Malaysia Airlines is the national carrier of Malaysia, flying to over 1100 destinations across 180 countries across Asia, Australia, Europe, and the Middle East. In India, it operates from 5 destinations- Delhi, Bengaluru, Chennai, Hyderabad and Mumbai. The airline carries up to 40,000 guests daily. As travel comes with full vengeance post-Covid. Even though technology has taken big strides but even with the evolution of tech, understanding and predicting customer behaviour is difficult, and it is only becoming more complex as consumer lives get further complicated in an erratically changing world. How customers perceive brands and how airlines marketers are gearing up for the future is one of the most pertinent issues almost all aviation business leaders are grappling with. With business margins getting hit, marketers have to reinvent their marketing strategies to do more with less and ensure driving value, both internally and externally.
With regards to the above mentioned Financial Express Online explored in an interaction with Yin May Lau, Group Chief Marketing and Customer Experience Officer- Malaysia Airlines, who shared her perspective for the aviation industry and talk about navigating newer disruptions in the marketing landscape, reinventing digital customer strategies, the emergence of online marketing and importance of customer relationship management in a post-covid world. Excerpts:
We are amidst the festive season and year-end celebrations. What is Malaysia Airlines’ marketing plan to encourage travelers to fly Malaysia Airlines? What does Malaysia airlines have in store for its consumers in the Indian market?
For the festive season, we are running several offers, such as 10% off on your subsequent flight when you purchase an Economy Flex, Business Flex, or Business Suite ticket. We have also introduced exciting travel passes and offerings to encourage holidaygoers to explore the world once more and with ease. For example, our MHflypass ASEAN is a travel pass that allows for three return trips within 12 cities at a fixed rate within a one-year period, presenting a perfect opportunity for travellers to explore key holiday destinations with flexibility.
On top of this, we also have our Bonus Side Trip programme, which enables passengers to make the most of their itinerary by exploring one of seven domestic wonders in Malaysia at minimal costs. This is great for those who really want to experience Malaysian Hospitality in its totality, because you get to explore the diverse culture, warm hospitality, and delicacies Malaysia has to offer as part of your travel plans.
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To ensure a seamless travel experience, MHholidays, the tour operating arm of Malaysia Airlines, also provides a fuss free avenue for travellers to plan their next getaway by providing a single platform for them to choose and tailor-make their holidays – including flights, accommodation, ground transfer services, as well as holiday packages.
Digitization and safety while traveling are two important factors when choosing an airline. What new features/schemes have you introduced to enhance passenger experience?
At Malaysia Airlines, we are committed to facilitating safe and seamless travels so guests can continue to Fly Confidently with us. Early this year, we launched the MHFlySafe campaign that emphasises on the importance of safety and hygiene across all end-to-end consumer touchpoints – from check-in counters, lounges, onboard its flights and through to the point of arrival. We also refreshed our in-flight safety video with a catchier display of airline safety procedures which mixed Malaysian arts, culture and music, yet keeping safety at its core.
We know passengers want a hassle-free experience and part of this is through digitsed offerings. We have introduced features like the Baggage Self-Service Reporting feature that allows passengers to easily make a report, track and monitor the recovery process of their baggage via their personal devices (mobile, tablet, laptop, etc.) in a safe and contactless environment, and have also implemented the biometric facial recognition during check-in which is currently available for domestic flights departing via our main hub of KL International Airport.
We are also encouraging a more seamless purchasing experience through MHPay, a new alternative payment method for consumers purchasing air tickets, ancillary products, and services through malaysiaairlines.com. MHPay developed in collaboration with the International Air Transport Association (IATA) and powered by 2C2P, the full-suite payments platform, provides Malaysia Airlines customers with a seamless and secure method of making online payments. Malaysia Airlines was the first airline in Southeast Asia to adopt IATAPay, and the alternative payment method has been successfully implemented.
Can you highlight the latest customer-focused product offerings that are in line with the changing environment?
Our core focus remains in providing seamless experiences and solutions within our products and services, including the power of flexibility. We launched the Horizontal Fare Family (HFF) to offer customers flexible fares based on their travel needs, preferences, priorities and purchasing capabilities. It is a fare tier which consists of Lite, Basic and Flex where each fare family has different benefits such as baggage allowance, seat selections, priority services. These fare tier also offer different flexibility in terms of refunds and rebooking.
The airline also offers a suite of products to provide a seamless and holistic digital journey for our young travellers through the MHexplorer programme, which offers discounts on flight tickets all-year round, additional baggage allowance, shopping discounts, and many more fun perks.
On top of this, we want to reinforce our commitment in addressing travellers’ needs beyond flying through the comprehensive services offered within our ecosystem. Aside from our extensive Enrich travel and lifestyle loyalty programme, we also provide customers a single platform where they can discover new places, plan their trips and shop local favourites all via Journify. The Journify platform also provides the first-of-its-kind flagship experience through the Journify2U service, allowing domestic and international passengers departing from or arriving into Kuala Lumpur International Airport to have their products purchased on the Journify app with the option for their purchases to be delivered to them at the boarding or arrival gate; providing greater convenience as part of their journey.
How is the airline navigating newer disruptions in the marketing landscape?
