The road to Manchester. Yes or no?

You may not believe this, but it's true.

Manchester United (MU) has approached AirAsia Berhad (AK) and Tenaga Nasional Berhad (TNB) of Malaysia to become their shirt sponsor beginning 2010. The club have sent to each company a prototype jersey with the companies' name emblazoned across the chest. MU's current contract with an American insurance company, AIG will expire in 2010, after they took over from Vodafone as MU's shirt sponsor.

Note: I am not an MU fan. I boarded AK aircraft in MU livery once, and I hate it. I rather see AC Milan livery over AK aircraft.

I am an avid fan and admirer of AirAsia, and this is a lifetime opportunity for them. Bearing their logo on MU shirt helps strengthen their brand abroad, although AirAsia X (D7) fits better in this aspect (D7 flies to London Stansted beginning March). The photos shown in Dato' Tony Fernandes' blog say it all. It looks nice. As for TNB, there are some photos which similarly telling the same story, and I'm still wondering why MU approach TNB for sponsorship.

From branding and marketing aspects, the sponsorship would boost profits for both sides. MU will generate income from replica shirts sales, particularly from Asia, and AK will see more passenger growth and profit. LCCT would become more crowded and KLIA would slowly becomes a white elephant (haha). In the English Premier League (EPL), referees' shirts are sponsored by AK, as seen on their sleeves. Spectators and football fans around the globe have seen AK logo everywhere... on sleeves and billboards during matchdays. Maybe next season an additional presence could be seen running on Alex Ferguson's army, if the deal is on. This will also applies to TNB, if they are chosen; but in terms of revenue, TNB might be on the loser side, and worse, we might see a hike in electricity and energy tariffs in the future.

That is why I choose AK than TNB.

It is an honour to AK to be invited to sponsor MU, an already a strong brand worldwide. Associating themselves with world's best (arguably) football club could further mark their presence on travel map. In just a mere 7 years, AK has become an Asian pride, a champion of its own class, even surpassing Malaysia Airlines (MH) in certain aspects. In a matter of interest, Malaysia could benefit from the sponsorship as well.

Why not, AK?

AK is a strong name in low-cost aviation, which is very popular among travellers. A leading low-cost carrier in Asia, AK initiates flying for everyone. And AK has a good history in sponsorship, too. They previously sponsored AT&T Williams F1 Team with good F1 team standings for two seasons. Petronas and Proton have made it possible to sponsor big teams, albeit Proton ceased sponsorship with Norwich City years ago. I think AK will get more exposure with this sponsorship, though I might not buy an MU replica bearing AK logo.

But there is one thing: Can AirAsia afford to become MU shirt sponsor for three years?

The current sponsor, AIG has signed a five-year contract with MU worth USD$100 million (RM360 million). That's a lot of money! How much AK could commit, and how much IMU would take? I have no idea of AK's profit margin or debt, but again, MU fans here would disagree with me as long as a Malaysian name is strongly associated directly with their beloved club. The figure could be less, counting for just a three-year contract, but is it worth it?

I think AK can.

If the deal is on, it is a good thing. We will see business pumping in. Now we will have to wait for next development.

You can read more at Dato' TF's blog at www.tonyfernandesblog.com.

Khallas.