Key Findings of 2012 ATRS Global Airport Performance Benchmarking project

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Prof. Tae Hoon Oum, Sauder School of Business, University of British Columbia, Canada Dr. Yapyin Choo, The Air Transport Research Society (ATRS), Prof. Chunyan Yu, Embry Riddle Aeronautical University, Daytona Beach, FL, USA)

ATRS Global Airport Benchmarking Task Force Asia Pacific: P. Forsyth, Xiaowen Fu, Yeong-Heok Lee, Yuichiro Yoshida, Japhet Law, Shinya Hanaoka Europe: Nicole Adler, Jaap de Wit, Hans-Martin Niemeier, Eric Pels North America: Tae Oum, Bijan Vasigh, Jia Yan, Chunyan Yu Middle East: Paul Hooper © Air Transport Research Society (ATRS)

Outline Objective of the ATRS Benchmarking Study Airports Included and ATRS Database Some Characteristics of Sample Airports Methodology Key Results on Efficiency and Costs User Charge Comparisons © Air Transport Research Society (ATRS)

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Objective of the Benchmarking Study  To provide a comprehensive, unbiased comparison of airport performance focusing on  Productivity and Operating/Mgt Efficiency  Unit Cost Competitiveness  Comparison of User Charge Levels  Our study does not treat service quality differentials across airports © Air Transport Research Society (ATRS)

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Airports Included in the 2012 Report Canada-US

77 airports

Europe

55 airports 16 airport groups

Asia Pacific

9 airport groups 35 Asian airports 16 Oceania airports ---------------------------------------------------------Total 183 airports 25 airport groups © Air Transport Research Society (ATRS)

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ATRS Airport Database, 2001-2010  The ATRS Database contains historic information (since FY 2001) including financial data, traffic and capacity data of the major airports and airport authorities (groups) in the following geographic regions:

 Asia Pacific including Oceania; Europe; North America  Limited data on S. America and Africa  The data in each regions is segregated into:

 Traffic statistics and composition  Airport characteristics (capacity, type of ownership etc)  Aeronautical Activities and Revenue  Non-Aeronautical Activities and Revenue  Labor and other Operating Expenses

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Outline Objective of the ATRS Benchmarking Study Airports Included and ATRS Database Some Characteristics of Sample Airports Methodology Key Results on Efficiency and Costs User Charge Comparisons © Air Transport Research Society (ATRS)

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PEK

0 OSL

VIE

CPH

© Air Transport Research Society (ATRS) DCA

YQR

YYT

YQB

YYJ

ALB

RIC

SDF

YW G

OKC

YH Z

TU S

RN O

PVD

BU R

YOW

ON T

AN C

BDL

JAX

ABQ

PBI

YEG

CMH

RSW

IN D

DAL

CVG

SAT

PIT

MSY

SJC

AU S

H OU

SN A

SMF

BN A

RDU

CLE

OAK

MKE

MEM

MCI

STL

YYC

YU L

PDX

TPA

YVR

SAN

MDW

Europe

HNL

SLC

FLL

BW I

IAD

LG A

BOS

PH L

SEA

YYZ

DTW

MSP

EW R

MCO

CLT

MIA

PH X

SFO

LAS

IAH

JFK

DEN

DFW

LAX

ORD

ATL

TLL

LJU

SZG

LU X

BTS

KEF

ZAG

BEG

MLA

SOF

TRN

BSL

CIA

RIX

H AJ

N AP

BU D

LIN

LED

BH X

EDI

W AW

LTN

N CE

CG N

ISG

G VA

TLV

H EL

H AM

LIS

TXL

ATH

ARN

BRU

MAN

DU B

STN

MXP

DU S

Asia Pacific

ZRH

ORY

BCN

LG W

IST

MU C

FCO

AMS

MAD

FRA

CDG

LH R

CEI

DU D

ZQN

N TL

H DY

REP

TSV

PN H

N AN

DRW

GUM

CN X

CN S

MFM

PEN

W LG

CMB

OOL

CH C

H KT

ADL

H AK

NGO

PER

MAA

SU B

XMN

AKL

KIX

G MP

BN E

MN L

TPE

MEL

SZX

BOM

DEL

SH A

N RT

ICN

KU L

SYD

PVG

CAN

BKK

SIN

CG K

DXB

H KG

HND

Passengers Traffic, FY2010 (in ’000 passengers)

