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AirAsia’s Digitalisation To Provide A Solid Foundation For Future GrowthAirAsia Group Bhd is accelerating its digitalisation by emphasising new technologies and focusing on driving innovation across its entire portfolio

Strategic Marketing Management BM011-3-M
Individual Assessment: One Written Report (50%)
The assessment for this module is a critical evaluation of the identified topic in the form of an academic report.
Test Specification Table
CLO1 Describe strategic marketing management and its processes (C5, PLO2)
Final Exam
CLO2 Measure the marketing metrics application in the various business models for strategic marketing management (C5, PLO7) Individual Assignment
CLO3 Propose a strategic marketing plan for products or services (A5, PLO10) Individual Assignment
Individual Assignment (50%):
Question No. Question Vs Taxonomy
Cognitive Level
Topic 1 2 3 4 5 6 PLO
1 Marketing Metrics Application in the Various Business Models for Strategic Marketing 20% 7
Total 20%
Question No. Question Vs Taxonomy
Affective Level
Topic 1 2 3 4 5 6 PLO
1 Strategic Marketing Plan 80% 10
Total 80%
Assessment Objectives:
The written report of this assessment is designed to assess students’ ability to:
• produce a succinct critique of academic literatures;
• analyse marketing management issues
• demonstrate critical evaluation of strategic marketing examples within the topic selected in relation to their business environment and apply marketing management concepts (business models, marketing metrics, tools and techniques) towards developing and formulating in-depth analysis of situations that will generate effective marketing decisions and strategies.
• apply a disciplined approach to the analysis of marketing issues and their solutions in terms of appropriate strategy development
• assess a range of contemporary developments in marketing and the application (including ethical and e-commerce) of marketing ideas for a variety of circumstances.
• draw appropriate conclusions to marketing-based issues in a creative manner;
• use the APA Referencing Style to cite and reference academic sources.
Assessment Requirements:
A written report of approximately 3,500 words that synthesises and critically evaluates marketing management issues selected from the debate topics overleaf.
State the number of words used at the end of the assignment. You may include diagrams, figures, appendices etc. without word penalty. A sliding scale of penalties for excess length will be imposed.
The penalties will be as follows:
Up to 10% excess words: no penalty
11-20% excess words: – 5% penalty
21-30% excess words: -10% penalty
31% plus excess words: cannot achieve more than a pass grade (50%).
Topics: You need to choose only 1 (ONE) of the topics given below:
1. AirAsia’s Digitalisation To Provide A Solid Foundation For Future Growth
AirAsia Group Bhd is accelerating its digitalisation by emphasising new technologies and focusing on driving innovation across its entire portfolio of companies. The carrier’s engineering arm Asia Digital Engineering (ADE), ground handling division Ground Team Red (GTR) and logistics venture Teleport, are set to soar to new heights through digitisation and data.
-A silver lining of Covid-19 has caused a huge surge in demand for cargo and online shopping deliveries and this is driving many new business opportunities and revenue streams. We see huge potential, not only in our super app and fintech solutions but also in our logistics, aircraft maintenance and ground services divisions,- AirAsia Group president Aireen Omar, who oversees digital operations, said to the media.
According to Aireen, ADE is set to revolutionise the airline maintenance, repair, and overhaul (MRO) industry in Asia. ADE performed and completed Teleport’s first A320 cargo plane conversion earlier this year and expects more aircraft modifications of the passenger to cargo aircraft in the future.
-With an experienced workforce of more than 15 years managing AirAsia’s fleet, strong supplier, lessor and regulatory relationships and through automation and streamlined operations, we foresee that ADE will soon become the next major MRO player in ASEAN, delivering a significant new revenue stream for AirAsia Group.-
Meanwhile, she said the company’s logistics venture Teleport is experiencing significant growth in line with the overwhelming demand for cargo and online deliveries.
-With direct access to the unrivalled Airasia Group network in Southeast Asia, Teleport has put in place the right foundations to truly disrupt the cargo industry in ASEAN. Furthermore, Teleport’s partnership with Freightchain, the world’s first digital air cargo network running on blockchain, is a game-changer for Teleport and the industry, making the online booking process as easy as buying a flight ticket on AirAsia. Importantly it also links AirAsia airlines with other innovative interline partners to ensure maximum efficiency and lowest cost for clients,- she said.
Similar to its super app ambitions, alongside ADE and Teleport, Aireen said GTR aims to be the ground handling services provider of choice in ASEAN.
