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    © All Rights Reserved
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    41 views56 pages

    Airport World, Issue 3, 2019

    Uploaded by

    freeflyair
    Airport World, Issue 3, 2019

    Copyright:

    © All Rights Reserved
    Download as PDF or read online from Scribd
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    of 56
    = Inthe spotlight: New revenue streams AIRPO IR TF iportrepot: Pas Build & design: Israel’s new airport Wo k L D+ a Plus: Airport seating, Brands and Frankfurt’s Terminal 3 New revenue streams: Money matters Volume 24 Issue 3 wwwaaciaero eva N a a Thank You for Making Us World’s Best Independent Airport Lounge K ors, S666 plazapremiumlounge.com AIRPORTS WoRLD _ Airport World ator Joe Bates +44 (1276 476582 Joe@akportrocdcom Design, ayout & Production Mark Draper #44 (0)208 707 2743 rmark@airport- word com Sales Directors Jonathan Le +44 (01208 707 2743 jonathan@airpor-woridcom Gary Allman +44 0) 7854239 426 gay@avatonmedia ae ‘Advertising Manager ‘Ancrew Hazel +44 (0)208 388 0206 andrewh@alport nerd com Subscriptions subsciptions@avittonmedia. aero Managing Director Jonathan Le +4 (01208 707 2743 Jonathangavitionnedia.aer aviation media Published by Aviation Media td PO 80K 448, Feltham, TW13 9EA, UK Website va alportwold com Alport Worlds published sx times a year forthe members of Cl. The opinions and views expressed in Aiport Word are these ‘ofthe authorsand donot necessarily ‘reflect an AC potic or postion. ISSN: 1360-4342 The nett this publications coprigh et vation Meda id ad should not be coped ‘or stored without the express permission of the publishes Pa BTR The Magazine Pring Company sn cpg ton FSC sees ram magprin.cak ‘pecen Cs Big business Airport World editor, Joe Bates, reflects on the importance of income earned from non-aviation related activity in this ‘new revenue streams’ themed issue. t seems hard to believe, but the last time ‘nen revenue streams was the theme of Airport ‘World was the autumn of 2011. and the thread running throughout twas that an ever increasing number of airports were beginning to think outside ofthe boxwhen itcame to {generating non-aeronautical revenues. The issue's themed articles included features about aipots offering management and consulting sendces ior sister agreements; cr parking innovation; Panama's airport cityambitions and how Florence Airport was generating some othe highest advertising sales per passengerin the word ‘Some ofthese issues naturally come under the microscope again tis time around as ainports continue to innovate and develop as businesses to reduce their reliance on aeronautical revenue. Why's this so important? Well, as the latest ACiArport Economies Report reveals the average airport cost of$13.69 per passenger exceeds the $9.95 they typically bi aeronautical revenues per passenger, making the average $7.08 per passenger eamed from non aviation related actity absolutely crucial. Retail concessions remain the largest source of non-aeronautcal revenue foraiports at 30.7%. Car parking evenue and property revenue/rent are the second and thd largest sources ofnon-2eronautical revenues at 20.1% and 15% respectively, ‘And, aS AC Word director general, Angela Gites, noted in Airport Wordbackin 2013, alrpons with diverse revenue streams have “the fiscal muscle to ride outthe inevitable downtums inthe business cle when aitraffic declines” ‘She commented: “Worldwide, non- aeronautical revenue has become a key element inthe airport business plan. Creative use of airport propery includes the construction ofa medical inc at Daas/For Worth Intemational ‘iporta casino at Amsterdam Schiphol, oi wellson the airport property in Denver, a goth course in the noise footprint at Tokyo Narita, and business and industal parks at many airports. “The attraction ofthe alrprt location can be very powerful. For example, office space at Schiohol commands rents higher than the equivalent space in downtown Amsterdam. “Beyond the airport perimeter, many airports hhave successfully branched out intotrans-border ‘onnership, management and consulting. In ‘summary, alport operators worldnide are looking to create new business opportunites in the fast paced aviation marketplace.” Her words areas relevant today as they were eight years ago and, asifto prove the point, we provide plenty of examples of ‘non-aviation related business innovation in his ‘mid-2019 issue of Airport World. Indeed, the new revenue streams themed section of his issue contain features about ‘etal trends both In the terminal and across the airport campus; daa International's global ‘business interests; ar parking innovation; aiport hotels; revenue generating IT; and Singapore Chang's hugelyimpressive new addition, evel Changi Airport Flsewherein the magazine we catch up with some of the world’s top alpor seating companies; leam about the power and benefit of brands; and tur the spotlight on Israt’s newly opened Ramon Ela Airport and Frankfurt Aispot’s planned new Terminal 3. (Our main alrport feature is El Paso, where lector of aviation, Monica Lombrafia, tells us ‘mare about her gatenay's pioneering waysin terms of ron-2eronautical land development, striving for customer service excellence and the challenges of expanding its route network. We also hear from ACI Worlds Gitlens about the importance of catering to customer needs in her View rom theTop artic; cover human resources in ou regular ‘People matters’ column, and discover the latest route development and industry news in our regula ‘Cleared for take-off ‘and World Business Partner pages. Some food for thought anynay as you prepare to head off on yaur summer or winter holidays depending on where you live inthis steal wide world of ours! & AIRPORT WORLD/ISSUE 3, 2019 Em WHAT'S YOUR STRATEGY TO REMAIN COMPETITIVE? Forward-thinking airports are leading the way with a strategy focused on location intelligence. From lease management to pavement monitoring and passenger safety to See eee ee nn cee ee eee Esri® geographic information system (GIS) technology allows you to manage an airport that Bee ee eee ae eee eRe} Sate meee es Snare tone ea eters ott tiles een een oni wenn Ce MiCura esr eager ec Be Ru ai ta RMAC SOE: Ra cad ZY eal tial ete ea CONTENTS = ts In this issue voc 3 Opinion Airport World editor, Joe Bates, reflects on the importance of income eamed from non- aviation related actvy nts" revenue teams themed is. 8 — World in motion ‘ACI ors communications manager, Sabrina Guerier, reports on strengthening partnerships on sot, atcraft noise management and celebrating the customer experience, 11 View from the top ‘AC| Wot ciecor general, Angela Gltens, reflects onthe importance of catering to customer needs in today’s ‘phytal word. 12 Texas star Passenger numbers at El Paso Intemational Airport hit an alltime high in 2028, and although itmay still be one ofthe smaller regional alrpors in Texas and the USA, itis not tobe underestimated, writes joe Bates. eT er Embracing te latest tends and seling the opportuies crested bya constant evolving retail marke wi allow apo to sustain and grow non aeronautical revenues, ites Chris LeTourneur, EOS Irish airport operator, daa, has business interests across the globe courtesy of its wholly owned subsidiaries, writes dalnteatonal ED, Nickle PERCE TCs Investing in hotel accommodation isa strategic move that more airports could be capitalsing onto boost revenues and customer satistacton levels, vies ICF Aviation’s Stephen Freibrun, (eos eee SG pty 28 35 al 42 45 41 49 54 Jewel in the crown ‘Airport Word finds out more about Singapore's new mega retail, hospitality _and leisure development, Jewel Changi Airport. Transformational technole Collins Aerospace's Tony Chapman explains how new technology wil help airports meet growing passenger expectations and boost ther bottom lines. Park and fly ‘Aiport Word reiews some ofthe atest apr pang stores om cass Europe nd orth Aer, The bottom line Some ofthe biggest airport seating companies in the world provide thelr thoughts on the importance of seating, the latest trends andthe challenges, of changing passenger dynamics. Oasis in the desert ‘Airgrt World akesacloser look at lan and Asaf Ramon Airport, irat's new $470 milion gatenay to Eilat. The power of brands Inerovand strategy constant, an Glanzmann, considers the value and varsfomative pone oa strong brand wich he bees have gow fom rie ohaveto must have assets Cleared for take-off ‘Airport Word provides a snapshot ofthe latest route development news from Moscow Sheremetyevo, Miami, Munich, Géteborg Landveter and Stockholm ‘Arlanda airports. Project Watch: Frankfurt Airport New stat-ofthe-art Terminal 3 to raise the apont's capac ton excess of 90 milion passengers per annum Going Green Spatght on AX handling of ations most eo-iendly commercial fight, Gatwick reducing its noise fotpint and thereocing efforts ofDetolt Metropolitan. WEP News The latest global news from ACT's World Business Partners. People matters Richard Plenty and Teri Morrisey provide ther thoughts on howto encourage entrepreneurial pi. el asicecmrs ‘AIRPORTS COUNCIL INTERNATIONAL Director Generat ‘Angela Gttens (Montel, Canada) air Marth Eumekian (@uenos Ares, Argentina) Vice Chale ‘imen A-Hosni (Muscat, Omar) Immediate Past chair Fredric Plea (Sarasota, USA) ‘Treasurer [Emmanuel Menanteau (ska, lap) ‘ACI WORLD GOVERNING BOARD. DIRECTORS Africa (2) Zuhair E1Aoutr Rabat, Moracca) Asla-Paciie() ‘Aimen Asn (Muscat, mar) eld Binger (Amman, Jordan Geof Culbert (Sydney, Austra) Fred am Gag Korg) Seow Hiang Lee (Singapore ue Song Liu, Belg, Cina) Emmanuel Menarteau (Osaka, aan) 5 Nair Delhi, India) Sasisubha Sukontasap @anglok, Thailand) Europe 7) Danie Burkard (Moscom, Russia) lena Mayoral Corcueta (adi, Spain) Michael Kerk (uni, Germany) Yiannis Paraschis athens, Greece) Stefan Schulte (Frankfurt, Germany) Sani Sener (stanbul, Turkey) Nazarero Ventoa (Bologna, tay) Latin America & Caribbean (3) Ezequiel Barenechea Lima, Per) Martin Eumekian Suenos Ares, Argentina) ‘Andrew Bran (Quit, Ecuador North America (7) Lew leveis Ushevile, USA) Joyce Caer (allan, Canda) owaed Erg (orota, Canada Deborah Fin (as Angels, USA) Joseph topano Tampa, USA) Candace McGraw (Cncinnat, USA) Tom Ruth Edmonton, Canada) Regional Advisers tothe ‘World Governing Board (20) Diego Arosa (Montevideo, Uruguay ‘Amaud Feist (Brussels, Belgium) Pascal Komia (ome, Togo) Bashir Ahmad Abdul Majd (Delhi nda) Hector Navarrete Mui Merida, Meco) ‘Augustin de Romanet Pats France) Bian Byks (Minneapolis-St Paul, USA) Wiliam Vanecek ual, USA) ‘World Business Partner Observer Thomas Dfly ADB SAFEGATE) Come as of ily 2019 KONE's innovative solutions are the perfect answer to aging escalators in airports. KONE EcoMod™ brings new escalators to your terminal with minimal disruption to the traveller's experience, while KONE 24/7 Connected Services with IBM Watson® can better predict issues and keep the passenger flow at optimal levels. Contact us to learn more. World in motion ACI World’s communications manager, Sabrina Guerrieri, reports on strengthening partnerships on slots, aircraft noise management and celebrating the customer experience. of pressure to accommodate future growth while being safe, secure and sustainable, both environmentallyand economically, and while delivering a satisfying customer experience, The onus i on all aviation stakeholders to come together on key issues that most aflect us and to overcome them through partnerships. (On this note, we ar pleased to report that ACI World, IATA and the Worldwide Airport Coordinators Group (MWACG) have announced the agreement ofa new governance structure forthe Worldwide Slot Guidelines (WSG) that puts the interests ofthe travelling publicat the contre af the process. ‘Asa result, airport operators, aines, and slot co-ordinators ill now play an equal role in determining the global guidelines forthe allocation of aleport slats. More than 200 airports require slot co-ordination because they have insufficient capacity to meet demand at al times ofthe day Coordination based on global standards helps to maximise utilisation of existing capacity, avoid delays and improve the passengor experience ‘The new industry-wide governance vas signed in Seoul, South Korea, ‘on une 3, 2019, by ACI World director general, Angela Gittens, IATA director general and CED, Alexandre de Juniac, and WIWACG chairman, Eric Herbane. All parties agreed that new governance and increased collaboration provides an opportunity t further modernise slot allocation mechanisms tothe benefit ofthe travelling publicand the aviation community at large. ‘Anather key prioty in the face of future grawth nar services is imiting orreducing the nuisance of significant aircraft noise, which must remaln a ‘ey prirty fo al aviation stakeholders. lrcrat noises the most ‘Significant cause of adverse community reaction related to airports license to operate and grow, a necessary component to meeting futur growth. Speaking at the Air Transport Acton Group (ATAG) Summit in Montréal in May, ACI World's director general highlighted the importance of jreraft noise as the industry meets new challenges. She noted: “The industry has done a good job at managing ater noise, but new challenges are arising including the development of supersonic aircraft for business jets and commercial airplanes. Wile T: aviation industry is up against many challengos and under lot ‘ACI supports the development of new technology, noise and emissions, standards for supersonics must be stringent enough that they do not compromise the work that airports and the industry have been doing, fordecades." ‘ACL supports the ICAO Annex 16 Volume 1, dedicated to aircraft noise, and the current work atthe ICAD Committee on Avation Environmental Protection CAEP) to develop Standards and Recommended Practices for new supersonic aircraft Gittens also spoke on the importance of non-acoustc factors that ‘make up a portion of variables responsible for community annoyance including the level of trust residents have i airport or authortes in general, aswell as thelr attitude towards aviation. Further research ‘on non- acoustic factors is needed to propery address aircraft noise annoyance, ‘Ona different note, ACI World has announced this year’s inductees into the Director General's Rol of Excellence, This year’s inductees are: Changchun Longia Internationa Alrport (Changchun, China), and Hohhot Baita International Airport (Hohhot, China). The Direct General's Rall of Excelence recogrises those airports thathave consistently delivered excellence in customer service by winning multiple Airport Service Quality (430) awards over a five-year period, ‘A'S ASO programme’ the only worldwide service quality ‘measurement and benchmarking service that captures passengers’ Impressions and opinions while stl atthe airport. The 2019 Director General's Airport Service Quality Roll of Excellence Induction ceremony vil tak place atthe ACI Customer Excellence Global Summitin Bal, Indonesia which is now open for registration. “in an increasingly competitive industry, airports acutely recognise the importance of delivering exceptional customer experience and have taken pains to learn what matters most tothe passengers they serve," said Gitens. “Lcongratulate Changchun Longa International Airport and Hohhot Baita International Airport on their outstanding achievement. hope they will continue to raise the bar for airport service quality excellence and, ‘work wit ACI to share best practices within the industry” ACI events 2019 2019 2019 2019 2019 September 15-17 October 21-23 October 12-18 October 30-31 September 2-5 ACL-NA Annual ACLLAC Regional ACL Africa Regional The Trinity Forum ACiCustomer Conference & Assembly, Conference Assembly, Conference Doha, Qatar Experience Global Exhibition & Exhibition ‘& Exhibition ‘Summit ‘Tampa, USA Bogoté, Colombia ‘Accra, Ghana Bali, indonesia ACI offices ACLWortd ACLAsta-Paifc ACA ‘AClLatin Amerca-Carbbean ‘Angola Gitens Pattichau AlTounst Javier Martinez Botaco Director General Regional Director Secretary General Director General POBox302 HongKong SAR, China Casablanca, Morocco Panama Cty, Panama 800 Rue duSquare Victoria Tok-+852 21809449 Tek: +212 660156916 Tek: +507 830 5657/58 Montreal, Quebec H4Z 168 Fax #8522180 9462 atounsi@adtatica.aero jmartinen@acilac.aer