The article titled "Santan by AirAsia" attached as the image from A1 to A6 to answer the following questions.
1 . Suppose you are the Marketing Manager of Santan Restaurant. Evaluate any TWO (2) marketing environmental factors that will affect the choice of marketing strategies and activities of the restaurant.(10 Marks)
2.Santan Restaurant and T&CO Cafe General Manager Catherine Goh said, "Currently, we are focusing on expansion within the Klang Valley to create brand awareness and as a springboard for Santan to spread its network across Malaysia.' Develop a customer-driven strategy (Segmenting, Targeting and Positioning) for Santan based on the product life cycle concept. (20 Marks)
3.Describe the factors influencing behavior of a target customer in EACH step taken when making purchase decision to dine in restaurants such as Santan. (15 Marks)
4.Critically review the competitive environment of food and beverage (F&B) industry where Santan operates. (Use Porter's Five Forces Model).(15 Marks)
SANTAN by AIRASIA From a Cafe in the Sky..... What started as 'AirAsia Cafe', simply serving sandwiches and snacks in the sky, Santan was born in 2015 with the vision to create a unique dining experience in the sky, serving only the best and most delicious ASEAN flavours. AirAsia since served over 600 million passengers from across the world. Named after Malaysia's beloved 'coconut milk', SANTAN is a reflection of the purity and simplicity of ASEAN flavours and ingredients. ntoi AirAsia's hub is at the low cost-terminal of Kuala Lumpur International Airport (KUL). Menu options were chosen to highlight countries that the airline connects, and the ingredients from coffee and tea to spices and produce were sourced from throughout the region. A team of five chefs, and a group of culinary students were responsible for designing the menu. The list of dishes on the ground at Santan is, unsurprisingly, much longer than the one on most flights because the restaurant doesn't face the space constraints of an airplane. The flagship outlet On 2nd December 2019, the low-cost airline Santan opened Santan, a restaurant in Kuala Lumpur that serves the same fare that's available on board AirAsia flights. The restaurant and cafe were launched by the Minister of Domestic Trade & Consumer Affairs of Malaysia YB Datuk Seri Saifuddin Nasution Ismail, AirAsia Group Executive Chairman Datuk Kamarudin Meranun, CEO of AirAsia Group Tony Fernandes and AirAsia Group President (RedBeat Ventures) Aireen Omar and General Manager of Santan Restaurant and T&CO Cafe Catherine Goh at Mid Valley Megamall in Kuala Lumpur. Offering Asean delights and popular favourites for only RM12, foodies can now indulge in Pak Nasser's Nasi Lemak and Uncle Chin's Chicken Rice on-ground as well as other dishes inspired by popular Asean cuisines such as Pineapple Fish Noodle from Cambodia, Chicken Inasal with Garlic Rice from the Philippines, in addition to Asean- sourced coffee and tea, snacks and desserts inspired by local flavours such as the Nasi Lemak Quinoa Wrap and Onde-Onde Cake.To celebrate the opening of the flagship restaurant, Santan offered customers a limited- time promotion online to enjoy Pak Nasser's Nasi Lemak with Chicken Rendang for only RM5. As for T&CO, customers able to enjoy free coffee with every T&CO mobile app downloaded on Apple Store and Google Play. Santan Restaurant serves Asean dishes, coffee and snacks in a fast, casual and efficient environment. Indulge your taste buds in the likes of Pak Nasser's Nasi Lemak with Chicken Rendang and Nasi Padang with Beef Rendang while washing them down with refreshing Asean-inspired beverages such as White Coffee, Teh Tarik and Calamansi Iced Tea. Designed to enhance customers' dining experience through a personalized digital journey, the restaurant and cafe features a smart menu equipped with Artificial Intelligence and Machine Learning, which is able to recommend popular dishes based on time, past ordering patterns as well as demographic taste. Using technology, customers are also able to enjoy favourite Asean-meals and drinks at the convenience of customer's fingertips through seamless and contactless ordering on www.santan.com.my as well as T&CO mobile app. They can enjoy these tasty treats via dine- in, takeaway and delivery within Klang Valley from locations Santan's various locations in Mid Valley, Sunway Pyramid and Shah Alam. Santan is also partnering with the Food Aid Foundation to deliver over 8,000 meals to charitable homes, rehabilitation centers, feeding centers and selected hospitals in Klang Valley since March 2020 and will continue their partnership with the foundation to help those in need. The growth... BRUNO SUNWAY PYRAMID In July 2020, AirAsia Group's inflight F&B arm COLDE FRIE Santan launched its second outlet in the Klang CHICERT Valley at the Sunway Pyramid shopping centre. Santan has set a vision to be the first fast food Santo franchise across Asean. According to the AirAsia, during the challenging economic climate, the expansion would enable Santan to create new job opportunities and help