Denver International Airport managers want to turn a walk through the airport into a Colorado experience.
DIA’s concourses are now lined with the likes of McDonald’s, Hudson Booksellers and Panda Express, the same kinds of restaurants and stores that can be found in hundreds of other places across the nation.
But travelers may be more likely to spend their money at the airport if they think they are getting something uniquely Colorado.
“You have to have something really compellingly interesting to get (customers) to walk through the door,” said Jon Schallert, a retail consultant with offices in Longmont and Florida. “If they walk by and see a Gap or some chain, it’s easy to say, ‘I don’t have time now. We’ll do that at the mall at home.”‘
In Denver, the average passenger spends $7.22 on concessions. Average among the nation’s top 50 airports was $7.05, according to Airport Revenue News.
In an effort to encourage passengers to spend more, DIA managers are focusing on homegrown businesses as they award new leases for airport concessions and are encouraging existing retailers to adopt a more regional feel in their designs and offerings.
“If you step into the terminal in Denver, if you didn’t know that tent roof was in Denver, you could be in a lot of places. (Now) you don’t feel like you’re in Denver, Colorado,” said DIA spokesman Chuck Cannon. “The whole idea is to generate that kind of feeling.”
In April, two Colorado-based companies will debut on Concourse B. Lakewood-based Heidi’s Brooklyn Deli will open a sandwich shop, and a restaurant and bar called New Belgium Hub will showcase Fat Tire and other craft brews.
“This is the first time we’ve ever done this,” said New Belgium’s chief branding officer Greg Owsley. “So many breweries have launched little faux brew pubs in various airports across the country, and we’ve always been sort of turned off by them.”
Concessions International, which will operate the restaurant with New Belgium as a supplier, “showed real enthusiasm for some of our whimsical business practices” for the restaurant and bar, Owsley said.
Airports began focusing more on national brands more than a decade ago and have done well, said Anthony Joseph, president of Atlanta-based Concessions International. But in recent years, the tide has shifted to more regional and local brands.
They can promote the region, differentiate the airport and give “an overall better experience for the travelers,” Joseph said. They can also boost airport and concessionaires’ revenues.
California business traveler Norm Hull passes through DIA frequently enough to have formed an opinion about it. It doesn’t give travelers “a flavor of Denver,” he said.
Iconic local retailers such as Cry Baby Ranch, Tattered Cover and Rockmount Ranchwear would do just that, Schallert said. But adding them isn’t easy.
Oregon-based Nike and Powell’s bookstore operate popular stores in Portland International Airport, but local operators experience special challenges, said Scott Kilgo, Portland’s concessions development manager.
Airport retail operations typically cost more to lease and build out than a typical store, and require more staffing for longer hours. Employees who work on the concourses must pass through security, and equipment deliveries must be scheduled only at certain times because of security requirements.
The payoff comes in the form of high sales volumes, Kilgo said. Portland conducts extensive outreach to local retailers to sell them on the idea of locating there.
DIA restaurant operator Rod Tafoya acknowledged that small businesses have a difficult time competing with the purchasing and advertising power of large national companies. They must also work harder to identify themselves as established businesses.
“Even if it’s not a brand you’re familiar with, you can tell if it’s a brand or not,” Joseph said.Translating one restaurant into a second location can be difficult, and “you may pay in quality.”
Roxanne Thurman, owner of Cry Baby Ranch in Larimer Square, said she considered opening a location at DIA when the airport was first being developed. She attended meetings for potential retailers.
“I felt strongly about being there,” she said but decided the commute between her home and DIA was too far. “Now, after 9/11, I’m glad I’m not there.”
Thurman said she wouldn’t rule out an airport location in the future but would want to thoroughly understand security requirements and other restrictions before making the leap.
Joyce Meskis of the Tattered Cover said she also considered a store at DIA in the airport’s early days but decided her business wasn’t at the right stage for growth.
“It’s something we would certainly look at down the line,” Meskis said, “but it’s not something we’re seeking out.”
Staff writer Kelly Yamanouchi can be reached at 303-954-1488 or kyamanouchi@denverpost.com.
Staff writer Kristi Arellano can be reached at 303-954-1902 or karellano@denverpost.com.
