Concessions Refresh Program Solicitation
The IAA will issue a solicitation in 2018 for the Concessions Refresh Program. Visit the link below to register your company in our online solicitation management system to be notified when the solicitation is public.Vendor Registration
Concessions Refresh Informative Session
The last Concessions Refresh Informative Session was held in November 2017 in anticipation of the official solicitation. Visit the link below to view the presentation from the informative session.View Presentation
Insight into the Concessions Refresh Program
DISCLAIMER: The following questions and answers are provided for general information only and may not be completely accurate in every circumstance, do not purport to be legal advice, and are not intended to be legally binding on the Indianapolis Airport Authority (IAA.) The IAA reserves the right to make changes to the concession refresh program.
Click the drop downs below for answers to Frequently Asked Questions:
What are the goals of the Concession Refresh program at the Indianapolis International Airport (IND)?
Being an award-winning airport means keeping the experience at IND fresh and meaningful for both leisure and business travelers alike. The Concession Refresh Program is intended to attract authentic retailers and food & beverage providers to the airport, as a means of showcasing local foods, beverages and brands that directly represent the Hoosier experience as permitted by law. A primary goal of the Concessions Refresh Program is to meet and exceed a traveler’s expectations, and to specifically ensure the IND Concessions Program recognizes expectations of the “traveler of the future,” including products, services and offerings reflective of Indy’s top food, beverage and retail brands.
I want to bring my business to the airport. How do I get involved/started?
The current Concessions Program consists of 56 individual retail spaces of which 53 are currently leased. More than 40 food & beverage, specialty retail and news & convenience concessions locations are expiring at the end of 2018, with six more locations set to expire at the end of 2020. The Indianapolis Airport Authority (IAA) will be releasing a Request for Information (RFI) Public Solicitation for future Concessions opportunities at IND. A key mission through this RFI solicitation process is to develop a Concessions Program to meet the needs and to remain relevant for today's travelers.
I’ve never submitted a response to a solicitation before. How do I get started?
Information on opportunities is posted on PlanetBids
In the solicitation, there will be a preferred qualifications section along with a listing and placement of concessions packages that the IAA is seeking through this process.
How long will I have to respond to the solicitation?
Respondents will have approximately 90 days to respond to the solicitation. In the solicitation there is a timeline schedule that has a due date for the proposal.
Is there an experience requirement necessary to be awarded a contract?
Please reference the preferred qualifications section listed in the solicitation, when available on PlanetBids.
How long can the solicitation review process take?
The IAA may take up to 180 days after the due date of the proposal to make a decision. Respondents that are selected will be notified by the IAA for next steps. The IAA will not make a public announcement until all contracts are negotiated and executed by both proposer and IAA Board.
Is there a fee to participate in the solicitation process?
If awarded a contract the IAA will require a performance bond or security deposit. Specific information on this performance bond or security deposit can be found in the sample concession agreement which is an exhibit in the solicitation.
When the solicitation is issued, what/how will the communication process be?
All communication will go through the IAA Procurement Department. Sign up for the IAA's online solicitation management system to be notified when the solicitation is posted. It's free to register and view open solicitations.
Who makes the selections from the submitted proposals?
The IAA will create a selection committee, which will be composed of internal and external stakeholders that have diverse backgrounds and share the same vision and goals for the IAA. The selection committee will make recommendations to the IAA Board, who will then either accept or reject the committee's recommendation.
Will there be a pre-proposal meeting? And if so when?
There will be a pre-proposal meeting. Please reference the timeline of events in the solicitation for a date.
What format will the solicitation response need to be submitted in?
Please reference the PlanetBids website on how to format the response.
What is the average spending per customer at IND?
The 2017 average sales per departing passenger was $11.10. This number includes all concessions offerings. DISCLAIMER – this number could rise and fall on a monthly basis due to a variety of contributing factors.
How does the IAA determine the use for each space?
For the past two years the IAA has worked with various internal experts, industry consultants and stakeholders to develop a future concessions layout plan and terminal space utilization plan. The IAA has used multiple resources (market research, consultants, passenger interviews and surveys, industry best practice data, etc.) to identify the optimum use for each space and to anticipate future desired passenger trends and preferences.
How many people will fly in and out of IND over the next few years?
IND served over 8.7 million total business and leisure travelers in 2017 and averages 145 daily flights, seasonally and year-round, to 51 nonstop destinations, which breaks both the passenger count record and the record for number of nonstop flights in the history of IND. The annual passenger count is projected to remain consistent with conservative increases of passenger traffic in future years.
How does the IAA charge rent to concessionaires?
The standard industry norm is that concessionaires pay either the greater of the Minimum Annual Guarantee (MAG) rent or a percentage fee based on overall gross receipts. The concessionaire does pay the MAG in 12 monthly installments throughout the year.
Are there expenses on top of the rent which I would need to pay each month or as-needed?
Additional expenses include the follow:
- Common use fee (this includes loading dock delivery services)
- Utilities and maintenance
- Badging and Parking
- Insurance fees
- Any and all additional fees
Specific fees are listed in the sample Concession Agreement.
What is a concessions package?
All opportunities in a concession solicitation process are offered either as a single location or multiple locations known as a “package.”
What is the expected length of term for either a food/beverage or retail location?
The term could vary, but in most cases the length of the agreement is 10 years, with a a mid-term refurbishment requirement half way through the term.
What are IND’s standard operating hours for restaurants and retail locations?
This varies based on concessions offerings, however the typical range of store hours of operation is from 4:30 am – 9:00 pm. The airport is open 365 days a year and concessions locations are expecting to be open every day as well. The store hours of operation may be adjusted periodically based on flight schedules.
What is an ACDBE?
An Airport Concession Disadvantaged Business Enterprise (ACDBE) is a for-profit business that is majority owned by an individual who is socially and economically disadvantaged.
To learn more about ACDBE and how to qualify, visit the IND Supplier Diversity Program.
Do I have to be ACDBE certified to operate a concession at the airport?
No, ACDBE certification is not required to operate a concession at IND. If a proposer is seeking ACDBE credit to meet an ACDBE goal, the ACDBE firm must be certified through the Indiana Department of Transportation (INDOT) at the time of proposal submission. A certification letter must be included with the proposal submission.
Concessions Refresh Information
Learn more about the Concessions Refresh program, gain insight on doing business at the Indianapolis International Airport, and find the tools necessary to develop a business plan as a concessionaire at the airport.Concessions Presentation
Current IND Tenants & Expiration Dates
A number of existing concessionaire and retailer leases will expire in 2018, which presents an opportunity for the IAA to take food, beverage and retail in a fresh direction, one that shouts "We are Indianapolis."Lease Expirations
Opportunity for Food, Beverage and Retail
In late 2016, the IAA hosted three outreach meetings, which kicked off the Concessions Refresh Program. The Concessions Refresh Program is an opportunity for the IAA to take food, beverage and retail in a fresh direction, one that shouts "We are Indianapolis." Businesses eligible for the Disadvantaged Business Enterprise (DBE) or Airport-Concessions Disadvantaged Business Enterprise (ACDBE) programs are encouraged to attend. The IAA encourages local participation; current experience operating concessions at an airport is not required.
Representing Indy and Indiana
The Concession Refresh program is intended to attract “sense of place” retailers and food-and-beverage providers to the airport, as a means of showcasing local foods, beverages and brands that directly represent the Indianapolis culture and community. The IAA seeks to provide an immersion experience for travelers, so that when they land at IND, they are surrounded by the sights, sounds and tastes that comprise the Hoosier experience.