Frontier Magazine
July 2008

Fashion Boom

BAA’s multi-brand fashion offer is generating year on year double-digit sales, and numbers are set to rise. Lisa Phillips reports

 

THE eclectic mix of fashion outlets embraced by BAA puts the airport giant at the cutting edge of this burgeoning sector. At present, 200,000 sq ft is devoted to the category across the seven BAA airports, and it commands an impressive 30% of total travel-retail sales. This share, says head of category, fashion and wellbeing Hazel Curry, is set to increase. “The share is increasing as passengers begin to view the airport as a great place to buy fashion, aided by new brands and innovations,” she says. “Fashion has seen around a 10% increase in the last year, and we hope to continue this positive trend through the next year.”

Brands currently range from premium luxury right through to high street names, depending on the mix of airlines and destinations catered for within each terminal. The most radical developments in the sector this year have, of course, been seen at Heathrow’s Terminal 5. “We introduced brands first for European airports, including Prada, Tiffany & Co and Coach, plus the Harrods fashion department store, which has meant we also have designers such as Marc by Marc Jacobs, Paul & Joe, Luella and Diane von Furstenberg, which have never been seen at an airport worldwide, as well as great accessories from Alexander McQueen and Fendi,” says Curry. “The thinking behind these developments was really to offer a great place to shop for fashion at a time when many busy people finally get a bit of ‘me-time’. We thought carefully about the passengers using this terminal, and were determined to create an offer
which would respond to the needs and desires of the audience – which brands they would enjoy and what would excite and intrigue them.”

Curry argues that airports are well-placed to maximise the sales of individual brands based on the more specific knowledge of customer profiles and shopping habits that is not so readily available to their high street counterparts. The BAA fashion department constantly researches the marketplace for brands and concepts which will enhance the current offer, and is always on the look-out for up-andcoming names. “The churn of brands is increasing all the time, with brands falling in and out of favour at a much quicker rate than in the past, and new designers and their collections appearing with a rapidity not seen previously,” observes Curry. “In the past we have not been able to respond to these changes as quickly as department stores or boutiques could, but with the introduction of multi-brand fashion stores like the Harrods store in Terminal 5, we have the chance to work closely with retailers to react to changes in a far more dynamic way.”

Chief among the current trends is a hunger among passengers for more women’s clothing. While in the past the lion’s share of sales has come from menswear and accessories, this is slowly changing. “We are in discussions with several high street retailers who are currently not represented at airports, as well as some existing retailers to develop this category comprehensively,” says Curry. She adds that the biggest growth area within fashion is the leisure market, and that BAA is working very closely with its suppliers to create exclusives and promotions that will tap into the happy spending holiday mindset.

“The potential for the fashion sector to grow is huge,” says Curry, who alludes to the prospect of several high profile new fashion offers from the airport giant in the near-future, “as until recently fashion has been under-represented as a travel-retail category. With the growth of shopping for fashion as a hobby, and with continuing magazine and celebrity endorsement, the interest is very high, and our research shows that our passengers are keen for us to bring much more of the high street to the airport.”

A Touch of Reiss

Among the latest fashion developments at BAA airports was the opening of a 1,188 sq ft Reiss store at Stansted airport last month (May). The assortment in Stansted has been tailored to cater for the unique tastes of frequent flyers and business travellers, and ranges from tailored suits for formal meetings to chic, elegant evening dresses. The Reiss store will provide Stansted passengers with the signature cuts, distinct style and sophistication for which the label is renowned. This latest opening is the third for Reiss. Two years ago it opened its first airport shop – a 108 sq m open-plan store in Heathrow Terminal 3, which led to a much higher-profile opening in Terminal 5 earlier this year. The T5 shop boasts an impressive vaulted ceiling which maintains the lofty, high feeling of the airport architecture, and paves the way for dramatic lighting and merchandising. The brand’s flagship store is located close to Selfridges just off London’s busy Oxford Street.

Reiss’ move onto the airport scene illustrates the brand’s intention to create a global presence and, says head of press Emma Whitehair, it’s a development that is only just beginning. “As we want to establish ourselves as a global brand, we consider it critical that we have representation in key travel hubs,” says Whitehair. “This will ensure that as we enter new markets, there will be a degree of awareness, whether it be from consumers or business partners. Our success at Terminal 3 gave us the confidence to commit to a much larger unit in Terminal 5, which will showcase our brand in a landmark international environment. We have recently opened in Stansted, and we see a real future in expanding in domestic and international airports.”

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Friday 4th, July, 2008

Author: Lisa Phillips

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