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The appropriate scale of US airport retail activities

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  • Appold, Stephen J.
  • Kasarda, John D.

Abstract

Terminal-based retail has been sufficiently successful that many airport operators are considering enlarging their facilities in order to increase revenues. On the basis of data on the retail sales and rental revenues for 75 of the US's most important passenger airports, we demonstrate the significant impact of passenger demography on the volume and nature of airport retail sales. A method is outlined for combining information on the demography of passenger flows with construction costs in order to evaluate appropriate capital investments for terminal retail expansions.

Suggested Citation

  • Appold, Stephen J. & Kasarda, John D., 2006. "The appropriate scale of US airport retail activities," Journal of Air Transport Management, Elsevier, vol. 12(6), pages 277-287.
    • Handle: RePEc:eee:jaitra:v:12:y:2006:i:6:p:277-287
    DOI: 10.1016/j.jairtraman.2006.04.003
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    References listed on IDEAS

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    Cited by:

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    3. Castillo-Manzano, José I. & López-Valpuesta, Lourdes & Sánchez-Braza, Antonio, 2018. "When the mall is in the airport: Measuring the effect of the airport mall on passengers’ consumer behavior," Journal of Air Transport Management, Elsevier, vol. 72(C), pages 32-38.
    4. Wu, Cheng-Lung & Ma, Ngai Ki, 2022. "The impact of customised mobile marketing on passenger shopping behaviour in the airport terminal," Journal of Retailing and Consumer Services, Elsevier, vol. 66(C).
    5. Castillo-Manzano, José I., 2010. "Determinants of commercial revenues at airports: Lessons learned from Spanish regional airports," Tourism Management, Elsevier, vol. 31(6), pages 788-796.
    6. Wu, You & Morlotti, Chiara & Mantin, Benny, 2024. "Shopping or dining? On passenger dwell time and non-aeronautical revenues," Journal of Air Transport Management, Elsevier, vol. 118(C).
    7. Del Chiappa, Giacomo & Martin, Juan Carlos & Roman, Concepcion, 2016. "Service quality of airports' food and beverage retailers. A fuzzy approach," Journal of Air Transport Management, Elsevier, vol. 53(C), pages 105-113.
    8. Fuerst, Franz & Gross, Sven & Klose, Ulf, 2011. "The sky is the limit? The determinants and constraints of European airports commercial revenues," Journal of Air Transport Management, Elsevier, vol. 17(5), pages 278-283.
    9. Chung, Yi-Shih & Ku, Ya-Han, 2023. "Effect of time stress and store visibility on the dynamics of passenger activity choices at airport terminals based on indoor trajectory data," Journal of Retailing and Consumer Services, Elsevier, vol. 73(C).
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    11. Silva, João & Kalakou, Sofia & Andrade, Antonio R., 2023. "Maximizing non-aeronautical revenues in airport terminals using gate assignment and passenger behaviour modelling," Journal of Air Transport Management, Elsevier, vol. 112(C).
    12. Choi, Jong Hae & Park, Yonghwa, 2022. "Exploring passenger and flight characteristics' impacts on airport retail income: Evidence from Incheon International Airport," Journal of Retailing and Consumer Services, Elsevier, vol. 66(C).
    13. Fasone, Vincenzo & Kofler, Lukas & Scuderi, Raffaele, 2016. "Business performance of airports: Non-aviation revenues and their determinants," Journal of Air Transport Management, Elsevier, vol. 53(C), pages 35-45.
    14. Thomas, Nivea & Jha, Kumar Neeraj, 2024. "Econometric evidence on the profits and revenues of Indian regional airports," Journal of Air Transport Management, Elsevier, vol. 115(C).
    15. Jiang, Yonglei & Huang, Ailing & Gao, Shengguo & Yu, Shunan, 2024. "Relationship between the terminal built environment and airport retail revenue," Journal of Air Transport Management, Elsevier, vol. 116(C).
    16. Tavalaei, M. Mahdi, 2020. "Waiting time in two-sided platforms: The case of the airport industry," Technological Forecasting and Social Change, Elsevier, vol. 159(C).
    17. lo Storto, Corrado, 2018. "Ownership structure and the technical, cost, and revenue efficiency of Italian airports," Utilities Policy, Elsevier, vol. 50(C), pages 175-193.
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