Canada info@aciasigpac aero wo ac africa aera wwnwacilac aero Tek +1 514 3731200 wamaciastapac.aero Fax: 1516 373 1201 ACL Europe ‘ACINorth America 2ci@aci ae fiver Jankovec Kevin Burke warwadiaero Director General President CEO Bruseel, Belgium ‘Washington DC, USA Tek: +32(2) 9520978 Teb+1 2022938500 Fans +32 02) 502 5637 Fax: ot 202331 1362 danielemichel@act-ewopeorg —_postmaster@actne.org wowvacteurope og, wwnvactna.org ‘Asoffanuary 2019, A serves 64 members operating 1,960 airports in 176 counties. Als anon-poftorganization whose rime purposes {aretha intrest fpr and to promot profesional xclencoin apart management and operations. According to As 2018 Annual Wodd ‘Airport Traffic Report, in 2017 alrports worldwide welcomed 8.3 billion arriving and departing passengers and handled 118.6 million metric tonnes of nm and 958 milion ra movement. a AIRPORT WORLD/ISSUE 3, 2019 El AVIATION STRATEGII TN TE Re Nite Teel GaN A ACCELERATING YOUR PERFORMANCE We accelerate our clients’ performance by providing tailored, objective and empowering services capitalizing on international best practices. <= 440 René-Lévesque Blvd. West, Suite 1202 T: +1 514 398-0909 W: www.aviationstrategies.aero Montréal, Québec, Canada H2Z 1V7 F: +1 514 389-0202 E: info@aviationstrategies.aero @ TRAINAIR es Qe [CAO SeEMENRERT reece te = WWW.AVIATIONSTRATEGIES.AERO aR aoe View from the top ACI World director general, Angela Gittens, reflects on the importance of catering to customer needs in today’s ‘phygital’ world. igital transformation i happening inal industres. Fr airports, it involves transforming established pracesses and services to Improve thelr operations to deliver a better experience toa passengers and customers. With the extensive use of smartphones, tablets and laptops, the Internet of things - as wells instore touchpoints such as kiosks and. magic mirrors ~ passengers naw have differnt ways af interacting directly with businesses and purchasing goods. he border between the physical and the digital has blurred, and customers are increasingly navigating both worlds. ‘As such, airports are catering tothe needs of ther customers by offering phygital” experiences. As the name suggests, phygitalis a concept that describes the blending of digital experiences wit physical ‘ones, taking the best aspects fom each space to create the optimal ‘eustomer experience While digital retail ofers immediacy, or instance, immersion, ‘and speed, physical retail offers the human experience and a more sensorial experience ‘AC encourages airports to explore the phygital, which willbe the ‘theme ofthis year’s The Tinity Forum, the world's most influential airport commercial revenues conference, taking place this yea in Doha, Qatar, from October 30-31, 2019. Under the theme “Relmagining the Trnty’s role in a phygital world, ‘we wll eve into topes such as: reimagining the airport commercial ‘model, demographic challenges and online competition, new shopping frontiers, and the power of the trinity partnership, among other pertinent topic. Embracing the physital helps airports to develop new revenue streams that aren ine with evolving passenger needs and to gain a competitive advantage. Customer experiences crucial foran airport ‘and ACI's Research Report has shown that an increase in passenger satisfaction, as defined in the ASQ Survey, generates growth in non-aeronautical revenue. ‘According to the latest ACT Airport Economies Report, airports ‘worldwide eamed more than $172 billion n-2017, up 6.2% fom the year before. Aiport revenues come from aeronautical (55.8%), non-operating (4.3%, and non-aeronautical revenue (39.9%) On average however, aeronautical revenue does not cover capital ‘and operating costs, and atpoits very much rely on commercial, or non-aeronautical revenue, to determine thelr financial viability. In ‘addition, non-aeronautical revenue generates a higher profit margin ‘and thus contributes more to financial sustainability and the capacity to withstand traffic volatiity. The challenge and opportunity fr airports and airport retailers ‘worldwide is to safeguard and develop the commercial side of airports byevohing instep with customer expectations. Ths involves forging Innovative business partnerships and developing new revenue streams and commercial models that embrace the digtalisation of airports ~ Including the phygital. From the viewpoint ofthe passenger, phygital experience may just mean a mote personalised and individual experience, one that also offersa seamless flaw through the alrpot. Many aitpots are already picking up onthe trend, particularly through the offine/online shopping of products, food and beverage and services. While duty free arpart zones are ideal venues for showcasing products, offering online purchasing options to reduce traveling Inventory provides airport retailers and brands witha diferent revenue ‘model adept forthe future. ‘Auckland Airport, for example, offers a digitalised downtown shopping experience where customers can purchase tax-free products from more than 200 retailers located inthe cy’s actual downtown without complicated tax-refund forms. Purchased products from these fetalers are automatically delivered ina single shopping basket tothe airport before the passenger's departure ‘Another example is augmented Realty (AR), which blends the virtual with the actual to make ral fe more engaging and whichis being used for wayfinding to help passengers navigate atthe airport. Geolocation information can also enhance the passenger experience by offering purchasing recommendations, travel alerts and ather personalised information. All ofthis wl be explored at The Tiity Forum, a joint venture between The Moodie Davit Report, ACI World and ACI Asia-Pacific, which this year is being jointly hosted by Hamad International Alport, Qatar Airways and Qatar Duy Fee. look forward to weleoming youto Doha, mmmrvccss, (ENE Passenger numbers at El Paso International Airport hit an all-time high in 2028, and although it may still be one of the smaller regional airports in Texas and the USA, it is not to be underestimated, writes Joe Bates. nike some ofits bigger neighbours tothe east, El Paso isn’t connected to the world by a huge route network and doesn’t boast a huge population to drive the airport's growth, £1 Paso International Atport is, however, a vital economic generator for the west Texas city. Arising star in terms of trafic growth, the airport is also in the final stages of putting together a new ‘masterplan that will determine how its key infastructure wil be developed over the next 20 years. Director of aviation, Monica Lombrafia, cannot divulge the exact, details ofthe master plan while itis still belng drawn up, but ater 18 vears a the gateway, including the last decade inthe top job, she is, well aware of what Is required to take l Paso International Alrport (ELP) tothe next level. “We want to make the airport even more accessible, easy to use and operationally efficent, and this will essentially mean improving and expanding the existing facilites to ensure that we are equipped to meet future demand,” enthuses Lombrafa, “With two commercial runways, one of whichis 12,010ft long, and GA [general aviation} runway, we have more than enough aitfield capacity forthe foreseeable future, so our efforts willbe concentrated ‘on enhancements to the passenger terminal and experience Expanding and reconfiguring ELP's security checkpoint and ticketing areas are likly to figure high onthe agenda as the airport looks to reduce today’s peak time congestion and equip it to handle more passengers inthe future. Lombrafa reminds me thatthe airport basically incorporates and has, ‘been bult around the original terminal building that was built in 1944, ‘and that this has not made developing the airport easy aver the yeas. But develop it has, with today’s ELP boasting a terminal building and east and west piers (Concourses A and 8) that between them offer 15 gates. Indeed, over $200 million has been invested on upgrading the airport's facilites in the last five years as part of is ongoing capital improvement programme. This has included creating a playground area for kids and revamping the