SINGAPORE- Digital platform airasia launched its delivery service in Singapore on Wednesday (Feb 16), offering low-cost, on-demand deliveries within Singapore to users here.

This adds one more service to the airasia Super App, a mobile application which already allows users to book flights and hotels, and order food delivery, airasia told The Straits Times.

Mr Lim Ben-Jie, head of delivery for airasia Super App, said, small businesses and social entrepreneurs can benefit from the new service to grow their business and save costs.

Mr Lim said: "We also believe, as we move forward with post-pandemic recovery, those who have been dependent on on-demand delivery services will also appreciate airasia xpress' efficient and great value service."

The delivery service, airasia xpress, joins the crowded logistics market here, which is already dominated by larger last-mile delivery providers such as Ninja Van and Lalamove.

Airasia xpress delivery services will be run by Teleport, the logistics venture of Capital A. Formerly known as AirAsia Group, Capital A also owns budget airline AirAsia and launched the airasia Super App, which has about 51 million users, in October 2020.

According to management consultancy firm McKinsey & Company, the Asia-Pacific e-commerce logistics market is expected to grow by about $165 billion from 2020 to 2025.

Customers of airasia xpress can get their parcels and documents delivered in less than one hour via its instant delivery service which uses motorcycles and cars. Deliveries within four to six hours will be available in the near future.

To use the service, consumers can click on the Xpress icon on the mobile app, fill in the delivery pickup point and drop-off point details, select payment method and confirm the booking.

Apart from Singapore, airasia xpress also operates in seven cities in Malaysia, including Johor Baru, Penang and Ipoh. It is also available in Bangkok, Thailand.

On Wednesday, airasia also launched a partnership with the Singapore Tourism Board to promote travel to Singapore.

As part of this partnership, travellers from the region can access a wide range of attractive travel deals to Singapore on the airasia Super App.

Both parties will also work together to pilot digital solutions to improve visitor experience in Singapore, as well as exchange knowledge and insights that will deepen understanding of travellers from South-east Asian markets.