She said with the easing of movement restrictions and return of air travel globally, GTR is anticipating more business collaborations with foreign airlines in major airports across Malaysia.
-GTR is preparing for strong regional expansion including with third party airlines as soon as travel restrictions ease and international borders reopen,- she said.
According to Aireen, AirAsia Group has built a complete digital marketplace for travel and everyday lifestyle services on AirAsia Super App.
-Logistics, aircraft maintenance, ground handling services and fintech are equally important to complete our ecosystem. They all work in tandem symbiotically, to meet increasing demand in the e-commerce and distribution space,- she added.
Adapted from: Aman, A. S. (2021, September 22). AirAsia’s digitalisation to provide a solid foundation for future growth. News Strait Times. Retrieved December 16, 2021, from https://www.nst.com.my/business/2021/09/729567/airasias-digitalisation-provide-solid-foundation-future-growth
You are required to evaluate the various factors that have contributed to increase in the demand for e-commerce and logistics services in Malaysia. You are required to analyse the logistics and online shopping market in Malaysia and recommend the appropriate marketing mix strategies. Also, analyse the potential of AirAsia’s Super App in meeting the regional e-commerce demand. You are to use appropriate business models and marketing metrics, together with necessary assumptions and justification.
(100 marks)
2. Procter & Gamble Increases Marketing Spend by 30%
Procter & Gamble has increased its marketing spend nearly to pre-pandemic levels, the company said on its fiscal Q1 2022 earnings call. According to Andre Schulten, chief financial officer at P&G, marketing volumes were running at approximately 33% of total spend pre-pandemic. Currently, marketing volumes are back up to approximately 30% of total spend, an increase of $130 million year over year.
Schulten told investors to expect marketing spend to continue to increase moving forward, as long as P&G can “create good return on investment.” “As we increase digital reach, we are getting better at targeting,” Schulten said. “We can both increase reach and quality of reach, and therefore, offset some of the incremental spend.”
P&G defended its position to spend more on marketing against sceptical investors questioning its efficiency. The company said it will increase pricing across nine out of 10 product categories, including beauty, baby products, skincare and grooming, to mitigate increased costs caused by supply chain issues, freight costs and continued pandemic impacts.
“As we bring more media spend into our optimized targeting pools [and] increase the percentage of digital media around the world [as well as] optimize our own algorithms to target messaging to consumers, there continues to be a significant opportunity,” said Jon Moeller, vice chair and incoming president and CEO of P&G, effective from 1st November, 2021.
As P&G invests more in marketing, e-commerce is a growing focus. The consumer packaged goods (CPG) giant’s e-commerce business grew 16% year-over-year globally, and now represents approximately 14% of its total sales globally and 11% of total sales in the U.S. P&G expects total sales to grow between 2% and 4% in fiscal 2022, due in part to adjusted pricing. Moeller said that while investors can expect P&G to continue to increase investments in marketing programmes to offset cost pressures, spending will vary by quarter.
“It might seem kind of an odd dynamic, but the more efficient and effective we can make our marketing spend, the more attractive it becomes to make those investments,” Moeller said. Despite increasing marketing spend, P&G is still struggling with ongoing impacts of the pandemic. Supply chain issues, higher commodity prices, freight cost and a tight labour market led to a 4% decrease in gross margins.
Schulten said that P&G will continue to experience volatility this fiscal year as these issues persist. “These costs and operational challenges are not unique to P&G, and we won’t be immune to the impact,” he said. While P&G has already adjusted the prices of some products, Schulten said it is “still early” in the cycle and the company has not seen notable changes in consumer behaviour.
Adapted from: Sanchez, S. (2021, October 19). Procter & Gamble increases marketing spend by 30%. Campaign Asia. Retrieved December 16, 2021, from https://www.campaignasia.com/article/procter-gamble-increases-marketing-spend-by-30/473365
You are required to evaluate the various factors that have contributed to the increase in marketing spending in the Consumer Packaged Goods (CPG) market globally. You are also required to analyse the CPG industry in the United States and recommend the appropriate marketing mix strategies. Also, analyse the challenges of P&G maintaining its market share as a leading brand in the United States. You are to use appropriate business models and marketing metrics, together with the necessary assumptions and justification.
