Strategies when ground transport cost increases
Ekelem Airhihen, a trained mediator, chartered accountant, certified finance and IT consultant, certified in policy and public leadership, and an airport customer experience specialist, has an MBA from the Lagos Business School. He is a member, ACI Airport Non-aeronautical Revenue Activities Committee; and is certified in design and implementation of KPI for airports. He can be reached on ekyair@yahoo.com and +2348023125396 (WhatsApp only)
June 13, 2023345 views0 comments
Recently some African countries have had to contend with increases in the cost of premium motor spirit (petrol) making ground transport more expensive for passengers and other members of the airport community. The continued hostility between Russia and Ukraine has also brought about headwinds that airport operators will continue to contend with in addition.
Airports may need to adjust their strategies so that they can continue to make available convenient and affordable transportation options for travellers and other members of the airport community. Doing so will entail scanning the environment and paying attention to location, passenger demographics, as well as assessing the internal capability of the airport community among others.
One step forward would entail reviewing existing options for ground transportation and assess how it can be operated more efficiently to reduce costs. A recent newspaper headline in Nigeria pointed towards the use of gas as a cheaper option for ground transport. A car manufacturer has recently unveiled natural gas powered trucks, buses and cars into the Nigerian market. This innovation is expected to have environmental benefits as well as cost savings. Airports can explore this innovation for more comfortable and safe rides for passengers and the airport community at affordable costs. Exploring solar power and possible generation of gas from wastes at an airport may not be out of place in a search for affordable ground transport solutions also.
Promoting public transportation options as buses or trains is a strategy some airports have engaged in. In this regard the public transport company gives discounts to passengers going to the airport. The airport on its own part provides information about available services to travellers. Ride sharing companies can also be approached to render discounted service in this regard. The increased certainty of getting passengers quickly from the airport can provide an incentive for a negotiated discount.
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Shuttle services to and from nearby hotels, parking facilities and other locations can be useful in managing costs as there is reduced need for more expensive ground transportation options. Such a service will require proper planning and organisation to ensure that it becomes and remains a cost effective option. Market research and data gathering will be useful in achieving such a goal.
Some airports have had to explore the possibility of alternative modes of transportation such as bike – sharing or electric scooters so that passengers can have affordable and convenient transport options. Wikipedia says, “A scooter – sharing system is a shared transport service in which electric motorised scooters (also referred to as e-scooters) are made available to use for short-term rentals. E-scooters are typically ‘dockless’, meaning that they do not have a fixed home location and are dropped off and picked up from certain locations in the service area.” It states further that, “scooter sharing systems are one of the least expensive and most popular micro mobility options.”
One of the largest transit hubs in the world is the international airport in Istanbul. In a 2021 Press Release, a Scooter company partnered with a payment solutions company, to help passengers move faster between gates and terminals. The Scooter company specialises in shared scooter systems for universities and airports. Passengers can use geo-location and mapping to find key locations within the airport so that it is easy and fun for users to visit stores or food outlets during their airport journey.
A search on some airport websites revealed some restrictions on movement of bikes at their airport. However, the Brussels Airport website has directions on how and where to park bikes for those coming to the airport. In Africa where security is a challenge, such an option will require careful planning and mapping to find a careful balance between safety, security and economics.
So airports would have to restrategize by reviewing pricing, engaging in various negotiations with stakeholders and being open to innovative solutions. This will help ensure that ground transport delivers value to travellers and all other members of the airport community.
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