is carefully handle by Airasia too as this can have profound impact on customer impressions. For example, the Allstars are all wearing red colour uniform which is matching the theme colour of Airasia--Red. This colour makes them look smart and professional and thus the customers can feel the passionate of them. On the other hand, entertainment such as portable players and Premium FlatBed seats is only applicable in AirAsia X Flight subject to a fee; however the in-flight reading material Travel 3 Sixty, food and beverages and newspapers are available on all the flights. AirAsia X Premium FlatBed thoughtfully features a universal power socket, a personalized reading light, and a foldaway table for maximum productivity and convenience in order to let their passengers to enjoy more comfortability. (Airasia.com, 2012) Passengers could also spend their time in flight by purchasing AirAsia Merchandise and duty-free goodies, which range from electrical accessories to personal care items, and chocolates to watches through magazine.

4.2 Flower of Service According to Christopher lovelock, Lauren Wright (2002) flower of service is a visual framework for understanding the supplementary service element that surround and add value to the product core. Facilitating service Facilitating supplementary services are the services that are needed for service delivery and or assisting to add value. (Christopher lovelock, Lauren Wright 2002) The elements of facilitating supplementary services comprise Information, Ordertaking, Billing and Payment Information To obtain full value from any service experience, customers need relevant information. Customers need may include price of services, service hour, where the service sold, and usage instruction. (Christopher lovelock, Lauren Wright 2002) Customers can get detail information about airasia services from several channel such as website, call centre, airport sales station and airasia travel and service centre. Call centre

Malaysia call centre is 600 85 8888 available from 9pm until 8pm. Calling call centre Malaysia will be charge RM 1.95 per minute after reach the operator. Website

Airasia websites is www.airasia.com if the customers have any question they can click asksia column in the top website and login in to live chat, someone will entertain you live chat is resemble to call but is free and working time is start from 9am until 8pm. This service just been introduced in 2011, available in few language like bahasa melayu, Indonesia, mandarin, English, Thai and tagalong. Airport sales station , Airasia travel and service centre(ATSC)

There are about 14 airasia base on Malaysia and each have airport sales station where customers can get information there. For certain customers it would been too far for them to get to the airport and they usually will look for the local agent but today customers can also go to airasia service and travel centre to obtain information there are 40 outlets on Malaysia. ATSC just been introduce last year 2011, the first outlet is on the Kuala lumpur. Airasia travel and service centre is cooperation between airasia and local travel agents. (airasia berhad 2012)

Order taking According to Christopher lovelock, Lauren Wright (2011) company must have effective supplementary service processes in place to handle applications, orders and reservations when customers are ready to buy the services. Customers can buy flight from several channels such as online, mobile, airport sales station, call centre, airasia service centre. Website and online

Online and mobile booking is a self service ticket buy here is cheaper the price is excluded from service charge and commission fee. Customers need to register become a member of airasia before they can book flight from the website, membership is free, registration can be done in few minute from the airasia website. One membership can cater 10 guests to one destination. Mobile booking is similar to the online booking, however customers must make sure their mobile can access to internet and have airasia application software. The application is also free. Call centre, airport sales station and airasia travel and service centre

Buy from the call centre, airport sales station and airasia travel and service centre will be charged for service fee. Buying flight from call centre is considers risking because customers need to give their debit or credit card ID to the operator to process the payment.

After customers buy their flight but want to change flight schedule or add other service such as upsize baggage, entertainment and etc is applicable but must before check in from any sell channel above. (airasia berhad 2011 Billing Billing is an itemized list or statement of fee or charge. Customers buy flight online or mobile will reach to the review and pay or bill after customers go through the entire process fill up personal detail, pick seat and other add on value. If the list itemize is correct customers can process to the next step the payment, customers will receive Itinerary after payment.Customers go to walk-in channel usually would not receive bill, servant will explain the bill verbally to the customers but customers can request a print bill. After payment customers will receive a message or paper receipt as a proof.

Payment After get the bill customers have to take action on the payment. Customers can use their credit and debit card to make payment in any airasia sell channel. Customers also can use cash but only in airport sales station, airasia service and travel centre or local travel agent. To attract new and maintain loyalty of the customers Airasia Company officially launches the loyalty program or simple call big where customers can earn point with every transaction and redeem ariasia free flight or product and e-gift. The program started in last year 2011. ( Airasia berhad 2012 )

The program introduces two types of card the big loyalty card and big prepaid card. The difference between both cards is customers can use the big prepaid card to buy and collect point from airasia, big program partner and in any merchant that receive visa. However customers can use the big loyalty card to collect point either from airasia and the partners. Big loyalty is to those who are under 2 to 17 year old and non Malaysia citizen. And big prepaid visa card is for the Malaysia who above 18 years old. Until today there are about 500 online merchant and seven merchant Malaysia include SOGO, Hard Rock Hotels, Concorde Hotels, BP Healthcare, CIMB Bank, Citibank join the big program. ( Daljit dhesi 2012) Big loyalty card holder will earn 1 point for every RM 4 on airasia flight with no add on service such as seat, airasia insure and etc but 1 point for RM 2 on airasia flight with add on service and in any big partner For prepaid visa user can earn 1 point for every RM2 spent either airasia ticket or other stuff at visa accepted merchant worldwide. ( sj echo 2012) Enhancing supplementary services Enhancing supplementary services are the service that may add extra value for customers (Christopher lovelock, Lauren Wright 2002) The element of enhancing supplementary services comprise consultation, hospitality,

safekeeping and exception .

