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Analysis of Air Asia Customer Relationship Management

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Company Background

Air Asia is a Malaysian Airline headquartered in Kuala Lumpur. It was established on December 20, 1993 and began its operations on 18 November 1996, which was initiated by a Malaysian government combination, DRB-Hicom. Air Asia Sdn Bhd is an organization restricted by offers and constrained which was consolidated under the Companies Act 1965. AirAsia provides passenger and cargo transportation services to local and global markets.

Air Asia has been restored on 12 December 2001 when the organization needed to manage the weight of obligation which was too high of RM40 million. Therefore, it was sold to Tony Fernandes. He is an entrepreneur and founder of “Tune Air Sdn Bhd” who introduced low-cost carrier. Within the time frame of two years, Fernandes proved the critics wrong and was able to turn AirAsia into a profit-making company after the successful operations of the United States-based Southwest Airlines, Dublin-based Ryanair and United Kingdom-based Virgin Air. Air Asia was the first low-cost carrier in South-east Asia. According to O’Connell (2005), low cost carriers have reshaped the competitive environment and have had huge effects on the world’s passenger markets, which had already been to a great extent controlled by full service network carriers. On account of that, cost minimization is the center business rule that drives the business in Air Asia.

The Needs of Using Salesforce

As stated by Habjan and Oucihar (2017), the latest current data affirm the tremendous potential for expanded adoption and utilization of ICTs to support development through advancement in products, services and ventures, beyond all sectors.

One of the problems faced by Air Asia that required Salesforce Support is there were no customer communication channels being managed through a central system. AirAsia’s call centers handled on codes of airlines and their guests would need to contact the flight’s call centre in the destination city. For instance, if a UK guest who is in China called the China call centre to make changes to her flight in Philippines, employees there would ask him/her to call the Philippines call centre instead. As a consequence, the customers were exasperated because they did not understand the Air Asia’s internal procedures.

Irrespective of how great the service of a company delivers, every organization generally makes mistakes in meeting the customers’ expectations. As claimed by Sehgal and Chawla (2017), customers’ expectations are increasing these days. With the increasing awareness of consumers, service industries are looked out on with the pressures to develop new customers and sustain the existing ones (Lin, 2010). Besides that, language barrier was also a reason for the requirement of Salesforce support for Air Asia. It could lead to miscommunication when getting the right information. As a consequence, it might affect the purchase decision of the customers in the future. This was because the customers were asked to contact the call centre in their destination city. With the Salesforce support, customers of Air Asia will be able to communicate with them on their own terms. Neal (1998) pointed out that the language issues as on one of the major source of frustration and dissatisfaction.

In addition, Salesforce has helped Air Asia to reduce the handling time of customer service cases. Around 41, 000 social feedback surveys have been submitted via the Twitter feedback app exchange and more than 400, 000 people have registered for the new Air Asia Community Analytics for data gained through Salesforce Community Cloud.

Furthermore, Salesforce also helps Air Asia to initiate a systematized process of sales, improve visibility into the sales pipeline and measures sales effectiveness and the performance of travel agents representing Air Asia.

By using Salesforce, Air Asia’s customer loyalty has been increasing and thus the company’s competitiveness became even stronger. It is very crucial to ensure customer loyalty in order to sustain their customers and this is what establishes the competitive advantages of the company. According to Feizi (2008), having effective relationship with customers is the most effective conceptualization in being the most successful company. In order to understand the complications of customer loyalty, it is very important to understand the evaluations, attitudes, and intentions that affect behavior (Oliver, 1999). With the Salesforce adoption and utilization, all these would be achievable. When customers’ problems are identified, it will be easier to make room for improvements. Thus, customers’ satisfaction and loyalty will be increased.

Salesforce Systems in the Company

ICT’s are used not only to inaugurate new connections but also to exchange information and resources and to take collaborative actions. Air Asia is being supported by Salesforce Service Cloud and Sales Cloud. Salesforce Service Cloud enables their customers to computerize processes of service, streamline work processes and discover key articles, themes and professionals to help the operator. The object is to cultivate coordinated advertising associations with each client, over different channels and on any type of device including mobile phone. Service cloud can “listen” and say something in response to customers across a number of social platforms and automatically route cases to the relevant agents. Social customer service is combined with the Salesforce Customer Success Platform, which allows the social team to assemble a comprehensive picture of the customer to inform responses.

