Aeroports De Paris · EURONEXT:ADP
Aeroports De Paris — Investor Day (2019)
48 slides from Aeroports De Paris's investor day presentation, 2019
Slide 1: Commercial Activities in Paris - 2019 Investor Day
COMMERCIAL ACTIVITIES IN PARIS 2019 INVESTOR DAY
Slide 2: Content
CONTENT 1 Global overview and past performance A 4 pillar strategy driving 2 a sustainable growth The « ultimate Parisian shopping 3 and dining experience » 4 The business model 5 The impact of traffic 6 The stimulation of demand 7 Conclusion PAGE 2
Slide 3: Global overview and past performance
1 Global overview and past performance PAGE 3
Slide 4: Global overview 2018
Global overview and past performance COMMERCIAL ACTIVITIES GLOBAL OVERVIEW 2018 58,100 sqm, with 382 points of sales Revenue of €490M coming from (retail + F&B) commercial activities, as variable rents (% of sales) 60 000 10% 40 000 Airside shops 11% Airside shops Landside Shops Landside shops 10% B
Slide 5: Past performance 2006-2018
Global overview and past performance PAST PERFORMANCE 2006-2018 A STRONG GROWTH OF REVENUE AND SPP(1) OVER THE PERIOD A 2006-2018 CAGR of 7.3% A strong growth of the SPP with strong growth for retail, F&B and advertising both for airside retail and airside F&B In € Revenue (in €M) 25 Other commercia
Slide 6: Past performance 2006-2017: growth among the best performers worldwide
Global overview and past performance PAST PERFORMANCE 2006-2017 A GROWTH AMONG THE BEST PERFORMERS WORLDWIDE 250 EVOLUTION SPP 200 Airside retail (Base 100 = 2006) ADP Asia Pacific 150 Americas Middle East 100 Africa Europe 50 - 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 PAGE 6
Slide 7: A 4 pillar strategy driving a sustainable growth
2 A 4 pillar strategy driving a sustainable growth PAGE 7
Slide 8: 2 pillars on supply and 2 pillars on demand
A 4 pillar strategy driving a sustainable growth 2 PILLARS ON SUPPLY AND 2 PILLARS ON DEMAND 2 PILLARS ON SUPPLY 2 PILLARS ON DEMAND A positioning around The « ultimate Parisian shopping The impact & dining experience » of Traffic The stimulation of Demand A business model to sustain the positioning
Slide 9: Commercial guidance for 2025
A 4 pillar strategy driving a sustainable growth COMMERCIAL GUIDANCE FOR 2025 In € 28 27.0 25.5 A target of €27 in 2025 for 26 the SPP airside retail + F&B 24 22 20.9 23.0 20.3 20.6 20 An intermediary target of €25.5 18 18.2 18.2 18.4 in 2021 for the SPP(1) airside retail + 16 F&B, 2021 being the fi
Slide 10: The ultimate Parisian shopping and dining experience
3 The « ultimate Parisian shopping and dining experience » PAGE 10
Slide 11: The ultimate Parisian shopping and dining experience
Excellence in Parisian Interior Excellence in Parisian design and space management Brands portfolio THE ULTIMATE PARISIAN SHOPPING & DINING EXPERIENCE Excellence Excellence in price positioning in service
Slide 12: Excellence in design and space management
The « ultimate Parisian shopping and dining experience » EXCELLENCE IN DESIGN AND SPACE MANAGEMENT High standards in design, offering various The right integration of the commercial Parisian experiences to our passengers zones inside the airport environment Optimization of available time airside : n
Slide 13: Excellence in service as a key driver of differentiation
The « ultimate Parisian shopping and dining experience » EXCELLENCE IN SERVICE AS A KEY DRIVER OF DIFFERENTIATION The Quality of service in-store Easy shopping welcome, expertise, multicultural approach, culture of gesture Secure shopping 380 No tax refund formalities 360 Threshold of excellence
Slide 14: From a traditional duty free to a Parisian department store
The « ultimate Parisian shopping and dining experience » FROM A TRADITIONAL DUTY FREE TO A PARISIAN DEPARTMENT STORE A focus on 3 product lines, On each key product line, a brand which personify the most the French savoir-faire: portfolio mixing all the French leading Perfume & cosmetics, Luxury Fas
Slide 15: Food & beverage with strong perspectives of growth
The « ultimate Parisian shopping and dining experience » FOOD & BEVERAGE WITH STRONG PERSPECTIVES OF GROWTH 4 pillars in the strategy A successful laboratory at the 2F2, to be duplicated in all our terminals Mix of international & French Brands, offering many types of food options + Differentiation
