3. Vision by Follow us on
every 2 months: 1 consumer trend briefing • 4 retail real estate player’s viewpoints • online follow-up
Selected links Sales at Indianapolis International
Opportunity 1: In November 2011, Finnish airline
jumped sharply during the first two
weeks of February as sports fans
operator Finnair launched the Quality
Edutainment Hunters programme for a second
descended for the Super Bowl. Sales
per passenger rose from an average
year in partnership with Helsinki $10-11 to a peak on Super Bowl
Airport. The initiative offered seven Monday of $30, when pop-up sports
people a five-week world tour, where stores made $350,000 in sales.
they went in search of ways of
improving the travel experience 4More links on trendwatching
across themed topics. The ideas were
presented back in December and the Selected video
public voted on the best.
Target modelless show, Grand Central
When the new Berlin Brandenburg
Airport goes into operation, 150
shops, restaurants and service facilities
will be offered across 20,000 sq m.
Besides well-known international
Whether it is just a few moments passing by or hours brands, BER will primarily present
to be killed preparing to travel or in transit, transport high-class regional concepts from the
hubs provide travellers with a chance to consider retail, gastronomy and service sector,
and consume things that they might otherwise not reflecting the best of the region’s
products and merchandise.
How do you see it?
encounter. These features can also give transport lo- Share your view and join in
cations an opportunity to create a sense of identity Lego unveiled a giant Christmas tree the discussion!
at London’s Kings Cross St Pancras
and occasion, and to give something back to their
rail station in November last year. The What could you add to a busy travel hub
customers, which provide further benefits to the 10m tree took two months and to entertain and educate customers?
brands. Examples are the giant Lego tree at King’s 600,000 Lego bricks to build. Some of
Are all the opportunities to engage
Cross St Pancras station in London, which provided the hanging bauble had QR codes
on them that either directed people brands being taken?
a unique showcase for the toys retailer, or the holo-
graphic fashion show US retailer Target organised at to a site with information on the Post your answer
project or the start of a Harry Potter-
Grand Central Station, New York. 4here
themed treasure hunt.
Selected links developing in-store/in-situ payment
Opportunity 2: Woolworths in Australia has become the
systems which will enable travellers
and commuters to buy products and
latest retailer to unveil a virtual
Tech-spec supermarket at a train station in
services from their smartphones
without having a credit card or bank
Melbourne. The temporary billboard, card. Business travel airport hotel chain
which looks like a real supermarket shelf Yotel has already signed up, as have
with images of 120 key grocery items, Home Depot and Pizza Express.
enables commuters to purchase products
by scanning the barcodes with their 4More links on trendwatching
smartphones. The barcodes take users to
Woolworths' mobile phone app where Selected video
the store's full range of 40,000 products
can be purchased and delivered to ASICS, Columbus Circus
homes and offices within hours.
In September the New York Transit
subway system introduced its first
wireless locations around the city’s
subway system, using a neutral
Technology has enabled retailers and brand to turn platform supplier. The programme
public realm into ‘digital space’ and this has been will see all 271 stations converted to
enacted better at transport locations than almost wireless within four years, with six
now in operation and 30 more to be How do you see it?
anywhere else. Tesco Homeplus’ experiment with completed by the end of the year. Share your view and join in
a QR code store has been copied around the world the discussion!
Via a partnership between international
and there are now numerous examples of digital FMCG group Proctor & Gamble and Could your environment be made more
stores. Tesco itself is expanding its experiment. Czech retailer Mall.cz set up a virtual digitally accessible and how would
Such applications of technology are a great grocery store in four Prague subway this benefit you?
distraction for time-poor commuters or time-rich stations during October 2011, allowing
commuters to buy via QR codes on Is there a digital offer which could be
travellers and can be constantly updated and customised to your location?
their smartphones. Tesco pioneered a
enriched, providing an ever-changing space of
similar scheme in South Korea and is Post your answer
expectation which meets the consumers’ rolling this out to 20 bus stops in Seoul.
requirement for excitement and unpredictability. 4here
PayPal, Boku and Google Wallet are all
*Source: trendwatching.com a London-based, independent trend firm, scans the globe for the most promising consumer trends, insights
and related hands-on business ideas. Its free monthly Trend Briefings get sent to more than 160,000 business professionals in 180+ countries.”
4. Vision by Follow us on
every 2 months: 1 consumer trend briefing • 4 retail real estate player’s viewpoints • online follow-up
Selected video
Opportunity 3: Selected links
France-based railway company SNCF launched a Apple store, Grand Central
Instant-needs fix scooter hire scheme with French car manufacturer
Peugeot in September. Commuters to the Paris
Montparnasse station can rent an electric scooter
from one of several outlets and use it to complete
their journey home or to the office.
Launched in July, US-based bike maintenance
firm Bike Fixation is a company producing self-
service vending machines for bicycle tools and
parts. The bike repair stations include free air
compressors, a universal work stand and tools
for small adjustments and minor repairs. The How do you see it?
first vending station was installed in the Uptown Share your view and join in
Transit Station in Minneapolis and is free to use. the discussion!