rehire former airline industry employees from different professional backgrounds such as cabin crew and ground services. They have been re-skilled and retrained to serve Santan's offline and online customers.Apart from freshly cooked dishes, Santan has also introduced its range of ready-to-eat frozen meals including its signature items such as Pak Nasser's Nasi Lemak and Nasi Padang with Beef Rendang. Santan also unveiled a new menu line up of Asean dishes and beverages such as Nasi Lemak Goreng with Ayam Goreng Berempah, Crispy Chicken Bites with Rempah Cheese sauce and Gado-gado. Franchise model In September 29, 2020, the Official Franchise Registration Certificate was presented by Domestic Trade and Consumer Affairs Minister Datuk Alexander Nanta Linggi and witnessed by his deputy Datuk Rosol Wahid, AirAsia Group executive chairman Datuk Kamarudin Meranun and Fernandes. "The interest for Santan's franchisee was encouraging in line with the ministry's initiative to encourage participation of entrepreneurs in a franchise business to spur the economy," said the minister. The minister in his speech also mentioned that, with the ease of doing business under the franchise model, it was hoped that more entrepreneurs would take up the opportunities and hence boost the franchise business, which was valued at RM13 billion in 2019 and expected to double by 2025. He said Santan was one of Malaysia's homegrown local businesses that had thrived even during these challenging times amid the Covid-19 pandemic, proving that the business model was sustainable. Santan offered franchising opportunities to budding F&B entrepreneurs with a great value proposition, With a competitive franchise package, local entrepreneurs benefitted from a viable investment opportunity supported by AirAsia and its partners. Santan provided continuous support and training for all potential franchisees from the beginning. Besides working with a popular delivery partner, Santan also offered its own in-house delivery service and supported by AirAsia's growing F&B platform, Ourfood, that allowed franchisees more opportunities to increase profitability. During the interview at the ceremony, Santan Restaurant and T&CO Cafe General Manager Catherine Goh said "Santan aimed to open 65 outlets by 2021 and over 100 outlets by the first quarter (Q1) of 2022. Santan plans to open its outlet in China and the United Kingdom in the first quarter of 2021, followed by Australia and the Philippines, depending on the Covid-19 recovery." "The official franchise license will allow us to scale up, starting across Klang Valley as we will be rolling out 20 new outlets with the first franchise scheduled to open its doors at SOGO Kuala Lumpur on October 8, followed by locations such as AEON Mall Shah Alam, Nu Sentral, Setia City Mall, IO| City Mall, and more by year-end," she explained. "Currently, we are focusing on expansion within the Klang Valley to create brand awareness and as a springboard for Santan to spread its network across Malaysia. We are confident that the number of restaurants would hit the100-mark by Q1, 2022, with the first outlet in East Malaysia targeted to open in Q1 2021," she added. Ms Goh also mentioned, "About 70 per cent of Santan's franchises would be operated by young entrepreneurs including AirAsia's air crew and employees. Santan is set to support hundreds of job opportunities from kitchen assistants, front-counter to restaurant management." "Besides helping local budding entrepreneurs to make their foray into the food and beverage industry, we will also continue to work with local small and medium enterprises (SME) to market their products at Santan. We will also source fresh produce directly from local farmers and producers through Ourfarm, as part of our commitment to support local economic growth. So when you dine in, take away or order your favourite Santan meal via delivery, you are directly helping our local communities, " said Goh. Santan's expansion across the country will not only open job opportunities and back local santan agriculture producers but also further support FOOD the government. In line with the Buy Malaysia Products Campaign in the year 2020, Santan had established Santan Food, a specially 12 curated space at its flagship outlet in Mid Valley Megamall, to highlight the best of Malaysian products which include locally made and sourced snacks, coffee and tea. Santan sold about 300,000 Malaysian products in its outlets. "Santan became the world's first restaurant brand to offer inflight food on ground, was set for a rapid expansion in Malaysia with a minimum franchise fee of RM50,000 based on the size of the store. Currently the franchise stores are about 1,000 sq ft (92.9 sq metres) and below, and locations that we would choose are those with high footfall and which also cover a good delivery radius," Goh told reporters after the official franchise registration certificate presentation ceremony. OURFARM (www.ourfarm.asia) In June 2020, AirAsia Group is now spreaded its wings into the agriculture industry with the launch of agriculture