Hospitality According to K. Rama Mohana Rao (2011), he argued that customer most properly may be required to stay at the service outlet for a long time due to the nature of the service process. The hospitality service has been expanded to the customer within the service process contributes significantly to quality perception. In today, there are many companies or firms concern about customers satisfaction and they will treat their customers as guests and offer facilities to make customers comfortable. Courtesy is the most important and consideration for customers needs apply to both face-to-face encounters and telephone interactions. By the way, the quality of hospitality service which provide by firm can increase or it may also be able to decrease the satisfaction of customers toward the core product.

In order to create a hospitable atmosphere, recruiting employees who are naturally warm, welcoming, and considerate for customer-contact jobs. (Lovelock and Wright, 2002) Therefore, hospitality is very important and now it became a part of the service offering. Food and Beverages Air Asia provides multiple wonderful choices in-flight service from different flight, which means not all the flight provide the same food and beverages. In AK flight, customers can choose from their carefully selected choice of vegetarian, international or local delight for a fantastic culinary experience in the sky. Besides that, snacks and beverages basically are available for purchase on all flight. Customers can enjoy cheaper pre-book meal prices which save up to 15%. (AirAsia, 2012) SkyBus SkyBus is the official bus for AirAsia which offers to the passangers a daily non-stop shuffle from KL Sentral and 1Utama to the Low Cost Carrier Terminal (LCC-T) and vice versa. This bus consists of 40-seats and airconditional. The journey between KL Sentral and LCC-T takes about 1 hour 15 minutes and at RM9 to RM10 per one way. (skybus.com.my, 2011)

Facilities There are certain facilities and amenities are setup for the conveniences and enjoyment to the public such as toilets, waiting areas, seating, car park, prayer room (Surau) and Plaza Premium Lounge at the International Departure Hall (Kuala Lumpur). (lcct.com.my, n.d)

Tune Hotel Tune Hotels is owned by the Tune Group which is also holding company of AirAsia. It is a low cost and hotel which provide limited service with 5 Star Beds at 1 Star Prices. This hotel offers high quality, reasonable priced accommodations with the basic essentials, such as 5 star comfortable beds, power shower, location of hotel like in central and convenient area, clean and 24 hour security. Customers can book rooms by log on www.tunehotels.com

and enjoy lower prices, which RM9.99 during promotion periods. (Tune Group, 2010) By the way, the Tune Hotel does not come out with item such as air condition for 12 hours cost RM13.49 or 24 hours cost RM21.00, breakfast one set cost RM6.00, towel rental and toiletries are RM5.00, travel insurance is RM6.00 and wireless access for one day is RM12.00. (Tune Hotels, 2012)

Safekeeping Service organisations have to make arrangements for the safekeeping of customer property. Customers always want assistance with their own possessions while they are visiting a service site. In fact, except certain kind of safekeeping services are provided, or else some customers may not come at all. There are 2 types of safekeeping services elements, which are caring for possessions customers bring with them and look after for good purchased or rented by customers. Caring for possessions customers bring with them include childcare, pet care, luggage handling, storage space, security personnel and vehicles parking space. Besides that, caring for good purchased or rented services include packaging, delivery, cleaning, refueling, upgrade and installation. (Lovelock, 2002)

Courier AirAsia will be announced that the worlds first low-cost courier effective from 1st August 2012. There are 50% lower offer by AirAsia, convenient tracking system, well located drop off points, Airport to Airport service to make sure that customers package and documents are delivered on time. There are 18 airports and 2 host countries contribute, which are Singapore and Vietnam. (AirAsia Berhad, 2012)

AirAsia Cargo AirAsia cargo is the worlds best cargo customer care in 2012. AirAsia provide low cost way to send cargo, fast, reliable, safe and even it give us a real value for money. It also makes the most out of their affordable delivery service and bridge the distance with their comprehensive route network and connectivity. (AirAsia, 2012) AirAsia is actually very affordable, they sure that customers will make their cargo service as first choice as it extends to more than 13 countries such as Australia, China, Taiwan, Japan, Korea, India, United Kingdom as well as all the South East Asia countries.

