Through airport security and head for the bar

A new Peach Factory report highlights how UK airports are investing in the consumer experience ' with food and drink at its heart

The airport industry in the UK is facing unprecedented challenges. The continuing terrorism threat, heightened and changing security regimes, environmental issues, 'green' protesters, industrial action, escalating costs, Government intervention, flight delays and growing passenger irritation are just a few of the action points on management agendas.

At the same time, there is a pressing need to provide more capacity, which has resulted in major financial investment in British and Irish airports. The opening of Heathrow's Terminal 5 in March 2008 may be the highlight, but airports across the British Isles ' Manchester, Birmingham, Gatwick, East Midlands, Newcastle, Luton, Prestwick, Glasgow, Bristol and Dublin ' have all embarked on significant redevelopments.

With all this comes the imperative to enhance the passenger experience, to mitigate the inconveniences and maximise enjoyment of what can be a stressful experience. Food and drink facilities have become central to meeting this objective ' not to mention being an increasingly vital source of revenue for airport owners.

Passengers are no longer there just to be processed, but to be cared for and even entertained during their airport stay. Significantly, they are no longer simply 'passengers', but are increasingly referred to by the industry itself as customers or consumers.

It is no easy challenge, with the plight of London's airports regularly held up by the press as a worse case scenario. As the Economist magazine wrote only last August: 'Fear and loathing at London's main airport has become as much a part of the British summer as strawberries and cream at Wimbledon. Queues at Heathrow are longer, tempers are shorter, a third of departing flights are delayed and thousands of bags are lost each day.'

Correct or not, it just adds to a growing public perception that air travel has to be endured rather than enjoyed.

There is a public relations challenge, but that has to be underpinned by operational delivery. Better understanding of passenger needs and expectations is central to this, with passenger tracking and research now a high priority for airport operators, as well as for those running their retail and food businesses.

Planning of new terminal facilities, such as the redevelopment at Manchester's T1, is increasingly focussing on passenger flow and making it as easy as possible to get through check-in and security and then to shop, eat and drink. Increasing and reconfiguring security without impinging on retail, bar and restaurant space has been a major preoccupation.

Security is the key driver and reducing queues and waiting times at both check-in and security a priority ' underpinned by both political and safety imperatives.

Most airports are already implementing plans, and moving consumers 'airside' as swiftly as possible. This has meant that in many, and certainly all the larger, airports there is an increasing trend to move more, if not almost all, catering 'airside', in other words after security.

This change is giving many airport management teams the opportunity to reassess their food and drink businesses. As the management at Manchester Airport believes, improving security improves consumers' mood when arriving airside and so encourages them to spend more on retail and food and drink.

The big question is what do airport passengers really want in their time-constrained passage from check-in to gate? In particular, do their tastes and preferences in on the high street translate to the airport environment? The T5 answer is to bring in more upmarket brands such as Gordon Ramsay, Wagamama, Itsu and Carluccio's.

Better understanding of passenger needs and expectations is a priority across the industry, with passenger tracking and research on behaviour and needs now a 'given'.

Peach Factory has added its own insight with the publication of the new Airport Food Trends Report for 2008, produced in conjunction with SSP Air, the leading airport foodservice operator.

At the heart of the report is new research conducted in conjunction with Harris Interactive, the leading international research organisation, which surveyed over 2,000 consumers across the UK during September 2007, to discover their attitudes and habits when eating and drinking in airports.

Some issues, such as brands, regionality and healthiness, freshness and provenance, play out very much as they do in the general eating-out market. Other trends such as the importance of middle-class frequent flyers, men and bars have a particular airport resonance ' as does the contrast in passenger eating and drinking habits before and after security.

While half of people flying will grab something to eat or drink before going 'airside', almost all (86%) will do so once they have cleared security. Also the type of store chosen is different either side of security ' with fast food and grab-and-go options more popular 'landside'.

But, perhaps the most interesting statistic from the research is that going to the bar for a drink is the most popular choice of regular flyers ' those that travel four or more times a year ' once they clear security. After all, having an alcoholic drink can be a good way to relax and reduce stress. But it also demonstrates that despite the diminishing popularity of the pub in the general market, bars with the right appeal and meeting the right needs still work.

Half the UK adult population use an airport at least once a year, including two-thirds of those living in London. Also more men than women fly, driven by business travel ' although the gap is now narrowing. That certainly has something to do with the popularity of bars in airports, with men twice as likely to have a drink, according to the survey.

Airport users can be usefully split into three groups: the 40% who fly once a year; another 40% who fly two or three times; and the 20% who fly four or more times, the frequent flyers.

Despite being in a numerical minority, by dint of their regular trips, both leisure and business, these frequent flyers account for at least 50% of airport visits and, because they are more likely to eat and drink while at an airport, the majority of food and drink purchases. They should be the airport industry's most important consumer group.

The majority (58%) of this group are middle class, social groups A and B. They are more experienced eaters-out, with 20% eating out of home at least twice a week. They are twice as likely to be male as female, although their middle class values makes them more interested in health issues, for example, than the average person. They are what has been called the 'flash packer' generation ' three-quarters of frequent flyers will take a low-cost flight for a short break at least once a year. Luton is the airport with the highest proportion of frequent flyers.

While at the airport, they are more likely than the average traveller to pick a casual dining restaurant to eat in. However, the male bias of the group helps break the usual middle class stereotype. As well as being more likely to go to the bar, a substantial minority are also happy to grab a burger from the fast food joint.

The challenge for airports and their food and drink providers is to keep tabs on this important but demanding bunch and keep them happy and stress-free. The changes and investment that are now reshaping the nation's airports gives them the opportunity.

Airport buying habits
All flyers Frequent flyers*
Have a meal or snack 50% 58%
Hot drink 38% 39%
Soft drink 35% 44%
Alcohol at bar 19% 31%
Alcohol with meal 9% 18%
Didn't eat or drink 15% 11%

*Those who fly four or more times a year
Source: Airport Food Trends Consumer Survey, October 2007

MOST COMMONLY USED FOOD AND DRINK OUTLETS, AIRSIDE
Once-a-year flyers Frequent flyers
Coffee shops 34% 48%
Bars 18% 55%
Self-service/free-flow 17% 36%
Bakery/sandwich shops 14% 31%
Fast food 12% 31%
Table service casual 10% 30%
Health-conscious outlets 7% 12%
Fine dining 2% 4%

*Those who fly four or more times a year
Source: Airport Food Trends Consumer Survey, October 2007