Uber Is Damaging The Airport Business
September 7, 2017 in Daily Bulletin
The Economist delved into airport revenues:
- In 2015 airports across the world made 40% of their revenue from “non-aeronautical” services like duty free shopping.
- In America about 20% of airport revenue comes from parking and rental car fees.
- The rise of Uber has meant that fewer people are using these services blowing a hole in airport budgets.
- Some airports have tried to ban Uber but travelers just opt to get dropped off close to the airport to circumvent the ban.
- Airports could try to increase revenues from airport malls but a more frugal demographic has taken to the sky in recent years.
- Travelers from China used to be lavish spenders but a crackdown on corruption has limited spending on expensive gift shopping.
- And anyway, an extended security process leaves precious little time for passengers to spend at airport malls.
Read more on The Economist.
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