alrport’s retail and F&B offeings in tandem with concessionaires HMSHost and Paradies Lagardér. ELPhas also invested ina super-fast and free to use WF service and introduced new lighting, learn, comfortable seating and ‘workstations to improve the ambiance ofthe airport. Talking about ELP's new retall/F&B outlets, Lombrafa says: “We want to offer passengers 2 good mix of local and national brands, ‘and feel that we are getting there by listening to what our travellers want and delivering whenever possible.” Boosting non-aviation related revenues ‘One thing very much on ELP’s side in terms ofits future development isthe size ofthe airport site, which at 7,000 acres is considerable for ‘a gateway handling under five milion passengers per annum. The amount of land at its disposal has already allowed ELP to become a pioneer in non-aeronautical land development at a US airport and Lombrafia certainly doesn’t hide the fact that this isa side ‘ofthe business that she would like to expand mare inthe future. To date, over 200 commercial businesses and industrial ‘operations are located within ELP's Butterfield Trail Industrial Park ‘and Butterfield Tell Air Cargo Center as well asthe Global Reach Science & Technology Park and the Souther Industrial Park adjacent tothe airport. Within the industrial parks are Butterfield Trail Gol Club, Lone Star Golf Club and more than 900 acres of fully developed industrial and retail property that supports light manufacturing, warehousing, distribution and transportation operations, as well as call centres, hotels, retail, and restaurants, And with no residential areas to worry about as ELP is bordered by ‘a sizeable US Department of Defense facility to the north and the east (Fort Bliss), within reason, there is lttle to restrict it inthe respect of the type of non-aviation relation commercial facilites it can develop ‘on its doorstep, Lombrafia says: “El Paso realy has been at the foreftont of the development of industrial parks on airports since the early 1980s to ‘accommodate demand for the warehousing and US distribution of ‘goods manufactured across the border in Mexico. “Thisis still an important part of the business today, but the Industrial parks are also home to a number of companies carrying out ‘aviation related services, and this is something we are well placed to develop further going forward.” Largely due tothe success of its business parks, non-aeronautical ‘activity today accounts for 72% of ELP's total revenues, which Is Incredibly high for a US airport. Customer service Lombrafa is proud of ELP's success in ACT's 2018 Aiport Service ‘Quality (ASO) customer excellence awards, the Texas gateway finishing equal top with Ottawa in the 2-5 million passengers per ‘annum category for North America, ‘She says the award means so much because its based on direct feedback from passengers, but stresses that although the accolade is “awesome”, ELPs approach to the results each years not to focus on what it does well, but rather on where improvements can be made. “I think taking this approach and looking at what we can do better Is the best way to gain true value from the survey.” says Lombrafia, noting that the faster WiFi speeds, playground, new furniture and flooring are al the result of listening tothe feedback of travellers in the ASQ programme. “also have to ada that El Paso Intemational Alport is a ‘department ofthe City of El Paso and, as such, our strategic plans, ‘are very much aligned and focused on providing exemplary ‘customer service. "We live by our strategic plan. Staf training is based on it and customer service and safety and security really are & ‘ur priorities. Our mission isto make travelling through El Paso International Airport as easy and as enjoyable as possible.” This, she says, encompasses everything from being polite and courteous to passengers and having clean restrooms to making sure that any construction work has litle or no Impact on passengers and thei airport experience Traffic development ‘total of 3.2 million passengers passed through ELPin 2018, a healthy ‘8% upturn on the previous year, which Lombrafa attributes oa strong US economy and additional frequencies added by the atines. The airport is served by seven airlines today (Alaska, Allegiant, American, Delta, Frontier, Southwest and United), which between them operate just over 50 daly flights to 14 US destinations. Dallas (American, Southwest), Los Angeles (American, Southwest), Houston (Southwest, United), Las Vegas (Allegiant, Southwest) and Austin Southwest are its top five routes in terms of trafic numbers. Other popular routes served non-stop from ELP include Phoenix ‘Sky Harbor (American, Southwest), San Antonio (Southwest), Chicago (American, Frontier and United), Denver (Frontier, Southwest, United) and atianta (Delta). ‘They ensure that Southwest and American are the biggest operators, at ELP today, accounting for 42% and 31% respectively of te trafic. United (13%) Delta (9%) and Alaska (2.5%) complete the top five, The route network also means that ELP is essentially an O8D gateway that 100% serves the domestic market, and Lombrafais honest enough to admit that this is unlikely to change anytime soon, «due tothe hub and spoke system that US airlines utilise and the proximity of luaez’s Abraham Gonzélez Intemational Airport, which is literally just the other side of the Rio Grande. mumansarss: TEE “Developing an international route network s one of our greatest challenges as Juarez, just over the border in Mexico, exclusively serves the Mexican market and the US cartlers serving El Paso want to route passengers through their main hubs,” she tells Airport World. “we have had international fights before, but not since an Inbound service from Mexico back in 2006, so getting them back wil bea huge challenge. “Is there the demand? Alot of people ask about them, and we continue to meet with the airlines to discuss this with them as we believe that there is potential for services to Chihuahua and other ities, but providing the data to make a business case to them is Giffcuttas we don’t have figures for the number of people that currently drive to Juarez to catch flights to Mexico.” Domestically Lombrafta has no doubt that the location of Fort Bliss and number of law enforcement agencies based in El Paso, alone, would justly the launch of services to Washington DC, and believes that there fs enough demand fora New York service, but the long distances Involved and arline econamics have so far left her fustrated. “We are actively working to increase aur route network, but there are challenges that come with being a small hub and our geographical location," she muses. Having sald that, ELP has managed to add three new airlines (Allegiant, Frontier and Alaska) and five new destinations to its network over the last three-and-a-half years, during which time it has also gained 19 new services on existing routes, so Lombrafia and her team are clearly ding something right. Regardless of what the future holds for ELP in terms ofits route development, Lombrafa feels thatthe airport does, and always will play, a vital role in both Texas" and the US's airport system. “Geographically El Paso is quit isolated from the rest of Texas and most ofthe US, so the airport provides an absolutely vital ar transportation role fr the 700,000 people that live in the city and 2.5 milion within a two-hour drive of the airport.” she explains. “To put that in perspective, we are the same distance from Houston, Texas, as we are from Long Beach, California, which is three states away. The car ar other means of transport just realy {isn’t an option for most journeys.” ELPis also @ powerful economic engine for the region, ditectly employing 15,800 staff and contributing $2.2 billion to the local economy in 2017, according to an Economic Impact Study carried ‘ut by the Texas Department of Transportation Changing people's perceptions £1 Paso wil shortly host the annual SMART Airports and Regions Conference & Exhibition and Lombraia Is very much looking forward to it and showcasing the city, region and, ofcourse ELP, tothe world She also openly admits that changing people's perceptions of 1 