Slide 16: The Parisian department store: two formats
The « ultimate Parisian shopping and dining experience » THE PARISIAN DEPARTMENT STORE TWO FORMATS TO ADAPT OUR OFFER TO OUR PASSENGER MIX The Premium format The Superior format International Clientele European Clientele 5 Terminals at Paris-Charles de Gaulle : 2 Terminals at Paris-Charles d
Slide 17: 2E Hall K, the premium retail laboratory & flagship
2E HALL K, THE PREMIUM RETAIL LABORATORY & FLAGSHIP
Slide 18: The 2E Hall K: premium retail flagship
The « ultimate Parisian shopping and dining experience » THE 2E HALL K: THE PREMIUM RETAIL FLAGSHIP, READY TO BE DUPLICATED AN AMBITION TO MAKE THE 2EK BECOME THE BEST TERMINAL IN THE WORLD Our premium Flagship and Laboratory A 2021 portfolio of 21 monobrand boutiques State of progress SURFACES Spac
Slide 19: Excellent results which give confidence in the future
The « ultimate Parisian shopping and dining experience » THE 2E HALL K: THE PREMIUM RETAIL FLAGSHIP, READY TO BE DUPLICATED EXCELLENT RESULTS WHICH GIVE CONFIDENCE IN THE FUTURE By far our best performing terminal A typical parisian Department store mix, totally unique in airport world, with very li
Slide 20: The premium concept duplication plan
THE PREMIUM CONCEPT DUPLICATION PLAN
Slide 21: Five premium retail terminals in total, all at Paris-Charles de Gaulle
The « ultimate Parisian shopping and dining experience » THE PREMIUM CONCEPT DUPLICATION PLAN FIVE PREMIUM RETAIL TERMINALS IN TOTAL, ALL AT PARIS - CHARLES DE GAULLE 2B / 2D 2A / 2C T1 INTERNATIONAL 2025 2020 2F 2E HALL K 2021 2E HALL L 2024 2E HALL M Superior Retail Premium Retail 2022 (optimizati
Slide 22: The 2E Hall L: the Parisian galerie
The « ultimate Parisian shopping and dining experience » THE 2E HALL L: THE PARISIAN GALERIE PHASE 1 OPENING S1 2020 & PHASE 2 OPENING END 2024 PAGE 22
Slide 23: The 2E Hall L: phases and portfolio
The « ultimate Parisian shopping and dining experience » THE 2E HALL L: THE PARISIAN GALERIE PHASE 1 OPENING S1 2020 & PHASE 2 OPENING END 2024 A 2020 portfolio of PHASE 1 16 monobrand boutiques S1 2020 Boarding gates Boarding gates New brand, not present in 2018 PHASE 2 END 2024 7 000 SURFACES (sqm
Slide 24: The T1 International: opening summer 2020
The « ultimate Parisian shopping and dining experience » THE T1 INTERNATIONAL : THE PARISIAN DEPARTMENT STORE OPENING SUMMER 2020 PAGE 24
Slide 25: The T1 International: 2020 portfolio
The « ultimate Parisian shopping and dining experience » THE T1 INTERNATIONAL : THE PARISIAN DEPARTMENT STORE OPENING SUMMER 2020 A 2020 portfolio of 18 monobrand boutiques SURFACES (sqm Retail + F&B) 7 000 6 000 5 000 4 000 3 000 2 000 1 000 0 New brand, not present in 2018 2018 TARGET 2021 Boardin
Slide 26: The 2AC Junction: the Parisian department store
The « ultimate Parisian shopping and dining experience » THE 2AC JUNCTION: THE PARISIAN DEPARTMENT STORE PHASE 1 ENDING END 2019 & PHASE 2 ENDING END 2024 PAGE 26
Slide 27: The 2AC Junction: phases and portfolio
The « ultimate Parisian shopping and dining experience » THE 2AC JUNCTION: THE PARISIAN DEPARTMENT STORE PHASE 1 ENDING END 2019 & PHASE 2 ENDING END 2024 A 2019 portfolio of PHASE 1 11 monobrand boutiques END 2019 2A 2C New brand, not present in 2018 PHASE 2 SURFACES END 2024 8 000 (sqm Retail + F&
Slide 28: The superior concept laboratory & duplication
THE SUPERIOR CONCEPT LABORATORY & DUPLICATION
Slide 29: The superior concept laboratory: Orly
The « ultimate Parisian shopping and dining experience » THE SUPERIOR CONCEPT LABORATORY: ORLY 3 OPENING S1 2019 6 000 SURFACES (sqm Retail + F&B) 5 000 4 000 3 000 2 000 1 000 0 2018 TARGET 2019 PAGE 29
Slide 30: Focus on French chefs & gastronomy and trendy beauty & fashion
The « ultimate Parisian shopping and dining experience » THE SUPERIOR CONCEPT LABORATORY: ORLY 3 FOCUS ON FRENCH CHEFS & GASTRONOMY AND TRENDY BEAUTY & FASHION PAGE 30
Slide 31: Superior concept duplication plan
The « ultimate Parisian shopping and dining experience » THE SUPERIOR CONCEPT DUPLICATION PLAN FIVE SUPERIOR RETAIL TERMINALS IN TOTAL, 2 AT PARIS-CHARLES DE GAULLE AND 3 AT PARIS-ORLY 2022 2B / 2D 2A / 2C T1 INTERNATIONAL 2F 2E HALL K 2E HALL L 2E HALL M Superior Retail Premium Retail PAGE 31
