Copenhagen Airport reflects on the all-category growth
Copenhagen says it is “very pleased” with the growth in spending per head at the airport during 2017, which is spread evenly across all non-aviation categories.
Passenger numbers are growing at a slow rate this year, by 1.6% in the first nine months of 2017 year-on-year, with the number of transfer passengers dropping 6.7%. But shopping revenues are rising at a much faster rate.
Speaking to DFNIonline in October, director of airport sales Lise Ryevad said that while first-half passenger growth was 2-3%, shopping centre revenues grew by 5%.
The non-aeronautical part of the business including shopping and parking is growing, but revenue in the shopping areas in particular are strong, growing 8.1% in the first nine months.
At the moment there are six duty-free stores operated by Gebr Heinemann across 3,200sqm, around 85 speciality stores spread over 6,300sqm, and 47 F&B units covering 5,900sqm. The Danish hub stresses a cosmopolitan blend of brands including Gucci, Victoria’s Secret, Marc Jacobs, Mulberry, Hugo Boss, Sunglass Hut and Paul Smith.
Last year, Ryevad explains, “we had very strong passenger growth of 9% and on top of that very strong growth from lost-cost carriers, but spend per head did decline.” But this year, spend per head has grown again, in all categories.
“Last year, it was mainly from food and beverage and less from speciality and tax-free outlets. This year it is nicely divided, with tax-free [as of October] growing 4-5%, speciality stores 5% and food and beverage 4%. It is a nice split.”
Together with more low-cost carriers arriving and departing, there has been a rise in the number of young passengers, she says, and the airport is learning how to entertain them.
“We realised we were actually quite poor in terms of reaching out to them and being relevant in the offer within tax-free and speciality stores,” and “we do see potential to further optimise on speciality and tax-free stores.”
New at the airport is Retreat, a Danish local hero brand doing vegetarian and much healthier food, and “we immediately see the turnover comes on top and doesn’t cannibalise on the existing food and beverage offer we are trading,” Ryevad says. And Paul Smith, a totally new label for the Scandinavian consumer, also “comes on top of spend we already have in this sector,” she adds.