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Contents - October 2020 CONTENTS - OCTOBER 2020 Airport Talk LADA Launches Langkawi AirAsia Encourages Contactless Technology by Charging Airport GCEO Speaks 43 Great Sale Promotional Campaign 47 Check-In Fees 51 Malaysia Airports’ Commercial Reset Etihad Airways Launches Scoot Boosts Cargo Capacity Initiatives to Help Businesses Survive Wellness Insurance and Etihad Airways Launches Global 52 Covid-19’s Impact 44 MicrobeBARRIER™ 48 Ethiopian Expands Its Global Hub 48 EVA Continues Winning Streak 53 Aviation News Tourism Malaysia Launches Brand New ‘Cuti-Cuti Malaysia’ TV Promo 49 Aviation Interview Bangkok Airways Wins 2020 Aviation Interview with Raya Airways Inks Contract with DHL Tripadvisor Travelers’ Choice Award 46 Dato’ Dr Ammar Abd Ghapar Express and Celebrates New B767 50 My Jet Xpress Riding on Cargo Boom 46 Senior Director of Domestic & Events, Tourism Malaysia 54 AIRPORT TALK A corporate leader with diverse experience, he is harnessing the latest technological advances to spur Malaysia Airports to greater heights as a smart aviation regional hub. This month, Dato’ Mohd Shukrie Mohd Salleh remains confident riding out the storm despite the recovery movement control order (RMCO) being extended until year-end and recent spikes in the new corona virus (Covid-19) cases in Malaysia and globally. Optimistic of improved growth in the coming months as it works closely with the airline partners and other stakeholders to revive air travel and the tourism sector, the airport operator also enjoyed recent successes with its KLIA Crazy Sale held together with Tourism Malaysia’s Cuti- Cuti Malaysia Mini Travel Fair under the joint domestic tactical push strategy to spur the local economy. It was another feather in the cap for the KL International Airport (KLIA), underlining its versatility and creativity to meet the current challenges. Airport GCEO Speaks e anticipate passenger and which also flies to Penang from Singapore, Air. Meanwhile, our Turkish operations, ISGIA, aircraft movements gaining has increased its twice weekly Singapore- had three foreign carriers - Pobeda Airlines, W further momentum in the coming Kuala Lumpur flights to four times a week Jazeera Airways and Nile Air – resuming months given the aggressive fare promotions from 16 September. their daily, three times weekly and four times by our local carriers to various domestic weekly flights respectively in August. All this destinations. Coupled with the packages from I am happy to report that our total network adds up to the growth in both our passenger hoteliers and travel agents in order to meet of 40 airports, including Istanbul Sabiha and aircraft traffic. the pent-up demand for travel after months Gokcen International Airport (ISGIA), have of lockdown and staying at home, we expect surpassed the three million mark since the Overwhelmed by the initial success of our joint to see domestic tourism continuing to take imposition of MCO in March to register 3.3 partnership with Tourism Malaysia to boost the lead. million passenger traffic in August. Of this, the domestic tourism and stimulate the economic domestic sector contributed the majority 2.8 activities at our inaugural six-day KLIA Crazy The recent increase in flight frequencies has million passenger traffic. In addition, Etihad Sale, which we extended from 26 August been partly fuelled by the commencement of Airways, catering for repatriation and transit until 5 September, we also had another one Malaysia-Singapore’s Reciprocal Green Lane, flights, was the first among the 29 airlines conducted from 25 to 30 September. While which saw Malindo Air, Malaysia Airlines, operating at KLIA to resume daily flights as we remain fully committed to support our AirAsia resuming their flights on 17 August per pre-Covid 19 schedule that same month. airline partners and retailers to recover from to Singapore from KLIA. They were joined this pandemic together, we would like to by their counterparts from Singapore, Silk We also have two new routes from Kuala remind our guests and shoppers that we are Air, Scoot and Singapore Airlines. Scoot also Lumpur to Kota Kinabalu and Kuching constantly ramping up the airport’s readiness made its presence felt again at our airports in introduced by My Jet Xpress Airlines, a cargo to operate in the new normal and ensure high Ipoh, Kuching and Penang while Jetstar Asia, freighter which is formerly known as Neptune safety standards are maintained. 