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Monday, September 30, 2002

Ohio's biggest airports lag in retail sales



The Associated Press

        CLEVELAND - Cleveland Hopkins International Airport ranks 47th out of 50 of the nation's largest airports in food and retail sales to travelers.

        Wendy Shugarman of suburban University Heights doesn't need statistics to figure that out. She's been in the 27-store mall at Pittsburgh International Airport - ranked second nationally for sales - that includes shops such as Clinique, Nine West and Mont Blanc.

        “That is the best retail I've ever seen at an airport,” said Shugarman, who's spent 20 years traveling for American Greetings' marketing department.

        By contrast, at Hopkins, she said, “There just isn't a lot.”

        The rankings are based on sales figures compiled by Airport Revenue News, a trade publication that measures what passengers spend before taking off.

        “A good concessions airport makes passengers happier, makes more money for the airport and in turn makes more money for the airlines,” said Mike Taylor, director of traveler services for JD Power & Associates. “Everybody wins.”

        Sales at Hopkins averaged $3.46 per outbound traveler last year, less than half the $8.09 average in Pittsburgh. Cincinnati/Northern Kentucky International Airport ranked 35th, with sales of $4.47 per traveler.

        Ohio's other airports aren't among the busiest 50 in the nation.

        Airports receives rent, in part based on sales, from retailers and restaurants.

        With low concession sales, airports can make up the cost by charging airlines more for landing fees, which amount to about 2 percent of an airline's operating costs.

        Food sales were up at Hopkins during the first half of this year in part because travelers were arriving earlier as a result of increased security. Three new restaurants also were added.

        But retail sales didn't get the same boost. Victoria's Secret, Bath & Body Works - both Ohio brands - and Wilson's Leather closed their airport locations in the last two months.

        Hoping to increase sales, the airport earlier this month received City Council approval to move security checkpoints outside most restaurants and shops by mid-November. Travelers are more likely to relax and shop once passing security.

        The most important sales boost is making sure travelers walk past shops, said Pauline Armbrust, editor of Airport Revenue News.

        “It has everything to do with location,” she said.

       



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