Service for Apps makes it possible to install software of customer support into applications. In-app mobile support can incorporate live operator video chat, screen sharing and on-screen guided assistance. This product is additionally incorporated with Salesforce’s Community Cloud, which gives more correspondence channels to specialists and clients.

Service Cloud has almost 10 features that makes a complete customer service platform for Air Asia. One of the features is Lighting Service Console. The Service Cloud maximizes Air Asia’s productivity by putting all of the information Air Asia needs to deliver the fast service to its customers. The Customer Service team is empowered to anticipate customer needs and deliver the top customer service solutions at all times. The Service Cloud reporting module gives Air Asia’s front line managers the ability to see critical business metrics from real-time dashboards that are also accessible in any devices like mobile or tablet.

In addition, Air Asia’s customers can expect the smart, fast and personalized service regardless of the channels they use to reach out. For instance, agents can look into customer’s profile, purchasing history and also account information all at one go. The customers do not need to report themselves and agents can anticipate their needs.

Besides that, another feature of Service Cloud is Social Customer Service. It listens and responds to customers across a number of social platforms, including Twitter, Facebook, and others. By joining the intensity of Service Cloud with Salesforce Social Studio, social customer care demands are raised straightforwardly to Air Asia’s social service group.

Since social customer service is a coordinated, consistent piece of the Salesforce Customer Success Platform, Air Asia’s social group picks up an extensive photo of the client before reacting. This genuine 360-degree perspective of the client enables Air Asia’s agents with social media engagement, continuously, on the channels where customers are engaging.

Sales Cloud

Besides Service Cloud, Air Asia is also being supported by Sales Cloud. Sales Cloud too has a number of features. One of the key features is the Contact Management. Air Asia can access basic customer information including key contacts and communication history and with Sales Cloud, it is even faster and convenient. For example, Air Asia gets an entire picture of each and every customer, from bits of knowledge about how to draw in with them to deals they’re associated with.

Air Asia utilizes a feed of their customers’ social content to comprehend what they are saying in regards to products and services. Sales Cloud reveals significant bits of knowledge into Air Asia’s customers’ issues, so they can proactively give answers to their customers.

It moves the company’s contact management online and the cloud enables integration over company. The Sales Cloud’s social collaboration tool for Air Asia is to share insights, relevant documents, and more on every business records and contacts. It accesses all of the accounts and contacts data where the company needs to keep deals moving, from anywhere and anytime. Moreover, the Salesforce1 Mobile App pulls in valuable social profile information from the accounts and contacts, giving Air Asia bits of knowledge so Air Asia can stroll into that important sales meeting with confidence.

Besides that, another key feature of Sales Cloud is Sales Forecast. This is a very crucial feature that was needed for Air Asia where they usually fully focus on maximizing sales by offering lower price. With Sales Forecast, Air Asia can see a complete view of the whole pipeline and their business, and make a move where it is essential. Sales Forecast also gives quick updates to enable managements to make the right decision. It is convenient to apply their judgment to forecast time frame and rundown levels. The company can likewise see insights about any past changes that their group has given.

Regardless of whether Air Asia has a perplexing organization of sales or not, Sales Forecast helps. Overlay Splits enables them to credit the correct amounts up to deals by income, value of contract and many more. Air Asia would then be able to see the figure by overlays to perceive how they’re adding to their number. They will likewise have the capacity to make real-time adjustments at that point of time.

In addition, lead management is also one of the key features that Sales Cloud has. Air Asia is being a successful lead tracker from capture to close as they are able to manage and track campaigns over all channels, including the social media platform. This helps Air Asia make smarter choices about where to invest, and demonstrate the impact of their marketing activities on their business pipeline.

Areas of Information System Improvement

Air Asia can improve their Customer Relationship Management by implementing rewards program for their customers to encourage them for adoption of new policies and processes and this can maximize the effectiveness of their CRM initiatives.

Besides that, Air Asia can generate tailored communications that gives specific value to their users. For example, Air Asia can provide customized messages based on customer type, season, and the targeted products then combine activities for the sales team to follow up with the customers.

In addition to that, Air Asia can also provide visibility to all their team members by sharing and authorizing all internal departments’ access to the customer interactions so that everyone from the internal department be even knowledgeable and be able to respond appropriately to customer inquiries.

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Analysis Of Air Asia Customer Relationship Management. (2020, April 30). GradesFixer. Retrieved October 28, 2020, from https://gradesfixer.com/free-essay-examples/analysis-of-air-asia-customer-relationship-management/
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