FRANCE. At over €500 million in sales (FY2022), the French market is the largest in the Areas group through the company’s long history there, and today spans airports, rail, motorways and leisure centres. Indeed, in food & beverage, Areas is the only major player with a presence in all four of these channels in France today.
The company manages operations at 150 locations across almost 540 points of sale. Staff numbers of around 5,500 people – 6,000 in the peak summer season – also point to Areas’ vast reach in this key market. So too does the breadth of brands represented, from international names such as McDonald’s and Starbucks to French brands as Paul including Areas’ own brands and private label names.
The company’s recovery from the pandemic is now complete in sales terms, notes CEO France Yves Lacheret, in all channels except for airports. “We still see some volumes lagging at provincial airports in France,” he says, “but the expectation is for a return to normal in 2024/2025.
“There has been an impact from the lack of Chinese travellers at airports, the slower recovery of business travel, plus there have been some regulations to encourage regional travel away from airports towards high-speed rail, all of which we see in the figures.”
On the other hand, the boom in leisure travel and low-cost travel – both in air and rail – has been encouraging. That trend has had a knock-on effect on consumers and consumption trends.
Lacheret says: “We have to adapt and change the offers because the consumer has changed where relevant. The consumer flying for business is driving with their family the week after. You need agility. That may mean more grab & go, more vegetarian, and there is a remaining footprint from COVID in how people think about hygiene and health when it comes to the food offer.
“The paradox is that one might imagine that people saving on their plane ticket will try to save on their spending at the airport, but that is not true in food. More than ever, they want to treat themselves, regardless of how they travel. They want to find some pleasure in travelling, and that includes food.
“So overall, we adapt by introducing fresh products and seasonal recipes, and that is across all four channels we operate in.”
Areas has made some big market gains in this vital market, from openings under its long-term contract at Paris Charles de Gaulle to a fresh, vibrant offer in two of the main rail stations in the capital.
Lacheret says: “We have had about 30 openings in the last few months, which is a positive signal in a period after the pandemic and shows how active we were in tendering successfully.”
He highlights the February 2023 opening of a flagship McDonald’s – one of the largest in the city – at Gare Montparnasse, which serves destinations west of Paris. A partnership with Altarea Commerce, this was designed for the location in partnership with McDonald’s, has 217 seats and employs around 135 people.
The other “emblematic” rail location where Areas has extended its reach recently is Gare de Lyon, which serves as a destination to the south-east, including the French Riviera and the Alps.
“In terms of purchasing power, this is probably the highest ranked station in France,” says Lacheret. There the company has opened its latest Starbucks, plus an innovative outlet called Hoppy, a Parisian start-up brewery with local beers under the Gallia name, and now a Heineken partner.
“We invented the name, the design, the look and feel of this brasserie together,” says Lacheret. “It is one of the few places at Gare de Lyon where you can sit and wait for your train if you have time. It’s very trendy, a creative project with lots of artistry in the design. We also welcome locals as well as traveller to this space.”
Areas has been just as busy in the airport market. As Groupe ADP completed development of its new ‘boutique’ Terminal 1 at Paris Charles de Gaulle, Areas began trading as the sole airside concessionaire recently under a ten-year contract.
Well-known brands include Paul, Starbucks and McDonald’s, alongside concepts created for the long-haul international clientele; these include Bistrot Benoit – a partnership with famous chef Alain Ducasse – plus an Asian and Mediterranean fusion concept, Kirei by Kabuki.
Lacheret says: “With these five brands, plus Exki to serve the fast casual segment, we serve all of the needs of the diverse clientele who are flying to North America, the Middle East and Asia Pacific. We are proud to be in the window of ADP’s flagship terminal.”
The motorways business is also significant for Areas, with a deal to take over eight new services areas in January in the north and east of the country. “We took these over in one hit in just one month, an absolute record for Areas France. This also underlines our high success rate in signing up new business, which we have done with three major oil company partners.”
In a further development, in July the company received anti-trust approval for the takeover of the Sighor food & beverage motorways business, flagged as an acquisition in February.
