Dubai: Dubai International, the world’s busiest airport for international passenger traffic, will look to generate an increasing amount of revenue from more commercial related activities in a bid to keep airport fees “competitive”.
Dubai Airports Chief Executive, Paul Griffiths, said by phone on Wednesday non-aeronautical revenue is “expected to grow at a faster rate over the next decade compared to aeronautical income” at both Dubai International and Al Maktoum International at Dubai World Central (DWC). Dubai Airports manages and operates both airports.
Non-aeronautical revenue also includes revenue generated from food and beverage concessions, advertisements within the airport and lounge leases. Aeronautical income usually refers to revenue from passenger and aircraft fees, which the airline often passes onto the customs in the airfare. Last year, non-aeronautical revenue was up 15 per cent and accounted for 53 per cent of all corporate revenue at Dubai Airport. Aeronautical revenues rose 7 per cent and accounted for 47 per cent of revenue.
Griffiths said he preferred to enrich “the range and attractiveness of the offers for people to then voluntarily dip into their pockets”.
“We believe that model is much better than continually [raising] passenger fees and charges for landing and parking, which ultimately go into the supply chain and increase the cost of travel itself,” he added.