business-to-business (B2B) e-commerce platform Ourfarm. AirAsia group CEO Tan Sri Tony Femandes said,"Ourfarm connects farmers and fishermen directly to businesses, especially in the food supply like restaurant and food truck to boost their income." "When we saw the margin that farmers are making, they should get more profit. We started to look at the supply chain and we thought we could reduce the cost of supplychain and give more profit to farmers. We also want to make food cheaper to the public by reducing the cost of supply chain, so that food businesses can offer meals cheaper to the public," he told the media after the launching of Ourfarm by Agriculture and Food Industries Minister Datuk Seri Ronald Kiandee. JUSFARM "In the future, Femandes said Ourfarm would also provide a warehouse or cold chain facility where not only businesses but also end consumers could buy fresh products like vegetables, fish and meat online," he added.. Datuk Seri Ronald Klandee, in his speech, said the newly launched platform not only empowers farmers and fishermen but also helps them increase their income. "Access to markets has always been a major challenge for our agro-food producers. Many are still dependent on middlemen to not only market their produce and but also to procure agriculture input such as seeds, fertilisers and animal feed," he said. He said the platform was backed by AirAsia's eco-system of cargo, logistics, payment, business and consumer base to overcome the challenges of operating costs and access to new markets for the farmers and buying fresh produce in large quantity at lower prices, as well as enabling logistics service for the business buyers. Meanwhile, Ourfarm CEO S. Lalitha said,"The platform currently has 45 farmers and poultry breeders on board, which provides supply of fresh products to businesses that order a minimum of 50kg per item, around the Klang Valley. "Currently we are working with all the government-related farmers but moving on we will work with private farmers," she said, adding that Ourfarm would provide transportation in partnership with TheLorry.com which would pick up vegetables from the farmers and distribute them directly to businesses. OURFOOD (www.ourfood.my) AirAsia's Teleport has mobilised its logistics infrastructure and technology to introduce Ourfood, a seamless, fuss-free and affordable solution for customers and restaurateurs. Ourfood is suitable for F&B Businesses (Partner Outlets) that able to take orders directly on WhatsApp, Facebook and Instagram. Partner Outlets only need to share a customised menu link to their customers to check out for a pre-order or to receive the food delivery instantly. In return, customers can easily pay, check out and track their food order status in real-time with just a single link. "We've seen an encouraging adoption rate for Ourfood, as it reduces administrative work of managing payments, orders, and logistics for both F&B businesses and customers. We launched our pilot version of Ourfood on 14 May, and have received valuable feedback about the experience and features throughout the process. We're hoping thatour Partner Outlets are able to see this pandemic as not just about adapting or surviving in the new normal, but also to explore how we can grow together," Ourfood Growth Manager Sabrina Khaw said. OURFOOD Sathity your cravings now on OURFOOD.my As part of the Save Our Shops (S.O.S.) campaign, from now till June 30, Ourfood is offering 50 percent off the prepaid trial plan Valuable features that set OURFOOD apart from other for Partner Outlets at only RM25 food delivery platforms for 10 orders. All types of FAB business are waicome, from home- bakers to mulli-chair outlets The prepaid plan includes both Easy sign-up process, as only IC details are required transaction and service fees, Ability to funy customize the manu the Enjoy automated payment and in house delivery while customers pay soutions delivery charges. There are no On-demand and pre-order delivery options available sign-up fees, contracts, Reporting functions aveable special devices required. Both Delivery coverage of up to 40km Partner Outlets and customers can earn and redeem AirAsia BIG points for every transaction. Source: https://www.nist.com.mybusiness/2020/09/628314/santan-contribute-15pct-airasia-groups- revenue-three-years https://www.nat.com.mybusiness/2020/07/610463/airasias-santan-opens-second-outlet https://www.santan.com.my https://foodeverywhere.ned/2019/12/26/air-asia-in-flight-meal-now-available-on-ground-and- open-in-midvalley https://www.marketscreener.com/quote/stock/AIRASIA-GROUP-6497323ews/AirAsia- Santan-set-for-rapid-expansion-with-official-franchise-registration-certificate-31375170/ https:/ewsroom.airasia.comews/santan-opens-second-malaysian-outlet https://www.malaymall.comews/money/2020/06/15/airasia-launches-agriculture-e- commerce-platform-ourfam/1875749 https://www.businesstoday.com.my/2020/06/22/airasias-teleport-introduces-ourfood-for-/b- businesses https://www.theedgemarkets.com/article/airasia-aims-open-100-santan-franchise-stores-q1- 2022