Changi Airport to issue 25 new leases as it continues phased reopening

By Charlotte Turner |

Changi Airport says over 25 new leases will be awarded in in the coming months as it prepares to reopen additional areas of the airport in response to rising passenger demand.

 

As reported, Singapore Changi Airport registered 2.93 million passenger movements in June of this year, which represents 50.3% of its pre-Covid traffic (June 2019), while the airport registered passenger traffic of 7.33 million from April to June 2022; 43.6% of pre-Covid levels.

 

Changi said it is now ramping up its transit retail offerings as air travel recovers with more than nine in 10 airside shops open today and over 40 stores operating 24/7 in Terminals 1 and 3.

 

According to the airport, the surge in travel demand is leading to a strong revival in retail sales at the airport, led by liquor, perfumes & cosmetics as well as luxury products.

Changi said it is now ramping up its transit retail offerings as air travel recovers with more than nine in 10 airside shops open today and over 40 stores operating 24/7 in Terminals 1 and 3.

Changi said it is now ramping up its transit retail offerings as air travel recovers with more than nine in 10 airside shops open today and over 40 stores operating 24/7 in Terminals 1 and 3.

 

“Even with Chinese tourists, who were the biggest spenders during pre-Covid days, still absent from the travel retail scene in Changi, some brands are seeing sales surging past pre-pandemic levels,” added the airport operator.

 

“The steady recovery in sales comes in tandem with a relaxation of border restrictions in the region. In particular, sales clocked by passengers from several South East Asian countries – Cambodia, Indonesia, Malaysia, Thailand, the Philippines and Vietnam – have outpaced traffic recovery.”

 

Passengers from these countries are also spending more on average compared to pre-Covid, according to Changi.

 

With the strong trajectory of passenger traffic recovery, Terminal 4 (T4) and the southern wing of Terminal 2 (T2) Departure will reopen in September 2022 and October 2022 respectively.

 

In May, the Macallan and Lotte were the first globally to launch the Harmony Collection Fine Cacao in Changi Airport T3.

In May, the Macallan and Lotte were the first globally to launch the Harmony Collection Fine Cacao in Changi Airport T3.

 

At T2, CAG recently launched leases for 20 F&B concessions, four luxury concessions and three specialty concessions, which attracted strong interest and response from the market, including several proposals for new-to-Changi F&B concepts and brands.

 

“Travellers can look forward to a refreshed shopping and dining experience when these tenancies commence as T2 opens progressively,” added Changi.

 

Ms Teo Chew Hoon, Managing Director of Airside Concessions at CAG, said: “Many of our partners were eager to continue their leases, with several even signing new leases with us during the crisis, as they were confident of Changi’s strong foundation as one of the leading air hubs in the region.

 

Johnnie Walker Blue Label pop-up at T3 Photo credit: Changi Airport Group

Johnnie Walker Blue Label pop-up at T3. Source: Changi Airport Group.

 

“We are delighted to see that this has resulted in encouraging sales with traffic recovery. Changi Airport will continue to partner operators and brands to bring more variety and excitement to our passengers and delight them with innovative and immersive retail experiences.”

 

In addition to numerous extensions, CAG has also secured new-to-Changi brand Steffano Ricci and Changi’s first standalone Balenciaga boutique in Terminal 1.

 

As T2 continues to reopen in phases from October 2022, Changi will publicise more leasing opportunities for the newly revamped terminal, which will see an increase in commercial space within the Departure Transit Hall. Changi is also seeking proposals for various categories in Terminals 1, 3 and 4.

 

Yamazaki 55, the world’s oldest Japanese whisky, was sold at Changi Airport in April 2022 for SGD 0,000. Photo credit: Lotte Duty Free

Yamazaki 55, the world’s oldest Japanese whisky, was sold at Changi Airport in April 2022 for SGD $760,000. Source: Lotte Duty Free.

Changi highlights new offers and products at Changi recently introduced. For example, a pop-up managed by Beam Suntory and Lotte Duty Free (Lotte) in February this year showcased a range of Beam Suntory-owned whiskey, including a bottle of the limited-edition Yamazaki 55, which was eventually sold for SGD $760,000.

 

The Yamazaki 55 is the world’s oldest Japanese whisky, with only a limited edition of 100 bottles available for global release outside of Japan. Only one bottle was made available to Lotte in Changi Airport.

 

Earlier this month, CAG, in collaboration with Lotte and Diageo Global Travel, launched an exclusive omni-channel experiential pop-up for the Johnnie Walker Blue Label in Terminal 3’s (T3) transit area. It is the first Johnnie Walker Blue Label experiential pop-up in Asia Pacific and will run until 11 August 2022.

 

Passengers can sample the product in a bespoke sampling bar and product discovery area, which offers an immersive experience aided by LCD displays and surround sound headphones. They can also enjoy personalised services such as customised luggage tags with their purchases.

 

Ms Teo Chew Hoon, Managing Director of Airside Concessions at CAG, said: “Many of our partners were eager to continue their leases, with several even signing new leases with us during the crisis, as they were confident of Changi’s strong foundation as one of the leading air hubs in the region.

“Many of our partners were eager to continue their leases, with several even signing new leases with us during the crisis,” said Teo Chew Hoon.

In May, the Macallan and Lotte were the first globally to launch the Harmony Collection Fine Cacao in Changi Airport T3.

 

The retail space shone a spotlight on the Macallan’s sustainability journey and featured an interactive virtual experience.

 

The Macallan pop-up also included a comprehensive range of single malts from the brand’s travel retail exclusive range and selected limited release expressions.

 

At the end of its run in June, all bottles were sold, cashing in over $1 million in sales.

 

Chew Hoon said: “Our Changi 1st launches and travel exclusives do very well. Even after the pop-ups have ended their run, we still get enquiries from passengers on when new stocks will arrive.”

 

Recognising the importance of the perfumes and cosmetics category CAG recently collaborated with Shilla Duty Free and leading fragrance brand partners to bring in limited-edition and new fragrances at the inaugural Shilla Fragrance Festival, which runs at Changi Airport till 18 August 2022.

 

With more than 1,000 fragrances in-store, travellers get to choose from a curated selection of fragrances across eight luxury brands and can receive special gifts with their purchases.

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