100,000

90,000

80,000

70,000

60,000

North America

50,000

40,000

30,000

20,000

10,000

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Passenger Traffic (000)- Top 10 Airports: 2006, 2008, 2010 100,000 90,000 80,000

Asia Pacific

Europe

North America

70,000 60,000 50,000 40,000 30,000 20,000 10,000

2006

2008

ATL ORD LAX DFW DEN JFK IAH LAS SFO PHX

LHR CDG FRA MAD AMS FCO MUC IST LGW BCN

PEK HND HKG DXB CGK SIN BKK CAN PVG SYD

0

2010

© Air Transport Research Society (ATRS)

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Aircraft Movements, 2010 (’000 ATM) 1,000 900 800 700 600 500

Asia Pacific

Europe

North America

400 300 200 100

LAX LAS CVG YYZ SLC SFO DCA FLL PDX SAN SMF BNA DAL ABQ BUR PVD RSW YOW

PEK CGK SIN BOM MNL AKL MAA PER NAN GUM CMB REP HDY CDG AMS IST CPH DUS GVA TXL LIS EDI BHX CRL BSL BEG MLA

0

© Air Transport Research Society (ATRS)

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Passengers per Aircraft Movements, 2010 200

180

160

Asia Pacific

Europe

140

North America

120

100

80

60

40

20

0

© Air Transport Research Society (ATRS)

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Air Cargo Traffic, 2010 (’000 metric tons)

4,500

4,000

3,500

3,000

Asia Pacific

Europe

2,500

North America

2,000

1,500

1,000

500

0

© Air Transport Research Society (ATRS)

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TSV

OOL

SIN

0% BHX

LIN

MXP

% Non-Aero Rev

© Air Transport Research Society (ATRS) Mean

12

ANC

JFK

MEM

STL

LGA

EWR

ORD

IAH

YYZ

MIA

PHL

MDW

MSY

CLE

BWI

PIT

DEN

ONT

LAX

HOU

SEA

IAD

SFO

PDX

BDL

CVG

YOW

DTW

HNL

OAK

BOS

DCA

YHZ

SDF

LAS

YUL

YYT

PVD

Europe

SJC

ABQ

AUS

SMF

YQB

SAN

ALB

CLT

SNA

RSW

YWG

YVR

DFW

YYC

MKE

TUS

SLC

PBI

FLL

SAT

DAL

YQR

IND

MSP

RDU

CMH

YEG

RNO

ATL

MCO

BNA

MCI

YYJ

PHX

BUR

RIC

TPA

OKC

JAX

BEG

HEL

WAW

MAD

BCN

BTS

TXL

DUS

CGN

MLA

BRU

LIS

ISG

EDI

STN

LHR

RIX

MUC

ARN

LGW

SOF

SZG

LJU

HAM

NAP

GVA

60%

MAN

Asia Pacific

ZRH

LTN

TRN

VIE

TLV

ATH

BUD

FCO

CIA

CPH

TLL

AMS

DUB

IST

HAJ

NCE

OSL

ORY

CDG

BSL

FRA

CGK

PEN

KIX

KUL

DRW

SZX

XMN

MAA

CNX

HKT

HDY

BKK

CEI

ADL

PEK

PVG

NRT

GUM

NTL

ZQN

HAK

CHC

WLG

NGO

ICN

SYD

GMP

DEL

BNE

CMB

NAN

MEL

PER

DUD

CAN

AKL

HKG

% Non-Aero Revenue, 2010

80%

70%

North America

50%

40%

30%

20%

10%

Outline Objective of the ATRS Benchmarking Study Airports Included and ATRS Database Some Characteristics of Sample Airports Methodology Key Results on Efficiency and Costs User Charge Comparisons © Air Transport Research Society (ATRS)

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Airport Productivity Index

• • • •

Outputs

Inputs

Aircraft movement Passenger {Cargo tonnes} Non-aeronautical revenue output

• Labour • Other non-capital (soft-cost) input • [Runways, terminal size, # of gates]

© Air Transport Research Society (ATRS)

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Methodology: EFFICIENCY MEASUREMENT Variable Factor Productivity (VFP) Index  Impossible - Total Factor Productivity (TFP) because of capital input cost accounting problem  Unit Operating Cost Competitiveness Index: Combines VFP and Input Price Index

We explored Alternative approaches:  Data Envelopment Analysis (DEA)  Econometric Cost Function Approach including Stochastic Frontier methods Note: Industry acceptance of our report using more advanced/sophiscated methods is one of our major concern

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Multilateral Aggregation Method • This multilateral output (input) index procedure uses the following revenue (cost) shares to aggregate output (inputs).