Paso isa major reason fr wanting to host the conference as she believes that some have completely the wrong idea of the city based on its US-Mexico border location, juarez’s reputation asa violent city and media coverage af migration issues. “People that think of El Paso as being an old, dusty old town which is quite dangerous could nat be further from the truth,” she says, “We are actually one ofthe safest and friendliest ities in the US and | want people to experience this fr themselves, when they visit and leave witha whole new impression of our city.” Sounds lke some true Texas hospitality awalts those lucky enough to bein El Paso for event on uly 22-24 this year. The A-Zoeftig of airport seating. ABCDEFCHI@KLMNOPORSTUVWKY? Jakarta International Airport Zoeftig’s renowned and innovative seating solutions sult airports eee ace een To find out more, email salest@zoeftig.com a J) irport retailing has always been acitical element ofthe passenger experience, not only to serve basic convenience and | dining needs but to generate non-aeronautical revenues. f For international airports, the elaborate brand ‘merchandising and taxncentive pricing for duty fee shopping has been the traditional anchor for airport retail sales. Over the past two decades, retail components ofthe world’s international gateways and domestic hub airports have come to resemble regional shopping malls. However, inthe larger context beyond atpors, traditional malls, shopping centres, main streets, shopping and dining places are experiencing a re-invention in response to various disruptions posed by digital innovations, online shopping, e-commerce supply chain ‘management, generational shifts and globalisation. ‘Almast anything can be purchased from anywhere that has an internet, connection, and products are delivered to your door in less than two days. [tthe same tne, the “Sharing &conomy’ has stimulated a paradi shift in how we communicate, exchange information, seek travel and accommodation, move around and view the wertd. Everything rom personal information to government news is Immediately avallable via Facebook, Twitter, YouTube and Instagram. And inmany cites, mobility s just a click away with Uber, lft and a myriad of Fide-sharing services that are revolutionising how we mave around. fast-paced change has already shaped the air travel experience ranging from how people purchase attickets, travel to the airport, and select accommodation using online booking sites, to selecting restaurants recommended on Yelp or TripAdvisor. The change we've experienced in the past decade will seem snail paced when compared tothe change we'll experience in the next decade. To sustain and grow non-aeronautical revenues, airport retaling will need to adapt to this change and embrace the folowing fundamental trends Consumer purchases are increasingly being made online from Amazon, Alibaba, eBay and the omni-channe! platforms of retal operators, particularly by the Millennial consumer segment. Global e-commerce real sales have consistently been growing over the past ive years at an annual rate of ust over 23%, now accounting for 12% of al global retail sales. In China over 23% of retail sales are via, online purchases. By 2023, global e-commerce retail sales are forecast to reach 20% ofall etal ales, ‘With this proliferation of online shopping, retail manufacturers, as, well as bricks and mortar retail operators have recognised the importance of omni-channet” shopping platforms for offering goods, through multiple retail channels. The goal is to get their brands and products in front of consumes — recognising sales may come later -elther through bricks anc mortar shops ‘or vitual online purchases. Airports wil increasingly become targets for retailers seeking brand exposure in support of growing omi-channel sales. ‘Aswell,arside and landside developments at and around airports are cial eloments of multi-modal logistics, supporting global retail supply chain management, as evidenced atthe FedEx lobal hub at Memphis international Airport (and its relationship withthe BNSF Inter-Modal Ral Facil), new 2.5 milion square fot Project Quatro" ecommerce fulfilment complex at Charlotte Douglas international Airport (and its connectivity withthe Norfolk Southern Intermodal Rail Facity), and evolving three milion square foot Amazon Prime Air Hub at CincinnatiMorthern Kentucky International Airport. ~ Personalised shoppin A parallel trend involves shopping behaviour by younger generations siting anay from intemational brands and towards ‘personalised shopping goods’ they identify with and wish to participate in. With the advent of new manufacturing technologies ineluding 30 Printing) an greater efficiencies in logistics, consumers are increasingly ‘o-ceating the products they buy, selecting specific features, colours and ‘design elements. This unique product can then be manufactured and shipped tothe customer or manufactured realtime on-site a a store. “Ministry of Supply’ out of Boston is an example of personalised shopping, which features °30 Knitting’ technology to make customised clothing. Aiport retailing could benefit from personalised shopping, by “offering passengers the opportunity to design and purchase personalised products, including pickng-up these products at theltarval airport or having them deivered to theirhome or office. ~ Showcasing and pop-up retailing ‘As part of omni-channel retailing, brands are seeking to showcase their products through physical incamations that reflect their values, for ‘everything from consumer electronics and clothing to automobiles. Many consumers are visting ‘showcase stores’ to view and ty products, then purchase the goods online, having them delivered to theirhomes or ofices. Shoncase gallery concepts are emerging ‘whereby products cannot be purchased and taken from the showcase, but athe they are ordered and delivered online, often using virtual realty technology. ‘Similar to showcasing, duty free shops, established retailers and new brands are embracing pop-up concepts as temporary installations that ‘are ever-changing with new concepts and products. Indeed, some new shopping centres have evolved purely as pop-up showcases. In the Middle East, for example, KEA has created a pop-up store of appreximately 3,000 square feet, which showcases a selection of the items available through IKEA's online and catalogue channels, using the pop-up space as a gateway tothe IEA brand for markets that may nat have a fllscale KEA store With exposure to an ever-changing abundant captive consumer ‘audience with preferable demographics, arportsarean incredible location for showcasing and pop-up concepts. Food and beverage (F28) is growing rapidly, becoming the dominant river of retail places. fact, FRB is shiking avay fm chain restaurants ‘and towards unique local concept, food trucks, culinary incubators, food halls and pop-up dining experiences. (Over the past decade, food and beverage has absorbed a larger share of commercial space due to the limited growth of traditional bricks and ‘mortar retail shops. Inthe USA, FRB saw 4% average annual growth between 2000 and 2015. nd according tothe Urban Land Institut (UD, restaurants account for almost $0% of new retail space in the USA, up from 33% in 2008. ‘Chain restaurants are giving way to unique local concepts as younger ‘generations prefer localised dining experiences, knowing the source of the food, how t's made andits story. This intrigue with F&B includes the proliferation of craft brewery and ‘micro distillery concepts offering small batch curated products that are constantly changed-up. As result, restaurants, cafés and F&B concepts, hhave become social huls referred toa te ‘tir place’, whereby the public and private realms are merging, resembling kitchens and ting rooms. ‘Airports playan important oe for showcasing local FB concepts. With the rapid growth of pop-up concepts, apo dinings already transitioning from traditional fod courts and chain restaurants to ever-changing showcases of local up-and coming food concept, including food trucks stationed within aipor terminals, as experienced atthe ‘Food TuckAlley” at Minneapolis St Paul International