Engagement, purpose, and agility have become key pillars of brand relevance today. Staying engaged, regardless of the situation being faced, ensures top of mind recall. Now, more than ever, being vocal about the brand purpose is crucial.
After the pandemic, it became imperative for us to go back to the drawing board and devise innovative tactics to attract new customers. Our focus is on our customers, our centre gravity, hence we rely on hyper-personalisation, using the right communication tools and platforms, engaging with the customers at the right time and staying relevant and agile.
When can we expect the travel demand to be back to the pre-pandemic stage? While key tourist destinations have reopened or relaxed their borders restrictions, capacity recovery remains elusive until main hubs such as China and North Asia are relaxed, which is only expected by Q1 2023. For Malaysia Aviation Group, we have deployed capacities at 76% year-to-date versus 2019 and we expect to end the year with 82% capacity of pre-pandemic level.
Are you looking at adding any new destinations from India?
Beginning December 2022, we will ramp up frequencies on the existing routes and also reinstate weekly flights from Kochi (COK), increasing the overall weekly flights to 52 which will provide greater convenience and flexibility for travel between the two countries.
With other competitive airline companies introducing new policies (Akasa Airlines recently announced the pet policy; Singapore Airlines allowing female flight attendants to work after delivering a baby), how is Malaysia Airlines planning to stay relevant and be the priority airline for its consumers?
As the country’s national airline, we carry a big responsibility in bringing the country’s flag with pride and to create positive, meaningful impacts not just to passengers but also to the wider communities we serve.
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Besides facilitating safe and seamless travels under our MHFlySafe campaign that emphasises on the importance of safety and hygiene across all end-to-end consumer touchpoints, we are also committed about our sustainability efforts as outlined under our Sustainability Blueprint that was launched in 2021. We continue to take proactive measures in addressing sustainability; encompassing environmental, social, safety, governance, and economic factors, in promoting socio-economic development and achieving net-zero carbon emissions by 2050. This includes bio-composting food waste from flights, enhancing fuel efficiency measures, pioneering the use of sustainable aviation fuel in Malaysian aviation, repurposing scrapped aircraft parts into new products, and collaborating with local homegrown designers to upcycle aircraft materials into bespoke designer bags, shoes and fashion pieces, among others.
Yin May Lau, Group Chief Marketing and Customer Experience Officer- Malaysia Airlines
For us, Sustainability is also about levelling up and increasing women participation in technical roles and also reducing income inequality. As part of this commitment, we have signed onto IATA’s 25by2025 initiative to strengthen and improve female representation within our organisation and the wider aviation industry. We established the Women@MAG working group to drive more women participation in the Group by promoting and fostering diversity, equity, and inclusivity in the workplace, and to drive initiatives and policies geared towards realising the 25by2025 vision; encompassing women friendly work practices, equal career opportunities, awareness, role modelling to attract more women talent, among others.
We have also built a solid foundation for the Enrich programme to thrive and stay relevant to the varying needs of consumers and travellers of today. Enrich has become more than just a frequent flyer programme, but it is now an all-encompassing travel and lifestyle platform where members can enjoy earning and redeeming Enrich Points beyond air travel – from credit card points conversions, hotel stays, charity donations, retail spend with a host of lifestyle partners, among others.
Our efforts are bearing fruits, as Enrich emerged as the gold award winner for the Best Card Based Loyalty Programme and bronze award winner for Best Partnership in a Loyalty Programme (Enrich Hotels) at the tenth edition of the Loyalty & Engagement Awards 2022. Enrich remains steadfast in bringing more value-added experiences for our members to maximise their benefits. We have also recently announced the extension of the Enrich Points validity through to 31 March 2023, in conjunction with Enrich’s 35th Anniversary. As always, our customers are our top priority, and this is our way of recognising and appreciating their loyalty through all these years.
Any other initiative/ development you would like to highlight?
Malaysia Airlines was recently named Asia’s Leading Airline for Business Class at the 29th World Travel Awards, adding to its honours record. The airline emerged as the winner after receiving the most votes from industry participants, consumers, media, and travel professionals across the region, outperforming other nominated full-service Asian airlines. Underpinned by the airline’s Malaysian Hospitality commitment across its services, the award is a testament to its successful endeavour to maintain the highest service level and safety assurance through its Fly Confidently commitment.
Our role as the flag bearer also emphasises our commitment in delivering inimitable Malaysian Hospitality to our global customers at every step of their journey. The third iteration of our Malaysian Hospitality brand campaign titled ‘This is Malaysian Hospitality’, reiterates this, as it showcases the melting pot of heritage, culture and traditions of Malaysia and what defines us as an airline. It reinforces our values, beliefs and unparalleled commitment in ensuring we treat every passenger with warmth as a guest to our home. Malaysian Hospitality is more than a service; it is innate in us, and we hope to uphold these values and pass on for generations to come.
We also introduced our refreshed in-flight safety video, Satu Dua Tiga, Jom!, which sets the course for a new, vibrant Malaysia Airlines that customers can expect. We knew that we wanted it to be more than the average safety video; something that’s memorable, uniquely Malaysian and can be enjoyed by all walks of life, while also keeping safety at its core. The video reinforces the new branding of Malaysia Airlines which incorporates modern elements in driving the future, while at the same time instilling the values of Malaysian Hospitality.