© Air Transport Research Society (ATRS)

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Outline Objective of the ATRS Benchmarking Study Airports Included and ATRS Database Some Characteristics of Sample Airports Methodology Key Results on Efficiency and Costs User Charge Comparisons © Air Transport Research Society (ATRS)

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Outline Objective of the Benchmarking Study Airports Included Methodology Key Results on Efficiency and Costs Airport User Charge Comparisons Effects of Business Strategies Conclusions 18

Gross Variable Factor Productivity (VFP) Asia (HKG=1.0), 2010 1.2

Airport Groups

Airports 1

0.8

Mean

Mean 0.6

0.4

0.2

© Air Transport Research Society (ATRS)

MAHB

AOT

AAI

APII

KAC

CMB

NGO

KIX

PEN

KUL

DEL

NRT

SZX

BKK

PVG

HDY

HKT

CNX

PEK

XMN

GUM

HAK

CGK

SIN

CAN

HKG

ICN

GMP

0

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Potential Reasons for the Measured Productivity (gross VFP) Differentials Factors Beyond Managerial Control: • • • • • • •

Airport size (Scale of aggregate output) Average aircraft size using the airport Share of international traffic Share of air cargo traffic Extent of capacity shortage - congestion delay Connecting/transfer ratio [2010 Iceland volcano ash cloud (For European airports)]

We compute residual (Net) variable factor productivity (RVFP) measures after removing effects of these Factors © Air Transport Research Society (ATRS)

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Gross Variable Factor Productivity vs Residual VFP: Asia (HKG=1.0), 2010 1.2

1

0.8

0.6

0.4

0.2

0

Gross VFP

Residual VFP

© Air Transport Research Society (ATRS)

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KAC

MAHB

AOT

APII

CMB

NGO

KIX

0.4

PEN

NRT

KUL

SZX

DEL

PVG

PEK

AAI

Airport Groups

XMN

HKT

CNX

HDY

HAK

CGK

Airports

BKK

0.6

GUM

SIN 0.8

CAN

Gimpo, Incheon, Hong Kong

HKG

1.0

ICN

1.2

GMP

Residual (Net) Variable Factor Productivity: (after removing factors beyond managerial control ) : Asia (HKG=1.0)

0.2

0.0 Residual VFP

Mean

© Air Transport Research Society (ATRS)

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Residual (Net) Variable Factor Productivity APAC

Airport Groups

AKL

BNE

CHC

ADG

CHC

DRW

NAN

ADL

WLG

ADL

0.6

NAN

NTL

PER

BNE

MEL

Sydney, Queenstown

AKL

MEL

DUD

0.8

Airports DRW

DUD

ZQN

SYD

1

Oceania (SYD=1.0)

QAL

1.2

0.4

0.2

0 SYD

ZQN

PER

Residual VFP

NTL

WLG

APAC

QAL

ADG

Mean

© Air Transport Research Society (ATRS)

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Residual (Net) Variable Factor Productivity:

0.6 0.5 0.4

Airport Groups

TAV

0.7

Airports

ANA ADR Avinor Swedavia BAA DAA ADP MAG AENA Finavia Fraport SEA Berlin

0.8

Schiphol

0.9

Copenhagen, Oslo, Zurich AMS MAD FCO BCN ARN STN DUB MAN LGW ORY MXP VIE MUC LHR FRA DUS

1

CPH OSL ZRH ATH IST BRU CDG

Europe – Passengers > 15 million ( CPH=1.0)

0.3 0.2 0.1 0 Residual VFP

Mean

© Air Transport Research Society (ATRS)

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Net Variable Factor Productivity:

SOF

BTS

CGN

BEG

0.3

LIN

0.4

WAW

TXL

HAM

HEL

BUD

SZG

MLA

RIX

0.5

TRN

TLV

NAP

LJU

0.6

TLL

ISG

LTN

HAJ

BSL

BHX

CIA

LIS

0.7

Geneva, Nice, Edinburgh EDI

0.8

NCE

0.9

GVA

Europe – Passengers < 15 million ( CPH=1.0)

0.2 0.1 0 Residual VFP

Mean

© Air Transport Research Society (ATRS)

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Net Variable Factor Productivity: N. America – Passengers > 15 million (YVR=1.0) 1.4