Airport's Concourse E. Similar, a ‘Deluxe Burger Bar’ recently opened in the Domestic International Departures Lounge of Edmonton International Airport, featuring 5,000 square foot restaurant, patio and bar offering customised burgers and a variety af local beverages. Deluxe Burger Bar also operates the DLX2GO quickserve take-away window, which serves the pre-secuty checkin (andside) terminal ara, ~ Collaborative worksp: Already constituting 35% ofthe workforce, Millennials will soon dominate the labour pool, transforming the nature of workspace Millennials, representing the majority of employees at next generation companies, demand amenity sich collaborative workspaces inoving connected technology, dining alteratives, social spaces and fitness facie. Increasingly popular new workplace formats include combined coworking, FAB, event and tech demo space designed to Incubate innovation, ‘Outside of airports, theres an increasing blur between uses, withthe rise of mixed-and-mult-use development. WeMlork’s bespoke concept of fusing co-working, start-up Incubators, events and technological demonstration space, provides a new type of anchor fr shopping AIRPORT WORLD/ISSUE 3, 2019 aS ame Ada ey centres, including Westield’s San Francisco Centre on Market Stret in Downtown San Francisco ~ Outlet shopping ‘Alter ecommerce, ‘Outlet shopping’, whereby retal brands offer thelr products at reduced prices for certain product nes, represents much of the new retal space, particularly in North America. pica retail outlet shopping centres are unenclosed, featuring 230,000 square feet 0 400,000 square feet of brand shops (predominantly apparel on sites of 30 acres to 40 acres. Outlet shopping centres have recagnised the opportunities for being sluated adjacent to aiparts as they derive their customers not only from local region but are tourist destinations. Over the past four yar, cult shopping centres have been developed acjacet to Chicago O'Hare, Edmonton and Vancouver airport. ‘The McAthurGlen Designer Outlet Vancouver Intemational Aiport opened in 2015 with ts intial phase of 70 shops n 240,000 square fet. This projet was created as aint venture between Vancouver Airport Authority and [McAvthurGlen a European and North American retall developer operator) and wilson open ts expansion adding 84,000 square fet. ‘Similarly, the Premium Outlet Collection at Edmonton international ‘Airport opened in 2018 with 100 shops in 430,000 squarefeet (with an ality to grow to 585,000 square fet). This project was developed by Canadian-based retal stronghold lvantoé Cambridge in partnership with the world’s largest retail developer/operato, Simon Property Group, and theaipor ~ Authentic experiential retail Intesponse to the threats posed by e-commerce and shifs in consumer behaviour, many etal centres and stores are shifting rom simply Alstibuting products to curating remarkable experiences that resonate with customers, ‘The recent opening of the Jowel development at Singapore Changi ‘Airport (See page 25 for more information) represents the pinnacle of creating an “authentic natural experience” The $1.25 billion Jewel project was developed as a joint venture between Changi Airport and Capital Land Malls Asia, and features 280 retail and FRB outlets, 11 cinema halls (including ‘an IMAX theatre) and a 130-cabin YOTELAIR hotel, bult around the worl’ tallest indoor waterfall, five dramatic gardens and ‘multi-level green spaces over 10 floors. ‘This 1.46 million square foot multi-use complex sits strategically between three of Changi Airport terminals and Its MRT Alrport Rall Station. The Jenel symbolises the innovative direction that airpot retailing is taking as we look tothe future. Outlook Airport retlling wil continue to evolve at an accelerating pace as the trends and concepts occurring in retailing overall make thelr way into airport terminals and landside areas. Recognising their involvement in supply chain management of bricks and mortar, as wells online retail distribution, airports will increasingly have an edge for quickly bringing new concepts and products to their passengers and regions. ‘Airport retailing will need to be flexible to support ever-changing passenger demands and provide refreshed travel experiences by ‘employing showcasing and pop-up concept. Airport retaling will increasingly need tobe local and authentic, mixing natural and cultural experiences paradoxically vith next generation technology, to offer a balance of natural, and virtual environments. As demonstrated by Jewel Changi Airport, such places wl be enjoyed not only by airport passengers butas destinations for broader audiences. About the author Crs tetourneuris president and CEO of MXD Development Strategists BE GOOD COMPANY eC aCe eee biometric solutions. From check-in to boarding, we deliver pee eee ae eae ed pe ee ee See ne Peometesiret ey Er See eres ec 2% Collins Aerospace Irish airport operator, daa, has business interests across the globe courtesy of its wholly owned subsidiaries, writes daa International CEO, Nick Cole. he daa Group is made up of four distinct businesses; Dublin Alport, Cork Airport, daa International and Aer Ranta Intemational ‘My company, dza International, is a wholly owned subsidiary of daa plc, whose parent company was founded in 1937 and counts the lish state as its sole shareholder. ‘though state-owned, daa operates under an entirely commercial ‘mandate. In 2018, the daa Group had a turnover of almast €900, million and welcomed a total af 84 milion passengers across the Portfolio of airports it either owns, operates or has an equity stake in across the globe. In terms of international revenue streams, Aer Rianta International (ARI) has an annual managed turnover in excess of $1 billion through its international airport retail nework spanning Europe, the Middle East, India, North America, the Caribbean and New Zealand. Formally established in 1988, but with an airport duty fee pedigree stretching back more than 65 years, ARI also holds a 20% stake in DisseldorfAirport and has an 1196 interest in Hermes Alrports Ld ‘operator of Lamaca and Paphos airports in Cyprus, arguably making it one of the best known names Inthe global arena. In contrast, daa International isa relative newcomer to scene, having been established in 2013 to hamess the skils inherent within the daa Group and make them available worldwide. 'As owner-operators of Dublin and Corkalrports, our knowledge is. based on first-hand exposure tothe specific demands and requirements ofthe aviation industry. BET rors wonsorssues any In essence, daa Intemational isthe key to delivery of daa Group's corporate strategy through the diversification it provides as a significant source of unregulated income and geographic variation. I capitalises. ‘on the group's cre skils and relationships to extract value for daa. We offera suite of services to clients across the following categories: 1) Advisoryand consultancy services 2) Management and concessions contracts 3) Investments and partnerships ‘The dea International approach, to all projects, isto develop partnerships with our clients and key stakeholders. t adapts over 80 years of group experience to provide optimal and bespoke solutions to its clients. Dublin and Cork airports and ARI have a history and reputation for being atthe forefront of technology and innovation. We sell the experience and knowledge gained from the Group’s operations in 13 countries toallow clients to short-cut the learning process and expedite the Introduction of technologies into their airports. aa International builds all the lessons leamt into the project plan to mitigate risks, potential pitfalls and project delays and overruns. Specificinitatives developed by daa International include, SO 535001 roadmap, self-service bag drop, transfer passenger processing, ‘remium/general aviation services and logistics process mapping Wiile ths i not an exhaustive ls, it provides an averviow of the range and breadth of experience possessed by daa Group and avallableto the market through daa Intemational Our experts allow daa International to provide advisory and ‘consultancy services covering all aspects of airport operations from logistics