100PLUS and Coca-Cola to be sold on AirAsia flights

SHAH ALAM: Fraser & Neave Holdings Bhd (F&N) through soft drinks unit F&N Beverages Marketing Sdn Bhd has signed a strategic beverage distribution agreement with AirAsia Bhd in its bids to grow the 100PLUS brand further.

Chief executive officer Tan Ang Meng said the agreement would see 100PLUS and Coca-Cola being sold on board all AirAsia flights departing from Malaysia beginning Feb 1.

“While this signing is just the first step, we look forward to growing and extending our relationship with AirAsia. We hope to generate cross-marketing activities and promotions that would be mutually beneficial and rewarding to both parties.

“Above all, we hope AirAsia passengers too can benefit from this partnership,” Tan said at the agreement signing ceremony yesterday.

Tan said the group was also looking forward to extending the agreement to cover its entire portfolio of beverages.

“We’re working very hard with AirAsia. I’m sure they will ask us to put more drinks on their flight,” he said.

To a question, Tan said F&N was “trying to extend distribution reach”. “We want a wider market exposure for our products. It is also an opportunity to cross market our products,” he said.

He said 100PLUS had been consistently voted the number one Malaysian brand in various surveys since its introduction in 1983.

AirAsia chairman Datuk Aziz Bakar said the low-cost carrier would initially offer its passengers F&N’s two most popular beverages.

He said the agreement was for a one-year period with further options.

“We are targeting to sell 24,000 cans of 100PLUS and Coca-Cola each per month,” Aziz said, adding that AirAsia hoped to increase its anciliary income with the partnership.

AirAsia raked in RM38mil from food and beverages in 2009. This year, the low-cost carrier is anticipating it to increase to RM48mil.

Aziz said in the second half of 2009, AirAsia recorded RM20mil sales from food and beverages.

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