“2022 and 2023 has been a period of great success in motorways. With the Sighor agreement we take over another 19 service areas, which gives us a big leap forward in our existing leadership,” says Lacheret. “This channel is absolutely strategic for us, not only because of the French domestic network, but also because France is the number one tourism market in the world, and with the many English, Scandinavian, Belgian, Dutch and German clientele going to France or crossing France on their way elsewhere.
“The Sighor business has been built on strong F&B brands, and they bring some local and regional know-how that complements what we bring to the table. They are even a franchisor of their own food brands to petrol companies, so acquiring them makes us a franchisor for the first time in France. This gives us expertise we can use not only in motorways but in other channels too. This combination is very important for us.”
Tapping into local and regional trends – such as Sighor offers in motorway – is a dynamic that Areas is reacting to with vigour across the market.
“We see this very strongly in leisure, with Center Parcs, which is different in each region and we adapt our menus accordingly,” says Lacheret. “We do the same at regional airports. In Strasbourg in the south-east, or Biarritz in the south-west, we feature very specific local products and flavours, just as we do with Alain Ducasse in Paris, in fact.
“The gastronomy has to represent the place, wherever we are. We are placing an emphasis on this. Beyond that you need to find the right balance with your brands and your offer. Consumers react positively to trends such as vegetarian and local produce, but you need to ensure that is part of a winning offer in your conversation with an airport, and ensure it works economically.”
In that sense, curation of new concepts such as Hoppy Brasserie in Paris can become pilots for a new way of developing brands. “There is a lot of work behind this, from concept design to adapting the menu to the travel environment, but we would like to expand it, if the results show it is possible.”
Another testing ground will be this month during the Rugby World Cup, with many fans travelling around the country. Lacheret says this will help fine-tune the concept in other channels, with the potential for Hoppy to become a brand with a wider presence.
Looking ahead, Areas aims to compete in upcoming tenders, especially at provincial airports, with the same level of success as in the past year.
That leadership in France also brings its own challenges, with other competitors aiming to take share across the four channels. But Areas is prepared for this, he says, and is looking positively ahead.
“During COVID, we made a plan for the next four to five years, all around growing our presence. Examples of how that has played out include winning a ten-year contract at Paris CDG T1, which lays a strong platform in an important location. The acquisition of Sighor plays a similar role in motorways.
“We want to defend our position but also be offensive on new tenders. The priority in the six months ahead is to consolidate and digest these extra operations; absorbing these will demand resource and attention from management. We are doing this as well as investing in digital, which is a continuous process.
“But all of this puts us in an even stronger position. The new businesses give us wide visibility about the consumer, which we then share with our landlords and brands. It helps us adapt our brands to new locations.” 
*Click here for a recent interview with Areas CEO Óscar Vela, who talks about recent contract gains, regional ambitions, the convergence of food and retail and corporate spirit.
Note: The Moodie Davitt Report publishes the FAB Newsletter, which features highlights of openings, events and campaigns from around the world of airport and travel dining.
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FAB EZINE SET TO RETURNThe Moodie Davitt Report is delighted to announce the return of the FAB eZine, a standalone digital magazine dedicated to airport and other travel-related food & beverage views, news, trends, tastes, people, product and principles. Initially quarterly, beginning in Q4 2023, The FAB eZine will devote year-round coverage to the burgeoning airport food & beverage sector, including broader hospitality services such as hotels and lounges.  The FAB eZine will complement the annual Airport Food & Beverage (FAB) Conference & Awards and our already extensive F&B and hospitality coverage on The Moodie Davitt Report.com and in The FAB Newsletter.  Elişa Roche has been appointed Editor-in-Chief, bringing a rare combination of culinary and journalistic excellence and experience to the role. Elişa trained as a chef as part of ‘Jamie’s Kitchen’, a British TV show watched by millions and fronted by celebrity chef Jamie Oliver. She went on to work as Chef de Partie at some of London’s top Michelin-starred kitchens, e.g. Fino (now Barrafina), The Ivy and Bambou. Cooking later turned to food writing and presenting, most recently as overseeing editorial partnerships at Food Matters Live. Elişa was also Host and Producer of award-winning B2B podcast ‘Career Conversations’, encouraging young people into the food & drinks industry. *For editorial enquiries please contact Elişa Roche at Elisa@MoodieDavittReport.com. For advertising please reach out to Martin Moodie at Martin@MoodieDavittReport.com |