tocar parking to airsde training. The company has completed projects across the world including the US, Middle East and Far East. In February 2016, daa Intemational signed the management contract for Terminal 5 at King Khalid Intemational Airport (KKIA) in Riyadh, Saual Arabia. Ths contract sees daa International managing ‘terminal operations, hard and soft FM contracts and acting as the master concessionaire. Terminal 5, which isa domestic terminal at KIA, has recorded impressive growth inthe first three years of operation. Passenger numbers have increased from 13 millon per annum in 2017 to 147 million in 2018, and look set to pass the 15 milion mark this year. ‘Akey tenant of daa International's contract and approach to KKIA'S ‘Terminal 5 is local knowledge transfer. We have a small management team based in Riyadh, supported by a 100% Sauai team of 90 people. Indeed, daa Intemational has recruited, trained and developed this, ‘team of bright, talented and ambitious young Saudis. {And daa international has worked closely with our cient, Riyadh Airports, to develop a series of bespoke training and development programmes, as developing Saudi talents a key component ofthe ‘countrys national Vision 2030 strategy (One of the most significant changes that dza Internationa has witnessed since it fist hed a presence in KSAis therole of women in both society and the workplace. In erly 2016, women were only perited to ‘work na small number of professions (none lacatedin alors) and only if they were segregated from male members of the public. However, we were keen to include women in our frontline operations team and, working withthe authorities and our client, daa International is very proud that KKIA’s Terminal 5 was the first to introduce frontline female staff from late 2016, Following on from that first pioneering step aittines and ‘oncessionaites began recruiting women to their operational teams. In three short year, King Khalid International Airport has gone from zero Saudi female frontline staff to hundreds in roles ranging from checkin, ticket sales, lounges, reall restaurants and cafés The latest ‘development wil see four out of sic ofthe newly recruited Terminal 5 ‘operations supervisors being Saudi women, All ofthese welcome developments culminated in the now annual, “Women in Aviation’ conference which isa collaboration between daa International and Dublin City University through Princess Noura University, Riyadh, Elsewhere inthe world, daa Intemational is also currently advising, AboitizInfraCapital in the Philippines on all operational aspects of Bohol-Panglao and Laguindingan airport. As an example of totally different type of advisory service, daa International has developed and delivered training and development Programmes for ll evels of alrport personnel for airports in Oman, Saudi Arabia and other countries. These bespoke programmes are developed in conjunction withthe airport authority and are delivered by daa subject matter experts. Often {raining includes international visits to Dublin and Cork airports Through decades of operating Dublin and Cork airports, daa has the ‘experience and expertise of operating both a large hub airport anda smaller regional airport. Increasingly, the markets looking for international operators to invest in airports. This would be a new development fr the business Daa cen ued and is key o the medum/long-term growth of daa International. We are actively working on a number of potential airport investment ‘opportunities and considering different consortia partners. ‘Our key geographic focus is the Middle East and particularly Saudi ‘Nabia. In January 2019, daa International opened a regional office in the newly launched Riyadh Front business park. This demonstrates our firm commitment to grawing the company’s Saudi Arabian operation beyond Terminal 5 in Riyadh ‘The Far Eas also aregion of interest with governments looking tothe ‘market frintemational experience and in some instances investment Pethaps not surprisingly, daa international intends to leverage the contacts and regional expertise of sister company AR! to enter other, ‘markets in which it hasan established presence. Tis will see North America becoming a bigger focus area towards the end of 2019. Increasingly, governments and public authorities are looking to aispots as lucrative revenue streams. Key to this approach is the commercialisation ofarport services and land. The daa Group has a proven track recordin developing and optimising commercial revenues. Since 2015, ithas paid dividends of atound €125 milion tits ish state shareholder. From daa Intemational’s perspective, our commercial projects include developing commercial strategies, running tendering programmes and assuming the ole as master concessionaire, In addition to acting 2s master concessionaire for KKIA's Terminal 5, daa International has led the recent project to in-source the car parking operation in conjunction wit ts client Riyadh Alrpots. ‘And since taking over the operation in March 2019, the TS car park has recorded record revenue through space optimisation and changes tothe operation In this instance, daa International leveraged its extensive car parking experience at both Dublin and Cork airports to drive the proect. Car parking isa highly sophisticated product in both Dublin and Cork with the majority of business booked online, allowing for dynamic pricing and revenue maximisation, ‘This the perfect example of how daa Intemational uses the knowledge and experience ofthe parent company to deliver world-class solutions to its growing list of clients. ba AIRPORT WORLD/ISSUE 3, 2019 Ea epee Gat ore income from your erage reece y ieee pees ene Top-flight guidance for parkers and owners alike. Patented parking guidance system EMC ae cence efficiencies and customer satisfaction ga es Ww PARK x ASSIST, REALLY SMART PARKING Eee eed errs eet aoe KUS@itCO™ Added security and safety See ed Pr paoel inal tardy hese eee ies Dee et eceral NEW REVENUE STREAMS Investing in hotel accommodation is a strategic move that more airports could be capitalising on to boost revenues and customer satisfaction levels, writes ICF Aviation’s Stephen Freibrun. he buzz around airport hotels has taken off in recent months ~ from May's opening ofthe hotly anticipated TWA Hotel at New York's John F Kennedy Airport (pictured above) to San Francisco's new Grand Hyat, which is set to debut this summer. ‘And there's a direct lnk to another global trend: passenger demand is ‘on the rise. n fact, according to recent data from STR arport hotel ‘demand growth outpaced supply growth every month in 2018. Further, atport hotels see higher occupancy rates (74%) compared to, ‘the overall hotel market (66%). The bottom line: more people are staying asthey go. Forairportsand hotel stakeholders, high demand underscores a somewhat untapped business line. Awel-located, well-appointed hotel isa strong contributor tothe customer experience ~ serving as a point of liferentition in connecting markets and considerable revenue diver. Despite beinga strategic move, many airports donot offer an on-site hotel tal lt alone one that successfully marries convenience with ‘quality, while holding the passenger experience sacred, Whether or nota trip goes as planned, hotels play an important ale in the passenger journey and experience. Goth travellers with long layovers ‘and those facing unexpected delays require a comforting respite that will Integrate seamlessly with theres oftheir trip. Tis, in par, explains why there was so much anticipation and ‘excitement about the opening ofthe new TWA Hotel. vesting in passenger-centric accommodation also shows a thriving operation and increases the pressure n existing airport hotels to deliver lawless service. ‘Among those geting tights The Westin Detrott Airport. Located In-terminal, this hotel offers customers the added convenience ofa ‘designated security line. According to the Certification Activity hacking System (CATS) database, The Westin comprises a notable 15% of the airport's total non-aeronautcal revenue. Other industry players can benefit from studying what Detroit's altport hotel executes effective Located