Anystop is a free mobile application for Android Can you provide something both
phones that not only helps users find bus routes useful and which enhances the retail
offer?
and bust stops but also predicts when the next
bus will arrive by combining real-time data from Can you monetise interaction in a way
Travellers often have instant needs and few options with the GPS devices on buses and scheduled transit that benefits the consumer?
which to fulfil them. Increasingly, transports hubs are be- information. Anystop can be used in various
Post your answer
coming locations where those requirements - and some cities in the US, Canada and Australia.
4here
needs which passengers may not even know they had The Delhi Airport Metro Express is to develop
- can be met. From the Barclays-sponsored ‘Boris Bikes’ two Metro stations as ‘mini-airports’ within four
for hire scheme in London through to punch bags in the to five months. Over 100 retail outlets will be
Shanghai subway system, transport can provide the opened at these stations. Domestic check-ins,
flight updates and information kiosks are already
platform for offers meeting the material, practical and
available. Shops, spas, internet lounges, vending
social elements of a traveller’s needs. Many of these re- machines and restaurants will be added, giving
tail or services offers may also provide a sense of ‘gi- travellers the option of spending time at the
ving’, providing customers with good value and help, stations instead of waiting at the airport.
providing an enhanced brand connection. 4More links on trendwatching
Opportunity 4: Selected links scheme will create a new railway station,
due to open at the end of 2014, and a
Shopping at Zurich airport includes
Travel hub cities sightseeing and entertainment: observer
mixed-use centre of retail, office and
residential buildings. PKP is also working
platforms, exhibitions, round-trips and with private investors in Katowice and
The rising importance of the non-travel sector also the organisation of children’s birthday Poznan to combine transport hubs and
changes the concept of the airport: Originally planned parties are offered. The newly built commercial space.
as an infrastructural building, the distance from check-in Radisson Hotel has a direct connection
to the terminal and offers 23 meeting 4More links on trendwatching
to gate was kept as short as possible. The modern rooms and a conference centre.
airport makes the passenger pass by as many shops as
Westfield Concession Management has Selected video
possible. The dynamic architecture and the spacious halls been awarded a 17-year lease aimed at Portuguese airport retail opportunities
are designed to work as shopping malls: a roofed mall, sprucing up the culinary and retail selections
airy, and flooded with light. But airports aren’t only at the iconic Theme Building and two
focusing on retail and catering: they have also started to terminals at Los Angeles International
invest in recreational facilities, entertainment and real- Airport. The deal is expected to generate
$331.1 million in revenue for LAX and
estate development. Airports are changing into city-like
Westfield will refresh the food and
structures, so called airport cities, such as London beverage and retail offer in time for
Heathrow, Amsterdam Zuidas, Las Colinas, Texas, and completion of a $1.5 billion expansion of
South Korea's Songdo International Business District. the Bradley terminal in March 2013. How do you see it?
The Transbay Transit Center project is a Share your view and join in
transportation and housing project which the discussion!
is expected will transform San Francisco
How do you create a destination out
by creating a Gradan Central Station for
the west. Expected to complete in 2017, of something which is transitory?
the $4bn project will include leisure, food As a destination, how does the offer
and is eco-friendly. change?
PKP and HB Reavis showcased the
Warsaw Zachodnia Station and office Post your answer
complex at MAPIC this year. The 4here
*Source: trendwatching.com a London-based, independent trend firm, scans the globe for the most promising consumer trends, insights
and related hands-on business ideas. Its free monthly Trend Briefings get sent to more than 160,000 business professionals in 180+ countries.”
5. Vision by Follow us on
every 2 months: 1 consumer trend briefing • 4 retail real estate player’s viewpoints • online follow-up
Retailer: What does the transport location bring to and airport retail. At a station you have less
Fin Casey, managing director, the offer? dwell time but potentially far more regular vi-
LS Travel Retail UK & Ireland A travel retail specialist needs to have a well sits, so you have the opportunity to build a re-
prepared offer specific to the environment, lationship with the customer. For a bookstore
although every store will need adjusting for one role is to provide some calm and respite
its location and the trading space. But it’s im- from the travel experience, the other is to fulfil
portant to reflect more than just the needs an instant requirement for a book before tra-
of travellers – major transport hubs are beco- velling, which is what distinguishes a travel lo-
ming destinations in themselves. Retailers in cation from a high street or mall store.
travel environments need to leverage the lo-
cation. At Kings Cross, London for example What happens next?
we are next to Harry Potter’s Platform 9 ¾ We believe there is further potential for
and soon a Harry Potter store, providing the stores in European transport hubs but any rail
potential to work off the continuing energy – or airport – location has to meet a minimum
of those books. footfall requirement to provide the right sales
potential. Stations are much “leakier” than
How have you approached the offer at a airports in terms of sales per passenger and
station? so we would be looking for a minimum of
As a business [Relay] we started in a Paris sta- around 10 million passengers at an airport,
tion around 200 years ago, so entering Europe 40-50 million at a station. Transport locations
with a Watermark bookstore feels a little like provide a unique set of elements and they do
a romantic arrival home. Obviously there are cater to very specific needs, which is what
similarities but also differences between rail makes them attractive.