(100 marks)
Written Report Guidelines:
A written report must be compiled in a suitable format that must incorporate the following:
• A clear and concise outline of the practical marketing management issues;
• Generation of conclusions that draw upon both theoretical and practical aspects;
• Use of appropriate terminology that will indicate a thorough understanding of marketing management concepts;
• Suitable referencing of the materials used to support arguments put forward that will indicate competence in the academic issues discussed;
• Evidence to suggest a more in-depth understanding of the marketing concepts being reviewed and their practical applications;
• Written content and structure that will demonstrate practical benefits being derived from the module, reading lists and research required for the assignment;
• A wide range of sources used and cited (a minimum of ten and not before 2014).
• Full referencing of material and sources cited that incorporate the APA Referencing Style.

Assignment Structure
The following is a suggested structure for you to present your written report.
• Title Page
• Executive Summary
• Table of Contents
• Introduction
• Marketing Objectives
• Product
• Target Market
• Competition & Industry Analysis
• Digital Marketing Mix Strategies
• Conventional and Digital Marketing Metrics
• Conclusion & Recommendations
• References
• Appendices
Mark Distribution for assignment
The mark allocation for the assignment will be as follows:
? 30% of the marks will be allocated for the measurement and application the various business models for strategic marketing management.
? 30% of the marks will be allocated for proposing a strategic marketing plan for the chosen products.
? 20% of the marks will be allocated for quality of argument/reasoning; the depth of analysis; expansion of ideas/argument and recognition of wider context/complexity of topic, layout and formatting.
? 20% will be allocated for the use of supporting evidence; acknowledgement of sources according to APA Referencing Style: references, quotes, statistics and range and relevance of bibliography.

Grading Criteria:
Level M modules require that work carried out will incorporate most of the following features:
Fail (Below 50 marks):
• The report will lack the structure, content and use of appropriate terminology that would be expected from a student able to conduct a disciplined analysis of Marketing Management issues; or make appropriate conclusions following a critical evaluation of a range of theoretical strategic options.
• The report will not demonstrate ability for independent thought and is therefore unlikely to contain a recognisable critique of academic literature although it may “list” some theories/concepts that might, or might not, apply.
• The report will not balance academic theory and the practical application of such to a well-described strategic issue.
• The report will provide little, if any, evidence of the student having -read around- the subject matter. As such the report will contain few, if any, academic references or, if they do, sources are unlikely to be consistently and/or accurately cited and referenced using APA Referencing Style.
• The report may be inconsistent in approach as well as content – sometimes minor areas, or inappropriate theories, might be discussed at length while relevant or seminal theories are omitted all together. Indeed it may not be clear exactly which theoretical area or practical problem the student is critically analysing in the report.
• Any conclusions to resolve the strategic issues discussed will probably not result from a disciplined analysis of the problem or a critical evaluation of a range of theoretical strategic options available to the organisation given the prevailing environment.
Pass (50 to 64 marks):
• Sufficient issues are addressed in order to distinguish between the rote learning student and those students with the ability to generate a required level of independent thought processes but which is inadequate to achieve a distinction due to inconsistency or due to insufficient understanding.
• Use of structure and terminology that shows an ability to undertake disciplined analysis of the issues presented.
• Content and structure that indicates an ability to analyse, evaluate and make logical conclusions regarding the marketing issues that encompasses both practical examples and theoretical elements.
• Evidence that the theories behind the practical application of Marketing Strategic concepts are clearly understood but with certain aspects of the analysis being covered more extensively than others that indicates a less insightful critique of particular concepts.
• Use of more dated, limited or unrelated academic referencing showing literature review and research technique that is short of a distinction level.
Merit (65 to 74 marks)
• Evidence of a full understanding of the possibilities and limitations of the methodologies and models employed
• Evidence of ability to make a sustained argument using appropriate evidence.
• Evidence of ability to critically evaluate evidence and synthesise generalisations.
• Evidence of an appropriate level of critical analysis and judgement including justification of the criteria.
• Appropriate reading with effective use of a range of relevant sources.
Effective deployment of reading in supporting arguments.
• A good grasp of the requirements necessary to conduct an analysis of practical issues; an ability to critique concepts from the literature reviewed; and to make clear and practical conclusions to resolve the issues faced.
Distinction (75 marks & above):
• Structure and content that distinguishes it as being well rounded in both structure and content with practical and theoretical aspects of the paper being more balanced and with conclusions put forward based on sound theory that shows theoretical evidence.
• Strong evidence of having read extensively around the chosen topic with extensive referencing of the key theories and arguments proposed and which encompasses the creative application of academic knowledge in such a way that it may well lead to the extension of such academic knowledge.
• Consistency in the arguments used to evaluate and critically analyse the strategies and theories reviewed as well as in the utilisation of basic analytical tools.

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