past security, transithotels take the element of passenger ‘comenience toa new level entirely, Some international eannecting airports are catching onto this concept, including the impressive Aertel in Abu Dhabi. Hower, while convenionces paramount, more must be done by hotels and ost alport to enhance traveler experiences and, in tur, maximise revenue forall parties Mast on-ehotl stil miss acie consideration: price stratification Aitines see all kinds of travelers. though ome ques may nat mind the high pce point of xxyairpr hotels boasting mrad amenities, thissingular model exudes passengers traveling on atighter budget or thosefacingunexpeced layovers due oight cancellations. Simply put, theresa segmentofprice-onscous customers whose reeds could be beter met with mid ange rates Inrderto ea the economic benefits of operating hotel, airports smustorkwth hotel stakeholders to culate a postive experience for allgassengrs~ nat ust thse in theron ofthe plane eating a eumber of options at various price points ensures that airport hotels are broadly accessible and represent a seamless element of the passenger oumey. Hatsfeld-lackson Atlanta International Aiport for example, adres this oc by fering three sopaate Marit properties connected tote airpot via Stain Othes, meal, could consider providing a wider ara of prc pins within single hotel in rderto Service moretavlers Airport and hte executives considering capitalising on his lucrative tmatkot mistake decision wth the customerin min o ata bal oor. Utimetly having thoughtuly designed hotel ha prises the passenger experience wil lea ta significant new revenue stream and enhanced sattctionaigs successful mul-imensional approach wil transfor te airport into destination nits own ight, athorthansimpiya means tan end. [i About the author Stephen Freibrun isa principal focusing on commercial and customer experience master planning in ICFs Aviation practice one of th st global aviation and aerospace al ARPORI COUNGL INTERATONAL Airport World finds out more about Singapore’s new mega retail, hospitality and leisure development, Jewel Changi Airport. he eagerly awalted opening of Singapore Chang's mega retail ‘and lifestyle development, jewel Changi Airport, has arguably taken non-aviation related activites at an airport to anew level ‘and provided one of the world’s biggest hubs with a host of new revenue earning opportunites. According to Singapore Chang! operator, Changi Alport Group (CAG), the concept for Jewel's design represents the juxtaposition ofa park and a marketplace. This it says, is exemplified by the lush Forest Valley and malestic ‘40-metre high Rain Vortex - the word's tallest indoor waterfall - that take centre stage inthe glass and steel domed complex that boasts its ‘own Canopy Park and over 280 shops and F&8 outlets. Designed by a consortium comprising Safe Architects, RSP Architects Planners and Engineers and Benoy, the 137,000-Square- metre retail, hospitality and leisure space acts as a central hub, connecting three of Changi Alrport’s current four terminals, making it «easily accessible to the publicand passengers. Benoy, which led the Interior design, retail and aviation facility planning fr Jewel, believes that itwil quickly become a new landmark for Singapore “We've created a dynamic environment that becomes a unique place far travellers and residents alike. This addresses the important ‘question of placemaking inthe aviation context,” says Benoy's director ‘and head of its Singapore studio, Terence Seah. “nthe process too, ene! has enhanced the already world famous ‘Changi experience. We are confident that this development wil Inspr ‘other cities to rethink the future of airports.” Canopy Park Located on the top level of jewel, the picturesque Canopy Park covers 14,000sqm and is home to seven iconic pay attractions and creative gardens in Singapore Chang's groundbreaking new facility that promises to redefine the airport experience. Jean Hung, CEO of Jewel Changi Airport, sai: “Changi Alrport holds ‘special place in the hearts of many, especially Singaporeans, and we want to extend this special bond for everyone who visits Jewel “The attractions and gardens in Canopy Park are designed for guests terolaxor have a fun time with ther families and fiends, whether they reside In Singapore or are international travellers visiting lene. “When Canopy Park was conceptualised, we envisaged a green natural environment with play and leisure activities for people ofall, ages. Importantly, we wanted to create a space where activities that are traditionally conducted outdoors, are brought to an indoor environment sothat they can be enjoyed inal weather conditions. Canopy Park guests can look forward to navigating their way through the Mirror Maze and Hedge Maze, walking or bouncing on the Manulife ‘Sky Nets, expiring the sculptural playscape of Discovery Slides, and enjoying a gripping view ofthe HSBC Rain Vortex and Shiseido Forest, Valley from the Canopy Bridge, abridge with glass pane flooring suspended 23 metres above ground. Integrated with the attractions are interactive garden spaces that encourage play and imagination Fogey Bowls, fr example, features four geatle concave bowls wth an element of mist and fog to create the experience of playing amongst clouds. While Topiary Walk features animal topiaies such as, AIRPORT WORLD/ISSUE 3, 2019 NEW REVENUE STREAMS = ~~ orangutans, a crocodile, elephant, peacock and chameleon. Elsewhere, Petal Garden will boast seasonal displays of flowers. ‘Along the main oop that connects these attractions ae four noteworthy trees, including a par of olive trees and the Lover's Tree which eared its name because ofits conjoined trunks, The entrance fees to Canopy Park is 9$5 (US$3.70), while access to the various attractions range from S$7.20 (US$5) to $$19.80 (USS14), Changi Experience Studio Level 4oflewelis home to the stateofthe-atcigital experience attraction, the Chang Experience Studio. Described asa fist-of ts kind for ‘Singapore, this aviation themed attraction is designed to bea fun space that also takes visitors on ajourey of discovery about Changi Arpot. (CAG's managing director fr anport operations management, Jayson Goh, enthuses: “We want the studio joumey tobe one where visitors can actively participate in playful journey ful of suprises thet allows them tounderstand the story and spirit of Changi in an experiential manner. “Beyond the entertainment, vistors can learn about the past and present of Singapore's air hub, the inner workings ofthe airport, and experience what makes Changi tick, “Importantly, through the various touchpoints that showcase different airport functions, Changi Experience Studios a ving tribute tothe 50,000-strong airport community that makes Changi Alrport what itis today. “We aspire forthe studio tobe a showcase ofthe Changi experience and service innovation. As an innovation space, the interactive exhibits wil not remain static, but continue to evolve as new stories on Changi are vnitten.” Changi Experience Studio attractions include a garden that sings, an adrenaline-pumping runway race, aquest to collect aipor trolleys, a battle of smiles and more (CAG promises that witha collection of over 20 diferent touchpoints and 10 content zones spread over 3,000sqm, the Changi Experience Studio utilises technology to presen a diverse mix of unique experiences under one oot, Including interactive games, projection storyteling, immersive shows and gallery exhibits. The studio opens daily from 10am to 10pm, withthe entrance fees costing $$25 (USS18) for adults and S$17 (USDS12.50) for children The passenger is king Benoy say that its design approach to atpor projects, and Jewel Chang! Aiport was na exception s grounded in a design ethos and capability it call ‘airports for people’. Itisan experienceled approach which incorporates Benay’shistoryand expertise in real, public spaces and consumerceitic design, while the central aim to help ‘optimise airport capacity, improve the passenger experience and increase commercial revenue “Airports for people is said to encompass a range of major eT (Fraport RN Ay srs BMix

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