AIRASIA has launched a low-cost courier service called Redbox.
The new service will offer an average of 50% savings in costs when compared to existing courier services.
The price range is RM47 to RM193 for delivering packages to several areas between the central region (Kuala Lumpur, Selangor and selected parts of Negri Sembilan) and places in East Malaysia like Kuching, Miri, Sibu, Kota Kinabalu, Labuan and Sandakan.
The company is targeting a revenue of RM25 million to RM30 million from RedBox next year.
“This is the first of initiatives this year to build stronger revenue,” said AirAsia group chief executive officer Datuk Tony Fernandes.
The company is looking to monetise on the AirAsia networks and hits that the AirAsia website has received.
“We are using our brand, networks and the internet to offer services to customers. There is a huge market here for courier services.
The courier market is estimated to be worth RM500 million,”said AirAsia X chief executive officer Azran Osman-Rani.
“The key part is our network because we are using our airplanes,” said Fernandes.
Local flights only use 11% of AirAsia planes’ cargo space while heavy flights use 43% of the plane’s cargo space so “there is a lot of capacity for this kind of service,” said Fernandes.
According to Fernandes, RedBox’s low-cost service can be attributed to the fact that users have to visit the AirAsia website to use the service which reduces the company’s need for manpower and the liaison between Mail Boxes ETC (MBE) which already offers courier services through UPS, DHL, PosLaju and CityLink Express.
“We are working with an established infrastructure. So, we don’t have to spend on new infrastructure,” said Fernandes.
Customers that intend to use RedBox will have to visit redbox.airasia.com or www.airasia.com and select the shipment destination, box size and package weight.
Customers will have to pay for the service via online credit card or direct debit payments.
Credit card and cash payments can also be made at Sales Centres.
The box sizes are available in 10 sizes. The weight breaks offered by the service is between 5kg and 25kg and the options increases in 1kg increments.
Customers can also drop off packages at any of the 17 MBE outlets for delivery.
RedBox uses Google Maps to track the packages and is also the first courier service to do so.
Courier services startup is a wonderful idea, especially when everyone knows that people throughout the globe are locked in their houses due to pandemics. pickup and delivery software operates as an intermediary between vendors and clients
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