Collette Roche, deputy managing director of Manchester Aiport discusses how the airport fits into the regional economy and changes with technology and visitor trends
8. 8
IMPACT
Chinese
visitors to
the UK 45%
up
Average
spend of
£1,600 per
tourist
Inbound
tourism spend
of £305m in
first 5 years
Spotlight on
the North as a
destination
9. 9
WIDER IMPACT
Kate McMullen, Head of
Tourism, Make It York, said:
“China has moved rapidly from
being York’s 11th largest overseas
tourism market to a fourth place
ranking…this market is the fastest
growing inbound tourism market
to the UK and York is set to
benefit hugely from this new
route.”
Jim Jones, Managing Director
of North Wales Tourism said:
“Manchester Airport is the
international gateway for North
Wales, which has so much to
offer the Chinese visitor.
Beautiful landscape, gardens,
steeped in heritage and culture,
with some of the leading
adventure attractions in
Europe.”
10. 10
MANCHESTER’S TRANSFORMATION
Investment Increase in the size
of Terminal 2
New food and
beverage and retail
outlets
Jobs createdPhased
transformation
programme
Enhancements
across the airports
Passengers
expected by FY25
Max terminal
capacity
Passengers
in 2015
11. www.MANTP.co.uk
Implementation of new and
enlarged airside transfer
facilities
Expansion and
reconfiguration of Terminal
2
A new, enlarged security
hall
42,000 to 56,000 additional
car
parking facilities
1
2
3
4
1
2
3
4
12
Transforming the
user experience
12. www.MANTP.co.uk
Terminal capacity
increases from 6,800-
8,400 pax per hour
45-60 minute transfer
times and US
pre-clearance
Introduction of a host of
customer friendly
enhancements,
5 6
5
6
7
7
13
Transforming the
user experience
Our humble beginnings
Manchester Airport, known as ‘Ringway Airport’ at the time officially opened in 1938
In 1953 we had our first ever Transatlantic flight! (It was operated by Sebena, a Belgian airline.) Even back then we were connecting the North to the world.
In 1954 we became ‘Manchester Airport’
Terminal 1 was officially opened in 1962 by the Duke of Edinburgh
Terminal 2 followed in 1993 and Terminal 3 in 1998 giving us the 3 terminals that we have today
Our railway station also opened in 1993, spreading the reach of our International connections across the North.
Runway 2 was officially opened in 2001 by Tony Blair
It was the first runway to be built in England for 20 years. We remain the only airport outside of Heathrow to have two runways in the UK to this day and we didn’t need an Airports Commission to tell us what to do!
Since then we have gone from strength to strength.
In 2010 we welcomed our first A380 aircraft, now a common site with Emirates operating with it 2 out of their 3 flights a day from Manchester to the Middle East.
In 2013 we welcome our first Dreamliner aircraft with Thomson which operates on their long haul routes out of Manchester to places such as Mexico and the Caribbean.
And today we are now operating at our highest ever passenger numbers with over 23.5million passengers choosing Manchester each year.
Overview of Manchester as we are now.
Manchester is the third largest airport in the UK, with over a third of the UK’s population within a 2 hour drive time.
Overview of Manchester’s current route network
We serve over 200 destinations
Key cities across Europe including Vienna, Berlin, Lisbon, Rome and Amsterdam.
7 flights a day to the Middle East
Key long haul routes (many of which we are the only airport outside of London with direct flights to)
Beijing (launched on the 10th June and at 80% load factors for the full summer season)
Others include Hong Kong, Singapore, Islamabad, Istanbul, Jeddah, Phuket and Tel Aviv
Across to the US we have the likes of Atlanta, Boston, Chicago, New York, Washington, Philadelphia, LA, Miami, Florida, and from next year we have San Francisco
All of this demonstrates how far we have come as an airport, as a city and as a region in attracting these airlines and showcasing the potential of the region as a destination, in part due to the culture and array of tourist activities on offer.
It’s no secret that direct routes bring with them a wave of benefits to the wider region.
The CBI estimates that a new daily flight to the world’s 8 highest growing economies would stimulate £1bn of trade and our new direct route to Beijing alone is estimated to generate £610m over the next 10 years.
The direct route to Beijing is the only direct service to mainland China outside of London, hugely significant for the North of England. So I’ve taken it as an example to showcase the impact that a direct route like this has on the leisure and tourism market of the North.
This is outside of the benefits that a Government (both UK and Chinese) spotlight placed on the North of England as a destination on the world map.
Visit Britain statistics show that Chinese visitors to the UK grew by 45% in 2015 compared to 2014 and they cite new direct flights into Heathrow as being key to this growth. We expect to see this rise even more this year with the direct flights to Manchester. Load factors are currently at 80% across the full summer season.
Current knowledge of the load factors show a pretty even split between outbound and inbound passengers, and between UK and Chinese visitors.
The average spend of leisure passengers is around £1,600 per tourist. However, work with other local businesses and tourist destinations show this to be even higher for leisure passengers from China and South East Asia.
We have recently been working with Cheshire Oaks as they have a substantial amount of International tourists and are looking to increase this further with our new route. They have indicated through promotions that they have done to incentivise Chinese visitors that the average spend is around £1,000 just at Cheshire Oaks. And so this would indicate the average spend per visitor for the duration of their stay would be much higher that the conservative estimates of £1,600. This has a positive impact on other attractions across the North.
Indirect impacts then multiply off the back of this such as jobs within the leisure and tourism sectors, hotels, restaurants etc.
Continuing with our China route theme…some examples of support from tourism bodies across the North and the positive impact that they associate with the new route.
In addition to this I wanted to share with you some interesting stats.
York Aviation have done some research on inbound tourism for Transport for the North.
In 2014, 4.2million inbound leisure passengers came to regions across the whole of the North. 2.2million of these arrived via Manchester Airport.
More inbound leisure passengers that travelled to Leeds came in via Manchester rather than via Leeds Bradford.
More than 50% of Hull and Humber’s inbound leisure passengers came in via Manchester and more than 45% of Sheffield’s.
This demonstrates the important role that we play in providing the connectivity for inbound tourism across the whole of the North.
But we are not complacent, we know that we’re not perfect and we want to continually improve and be the airport of choice for attracting more inbound tourism to the North.
This is why last year we launched our transformation programme for the airport…
We are seeing strong growth year on year and with our route portfolio ever increasing, the terminals are in need of investment and modernisation.
The airline market is changing and passenger expectations are changing.
Our competitors at home and abroad are investing in their facilities and we need to invest in order to compete on a global scale.
To meet these opportunities, later this year we will begin work on a £1bn transformation programme.
One of the latest renders from our architects.
Preparatory works have already begun on site and we will see spades in the ground later this Autumn.
We want to continue to support businesses, students and tourism destinations across the North by providing world wide connectivity and providing world class infrastructure to support this.
The transformation programme will take Manchester to a very exciting place in an ever evolving world of passenger and customer expectations.
Our leisure travellers are increasingly doing everything online and so we’re looking at our offering online and how to make that process easier and more efficient as an example.
I just want to finish by demonstrating this changing world…
This photo was taken at the Pope’s inauguration in 2005.
Just 8 years later, this photo was taken at the Pope’s inauguration in 2013.
You can see the difference that a focus on technology has made in such a short period of time. Imagine what it will be like in another 9 years time when our transformation programme will be fully complete!