Saleme 2013 symposium
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CONCESSIONS: BEYOND “LOCATION, LOCATION, LOCATION” Presented By: David W. Saleme, A.A.E. Columbus Regional Airport Authority Track: B (Terminal/Landside) Workshop: 5 Title: Concessions to Concessions Moderator: Chris Donahue URS Date: 7 February 2013
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Transcript of Saleme 2013 symposium
CONCESSIONS: BEYOND “LOCATION, LOCATION, LOCATION”
Presented By: David W. Saleme, A.A.E.Columbus Regional Airport Authority
Track: B (Terminal/Landside)
Workshop: 5
Title: Concessions to Concessions
Moderator: Chris DonahueURS
Date: 7 February 2013
About Today
David Saleme, Esq, A.A.E.Business Development Manager
Columbus Regional Airport AuthorityPort Columbus International Airport
Getting the Most out of Your Square FootageBeyond “Location, Location, Location”
• Background on CMH• Location, Services, Promotion
About CMH
Port Columbus International Airport CMH
• Total Annual Passengers – ~6,380,000• Three Concourse Design, separate checkpoints,
no post security connectivity.• No single carrier dominates the market.• Just over 40,000 square feet of concession space.• Approximately 46% of concession space pre-
security.
About Our Revenue
2007 2008 2009 2010 2011 20122,700,000
2,900,000
3,100,000
3,300,000
3,500,000
3,700,000
3,900,000
4,100,000
4,300,000
4,500,000
Enplaned PassengersRevenue to Authority
Revenue Impact
2009 2010 2011 2012 2013 2014 2015 2016 2017$3,500,000
$3,700,000
$3,900,000
$4,100,000
$4,300,000
$4,500,000
$4,700,000
$4,900,000 @ 1% from 2009
Through 2012
@ 1% after 2012
@ 3% after 2012
$637,000
$670,000
$1,130,000
Location
Increase Revenues through customer focused concessions, services, and marketing.
This “customer focused” approach was developed as a result of the transition in concession responsibility at the end of 2009 – we made adjustments based on:
– identifiable industry successes with concepts beyond typical “in-line” locations,
– data from surveys demonstrating that passengers asked for concepts already in place,
– our own experiences observing passengers in the terminal.
Location
Location
• Total Concession Square Footage– 10,000 to 12,000 per million EP
• Ratio of Pre/Post Security– 10/90 split– heavy concentration post-security
• Alternatives to “in-line” locations
Location
Terminal – As a Whole
How Much?
10-12,000 Square Feet (SF) of Concession Space per million Enplaned Passengers (EP)
3,150,000 x .01 = 31,500 SF3,150,000 x .012 = 37,800 SF
Optimum:31,500 –37,800 SF
Current:40,700 SF
Terminal – As a Whole
10/90 Guidance
Terminal – Pre/Post Security
10/90 Guidance
Terminal – Pre/Post Security
Optimum:3,150 –3,780 SF
Current:18,700 SF
Optimum:28,350 – 34,020 SF
Current:22,000 SF
10/90 Guidance
Terminal – Pre/Post Security
Concourse A2,600 SF – Original
Concourse A ~2,700 SF – Revised
Concourse B - Immediate/Potential
Future State
Terminal – Pre/Post Security
Optimum:3,150 –3,780 SF
Post TMP:17,000 SF
Optimum:28,350 – 34,020 SF
Post-TMP: 28,000 SF
Concourse B “Reserve”7,000 SF
Services
Services
Services – Power
Services – Kiosks
Promotion =‘s Information
Conclusion
Increase Revenues through customer focused concessions, services, and marketing.
Getting the Most out of Your Square Footage:
• Location: post security and in proximity to the passenger.
• Services: meet the needs of the passenger so they are free to unplug, and can find what they need.
• Marketing: visually interrupt their journey with messaging that drives them to the locations.
David Saleme, Esq, A.A.E.Business Development Manager
Columbus Regional Airport AuthorityPort Columbus International Airport
