Travel Retail’s Positive Disruptors: The case for airside click and collect as new service Piccnicc prepares for launch

This article is the latest in our popular new series in association with Tito’s Handmade Vodka, which examines travel retail and airport sector ‘disruptors’ – focusing on companies and individuals challenging established models through innovation.

UK/EUROPE. Some 28% of UK air passengers, equivalent to 32.2 million people a year, want to sit down for a meal at the airport but don’t for a variety of reasons, according to a new report.

This means that there is a major untapped opportunity for incremental business in the food & beverage space, according to report authors Piccnicc, a new airside click and collect marketplace delivery service set to launch in early 2018.

Aiming to improve the passenger experience: Piccnicc Co-Founders Jonny Goldstone (left) and Avi Robinson

The report, ‘The Airside Click and Collect Opportunity’, looks at consumer views on the UK airport food & beverage experience, and as the title suggests, assesses the case for a new click and collect service. The report is based on responses from 1,000 passengers aged between 18 and 55 gathered by an independent research company.

It found that 44% of passengers prefer to sit down for a meal in an airport cafe or restaurant, while 45% like to buy food to eat elsewhere.  Of the 44% who prefer to eat in, only 37% managed to sit down for a meal during their last airport visit – giving rise to the aforementioned figure of 28% of all air passengers that want to sit down for a meal but don’t.

Of the 45% that said they prefer to buy food to go, over 30% would prefer to buy burgers, pizzas or other hot meals – in other words restaurant food. That represents an additional 15.5 million passengers per year, or 14% of all passengers, according to the report.

“To serve the needs of these – indeed all – passengers, a new category of service is emerging. Airside click and collect services display airport terminal F&B options and enable users to order meals or snacks in advance,” the report states.

“When asked whether they would be interested in such a service, passengers were unequivocal. 70% would always, almost always or often use it. An additional 20% said they would use it occasionally when they fly. Only one in ten said that they weren’t interested.

“Passengers understand that this service will likely save them time and make it more convenient for them to buy F&B to enjoy in the airport and/or on the plane. More than a third recognise the benefit of seeing all food and drinks options at once; a third acknowledge it would mean an end to queueing and waiting for food to be prepared; and others look forward to accessing promotions and discounts.”

Time for a Piccnicc

Piccnicc will offer these services when it launches in 2018. A major differentiating aspect of the platform will be the installation of dedicated Piccnicc collection points in airport departures lounges, where passengers can pick up their orders.

Travellers will be able to see all F&B options at once, make their order, and never actually have to physically visit or queue at a F&B outlet.

Piccnicc Co-Founders Jonny Goldstone (also CEO) and Avi Robinson (also MD) told The Moodie Davitt Report in an exclusive interview that they envisage the service being available on an airport’s app, but it could also be accessed separately in a dedicated app.

“Part of our strategy is to integrate Piccnicc with airport digital media,” said Goldstone. “This can be through an airport app, with the service either branded as Piccnicc or white label.”

Piccnicc will initially launch in the UK, but is likely to be expanded to European airports once the service is up and running. Goldstone and Robinson are currently in advanced discussions with a number of airports and retailers, but note that while some potential customers immediately see the benefits of the service, others are naturally more cautious and concerned about cannibalisation of business.

Convenient, easy to consume food is the most popular choice among UK travellers, as many like to buy food to eat elsewhere in the terminal or on the plane

“Compared to 12-18 months ago there is actually radically different thinking about such services; everyone is in tune with the value concept,” said Goldstone.

“There are two types of retailer and airport – some are more risk-averse and forward-thinking, others are more cautious [and need time to see how the service works elsewhere before implementing themselves].”

Robinson added: “There is a growing realisation about the importance of the passenger experience. Airports need to provide great service or passengers may go elsewhere.”

Low-cost carriers are largely driving innovation, and are also causing changes in passenger behaviour in terms of planning journeys and decisions on where to buy and eat food.

Piccnicc addresses this shift. “There is an unmet need in airports for this kind of service,” said Robinson. “We want to make it part of the in-airport experience.”

Goldstone explained: “There is virtually zero cost to add this service and it provides additional commission. And all airports have the facility to implement it.

“The time-poor traveller is an obvious target. But a lot of people have plenty of time at the airport, and some of them just don’t want to queue and sit in a restaurant. There is also a market for people who don’t want to eat plane food.”

One of the biggest challenges for Piccnicc is the fact that customers are likely only customers for a few days a year, so the company’s marketing strategy must ensure that the customers are aware of the service at all touch points of the passenger journey, including before travel. Communication could include pre-flight emails, while even at the airport travellers may see Piccnicc bags and be curious about the service.

“The Piccnicc collection points will be key [in this respect],” said Goldstone. “There will be tablets available there too to enable passengers to order. They don’t even need to go to the restaurant.”

For Goldstone, a service such as Piccnicc can also improve passengers’ overall perception of airport F&B. “What they’re buying on the customer journey is tied to their overall satisfaction. Piccnicc will offer a high level of customer service, and this naturally improves travellers’ overall positive experience at the airport.”

The marketplace-style offering, as seen in services such as Deliveroo, will also play into this. “The ability to see all options on one screen and to compare offerings gives passengers a better ability to interpret what is value for money,” noted Robinson.

Passengers can also get exactly what they want – an important consideration for groups who may want food from different outlets. Goldstone gives the example of a family – based on his own experience. “My family and I were flying back from Washington DC, and when we were deciding what to eat, it turned out that we wanted food from three different restaurants. That becomes a stressful experience. With Piccnicc we could all have got what we wanted in one order.”

Airside click and collect means more time and convenience for passengers, according to the Piccnicc report

A central hub

Having a dedicated collection point – or a central hub in the words of Goldstone – also opens up opportunities to expand into retail. Goldstone and Robinson confirmed that this will be a focus in the future.

The report provides a compelling case for the need for such a service. Almost half (46%) of passengers make time to browse and spend in the luxury and high street retail outlets, while 88% of respondents would be interested in purchasing other items via airside click and collect in the future if the service was available, the report found.

“The most popular goods are duty free, with 57% saying they’d buy in advance to pick up after security,” the report states. “Books and magazines (42%) are also popular as is electronic equipment (25%), and one in five would use the service to buy clothes.”

Expansion into retail will depend on the F&B rollout, but could be within 6-12 months of Piccnicc’s initial launch.

NOTE: The Moodie Davitt Report also publishes The Foodie Report, the world’s only media focused on airport (and other travel-related) food & beverage. The Foodie Report e-Newsletter is published every two weeks and The Foodie Report e-Zine every month.

Please send all news of food & beverage outlet openings, together with images, menus, video etc to Martin@MoodieDavittReport.com to ensure unrivalled global exposure.

The company also organises the annual Airport Food & Beverage (FAB) Conference & Awards.

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