TOP 10 AIRPORTS: PARIS CHARLES DE GAULLE 7 “I


Paris CDG projects postponed, but ‘absolutely not cancelled’, says ADP


Groupe ADP Chief Retail Officer, Aude Ferrand tells Charlotte Turner that 2019 was a very good year for travel retail in Paris and while Covid-19 has obliterated 2020 sales targets, the airport operator remains focused on its major retail projects; even if they have been slightly postponed.


’d love to keep my 2019 figures for many years,” says Groupe ADP’s Chief


Retail Officer, Aude Ferrand. “I’m now not sure if they are going to get back to those levels before 2024 [as a result of the Covid-19 pandemic], but they were great figures.” Ferrand insists that 2019 ‘was a very


good year for travel retail in Paris’ and the company’s 2019 financial statement certainly confirms that. The revenue from retail and


services, which includes both Charles de Gaulle and Paris Orly airports, grew by +50.6% to €1,505m/$1,721m. “But this big increase was due to a change of integration with our JVs SDA and Relay@ADP,” explains Ferrand. Groupe ADP owns Paris CDG


and Orly airport and is involved – whether it be through management, minority or majority stake or as an operator – in 22 other airports around the world. Revenue from retail activities


at CDG and Orly consists of rents received from airside and landside shops, bars and restaurants, banking and foreign exchange activities, and car rental companies, as well as revenue from advertising. The retail and services figure now


includes revenue from Société de Distribution Aéroportuaire (SDA) and Relay@ADP [both are retail joint ventures with Lagardère – Ed] which Groupe ADP fully consolidated in April 2019. It also includes revenue linked to SDA’S ‘affiliate commission activities’ and that received from its tax refund service delivery. Revenue from retail activities alone


reached €970m/$1,109m, of which SDA represented €628m/$719m, +6.8% year on year. According to Groupe ADP’s


AUGUST 2020 financial statement, SDA’s


performance was in line with projections, boosted by traffic growth of 5.4% to 76.2m at Paris Charles de Gaulle (-3.8% at Paris Orly). However, SDA’s fashion boutiques were apparently adversely affected by works that were taking place at CDG’s luxury hub, Terminal 2E Hall L, and therefore revenue grew at a slower pace of 6.2%. Revenue from Relay@ADP activities reached €78m; rents from other shops and bar and restaurants contributed €166m. Finally, ‘other retail activities’, including foreign exchange and tax refund activities, decreased by 15.6%, to €41m.


72 new openings in 2019 TRBusiness estimates that total duty free and travel retail sales at Paris Charles de Gaulle Airport alone rose almost in line with traffic to reach approximately $860m (€752m) in 2019. “Last year the revenue per


passenger reached €22.3 which included retail and F&B,” reveals Ferrand. “If we look at only retail it was €19.7.” Revenue per passenger (RPP) was


no doubt boosted by the new outlets which opened during the course of the year; 72 in total across CDG and Paris Orly Airport, increasing the total to 422 stores.


“So we now have around 65,308 sqm of commercial space between Orly and Charles de Gaulle, with food and beverage comprising 25,000sq m,” confirms Ferrand. Whilst in 2019 CDG was blessed


with another year of traffic growth (+5.4%), which drove RPP the picture for 2020 is tragically incomparable as Covid-19 swept across France with frightening efficiency. The RPP target of €25.5 by 2021 first revealed to TRBusiness in an exclusive interview with Mathieu Daubert (ADP’s Director of the Customer Division) in 2018, is now considered to be out of reach. “This will obviously need to be


revised, but today is too early to say by how much,” says Ferrand. “We really need to see how we finish up this year. “The various traffic experts are not aligned on forecasts at the moment,


“Of course we had to review our investments, but our main projects, which are Terminal 2B-2D in CDG and the future flagship of T1 have been slightly postponed, but absolutely not cancelled.”


Aude Ferrand, Chief Retail Officer, Groupe ADP


TRBUSINESS 37


Above: Paris Charles de Gaulle Airport has reopened its luxury outlets in Terminal 2.


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