Left Luggage Service Talasco Services, a division of Talasco Dagang Sdn. Bhd. provide customers, most properly for flight passengers, with secure area for long and also short term luggage storage, luggage lockers and smart lockers. Charges are payable based on the size and storage time and discount will be given for group. Arts and crafts, surfboards, bicycle and all other oversize sports equipment are available. (Baggage Solutions, 2011)

Consultation Consultation involves a dialog to probe customer requirement that look forward to their needs. Besides that, consultation also consists of instant and

direct advice from a knowledgeable service person in response to the request. There are several examples of supplementary services in the consultation category, such as advice, auditing, personal counseling, tutor or training, management or technical consultancy. (Lovelock, 2002) AirAsia Call Centre If customers have any questions or need special assistance is requested to contact AirAsias call centre at least 48 hours before the flight scheduled flight departure time. (AirAsia, 2012) Ask AirAsia If guests or customers have any questions about the AirAsia, they can ask via internet which provide by AirAsia and there will be a person call Lil Miss Red answers the question and soon as possible. (AirAsia Berhad, 2011) Baggage Tracking Service If customers baggage is delayed or missing, he or she should immediately approach one of the friendly guest service officers. Baggage tag that was given to customer at the time of check in should have to enable officers to track baggage through their Baggage Tracing System. (AirAsia Berhad, 2011)

Exception Exceptions involve supplementary service that fall outside the routine of normal service delivery to the customers on special consideration. Exception may be allowed on special requests by the customers for the advance delivery of service under special circumstance. For example, AirAsia provide certain extra service which specially for disability needs, such wheelchair only, wheelchair with assistance, wheelchair with assistance and ambulift or wheelchair lift, and assistance for visually and hearing impaired. Ambulift is only for deserving guests whose mobility is compromised and subject to airport structure, serviebility and availability. (AirAsia, 2012)

When normal service delivery fails to run smoothly and effectively as result of accident, delays, equipment failures, or difficulty in using the product. Delayed plane is one of the general issues which always happened from the beginning until today from time to time, therefore, the only way that AirAsia for the customers are using another plane to replace. Basically, AirAsia will insure to the flight passengers who are already purchased the AirAsia Insure Travel Protection. (AirAsia Berhad, 2011) By the way, if the customers want to express dissatisfaction or offer suggestion for improvement, customers can contact to the call centre to make a report, email or through Ask AirAsia. Many customers expect to seek for compensate for serious performance failures. Once customers booking is confirmed, basically the booking cannot be cancelled and the payment is not refundable. But, customer can only seek for the airport tax refund after the date of departure. A form has to be completed and the refundable may take up to 30 working days. (AirAsia Berhad, 2011)

5.0 Conclusion And Recommendation In conclusion, AirAsia business model has been analyzed in conjunction with the marketing mix that is employed to identify its target Market. They build their brand name with their tagline now everyone can fly', AirAsias philosophy of low fares is aimed to make flying affordable for everyone. AirAsia also aims at making travel easy, convenient, safe and fun for its guests. Their philosophy is vital in shaping AirAsia marketing mix. Their services and their pricing work together to identify their target market, however, their promotional activities and their distributional channel is aggressive developed, planned, and executed to target both foreigners and locals alike. Moreover, more advertising model should be developed and AirAsia need to identify

more suitable areas for distribution as more and more loss potential target could be captured which will at end generate huge revenue for AirAsia. Nevertheless, AirAsia still receives a lot of complaint on their services such as flight delay, hidden charges and refunding problems. Therefore, AirAsia should create effective strategies in order to solve the problems and maintain the image. As a recommendation, AirAsia has relatively good strategy and marketing mix since they offer their services in relation to their mission statement. However, they are few things I will recommend which will help them to generate more income. Services: Their quality of service is not too fantastic, from the research carried and feedback from the users, most users complained that AirAsia does not follow the scheduling hours of flight, which implies that customers are delayed for a period before travelling. This shabby offering could damage their image and services as customers may seek for alternatives. If AirAsia should work on this, most unsatisfied customer could return and customer will begin to speak of their satisfaction, which will improve their brand image and generate more revenues at the end. AirAsia also should be provides a special kind of assistance for the customers, such as jet bridge. As we know that all the Terminal do not have the Jet Bridge and make the customers have to walk with the long distance between the airplane stop and the terminal entrance. Price: It is true that AirAsia pricing form part their product. It will be fine for AirAsia to maintain their lower fare-pricing model not to increase it in order to avoid losing the target market they have fought to identify. Place/ distribution AirAsia has been thriving heavily lately. They have opened up branches in different place in order to reach their target market. More destination and branches should be opened to enable more and more customers to join the troupe and to serve the need of their target market Promotion: More promotional activities should be engaged to attract more customers and to create awareness of their presence and what services they offer. It should be their task to develop many advertising models to achieve this. This is another way of selling their brand to the world.I found this recommendation for my part the first 8ps.

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