Concessions Owner’s Forum
Transcript of Concessions Owner’s Forum
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Concessions Owner’s Forum
01.24.2017
Welcome Owners! Zenola Campbell, Vice President Concessions
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Agenda
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Registration Check-In/Networking Welcome with Ms. Zenola Campbell DFW Goals/Strategic Plan with Mr. Sean Donohue Clean Working Friendly with Mr. Ken Buchanan Financial Review with Mr. Kevin Lemmons 2016 Highlights with Mr. Michael Baldwin Concessions in 2017 with Ms. Zenola Campbell Q&A and Closing Networking
DFW Goals and Strategic Plan Sean Donohue, CEO DFW Airport
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DFW International Airport Strategic Plan 2016-2020
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Vision Mission
Key Results
We provide an exceptional Airport experience for our customers and connect our community to the world.
Customer Experience
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MASTER THE BASICS
CONNECTING AIRPORT OF CHOICE
CREATE PERSONALIZED CUSTOMER EXPERIENCES
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Customer Experience
Community Engagement
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DRIVE ECONOMIC GROWTH
BROADEN ADVOCACY
EMPLOYEE COMMUNITY INVOLVEMENT
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Community Engagement
Clean, Working, Friendly Ken Buchanan, Executive Vice President Revenue Management
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Mastering the Basics
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Clean Working Friendly • Premises are neat, tidy and dirt-
free
• Custodial enhancements • Reallocate custodial staff
during peak hours to high traffic areas to match planned flows
• Testing 2 new custodial models for improved structure and scope
• Processes, products and facilities are all functional
• Security Checkpoint experience • Collaboration between DFW,
TSA and Airlines • “Optimization Team”
deployed
• All staff are welcoming and happy to assist
• Ensure a great customer experience and delivering Moments of wow
• ACES – Airport Customer Experience Specialists 24/7 Operation – Customer Assistance
• Daily “Playlist” execution • Total team effort with ACES,
AOC, and contractors
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Financial Review Kevin Lemmons, Assistant Vice President Concessions
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FY16 Performance Drivers
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Total gross receipts were up 3%, or $10.1M, driven by passenger growth and spend.
• Passenger growth increased gross receipts by $4.1M
• Spend has increased gross receipts by $2.2M
• With TRIP and Terminal D Master Plan phasing, new business is up $3.8M
$3.1
$4.2
$1.2
$8.5
$1.0
-$2.0
$2.6
$1.6
-$4.0
$0.0
$4.0
$8.0
$12.0
EPAX SS Spend New Business Variance YTD
F&B Retail
Concessions Performance
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DFW Concessions currently exceeds $330 million in sales annually, up 51% vs pre-TRIP levels.
25.0
27.5
30.0
32.5
35.0
$100
$150
$200
$250
$300
$350
$400
FY09 FY10 FY11 FY12 FY13 FY14 FY15 FY16 FY17 Projected
Enpl
anem
ents
Sale
s
Sales Enplanements
Concessions Performance
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FY17 is projected to continue this trend, reaching $350M in total sales.
F&B $142
F&B $150
F&B $166
F&B $171
F&B $186
F&B $203
F&B $211
F&B $219
F&B $233
Retail $79
Retail $88
Retail $101
Retail $104
Retail $110
Retail $111
Retail $113
Retail $114
Retail $117
$
$50
$100
$150
$200
$250
$300
$350
$400
FY09 FY10 FY11 FY12 FY13 FY14 FY15 FY16 FY17Projected
Concessions Performance
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$308
$-
$50
$100
$150
$200
$250
$300
$350
$400
$450
$500
ATL
LAX
OR
OJF
KS
FOD
FW DE
NM
IALA
SE
WR
MC
OS
EAP
HX
YYZ IAH
BO
SM
SP
PH
LLG
AFL
LB
WI
lAD
DC
AP
OX
SAN
YYC YU
LD
AL
BN
AS
TL PIT
MS
YA
US
SN
AR
DU
SM
FY
EG IND
RS
WC
LEA
NC
MK
EJA
XP
BIA
BQ YH
ZR
NO
SD
FS
AV TPA
2016 Top 50 Performing North American Airports Total Sales (Excluding DF)
Source: ARN’s 2016 Fact Book
Concessions Performance
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$324
$-
$100
$200
$300
$400
$500
$600
$700JF
K
LAX
ATL
OR
D
SFO
MIA
YYZ
DFW LA
S
DE
N
EWR
MC
O
SEA
IAH
YVR
PHX
BOS
CLT
MSP PH
L
DTW LG
A
IAD
FLL
BWI
YUL
DC
A
TPA
SAN
SLC
YYC
RD
U
YEG
SJC
OAK SA
T
ANC
CV
G
YHZ
PVD
SFB
YYJ
PIE
Mill
ions
2016 Top 50 North American International Airports (Total Sales)
Concessions Performance
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$150
$170
$190
$210
$230
$250
$270
$290
FY09 FY10 FY11 FY12 FY13 FY14 FY15 FY16
In M
illio
ns
Rental Car Gross Receipts
Total Gross Receipts
Rental Car performance continues to show growth, up 5.4% in FY16.