MIA

0.4

0.2

0 Residual VFP

Mean

© Air Transport Research Society (ATRS)

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DEN

LAX

ORD

BWI

DFW

IAH

IAD

LAS

DCA

0.6

SAN

DTW

PHL

EWR

MDW

JFK

BOS

SLC

LGA

SEA

HNL

SFO

FLL

TPA PHX

0.8

MCO

1

YVR

MSP

1.2

CLT

ATL

Atlanta, Charlotte, Minneapolis/St Paul

Residual (Net) Variable Factor Productivity: N. America – Passengers < 15 million (YVR=1.0)

0.6

YQB

0.8

SNA PBI YEG YQR TUS MKE DAL PDX YYJ YOW IND YYT PVD RSW ABQ CMH MEM OAK SMF YWG MSY SJC YHZ SAT MCI AUS ALB BUR CVG YUL ANC SDF HOU ONT PIT CLE STL

1

Raleigh-Durham, Richmond, Oklahoma City

OKC RNO YYC BNA JAX

1.2

RDU RIC

1.4

0.4

0.2

0 Residual VFP

Mean

© Air Transport Research Society (ATRS)

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Top Efficiency Performers (2012)

(based on Net VFP index=operating/management efficiency) Asia Pacific: • Asian Airports: • Gimpo, Incheon, Hong Kong • Oceania Airports: • Sydney, Queenstown Europe: • Large Airports (> 15 million pax): • Copenhagen, Oslo, Zurich • Small/Medium Airports (< 15 millions Pax): • Geneva, Nice, Edinburgh North America (Canada/US): • Large Airports (> 15 million pax): • Atlanta, Charlotte, Minneapolis/St Paul • Small/Medium Airports (< 15 millions Pax): • Raleigh-Durham, Richmond, Oklahoma City © Air Transport Research Society (ATRS)

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Top Efficiency Performers (2012)

(based on Net VFP index=operating/management efficiency) Asian Airport Category:

Gimpo International Airport GMP

Mean

Labour Productivity (HKG=1.0)

0.538

0.343

Soft Cost Productivity (HKG=1.0)

1.240

0.963

Residual VFP (HKG=1.0)

1.133

0.631

Runner up: Incheon International Airport © Air Transport Research Society (ATRS)

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Top Efficiency Performers (2012)

(based on Net VFP index=operating/management efficiency) Oceania Airport Category:

Sydney Airport SYD

Mean

Labour Productivity

1.000

0.548

Soft Cost Productivity

1.000

0.684

Residual VFP

1.000

0.695

Runner up: Queenstown Airport © Air Transport Research Society (ATRS)

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Top Efficiency Performers (2012)

(based on Net VFP index=operating/management efficiency) Europe Large Airports (> 15 million pax) Category:

Copenhagen Airport Kastrup CPH

Mean

Labour Productivity

1.000

1.263

Soft Cost Productivity

1.000

0.439

Residual VFP

1.000

0.660

Runner up: Oslo Airport © Air Transport Research Society (ATRS)

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Top Efficiency Performers (2012)

(based on Net VFP index=operating/management efficiency) Europe Small/Medium Airports (< 15 million pax) Category:

Genève Aéroport GVA

Mean

Labour Productivity (CPH=1.0)

1.375

1.263

Soft Cost Productivity (CPH=1.0)

0.580

0.439

Residual VFP (CPH=1.0)

0.844

0.541

Runner up: Nice Cote D’Azur Airport © Air Transport Research Society (ATRS)

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Top Efficiency Performers (2012)

(based on Net VFP index=operating/management efficiency) N. America Large Airports (> 15 million pax) Category:

Hartsfield-Jackson Atlanta International Airport ATL

Mean

Labour Productivity (YVR=1.0)

1.546

0.553

Soft Cost Productivity(YVR=1.0)

1.481

0.875

Residual VFP (YVR=1.0)

1.251

0.712

Runner up: Charlotte Douglas International Airport © Air Transport Research Society (ATRS)

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Past Airport Efficiency Excellence Top Performers, 2007 - 2011 2007 2008 2009 2010 2011 North America

Europe

AsiaPacific

Hartsfield-Jackson Atlanta International Airport

Oslo Airport

Hong Kong International Airport

Hartsfield-Jackson Atlanta International Airport

Copenhagen Kastrup International Airport

Hong Kong International Airport

Hartsfield-Jackson Atlanta International Airport

Hartsfield-Jackson Atlanta International Airport

Hartsfield-Jackson Atlanta International Airport

Copenhagen Kastrup International Airport

Large Airport Category: Oslo International Airport Small/Medium Airport Category: Geneva Cointrin International Airport