Slide 32: The 2BD Junction: the Parisian food hall
The « ultimate Parisian shopping and dining experience » THE 2BD JUNCTION: THE PARISIAN FOOD HALL MAIN OPENING SUMMER 2020, WITH A FINALIZATION IN 2022 PAGE 32
Slide 33: The 2BD Junction: surfaces
The « ultimate Parisian shopping and dining experience » THE 2BD JUNCTION: THE PARISIAN FOOD HALL MAIN OPENING SUMMER 2020, WITH A FINALIZATION IN 2022 SURFACES 4 500 (sqm Retail + F&B) Boarding gates 4 000 Boarding gates 3 500 2D 3 000 2B 2 500 2 000 1 500 1 000 500 0 2018 TARGET 2022 PAGE 33
Slide 34: Superior concept duplication plan: Orly
The « ultimate Parisian shopping and dining experience » THE SUPERIOR CONCEPT DUPLICATION PLAN FIVE SUPERIOR RETAIL TERMINALS IN TOTAL, 2 AT PARIS-CHARLES DE GAULLE AND 3 AT PARIS-ORLY ORLY 3 2019 ORLY 4 2021 2025 ORLY 1 Superior Retail PAGE 34
Slide 35: Orly 4: the Parisian square
The « ultimate Parisian shopping and dining experience » ORLY 4: THE PARISIAN SQUARE PROJECT ENDING S1 2021 PAGE 35
Slide 36: Orly 4: surfaces
The « ultimate Parisian shopping and dining experience » ORLY 4: THE PARISIAN SQUARE PROJECT ENDING S1 2021 SURFACES 8 000 (sqm Retail + F&B) 7 000 6 000 5 000 4 000 3 000 2 000 1 000 0 2018 TARGET 2021 Boarding gates PAGE 36
Slide 37: The business model
4 The business model PAGE 37
Slide 38: A unique business model to sustain the positioning
The business model A UNIQUE BUSINESS MODEL TO SUSTAIN THE POSITIONING A CONCESSION BUSINESS MODEL WITH EITHER JV OR BRANDS OPERATING A business model built to sustain our positioning around « the ultimate Parisian shopping & dining The partnership inside JVs experience », and to have Long term view
Slide 39: The impact of traffic
5 The impact of traffic PAGE 39
Slide 40: Departing traffic growth and traffic mix
The impact of traffic DEPARTING TRAFFIC GROWTH AND TRAFFIC MIX A STRONG DYNAMIC TOWARDS INTERNATIONAL TRAFFIC Evolution of departing traffic 2006 > 2018, mpax 2006 2018 % CAGR 2006 > 2018 CDG + ORY LHR FRA AMS 6.5 7.1 4.8 3.4 America 8.5 2.3% 9.5 2.4% 5.4 1% 5.1 3.4% 6.3 4.1 2.2 1.5 Middle East & 9.
Slide 41: Development of intercontinental connectivity, with focus on China
The impact of traffic THE ROLE OF AVIATION MARKETING DEVELOPMENT OF INTERCONTINENTAL CONNECTIVITY, WITH FOCUS ON CHINA Evolution of Intercontinental connectivity1 Chinese cities connected to CDG and ORY (Excluding Hong Kong and Taiwan) In # intercontinental destinations1 120 111 105 97 100 101 102 9
Slide 42: The stimulation of demand
6 The stimulation of demand PAGE 42
Slide 43: A new tax refund process to drive retail growth
The stimulation of demand THE STIMULATION OF DEMAND: THE CASH DISPOSAL A NEW TAX REFUND PROCESS TO DRIVE RETAIL GROWTH The optimization of tax refund process A new process starting April 2019, targeting is a major stake for retail better quality of service, and better reinvestment of cash refund in
Slide 44: The CRM: favourite retail place
The stimulation of demand THE STIMULATION OF DEMAND: THE CRM A WAY TO MAKE PARIS AÉROPORT BECOME THE FAVOURITE RETAIL PLACE Launched: 30/05/2016 Target: Frequent Flyers 450 K members (2020 objective already reached) €37 M sales in 2018 (x 4.3 vs 2017) Retail Parking SDA: Members average ba
Slide 45: Planned purchase: awareness before arrival
The stimulation of demand THE STIMULATION OF DEMAND: PLANNED PURCHASE A CREATION OF AWERENESS BEFORE THE ARRIVAL AT THE AIRPORT A strong evolution in customer behaviours, Initiatives targeting both international towards planned purchase and local passengers BtoB and BtoBtoC move on 4 priority mark
Slide 46: Conclusion
7 Conclusion PAGE 46
Slide 47: Conclusion
CONCLUSION A POSITIONING: the « ultimate Parisian shopping & dining experience » A strategy A BUSINESS MODEL to sustain the positioning based on A DYNAMIC TRAFFIC, with a favourable mix 4 pillars A STIMULATION OF DEMAND SQM evolution – Airside shops, landside shops & F&B 80 000 A strategy enriched i
Slide 48: Disclaimer
Disclaimer This presentation does not constitute an offer of, or an invitation by or on behalf of Aéroports de Paris to subscribe or purchase financial securities within the United States or in any other country. Forward-looking disclosures are included in this press release. These forward-looking d