2016 DFW Highlights Michael Baldwin, Assistant Vice President Concessions
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56 New Locations Opened in FY16
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192 Concessionaire Awards Received
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2016 Accomplishments: Industry Recognition
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Airports Council International • Overall Richard A. Griesbach Award of Excellence – Terminal A • Best Retail Program, Large Airport Division, 1st Place – Terminal A • Best Food & Beverage Program, Large Airport Division, 2nd Place – Terminal A Airport Revenue News • Best Concessions Management Team
Coca-Cola Transition – Entertainment Zones – Concept
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Vending Transition (Enclosure Recommendations) Recessed (Alcoves) Free Standing or Niches Blade Signs
Skyline Backwall Airplane Wow - TBD Wow-Entertainment Zone
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JCDecaux Inventory Coming Soon
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Interactive Visitor Kiosks (18) May 15
Charging Stations (13) June 30
Video Walls (7) ABDE: April 30 C7 LED: May 31
Baggage Claim Ceiling Mounts (30) Terminal C: Complete ABDE: Feb 28
iVisions (70) AEDB: April 15 C: May/June
Concessions in 2017 – Focusing on the Basics Zenola Campbell, Vice President Concessions
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Key Results
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Business Performance – 30 New Locations in FY17
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Business Performance Grab
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DFW Airport passengers and employees will be able to view a menu, make purchases and obtain wayfinding through a mobile ordering app which is also integrated into the DFW Airport app.
Business Performance Request for Proposals (RFPs)
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Request for Proposals (RFPs) Time Frame Terminal C & D January 31, 2017 Service Spring 2017 Terminal C Fall 2017
Business Performance – JCDecaux Concessions Opportunities
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Business Performance – JCDecaux Sponsorship Opportunities
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Skylink
Nursing Rooms
Checkpoint Recomposure Areas
Clocks
Rental Car Center
Operational Excellence – FY17 RAC Projects
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Operational Excellence – Focus on basics DFW Customer Satisfaction
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Will be evaluating cleanliness of both food & beverage and retail
Customer Satisfaction – Realignment of Mystery Shop Scores
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Will coincide with the DFW Survey
Customer Satisfaction – Market Basket Compliance
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• Will conduct random audits in addition to requiring annual submissions
• Price value feedback
Customer Satisfaction – Customer Service Awards
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ACDBE Compliance Post-Execution of Lease
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• Documentation and/or proof of all capital contributions by the ACDBE joint venture partner(s) and non-ACDBE joint venture partner(s) including any promissory notes.
• Copies of management committee meeting minutes • Distribution statements of profits and losses
• Annual submittal of reconciliation of Administrative or Management Fees by all parties and
verification and documentation evidencing those fees represent a recovery of costs to the provider.
• Change/No Change in Ownership Affidavit • Federal Tax Return, Schedule K—1 (Form 1065), Partner’s Share of Income, Deductions,
Credits, etc. • Reports and Information are due within ten (10) business days as requested by the Board.
• Sensitive personal information must be redacted prior to submitting.
Safe and Secure
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Food Storage
Evacuation Drills
New Contact system
Food and equipment safety
Community Engagement
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Dallas and Fort Worth Outreaches will continue
Employee Engagement – Engaged Team!
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Concessions Owner’s Forum
01.24.2017