Malaysia Airports embarks on phased ‘commercial re-set’

By Andrew Pentol |

Malaysia-Airports-Video-Interview

Mohammad Nazli Abdul Aziz, Malaysia Airports Senior General Manager for Commercial Services has revealed details of a ‘commercial re-set’ across the company’s international airports.

Malaysia Airports Holdings Berhad (MAHB) has embarked on a ‘commercial re-set’ to be undertaken in phases across its five international airports (KLIA and KLIA2, Penang, Kota Kinabalu, Kuching and Langkawi).

The airport operator enjoyed a ‘bumper’ 2017 in which total sales grew +24% to RM2.6bn ($620m) and has already issued an arrivals duty free tender at KLIA this year, the first of three waves of tenders over the next one-and-a-half years.

Speaking exclusively to TRBusiness, Mohammad Nazli Abdul Aziz, Malaysia Airports Senior General Manager for Commercial Services said: “We are about to embark on what we call a commercial re-set. This will be undertaken in phases across all our international airports.

FORWARD THINKING

“There are two reasons for this. One is because we want to keep up with our peers. Another is because we are forecasting a bullish industry in the next 10 years. We want to ensure we have the right format and offer for our consumers.”

Having spent the last two years analysing data and trends, engaging with its incumbents and brands and trying to see things from ‘their lenses’ was the priority for the first six months of 2018.

Once commercial redevelopment is complete at KLIA, work will begin at other MAHB airports including Langkawi and Kota Kinabalu.

He added: “We have enjoyed double-digit growth across our other airports for the past two years. In the case of our Kuala Lumpur Airports, we had a low base. In 2014, we had three air disasters (Malaysia Airlines flights 17 and 370 and Air Asia flight 8501). It was a trying time for us. From then on, there was a continuous effort by the government to lure Chinese tourists.”

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