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Dear all,

In London, about to meet Manchester United. Thank you for all your wonderful feedback and comments.

There is no doubt that this would be great for AirAsia and as many of you have said, it is worth the money. To be honest, I don’t know what the entire package would amount to, as prices would have come down. But it must be stated that all our branding commitments to have always been about the impactto our bottom line. We would not be the global brand we are today if we hadn’t invested early on.

The question is whether we need to anymore. And that’s what I’ll be examining.

I was just thrilled that we have reached a stage where Manchester United would actually
1) Think that we are a big enough brand to afford them; and
2) That they would want our brand on them

Yes Proton was on Norwich as someone pointed out, but Norwich and Man U are two completely different type of clubs on two totally different levels.

Well let’s see. Remember, we are ruled not by our hearts but by our brains. Well, once in a while our heart leads us the wrong way…hahaha.
Who knows one one day Manchester United may want to sponsor us!!!!!

I don’t think this will happen as we have achieved a lot of what we want already with our brand, but who knows?
Believe the unbelievable , dream the impossible and never take no for an answer.
Will be keeping all of you posted.

PS. If we did it it, it would say AirAsia.com.

19 comments

del-icious from Malaysia wroteon Feb 24, 2009 at 02:58
all the best datuk. hope you bring us positive news =)
skydreamer from Australia wroteon Feb 24, 2009 at 13:41
That's still a long way to go if you want Man U do AirAsia a sponsership. Or even that day will never come, to be honest!!! Because Man U was a really big company which don't really care about sponsership and stuff since they are really well known!!!!

Amount of sponser fees would still be a big amount although global economy is under recession. But, as everyone said, it worths to go for it.
Also, as you already notice that Norwich are different level of teams. Norwich seldom show up on the top level competition, But Man U is just a super star in the world.

In China, there's a famous sentence, "Don't put a big hat on your head if you don't have a big head" (Sounds weird!!!!)

It means, if you don't that qualifacation, then you shouldn't do it. I am not trying say AirAsia don't have that "head" to fit Man U's "Hat". But I am trying to say that see if the contract and stuff well fits AirAsia's brand and need.

Well, The final decision is in your hand, and i have done my bit, to give my opinion and some successful examples. (Back on the other comment i made.) So hope you will make the right decision which best fit AirAsia's brand.

Can't we put the slogan under the AirAsia.com (or putting AirAsia X would be more suitable?)
ferdinand v zeppelin from Malaysia wroteon Feb 24, 2009 at 21:49
Looks like AirAsia's potential sponsorship of Manchester United is getting a substantial amount of media coverage in the UK. Check this link out - http://www.teamtalk.com/football/stor/0,16368,1778_4966846,00.html The link is a main story on teamtalk.com
taggnas from Malaysia wroteon Feb 25, 2009 at 09:27
Good luck! The mileage is going to get you guys far!
rioj from Malaysia wroteon Feb 25, 2009 at 10:57
Proton sponsored Norwich because of Lotus which Proton owns, of which is located in Norwich. Airasia sponsors Man U because....they have the same company colour scheme? You and I know why Man U came crawling to AA. AIG is in deep shit and it ain't gonna recover anytime soon. And there's no other sponsors who would want to pour in more money in an EPL club as finances are drying up. Rumours have it that it needs 15 mil GBP (that's ~75mil MYR) a year of sponsorship, I think maybe more. Is AA making that much profit a year to be able to afford this? Branding is one thing, creating value for shareholders is another.
hill69 from Malaysia wroteon Feb 25, 2009 at 13:40
Dato' Tony, this would be a wonderful feat for AirAsia, imagine the exposure it will bring. Worlds best team wearing AirAsia.com on their jerseys, world's best player celebrating each of his goals with airasia.com on his jersey(provided he still stays after this summer. haha). One thing is certain though, this is maximum advertisement for AirAsia, its basically all over the world, MU has est. 330 million supporters, it has the highest ever spectators from right in their Old Trafford Stadium, to a worldwide audience. If the deal is trough, AirAsia has taken a wonderful step in maximizing and expanding its business potential further, fly to more european cities, reach out to south america, come up with more services and products from AirAsia, the possibilities are just endless. After all its you, and with Richard Brandson as your mentor/idol, do i need to fool myself here typing and elaborating bout branding and marketing a product. :)


Anyhow, about the financial part as the main sponsor of MU which currently held by AIG is the biggest in the world, costing 14.1mil pounds a year and they're ending it in May 2010. The best decision maker here for this subject would be you, Dato' Tony. Whichever decision you make here, I believe would for the best interest for all parties. All the best Dato' Tony !!!

