SINGAPORE. Changi Airport Group has launched a series of initiatives to drive retail spend at Singapore Changi Airport. These include the creation of a new “˜Be A Changi Millionaire’ prize draw and the extension of GST-absorbed shopping to airport terminals 1 and 2.
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The new ‘Be A Changi Millionaire’ promotion aims to drive footfall and spend at the airport |
The “˜Be A Changi Millionaire’ Draw will see one Changi shopper or diner become a Singapore Dollar millionaire at the start of 2011. The promotion, which kicks off on 1 June 2010, offers a Grand Prize of S$1 million in cash. In addition 188 other winners will win cash prizes totalling more than S$200,000.
To qualify for the draw passengers and visitors need to shop or dine at Changi Airport, with a minimum spend of S$60. The number of chances increases with the amount spent. Additional chances are given to “˜Changi Rewards’ members or those who pay with Visa cards. Purchases made in both the public and the transit areas of Changi Airport qualify for the draw. The qualifying period is 1 June to 30 November 2010.
The “˜Be A Changi Millionaire’ promotion will also see a daily prize of S$1,000 given over the 183 days of the qualifying period. After the close of each month, a monthly draw will be conducted to shortlist one finalist for participation in the Grand Draw. Apart from the chance to win S$1 million, the finalists will win S$5,000 in cash, plus a three day/two night stay in a luxurious hotel in Singapore, with airfare provided for non-Singapore residents.
From the six monthly finalists the Changi Millionaire will be selected in a Grand Draw which will take place at the airport in January 2011.
Changi Airport Group Executive Vice President Commercial Lim Peck Hoon said: “We are extremely excited about “˜Be A Changi Millionaire’. Combining the pleasures of shopping and dining with the chance of winning one million dollars will appeal to many. This campaign is yet another example of CAG supporting our retail concessionaires and providing more value to our guests. It will serve to strengthen Changi Airport’s position as one of the world’s most attractive and vibrant airports for shopping and dining.”
“˜Be A Changi Millionaire’ is co-sponsored by CAG and Visa Worldwide.
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The GST-absorbed shopping drive is extended from T3 (pictured) to terminals 1 and 2 |
GST-absorbed shopping goes airport wide
In another move to drive commercial spend, Changi’s GST-absorbed shopping programme, “˜Flying Or Not, You Shop We Absorb’ – currently applicable only at Terminal 3 – has been extended to T1 and T2.
Under this programme over 40 retail stores, representing over 80% of the retail outlets located in Changi Airport’s public areas, will absorb the Goods and Services Tax on all purchases made at their stores. The stores include Candy Empire, Carlo Rino, Chomel, Eu Yan Sang, Mini Toons, Swatch, SK Jewellery, Samsonite and Watsons.
Seizing the commercial opportunity
Changi Airport Group underlined the key role of non-aeronautical revenues, and of creating a buzz around retail activities, both for travellers and for locals.
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Singaporeans top the Changi spending league, with liquor, tobacco and beauty among the key categories |
The group said: “Concession sales at Changi Airport have been improving in tandem with the turnaround in passenger and flight numbers [passenger numbers rose by +15.5% in the first four months -Ed]. For the last quarter of 2009 concession sales rose by +6.2% year-on-year. This improved to a healthy +15.9% increase year-on-year for the January-April 2010 period.
“As part of its strategy to grow its non-aeronautical revenue, CAG believes in creating a conducive retail environment for concessionaires and working closely with them to boost the attractiveness of Changi as a shopping destination. To this end, shopping promotions play an anchor role in creating buzz and excitement among travellers at Changi, as well as in drawing local footfall to Changi’s terminals.”
The company claimed that such promotions aided concessionaires during a challenging 2009. “For instance, footfall to the B2 Mall at Terminal 3 has more than doubled in the past year. Programmes and activities launched earlier this year are helping concessionaires ride the recovery and capitalise on the growth opportunities.”
In March the airport group launched “˜Changi Rewards’, a programme which rewards customers for every dollar they spend at Changi. In two months following the launch of the programme more than 12,000 people have signed up and collected their “˜Changi Rewards’ cards, and there were more than 2,900 redemptions for Changi Vouchers.
Last month also saw the launch of “˜Let’s Do Lunch’ – a dining promotion in the public areas of Changi targeted at local residents and those who work near the airport. Under this promotion 22 dining establishments offered weekday set lunches at a rate of S$10.
Ms Lim noted: “As a responsible and proactive landlord, one of our goals is to create an attractive and retail-friendly environment at Changi Airport to support our concessionaires. Our latest “˜Be A Changi Millionaire’ campaign and GST-absorbed shopping programme are good examples of innovative and dynamic promotions and onsite activities that we have designed to create awareness, boost spending at our concessions, as well as draw footfall to the airport. We are confident that these latest initiatives will enable us to continue to improve Changi’s retail performance.”
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Non-aeronautical activities accounted for 55% of Changi Airport Group’s revenues in 2008/09 |
The airport also revealed its key spending groups by nationality and region in 2009. These were (in order of value spend) Singapore, China, the European Union, India and Indonesia. The most popular items by value sales were liquor and tobacco, perfume and cosmetics, and luxury branded goods. Non-aeronautical activities accounted for 55% of Changi Airport Group’s revenues in 2008/09.
The company is pressing ahead too with its upgrading works – at T1 initially, but also at the other terminals. At T1, concessions space is being increased by +20% under the current works programme, with leasing opportunities becoming available on a phased basis.
Changi Airport Group also plans to expand concessions space in the transit and public areas of T2 and T3 over the next one to two years, adding around 3,500sq m in total.
