Retailers struggle at new Incheon terminal - The Korea Times

Retailers struggle at new Incheon terminal

By Kang Seung-woo

Restaurants and cafes at the second passenger terminal of Incheon International Airport are struggling to attract customers due to the lack of passengers at the recently opened terminal.

There are 70 such establishments, including Shake Shack, Starbucks, Villa de Charlotte and various food brands.

“When I visited Shake Shack at the second terminal last month, I was surprised to find there was no long queue waiting to order unlike other branches in Korea,” said a businessman identified by his surname Lee.

The popular New York burger chain is notorious for having long waiting lines here and around the world.

However, Shake Shack is not the only store at the terminal to see fewer customers than at their other store locations.

Revenue of the fast food chain Lotteria's second terminal stores is said to have accounted for 60 percent of the revenue from its first terminal stores -- despite the new one being bigger.

Observers say the biggest reason for the lack of customers is that fewer airlines use the second terminal.

Korean Air and three foreign full-service carriers -- Delta Air Lines, Air France and KLM Royal Dutch Airlines -- serve passengers in the second terminal that opened on Jan. 18.

The three foreign airlines were selected because they have business ties with the Korean flagship carrier due to the existence of passenger transfer and code-share programs among the four airlines.

Other than Korean Air customers, only a few people use the three remaining carriers.

Asiana Airline and 85 other airlines still use the first terminal.

In addition, there are no low-cost carriers offering service there, which adversely affects those eating establishments as well.

Those who fly budget carriers usually visit airport restaurants because they have to pay for in-flight food that is much more expensive.

“The number of customers depends on the travel season. During the busy season such as January and February, we have more customers, but there are fewer ones during the slow season like March and April,” said a spokesman of Shake Shack in Korea, adding that whether it is during the week or the weekend also makes a difference.

He added the burger chain expects to see more customers in May, when many Koreans usually take overseas trips.

Incheon International Airport Corp. said it is seeking measures to attract more customers to the second terminal.

“We are considering moving eight airlines with business ties to Korean Air to the second terminal from the current one,” an airport spokesman said.

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