BAA gains rewards of consolidated retail deliveries

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BAA has introduced a new scheme to consolidate retail deliveries at London Heathrow, improving the service it offers retailers and cutting down the number of supply vehicles coming into the airport's centre by up to 75%.

The Heathrow Consolidation Centre (HCC), which is operated in conjunction with BAA's logistics partner, Exel, is believed to be the largest and most sophisticated of its kind in the UK.

At the heart of the HCC is a newly-opened 25,000 sq ft (2,323sq m) warehouse situated just outside the airport perimeter. Supply vehicles arrive at the warehouse, unload and depart. From here the retail stock is coded, stored and delivered by Exel to each of the terminals as required and minimising waste and packaging.

For retailers, the HCC enables deliveries to be made direct to the unit or stockroom at a specified time. The centre also provides extra storage capacity with potential sales benefits for retailers and the opportunity to include add-on, specific benefits, for example chilling water prior to store delivery during hot days.

BAA commented that the benefits are both environmental and operational, including reduced congestion in the central area, at forecourts and at security control posts which help the airport run more smoothly. Existing retailers will join the delivery scheme on a rolling programme. A total of 17 have already signed up including: Bally, Hargreaves Sports, Escada, Tie Rack, Gifts4all, Mulberry, City Centre Restaurants and Nuance. New retailers to the airport will participate as part of their contract. 

BAA's retail director UK airports, Colin Hargrave, said "This is a 'win-win' initiative, benefiting the airport and its retailers, customers and the local community. The scheme will make airport deliveries more efficient for retailers, reduce congestion and improve air quality."