p.s - the pics with you in a MU jersey and the AirAsia logo is just simply breathtaking for me as a Malaysian. Hope it happens...
invest.klse from Malaysia wroteon Feb 25, 2009 at 17:42
Hi Tony, I like your statement "The question is whether we need to anymore". Ya.... sponsoring MU is a great ideo, but do AirAsia really need it? is it really worth? My opinion, if it cost AirAsia few hundred million do make it, don't do it. In Malaysia, I'm sure that the brand of AirAsia itself is more well established than M.U.! .... Almost everybody in Malaysia know AirAsia, but M.U. name only inspire football fans. Trust me, if you are to promote AirAsia brand in Malaysia or ASEAN, sponsoring M.U. is no more effective now. You probably pay more than what you get. Why not save the money to improve the services? or offer an even low airfare? A lots of people now still complaint about the bad service of AirAsia, e.g. nobody answer the phone, flight cancellation without notice, etc. people already know AirAsia, the more important job now is to maintain a great image through improving the quality of service. one day when AirAsia is well known not only for its low fare, but also its great quality, then its a TRUE brandname.
jaredchew from Malaysia wroteon Feb 25, 2009 at 17:43
I understand that many who are hesitant towards the shirt sponsorship because of the big amount of sponsorship required. If that is the case, I beg to differ.

It is hard to quantify how much return these sponsorships would provide back to AA. However, the objective of this deal is to create global presence and awareness whilst continually building the brand, AirAsia! In my earlier comment, I thought that it was a fantastic idea to sponsor MU's shirt but not at the present.

Companies should always build their brand, because brands sells! Take for example the Sydney Opera House. Is it a popular tourist attraction? Yes. Does it bring global recognition? Yes. Does it contribute towards Australia's tourism industry? Yes. It certainly does seems a reasonable effort in building this fantastic piece of architecture that brings exponential returns to the country via high traffic in the tourism industry. From this, we can definitely say it has achieved its objectives!

However, little knew that it was initially estimated that the construction of this building would cost A$7 million within 5 years time. It actually cost a whopping A$102 million (almost 15x from the original budget)! Does the people of Australia see it as a failed project? No. The project has still achieved its objectives!

Therefore, it is hard to quantify how much return on shareholder value or investment the sponsorship brings. However, it is certain that it will achieve AA's objectives of being an established global brand!

Not everything must be quantified by numbers! Its more of a qualitative measure.

Regards,
Jared Chew
ACCA Affiliate
Red Devil!! from Malaysia wroteon Feb 25, 2009 at 21:17
it's great idea of putting your brand on ManU shirt!!! fit the idea of you going global!! can u imagine 330 mill ManU fans all over the world wearing those shirts?? can u imagine ManU holding premier league, champions league, fa cup and carling cup throphy with AirAsia brand all over the place?? u do the math on the worthiness coz i do!!! p/s: i still remember putting AirAsia on AirAsia Stars jersey few years back.. it's awsome..
mdghouse from Malaysia wroteon Feb 25, 2009 at 23:01
Dear Tony AirAsia brand is well known in this region. You do not need MU sponsorship to proclaim to the world about AirAsia. Our time will come one day and we can think about it then. For the time being, do not allow your heart to rule over your brain. Think about the millions of AA travellers who choose AirAsia because of the low fare and service it offers and not some logo from a fairytale place....
zh from Malaysia wroteon Feb 26, 2009 at 10:19
Hi boss, Great to hear it'll be "AirAsia.com" :) People, Let the finance team do the calculation, but let the vision decides its future. RM7.5million per month, with high chances of appearing in following media, every week: 1) Live tele-cast exposure around the world (not including sports content programme in various language) 2) Premium position with photos (include team Jersey) in newspaper around the world (not including sports magazine in various country) 3) Fan's original jersey (not include Pasar Malam's version in hundred of cities around the world) The exposure is just to great. All with potential to lead people to AirAsia.com! (Not including Word of Mouth advertising, additional ticket purchases and repeating sale!) Now, compared to paying RM20k per page per day in The Star- Metro Section only; not including other paper in Bangkok, Singapore, Shanghai, Jakarta, Manchester etc you name it. It's about Brand building and when AirAsia.com successfully created impact in Internet world, the spending will be minimal and that's the time we collect return. Do you see Google.com or Yahoo.com advertise themself regularly? It's because people who have the intention of looking what they want in them, know where to go!!! Go Go Go, it's better to reap fruit few years later than seeing the sponsorship package price increases by then! p/s: if it's Tenaga Nasional to sponsor, then we have to rethink, because the company serves M'sian; but AirAsia's market is global! Thank you.
hendriktan from Malaysia wroteon Feb 26, 2009 at 11:51
If I have the money ... I'll put my name on their jersey .. LOL
davidyst from Malaysia wroteon Feb 26, 2009 at 12:54
Hi Tony,

This is just my opinion. i think AirAsia is big enough to sponsor Ma Utd, but is the AirAsia profit can afford the fees?Big question mark???

