ACI Europe focuses on concession contracts debate

The White Paper on the future of airport concession contracts was the focus of debate yesterday at the 13th ACI Europe Trading Conference in Dublin, an event that ends today (March 3). A lively afternoon debate concentrated on the paper, published by Moodie International in the wake of last year's Trinity forum.

In a keynote address, BAA group retail director Brian Collie argued that the traditional model of airport contracts is a threat to the prospects of every airport. He said: "We cannot watch and wait. The traditional model was not designed to accommodate the situation the industry now faces."

The White Paper highlights the problems with the current contract model. These include the value perception of travel-retail among consumers, the sameness of the retail offer around the world, short-term thinking and the lack of consumer focus.

Collie highlighted the options open to airports, saying that joint ventures between airports and retailers were "a solid option, with great potential". His address was followed by three panel discussions involving airports, retailers and suppliers.

It was agreed that the traditional tender model is fundamentally flawed, though there was debate on the best way forward. Chairing the debate, Aer Rianta retail director Frank O'Connell argued that the ACI Tender Code should provide a starting point for future discussions. He said that a final draft of the White Paper should appear before the TFWA World Exhibition in Cannes, for endorsement by ACI and the wider trade.

A full report on the conference will appear in the March 15 issue of DFNI.