FINLAND/INTERNATIONAL. The airport food & beverage sector has come a long way in recent times, to the extent of being hailed “the new retail”. But there is still a long way to go, and many changes are happening already, as delegates discovered on Day Two of the FAB 2018 conference.
The day began with a look at how change can be affected on an individual basis – through the actions of front line service staff. Uplifting stories of humanity, warmth and exceptional customer service were recounted as the five finalists in the FAB Team Member of the Year Award were profiled and honoured.
In discussing Manchester Airports Group’s new in-house F&B concept Proof, Executive Vice President of Business Development & Lounges Beth Brewster linked back to Day One of the conference by outlining a perfect example of innovating and having no fear. “You have to test and try things and offer proof of concept,” she said. “It might not work but we see [the concept] as a logical extension of what we have been doing.”
Proof could be widened to F&B units outside the passenger lounge in the future, according to Brewster – if the imaginative and fearless approach pays off.
Embracing technology also requires a fearless approach, and that was the subject of the first panel session of the day. HMSHost North America Executive Vice President and Chief Information Officer Sarah Naqvi noted that technology was a key facilitator of establishing new customer touchpoints. But creating experiences is just as important as using technology.
Naqvi advocated finding ‘The Missing Middle’ – essentially striking the right balance between human and machine. “Full automation doesn’t necessarily work,” she said. “We can be too technology-focused, we must remember the human side.”
Bahrain Airport Company Vice President – Non Aeronautical Revenues George Moore discussed the new concessions programme at Bahrain International. It reflects modern trends, with a mix of local and international names. It should also be noted that the space dedicated to F&B went up from 25% in the old terminal to 40% in the new terminal.
“We need to keep pace with trends,” declared London Stansted Airport Head of Retail Richard Cross. Food has to be ‘Instagrammable’, while customers are demanding healthy, authentic, locally-sourced options. Cross said Stansted was planning a street food market to meet demand for variety, while innovations such as mobile ordering and self-service kiosks are essential in the modern world.
HMSHost North America President & CEO Steve Johnson joined the session for a Q&A discussion. He said the company was going live with mobile ordering and pay Starbucks locations in July. “It is the future,” he said. “I could see places like Starbucks having no POS locations at all.”
The session was followed by an introduction to new company Moodie Insights, from General Manager Craig Mackie. Big Data does not have to be rocket science, he said, and can actually be harnessed to improve the commercial offer, in real-time, by reacting to customer behaviour.
Thinking out of the box was also the subject of the next panel session. Zürich Airport Head of Commercial Centres Heidi Köpple discussed some of the Swiss hub’s best and most innovative concepts. These range from Air, which celebrates the feeling of being at an airport restaurant, to food helicopters (rather than trucks), pop-ups, and an outdoor terrace.
Köpple also noted the success of Yooji’s, a famous chain in Switzerland which serves sushi. The airport has brought it to a variety of gate areas and Köpple said sushi had proven to be the ideal product to be taken onboard the plane.
Mustafa Al Hashimi, Co-Founder of Dubai-based HWH Hospitality Investments, said the emirate’s story had helped inspire his company to think differently. “HWH has created nine brands that each have a unique selling point, and are attracting different customers,” he said.
Key ingredients to a successful concept are stories, emotions, having a key attraction, a defined purpose, and customer engagement, he said. The concepts created by HWH are not limited to Dubai and have a global appeal.
Deema Anani, Commercial Director at Amman Queen Alia International Airport, said thinking outside the box was a mindset and was about making small changes that can have an impact. She also noted the importance of looking outside the airport environment to assess changing customer behaviour.
Her big news though was to announce that the airport in Jordan is to launch a tender for the operation of food & beverage outlets later this year. More details can be found here.
Up next was the return of FAB Cooks!, a live cooking demonstration with interactive discussion. SSP CEO Nordics and Spain, Group Director Strategic Client Partnerships Nick Inkster introduced two of Finland’s finest chefs, Marko Palovaara and Mika Roito. Delegates were eager to taste their concoctions, which were on offer at lunch.
Design and innovation were key elements of the next session, titled ‘New dynamics in airport F&B’. JHP Joint Managing Director Steve Collis listed a series of top talking points, including a fascinating look at bespoke ordering in airport food & beverage as part of a shift in dynamics at the modern travel hub.
Grab CEO Mark Bergsrud assessed the impact of mobile ordering and payment on the industry so far. “We must reduce the fear of innovation and turn it into excitement,” he offered. And mobile commerce improves results. “I don’t believe proprietary solutions can succeed to the extent an aggregated system can.”
Lagardère Travel Retail Executive Vice President Foodservice Global Mélanie Guilldou explored the connection between retail and F&B and how they are not always separate entities any longer.
She also introduced ‘virtual waitress’ G.I.U.L.I, a service which allows passengers to order with their smartphone, pay at the table, and even upsells to them .
In the final session of the day, the focus was firmly, and appropriately, on the future. Where is airport dining heading? “I don’t know,” said SSP’s Nick Inkster candidly. “But I do know the future will be very different.” Customers will be more experienced-based, demand quality and memorable food, and want “novelty, fizz and colour”.
Westfield Director of Business Development for Airports Angela Heuer noted that food was now the anchor driving people to the company’s shopping centres. Could the same be true for airports? Zenola Campbell, Vice President of Concessions at Dallas/Fort Worth International Airport, certainly thinks F&B is vital to the customer experience, and noted the increasing blurring of the line between retail and food.
FAB judges David King and Anders Barsøe offered some final thoughts before the conference closed. King noted how operators, concessionaires and airports had changed in recent times to become fully focused on the consumer. He also reflected on fast-changing tastes and trends.
“We need to change how we do business,” was Barsøe’s rallying cry in reference to the importance of environmental and sustainability issues. “If we don’t change there will be no future business.” That means rigorous practices and policies and not initiatives that pay lip service but don’t quite cut the mustard. Non-recyclable plastics should be eliminated, he said, and such campaigns would benefit from industry-wide collaboration. Now that truly is food for thought.
Before the conference closed, it was announced that Dallas Fort Worth International Airport will host FAB 2019. It is the first time the event will be held in the USA. Finavia’s Elena Stenholm handed over the proverbial baton in a traditional handover ceremony.
