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31 March 2016

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Malaysia Airports To Boost Chinese Tourist Spending

The Commercial Division of Malaysia Airports Holdings Berhad (Malaysia Airports) is tying up with Union Pay International to boost Chinese tourists spending at its airports

The move is in line with Malaysia Airports’ Commercial Division’s new strategic direction which calls for targeted passengers focus.

Union Pay International in collaboration with Malaysia Airports, launched the Be Rewarded When You Spend Campaign in conjunction with the prize presentation ceremony to mark the conclusion of Malaysia Airports’ Indulge & Explore Campaign.

According to Mohammad Nazli Abdul Aziz, Senior General Manager Commercial Services, Malaysia Airports Holding Berhad, the collaboration is in line with the significant growth of Chinese passenger traffic.

Indulge and Explore Contest Winner

Air China, Shanghai Airlines and Spring Airlines were the latest to join the fleet of Chinese airlines flying to Kuala Lumpur and Kota Kinabalu in 2015.  Together they connect Malaysia to more than 17 key cities located throughout China.  

Said Nazli: “The Chinese tourists market is a priority for us given their volume and strong spending power. Last year, total passenger movement between Malaysia and China stood at approximately 5.54 million, the second highest for Malaysia Airports.  Much of it is boosted by the fact that we currently have 12 airlines connecting Malaysia to over 17 destinations in China.  We expect the Chinese tourists market to increase even further with the visa-waiver programme. 

“According to statistics obtained from Tourism Malaysia, on the average, a Chinese tourist spends approximately MYR3,300 each. If Tourism Malaysia achieves its target Chinese tourist arrivals of over 2 million for 2016, this will translate to more than MYR6.7billion in tourist receipts. Capturing a fraction of that will contribute positively to our revenue.

“UnionPay is a fast growing global payment brand. Partnering UnionPay International will allow us to tap into the Chinese tourists.”

Wenhui Yang, General Manager of UnionPay International Southeast Asia said, “We are pleased to partner Malaysia Airports for the “Be Rewarded When You Spend” campaign.  Malaysia Airports is one of the biggest players in Malaysia’s tourism and hospitality industry, our collaboration is in line with our efforts to bring greater value and more exciting privileges to our customers, wherever they go.”   

According to the data captured by Malaysia Airports’ recently-concluded Indulge & Explore Campaign, Chinese tourists were among the top three airport spenders. For the three-month duration of the Campaign, which ran from 7 December 2015 till 6 March 2016, Chinese tourists spent an estimated MYR1.65million at KLIA/klia2 combined.  On a whole the current Campaign saw a 7 per cent increase over the previous year’s initiative.

To further boost tourists spending, Malaysia Airports has signed on several new brands at its international gateways. Amongst the local brands are Noodlelicious, Sofia Iman, Killiney Kopitiam, and Upin & Ipin Café. The new available international brands are Michael Kors, Pedro, Mont Blanc and Barry Smith.

Malaysia Airports is also enticing spend via attractive promotions and marketing campaigns, key of which is the Indulge & Explore (I&E) Campaign.  

The Grand Prize winner of the Indulge & Explore Campaign wins a six-day trip to participate in a Panda Experience Programme in China! Foo Yit Kin from Kota Bahru clinched the much-coveted prize.

Said an elated Foo: “The only other contest I won was when I was 12 years old!  My prize then was a T-shirt!  This is beyond my wildest imagination!  Special thanks to Malaysia Airports and MasterCard for providing exciting opportunities to win big in the Indulge & Explore campaign. It will give me a close-up experience with the cuddly pandas rather than just looking from afar.”

“And when I am at the Programme, I am going to tell the people there about Malaysia and the fantastic prizes they can stand to win at our airports!” said Foo who is pursuing her final-year in Early Childhood Development at the Open University Malaysia. Foo will be travelling to China with her niece.

According to Malaysia Airports, the Indulge & Explore Campaign drew participation from more than 43,500 travellers originating from 164 countries.  Top participation came from Malaysians followed closely by Chinese tourists.

In addition to the Grand Prize, the Indulge & Explore Campaign also saw 13 weekly prizes given out – seven to a Lovina Dolphine Trip in Bali and six to a New Leaf Detox Programme in Koh Samui, Thailand.

The 13 weekly indulger prize winners were selected throughout the Campaign period from 7 December 2015 till 6 March 2016.  Each weekly indulger prize winner was also in the running to win the Grand Prize.   

Nazli added:  “The Indulge Campaign is an important component of our overall commercial strategy.  It underscores our drive towards providing passengers and visitors with the total airport experience.  2016 will see us doing even more to drive the message home.”

Malaysia Airports’ Indulge & Explore Campaign, which is supported by MasterCard, provided the opportunity for shoppers to double their entries when they used their MasterCard.      

Safdar Khan, Group Country Manager, Indonesia, Malaysia and Brunei; Group Head, Islamic Payments, Southeast Asia, MasterCard, said: “MasterCard understands that Malaysians love to travel and for many of them, shopping is an integral part of their trip. According to our latest Consumer Purchasing Priorities Survey, nine in 10 Malaysians intend to travel in the next one year and shopping is among their top three activities when travelling.” 

He added: “Together with Malaysia Airports, we are delighted to have delivered unique travel experiences in conjunction with the Indulge & Explore Campaign over the past decade. We look to continue offering exciting benefits and exclusive rewards to MasterCard cardholders at every step of their journey.”