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The Surprising Spending Habits of People Stuck in Airports

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Old Jan 23, 2014, 2:43 pm
  #31  
 
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It still irks me that when I stroll through a terminal and find places that are national chains, with national promotions going on, they don't honor them.

Yes, Subway in BWI, I'm looking at you with your $5 foot longs costing $6.
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Old Jan 23, 2014, 6:36 pm
  #32  
 
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Originally Posted by ohange
It still irks me that when I stroll through a terminal and find places that are national chains, with national promotions going on, they don't honor them.

Yes, Subway in BWI, I'm looking at you with your $5 foot longs costing $6.
And what do you think that Subway pays in rent and fees compared to a Subway in a strip mall? I forgive (to a degree) airport versions of regular restaurants - they operate in a completely different environment. For example, I'll bet that their supply costs are are higher due to TSA requirements and also their staffing costs are higher...
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Old Jan 24, 2014, 4:05 am
  #33  
 
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Yeah, it's usually the airport rent and security costs that drive the higher prices.
In the UK however, airport branches of national chains seem to charge the same as they do on the street. It wasn't always so.
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Old Jan 24, 2014, 8:54 am
  #34  
 
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It seems that we are in the minority here. If we do have a layover of 2 hours or more, I'd rather get a meal at a "sit down" restaurant than snack on the plane. Eating on a plane doesn't sit well with me (and the food is pretty horrible). We also like to have cocktails before a flight even though they are expensive. Of course, we are flying strictly for vacation so we're in a pretty good mood and not heading to a meeting. Someone also asked "who uses the seafood and champagne bars?... we have also done that - caviar and vodka bars, raw oyster bars, etc. I roll that into the price of our vacation and it's rather fun. It's better than sitting like lump in the airport waiting for the flight. Of course, on a really long layover we will use the appropriate lounge and relax.
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Old Jan 24, 2014, 12:16 pm
  #35  
 
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Originally Posted by nonstarter
Elway's has four total restaurants, including one at the Ritz-Carlton, Denver and at The Lodge in Vail.
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Old Jan 24, 2014, 12:32 pm
  #36  
 
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Last edited by Nimrod1965; Dec 29, 2016 at 3:29 am
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Old Jan 24, 2014, 12:51 pm
  #37  
 
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I am already carrying snacks for myself, and carry a 24-oz empty soda bottle for filling with cold water after getting through security, plus I always have at least one book readily available, and my smartphone to play games or such.
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Old Jan 24, 2014, 3:23 pm
  #38  
 
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Originally Posted by ohange
It still irks me that when I stroll through a terminal and find places that are national chains, with national promotions going on, they don't honor them.

Yes, Subway in BWI, I'm looking at you with your $5 foot longs costing $6.
And yet BWI has signs all over the place (at least as of early December, the last time I was through there) highlighting that its F&B outlets charge the same prices as outside the airport. I hadn't noticed the Subway discrepancy before.
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Old Jan 24, 2014, 6:53 pm
  #39  
 
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Given that the rent per square foot for airport retail space is 10X (or more) the going rate at your average strip mall, and who gets the space is determined by a bidding system, I would say that airport retail is a highly lucrative business to be in.

Every time I've been to ORD, the McD's in the AA terminal has a line at least 10 people long. At $5/customer and 100+ customers/hour for 18 hrs a day, thats more than $10K in sales, 365 days a week.
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Old Jan 24, 2014, 7:50 pm
  #40  
 
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Originally Posted by grimjack2k
And what do you think that Subway pays in rent and fees compared to a Subway in a strip mall?
Don't know and don't care. I always assume that the super-high prices are due to the typical airport price gouging.

All I know is that outside the airport, where I have the choice of dozens of restaurants, Subway/McDonalds/etc. are pretty much the last places I would choose to eat. The one time I would consider eating there is when I'm running between flights and my choices are limited to those few restaurants that are open in the terminal. Then I go looking for the Dollar Menu I've seen advertised on TV -- and find that there isn't one!
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Old Jan 24, 2014, 9:51 pm
  #41  
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Originally Posted by mikew99
Then I go looking for the Dollar Menu I've seen advertised on TV -- and find that there isn't one!
You won't find a lot of $5 footlongs airside either.
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Old Jan 25, 2014, 8:18 am
  #42  
 
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I have to admit I'm not normally a fan of eating at airports particularly before a TATL in Y back to Europe as I try to catch the late flights and want to (try) sleep... But I have eaten at Ramsey's place at T5 LHR and was impressed. I also figured I ought to try a deep dish pizza at ORD while passing through before heading to the lounge. In Asia or T3 LHR, CX normally has good dim sum and noodle bars which suit me.
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Old Jan 25, 2014, 8:52 am
  #43  
 
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Originally Posted by ceverett
Given that the rent per square foot for airport retail space is 10X (or more) the going rate at your average strip mall, and who gets the space is determined by a bidding system, I would say that airport retail is a highly lucrative business to be in.

Every time I've been to ORD, the McD's in the AA terminal has a line at least 10 people long. At $5/customer and 100+ customers/hour for 18 hrs a day, thats more than $10K in sales, 365 days a week.
Now that is maximizing revenues. Most retailers operate on only a 7 day week.
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Old Jan 25, 2014, 9:07 am
  #44  
 
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The figure on non-food spending is particularly surprising. I wonder how the high-end watch stores, electronics stores, etc - or duty free - are able to stay in business, if they're included in the "gift shop" category.
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Old Jan 28, 2014, 7:56 am
  #45  
 
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Rent higher in an airport?

I'm not sure it's higher for Subway in BWI per sq ft than it is in the suburban upscale mall food courts. I believe it's more about capitalizing on a captive audience with fewer choices.

If I'm at the mall, I can just wait til I get home and eat my own food. If I'm at the airport, I'm likely not getting home anytime soon.

Plus, they have to factor in that some double-digit percentage number are business travelers who will be turning in the receipt anyways.
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