Large Airport Category: Oslo International Airport Copenhagen Kastrup International Airport Small/Medium Airport Category: Genève Aéroport

Hong Kong International Airport

Large Airport Category: Hong Kong International Airport Small/Medium Airport Category: Seoul Gimpo International Airport

Asian Airport Excellence Award: Hong Kong International Airport Oceania Excellence Award: Sydney Airport

Cost Competitiveness: = Net VFP and Input Price Effect Asia (HKG=0.0) – the higher the better

MAHB

AOT

KAC

APII

AAI SIN

KUL

PEN

BKK

SZX

PVG

PEK

ICN

CMB

HKT

CNX

HDY

DEL

GMP

XMN

Airports

Airport Groups

GUM

-0.4

CAN

-0.2

HKG

0

HAK

0.2

CGK

0.4

-0.6 -0.8

-1.2

Airports Authority of India, Jakarta Soekarno-Hatta

NGO

-1

-1.6 Cost Competitiveness

KIX

NRT

-1.4

Mean

© Air Transport Research Society (ATRS)

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0.4

IST

Cost Competitiveness = Net VFP and Input Prices Effect Europe – Passengers > 15 million (CPH=0.0)

-0.4

-0.8

Cost Competitiveness

MAD

BCN

-0.6

ANA MAG ADR Schiphol Fraport TAV Swedavia BAA DAA SEA AENA ADP Berlin Finavia Avinor

-0.2

MAN BRU FCO STN AMS LGW ARN ZRH OSL MXP DUB FRA VIE LHR DUS ORY MUC CDG

0

CPH

0.2

ATH

Istanbul Ataturk, Athens

Mean

© Air Transport Research Society (ATRS)

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Cost Competitiveness = Net VFP and Input Prices Effect Europe – Passengers < 15 million (CPH=0.0)

BUD

BSL

Tallinn, Riga LJU

0.1

SOF

0.2

RIX

TLL

0.3

-0.6

Cost Competitiveness

GVA

CGN

HEL

SZG

TLV

LIN

TXL

-0.5

HAM

-0.4

TRN

MLA

NAP

-0.3

HAJ

-0.2

NCE

CIA

ISG

WAW

LTN

EDI

BEG

BHX

-0.1

BTS

LIS

0

Mean

© Air Transport Research Society (ATRS)

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Cost Competitiveness = Net VFP and Input Price Effect N. America – Passengers > 15 million (YVR=0.0) 1

MIA

SFO

LAX

BOS

IAD

PHL

EWR

-1

DEN

ORD

MDW

SAN

DCA

BWI

HNL

DTW

SEA

DFW

-0.5

LAS

IAH

YVR

FLL

PHX

MCO

TPA

ATL

MSP

SLC

0

CLT

0.5

Charlotte, Atlanta

LGA

JFK

-1.5

-2 Cost Competitiveness

Mean

© Air Transport Research Society (ATRS)

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Outline Objective of the ATRS Benchmarking Study Airports Included and ATRS Database Some Characteristics of Sample Airports Methodology Key Results on Efficiency and Costs User Charge Comparisons © Air Transport Research Society (ATRS)

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0

Landing Charges for Boeing 767 CLT ATL RDU SLC FLL RIC BNA MEM SAT PBI TUS JAX PHX MSY SAN TPA MCO PHL ANC IND MCI SDF MIA HOU SNA MSP ABQ ONT SJC LAS ALB IAH OKC RSW RNO SEA OAK YVR AUS PDX MDW IAD DCA BDL CLE YQR DEN CVG DFW YOW PVD DTW HNL YEG SMF PIT CMH BWI LAX YHZ YYC YWG BOS ORD YUL SFO JFK Off Peak JFK Peak YQB STL EWR Off Peak EWR Peak LGA Off Peak LGA Peak YYZ

Asia Pacific

DUS STN-off peak ARN LTN BRU STN-peak MLA LGW-off-peak FRA BSL-FR sector RIX TRN MUC FCO NAP MXP LUX LIN CIA LIS BSL-CH sector IST VIE HAM GVA KEF EDI MAN-peak MAN-offpeak TXL SOF-offpeak HEL CPH LED NCE CGN SOF-peak ZRH MAD HAJ BUD TLL CDG ORY BCN TLV ATH BEG OSL AMS LHR WAW BHX ZAG LGW-peak BTS LJU SZG DUB