Rail operator: What does the transport location bring to needs to be separated so that it comple-
Gavin McKechnie, head of the offer? ments but does not provide an obstacle to
retail, Network Rail It’s important to realise that retail hubs do that flow. To provide retailer’s with security I
not only serve travellers, with the right offer would advise that leases run to around three
they act as destinations in themselves. At Li- to six years and for food outlets to seven to
verpool Street 40% of the shoppers are non- eight years. Our rents are base plus turnover
travellers, at Euston, which has a very limited but in locations like rail stations flexibility is
retail offer, still 18-20% of the shoppers are also needed because some retailers will be
non-travellers. So clearly stations in urban lo- new to these environments and no matter
cations have the potential to be turned into how hard everyone tries, it will not always
destinations, where people arrive earlier or work.
leave later, meet friends and dwell longer. As
a rail operator it is about defining what the What happens next?
catchment requires and how it is delivered. We have a programme of retail opening at
UK stations. Our broader strategy is to strip
How have you approached the offer at retail out of the main concourses to ease cir-
your stations? culation and then generate new areas of re-
Last spring we added new restaurants at tail above and below. I think the ultimate goal
Manchester Piccadilly; this year further retail for any rail operator would be to attract a
space will open at London Waterloo, Birming- brand like Apple because of the strength of
@networkrail ham New Street and King’s Cross. For sta- the location on offer, although achieving the
tions one of the first jobs is to clear the minimum space requirements would be very
concourses of pods and standalone units, difficult. Ultimately flexibility and a pragmatic
improving passenger flow. Retail and food approach are vital.
6. Vision by Follow us on
every 2 months: 1 consumer trend briefing • 4 retail real estate player’s viewpoints • online follow-up
Airport operator: What does the transport location bring to of interchange will be increasingly important
the offer? for airport cities and for us as aviation traffic
Michal Marzec, general
The idea behind airport cities, which are be- continues to increase at Chopin Airport. We
director, Polish Airports
coming more and more popular all over the have a 22.5ha site adjacent to the airport which
world, is the combination of aviation and non- we will transform into a mixed use, office-led
aviation. An additional source of revenues scheme called Chopin Airport City over the
from commercial services has a significant next ten years, including a business park with
impact on the region's economic growth, retail, entertainment and leisure facilities.
through the creation of new jobs and deve-
lopment of infrastructure. Good examples What happens next?
are similar projects in other European cities, As an airport operator, this is a new expe-
such as Düsseldorf, Munich and Amsterdam, rience for us. The first step for any proposed
where the non-aviation activity acts as a airport city is to do the research, which we
strong driver for economic growth on a carried out with CBRE. We concluded it is im-
macro scale. Such venues also enhance the portant to give workers and travellers a com-
airport's, the city's and the region's reputa- fortable environment. The commercial
tion internationally. buildings will be set within a park, with a cen-
trally-located plaza providing restaurants, fit-
How have you approached the offer at ness centres and retail, and traffic will be
Chopin? directed around the perimeter of the site, lea-
We want to use the benefits of the location, ving the centre traffic-free. Such an approach
@ChopinAirport which is in close proximity to Warsaw city cen- is part of our plan to encourage office workers
tre, but is also directly adjacent to the airport, to stay at the end of the work day and to en-
the train station and a coach station. This type courage passengers and aviation workers.
Polarisation: Boutique What does the transport location bring to own right, developing it from a transportation
or big centres? the offer? hub and a commercial centre. That also
Andrea Joerger, project The role of an airport city is effectively to means providing a recognisably national ex-
leader, The Circle at Zurich create a new city on the edge of the city, one perience, which in our case promotes Swit-
Airport that is well connected and acts as a magnet zerland and helps us and the city of Zurich.
for multinational businesses, conference or- The Circle’s architect is a Japanese company,
ganisers and educationalists. It is not about Riken Yamamoto & Field Shop, and a major
planning to make money by increasing the requirement is sustainability, which we be-
number of passengers through an airport; lieve is crucial to any high quality commercial
that is not the point. Instead, it is about in- development.
creasing their length of stay and serving de-
mand from a new segment of traveller who What happens next?
doesn’t currently exist. Retail works at a dif- We are at the point where we are continuing
ferent cycle to aviation as well, which can to attract investment, which is why we were
protect an operator by running different in- at MIPIM this March, and if we achieve our
come streams which will be impacted diffe- full equity requirements, we hope to start on
rently by the economy. site in 2013. But it is also important in deve-
loping an airport city to look at the wider be-
How have you approached the offer at nefits to the region, which is why in the case
Zurich? of our development it is being coordinated
For businesses, an airport city creates a closely with the adjoining city of Kloten.
‘headquarters with its own airport’ and the Connections between an airport city and
idea behind such schemes is to make the air- other towns and cities can provide far broa-
port a whole, self-contained destination in its der commercial benefits.
