Family matters

Pragma Consulting’s Mohamed Hisham considers how focusing on families can significantly boost the non-aeronautical revenue of airports.

Airports are constantly looking for ways to improve their non-aeronautical revenue, and an important segment to focus on is passengers travelling with children.

Families travelling with children represent a significant opportunity for airports to boost revenue across both retail and food and beverage (F&B) sectors.

By better understanding and catering to the unique needs of these passengers, airports can enhance the travel experience and drive economic growth.

Extended dwell time and higher spending

Families with children are inclined to spend more time at the airport, partly due to the need to arrive early and the unpredictable nature of travelling with young ones.

And this extended dwell time often translates into higher spending on retail. Indeed, according to recent research, families with children spend more on retail purchases compared to solo passengers or those without children.

This trend – the average transaction value (ATV) is also higher for passengers with children – is driven by the need to keep children entertained and content during the wait.

Impulse purchases and targeted retail

Impulse purchases of toys, travel games, and even small souvenirs become more likely when travelling with children.

Retailers offering toys, books, games, and family-oriented products such as WHSmith, Hamleys, and Lego benefit significantly. These stores provide a range of products that cater to the interests of children and teenagers, making them attractive stops for families.

Specialty stores like NatGeo and Discovery Channel also benefit as they offer educational toys and science kits for children, adding an element of learning and discovery to the travel experience. Themed stores such as Harry Potter and Disney attract children with specific interests, providing themed toys and memorabilia that cater to both children and teenagers.

Older children and teen Interests

Older children tend to be more interested in electronics, health and beauty products, and gaming. Airports are increasingly recognising
this trend and responding accordingly.

For example, Dallas/Fort Worth International Airport (DFW) and Los Angeles International Airport (LAX) in the US have introduced dedicated gaming units called Gameway, offering a range of gaming options that appeal to teenagers and young adults.

Likewise, Manchester Airport recently opened the first UK airport gaming site in Terminal 1 called Gaming Point. These gaming areas not only entertain older children but also encourage families to spend more time and money at the airport.

Pop-Up family entertainment zones

An emerging trend in airport retail is the creation of pop-up family entertainment zones. These zones feature temporary installations of popular brands and entertainment options designed to engage children and families.

For instance, during peak travel seasons, airports can collaborate with toy and game companies to set up play areas. These pop-up zones provide interactive experiences, attract footfall and activation.

Singapore Changi Airport partnered with Hasbro games to transform T3 into a Hall of Games which includes physical and digital games based on the popular Hasbro games, which also include a pop-up store from which you can purchase Hasbro merchandise and games.

Catering to varied dietary needs

The F&B sector at airports also reaps considerable benefits from families with children. Families often need to cater to varying dietary preferences and needs, which often leads to purchases from multiple outlets.

Airports are increasingly offering more foodcourt-style quick-serve brands that provide different varieties of food in a single location, making it easier for families to find something for everyone.

Convenience-led offers are also likely to be in high demand, with parents purchasing snacks and drinks for their children. This higher spend is driven by the need for frequent snacks, meals, and drinks to keep children content and hydrated.

For instance, parents might buy a quick snack to tide children over until the flight or purchase drinks and light meals to ensure they are well-fed and comfortable.

Family-friendly F&B facilities

Parents are more likely to purchase full meals in airport F&B units that offer child-friendly menus and amenities such as highchairs. Play areas and dedicated family seating areas also tend to attract more families, leading to increased sales.

Airports are beginning to recognise the importance of these facilities in enhancing the travel experience for families.

Both Heathrow and Gatwick airports in the UK had a promotion during the school holidays called ‘Kids Eat Free’, where children eat for free from a range of participating food outlets when an accompanying adult buys a meal.

Such promotions are effective in attracting families to dine at airport restaurants, increasing overall sales. The Charlie Brown café at Incheon Airport is another example, attracting children with its colourful designs and characters while also providing amenities such as play areas, toys, and a children’s menu.

These features make it a popular choice for families looking for a relaxing and enjoyable dining experience.

Enhancing the travel experience

Airports that invest in family-friendly environments not only enhance the travel experience for families but also drive economic benefits. Facilities such as play areas, family lounges, and nursing rooms encourage longer stays and higher spending.

The adjacency of these play areas to retail and F&B outlets can further increase sales, as parents are more likely to shop and dine if their children are entertained and comfortable.

Airports with comprehensive wayfinding systems and services like strollers and family security lanes make travel less stressful for parents, thereby increasing their likelihood to engage in shopping and dining.

Clear signage and easy-to-navigate terminals help families move around the airport more efficiently, reducing stress and making the overall travel experience more enjoyable.

An IATA survey found that 68% of parents stated that they are more likely to spend on retail and F&B if the airport provides adequate family facilities. This statistic underscores the importance of family-friendly amenities in driving economic growth at airports.

Incheon Airport, recognised as the World’s Most Family-Friendly Airport by Skytrax in 2024, offers dedicated play areas, nursing rooms, family restrooms, baby stroller rentals, and a mini theme park located next to Terminal 2 for families with longer layovers.

These facilities make Incheon Airport a preferred choice for families, ensuring they have a pleasant experience and are more likely to spend on retail and F&B offerings.

Innovation and promotions

Airports are also leveraging technology to enhance the travel experience for families. Mobile apps and digital signage can provide real-time information about family-friendly facilities, promotions, and entertainment options.

Some airports have introduced augmented reality (AR) and virtual reality (VR) experiences to engage children, providing immersive and entertaining activities that keep them occupied during waits.

For example, Singapore Changi Airport has ventured into the popular world of Roblox by creating a virtual reality version of Changi Airport called ‘Changiverse’ offering players the chance to explore extraordinary landscapes and complete quests through the different airport facilities like baggage reclaim and check-in hall.

Such interactive games create an additional layer of fun and innovation for children to enjoy and creates memorable experiences.

Seasonal promotions and events

Seasonal promotions and events can further enhance the family travel experience and boost spending. Airports can host events during school holidays, summer vacations, and festive seasons, offering activities and discounts tailored to families.

For instance, organising a holiday-themed event with activities like face painting, crafts, and character meet-and-greets can create a festive atmosphere that encourages families to spend more time potentially resulting in more spend opportunities at the airport.

Conclusion

The presence of families with children at airports significantly boosts retail and F&B sectors, driven by higher spending on essentials, entertainment, and food. As airports continue to evolve into multi-faceted commercial spaces, the emphasis on family-friendly services and amenities will play a crucial role in driving economic growth and enhancing the overall passenger experience.

By investing in family-friendly facilities, expanding retail and F&B options, leveraging technology, and implementing effective marketing strategies, airports can attract more families and increase non-aeronautical revenue.

Focusing on the needs and preferences of families travelling with children is not only beneficial for enhancing the travel experience, but also essential for driving economic growth in the competitive airport industry.

By creating a welcoming and accommodating environment for families, airports can ensure sustained revenue growth and a loyal customer base.