2,000

KUL GUM DXB CMB SUB BKK CEI CNX HDY HKT CGK MNL PNH REP BOM DEL MAA CAN HAK PEK PVG SHA SZX XMN TPE DUD MFM ICN GMP HKG ZQN PER SIN NAN WLG AKL NTL TSV OOL NTL-Night SYD NGO NRT DRW KIX HND

US$

Landing Charges

for Boeing 767-400, 2011 (in US$)

7,000

6,000

5,000

4,000

3,000

Europe North America

1,000

Mean

© Air Transport Research Society (ATRS) 40

Asia Pacific: Combined Landing and Passenger Charge for Boeing 767, 2011 (in US$) 14,000

KIX

Lowest charges: Kuala Lumpur Low Cost Carrier Terminal, Dunedin (New Zealand) Highest charges: Nadi (Fiji), Kansai

CNS SYD BNE BNE-PEAK NRT-1N NRT-1S NRT-2 NGO HND AKL

16,000

NAN

18,000

US$

10,000 8,000 6,000 4,000 2,000

KUL-LCCT DUD TPE HKG BOM DEL MAA GUM SIN-LCCT KUL CMB MNL MFM CAN HAK PEK PVG SHA SZX XMN SIN SUB GMP CGK PER ZQN DXB ICN ADL WLG CEI CNX HDY HKT BKK MEL TSV PNH REP NTL OOL DRW NTL-Night

12,000

0 Combined Landing and Passenger Charges for Boeing 767

© Air Transport Research Society (ATRS)

Mean

41

RIX LUX

US$ 10000

8000

6000

4000 MAN-offpeak NAP CIA KEF ARN FCO - T1, T2 TLL BSL-FR sector CGN GVA STN-off peak MAN-peak LTN HEL STN-peak CPH - LCCT FCO OSL BCN BUD - LCC T1 TRN LIN MXP NCE LGW-off-peak CPH IST BSL-CH sector EDI DUS SOF-offpeak MAD HAM HAJ SOF-peak MLA LIS TXL LJU VIE LED BUD BRU BEG - T1 MUC BHX AMS DUB TLV - T1 FRA ATH LGW-peak ZAG SZG BEG WAW ZRH BTS ORY CDG

12000 TLV

14000

Lowest charges: Riga, Luxembourg Highest charges: London Heathrow, Ben Gurion (Tal Aviv)

Combined Landing and Passenger Charges for Boeing 767

© Air Transport Research Society (ATRS)

LHR

Europe: Combined Landing and Passenger Charge for Boeing 767, 2011 (in US$) 16000

2000

0 Mean

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North America: Cost per Enplaned Passenger, 2010 (in US$) YYZ

Canada: Lowest CPE: Victoria, Regina Highest CPE: Toronto, Montreal

35

JFK

30

10

5

YUL YHZ YOW YVR

LGA MIA PIT YYJ YQR YEG YWG YYC YQB YYT

15

BUR DAL ATL SLC MEM MCI PHX TPA JAX SAT MSP BNA MKE FLL MCO RIC OKC RDU DFW SAN SDF RNO TUS CMH PBI LAS ALB RSW HOU CVG AUS BDL DTW ABQ PHL MDW ANC OAK BWI MSY SNA HNL LAX IAH PVD IND SJC SEA SMF PDX DEN CLE DCA ONT BOS ORD IAD SFO STL

$US

20

United States: Lowest CPE: Bob Hope, Dallas Love Field Highest CPE: New York JFK, Newark Liberty

EWR

25

0

© Air Transport Research Society (ATRS)

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Effects of Business Strategies  Diversification of Revenue Source is Good – Airports with larger share of non-aeronautical revenue achieve higher efficiency (Net VFP)

 Outsourcing improves efficiency  Airports contracting out various services to outside operator achieve higher efficiency  Outsourcing terminal operations improve efficiency 44

ATRS Airport Benchmarking Report  The ATRS Global Airport Performance Benchmarking Report : 3 volumes, over 600 pages of valuable data and analysis.  Can be purchased by visiting www.atrsworld.org  Report sale finances our annual benchmarking research project © Air Transport Research Society (ATRS)

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Thank You

2013 ATRS World Conference (Bergamo, Italy in late June, 2013)