Now AirAsia already a sponsor for for Man Utd but not the shirt sponsor. I think Air Asia should just maintain it. Now AA already fly to London, is the best is AA have a LCC hub in London so that AA can do the business in Europe. I think the market is huge.

i'm a big Man Utd fans. I hope AA can be the shirt sponsor. I'm very proud that a Malaysian Brand can be on the Biggest Club Shirt.

But it is not worth it for that amount of money currently for AA.

However Good Luck
zh from Malaysia wroteon Feb 26, 2009 at 13:06
Additional Bonus:
FOC endorsement for AirAsia.com in major Nike Shops (how many are there outside- M'sia, Asia, Europe and the rests?)
Cheers :)
httan from Malaysia wroteon Feb 26, 2009 at 17:17
Hey Tony, I'm excited to know that AirAsia.com is considering a shirt sponsorship on my favorite ManchesteR United (been a loyal supporter since 1995!)... Its an excellent way to spread the name of AA further and with the commencement of your AAX flights to London, more Brits and Europeans will definitely be aware of AA and who knows, this can translate into greater tourist arrivals to Malaysia... As well as gaining more MU fans amongst AA customers, lol!
one2d3 from Malaysia wroteon Feb 27, 2009 at 02:49
hey mr.entrepreneur, not sure if u wud actually read this but here goes. my 2cents is as much as i im a big fan of the red devils, i dont think u shud bother being their shirt sponsor. it seems to be a chest thumping act and nuthin more. plus how long could you actually sustain that sponsorship? until the next 'big brand' comes along... ur brand says 'now everybody can fly'. basically the champion of the underdogs or somewhat like the revenge of the nerds. buying into the champions doesnt quit reflect that at all. all it says is, we are making a hell lot of money from u guys who pay cheap fare. hmmm... wtf? what u did with sponsoring the refs is indeed clever, smart and reflective of the reason of being. my suggestion, if the EPL is an ideal marketing playground, why not device an agreement for sponsorship of the 3 clubs that will be promoted to the premier league every season. if that is indeed possible...
hamish_jimbo from United Kingdom wroteon Feb 28, 2009 at 00:09
Tony I think this sponsorship will really enhance the global brand AirAsia. As others have posted, the media interest in the UK from your blog alone has increased your companies profile and image enormously. The worldwide support of Manchester United and the global United brand is massive. For AirAsia to be connected with this will ensure that your name is featured around the globe. As an example, my brother was in Nepal in 2001 at a village high in the himalayas when he discovered the locals were watching footage of Ryan Gigg's testimonial. If you take this sponsorship the people of this little village in Nepal, people in Malaysia, Britain, Australasia, South America, North America, the rest of Asia will be having AirAsia.com beamed into their houses at least two or three times a week. One blog yesterday stated that the sponsorship deal would not double your sales. Maybe not, but the global recognition will be phenomenal. Also, as a United fan living in the UK with friends in Singapore I know that if you get the sponsorship deal I will look to use your airline when I go to see them. The enthusiasm you have shown for the opportunity to be involved with the club I love is brilliant. If you do decide to go ahead with the deal I would be delighted to see you and your company associated with Manchester United and delighted to welcome you to the club. Though I won't be part of the official welcoming committee I'm afraid. Best wishes to you and all the best for your discussions!
conanke from Malaysia wroteon Mar 02, 2009 at 22:40
harlo...tony..^^..i first time here..just sign up..
MU want expand his name to Asia, so find AirAsia budget airline..^^
i concern about the sponsor amount...
if the amount is ok, AirAsia can expand its name to Europe..in this recession..just like i see your airline to London in singapore..^^

sry for my poor english..^^

yong
lsj from Malaysia wroteon Apr 05, 2009 at 00:32
i don't think is the best time for Airasia to become shirt sponsor for MU.... just think that the coverage of Airasia is not wide enough (Malaysia, SEA, Australia) , kskas in addition, the KL-London route just commence no more than 1 month, and still immature (5 flight per week only~!!!) why don't wait more plane (Airasia X, i mean)to be available, and more routes to be created first ?just simply think that the North Asia (Moscow,Japan, Korea, Taiwan)is still not a region for Airasia, when Airasia had reach those region. On that time Airasia is is only considered have 'wide coverage'. the the sponsorship for MU shirt is rational then will be more efficacy on promoting Airasia to the world. one final word: the excellent service and low price are the best promoting tool.. for Airasia

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Hi guys. Thanks for stopping by. This is where I plan to share my ideas, thoughts and observations on a variety of topics with anyone who cares to listen. There's just so much to say these days and with new developments in areas of sports such as the 1Lotus team and the ABL and in new ventures of Tune Talk and more to come, stay tuned. Cheers!
Opinions expressed here and in any corresponding comments are the views and opinions of Tony Fernandes, and do not necessarily reflect the views of the AirAsia and Tune Groups of Companies.

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