43 AIRPORT TALK Malaysia Airports’ Commercial A Monthly Publication Of MALAYSIA Reset Initiatives to Help Businesses AIRPORTS © Aviation Marketing and Development Division Survive Covid-19’s Impact Advisor Dato’ Mohd Shukrie Mohd Salleh Managing Editor Mohamed Sallauddin Hj. Mat Sah Editorial & Concept Octagon Creative [email protected] Advertising & Production Noor Hafiza Ruslan [email protected] Mohd Faizal Md Haris [email protected] ecognising the difficulties faced by and provide them with some breathing Design & Distribution Mediate Communications Sdn. Bhd. various businesses, including retail, at space while we undergo a gradual recovery Rits airports nationwide due to the sharp in terms of traffic numbers. It will also MALAYSIA AIRPORTS HOLDINGS drop in passenger traffic after the country’s ensure that the right brands are present at BERHAD (487092-W) movement control order was announced on our airports.” Airline Marketing Division 18 March, Malaysia Airports has come up Level 3, Arrival Hall (Domestic) with several measures to help them brace Relief Package for Retailers Main Terminal Building the impact of the new coronavirus (Covid-19) Malaysia Airports’ newly appointed Chairman KL International Airport on them. Dato’ Seri DiRaja Dr Zambry Abd Kadir 64000 Sepang quips, “We have also come up with a more Selangor Darul Ehsan, Malaysia In its on-going efforts to retain and attract immediate RM22 million relief package to new business partners that will help revitalise help our airport retailers weather the impact Tel : 603-8776 4949 the airport commercial offerings under its of Covid-19 this year although we ourselves Fax : 603-8776 4040 commercial reset strategy programme, the are undergoing aggressive cost containment Email : marketing@malaysiaairports. airport operator recently announced a new measures to mitigate the impact on our com.my rental model to its existing tenants who had own business. signed up for it or those planning to do so. “With this relief package, about 650 retail They will benefit from reductions of up to 30% tenants will enjoy 50% rental reduction for from the current rental rate. This will work out six months in 2020. Representing 80% of to be a total annual savings of RM45 million its retailers, they comprise mainly small for them, according to Malaysia Airports to middle-sized enterprises or operators. Group Chief Executive Officer Dato’ Mohd Hopefully, they will be able to gain some Shukrie Mohd Salleh. respite in terms of cash flow in order to continue operating their business.“ With this new and more attractive package, he hopes, “We can together realise the full Other assistance programmes offered by potential of our commercial reset initiative. Malaysia Airports include deferring rental We will not allow the pandemic to disrupt our payments, extending credit terms to 120 days plans in elevating the airport experience and and the tenure of newly signed contracts. service level. Organising airport-wide sales to help clear inventory due to the lower footfalls “This new rental model will also help facilitate at the airport are also part of the airport the business recovery for our existing tenants operator’s initiatives. 44 AIRPORT TALK KLIA Crazy Sales and Cuti-Cuti Malaysia Mini Travel Fair It kick-started with the KLIA Crazy Sales, held from 26 August to 5 September and 25-30 September held near the stage area of the KL International Airport’s Departure Hall. These two sale campaigns, organised jointly together with Tourism Malaysia’s Mini Travel Fair, received good response from the public who were eager to grab travel-exclusive Ecommerce Launch They include Eraman, Heinemann, and duty-absorbed products with discounts Malaysia Airports recently expedited its Karyaneka, Nooodles, Retail One, Sama- of up to 70%. They range from perfumes launch of shopMYairports, Malaysia’s first Sama Hotel, and Sprint-Cass. Currently, and cosmetics, chocolate and confectionary travel retail ecommerce platform, to enable shopMYairports accepts payment methods to fashion and lifestyle items. Besides its airport retailers to expand their market that include debit and credit cards such as participation from Malaysia Airlines, travel beyond the brick and mortar set-up at the Visa, Mastercard, Alipay and Union Pay. agents and hoteliers, they also had booths airport, thus facilitating their business to It will expand to many other payment showcasing local handicrafts and well-being recover from Covid-19 travel bans and methods soon. offerings at the travel fair. other challenges. One of the objectives of Malaysia Airports’ More than 10,000 people turned up for the Dato’ Mohd Shukrie views shopMYairports commercial reset initiatives is to drive its first event, with the second one expected to as an important step to ensure its airports non-aeronautical revenue, which amounted draw as much crowd. Those who bought are “future ready”, adding that it is part of to RM2,161.5 million for the financial year above RM250 were entitled to free parking the wider Airports 4.0 plan under the airport ended 2019, according
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