Here's Why Food In Airports Is So Expensive
Frequent flyers will know the feeling: You sit down in an airport restaurant and immediately recoil at the absurdity of the prices. At Newark, which Altezza Travel found had the worst airport food in America, an average meal costs over $23, despite 70 percent of the restaurants earning sub-three-star ratings. That's a lot of money for a dry, flavorless, probably ultra-processed mass of pseudo-nutrients that's arrived in your mouth via a freezer and a microwave. The question, then, is why is airport food so expensive?
If airports seem to be in a constant state of inflation, it's because the complex interplay between airports and vendors facilitates price increases for both explicable and predatory reasons. As air travel became more accessible in the late 20th century, airports introduced the concept of air malls, with the newsstands, cosmetics stores, and restaurants you'll still find in departure lobbies today. In some cases such malls were the chief attraction, enabling airports to become destinations unto themselves. But amid accusations of price gouging, some, like Pittsburgh International, adopted a street-pricing model, where prices inside would match those on the outside.
This model is now (mostly) a relic of the past. The new model — "street pricing plus" — is the standard cost of an item, like a burger or chocolate bar, plus 10% to 20%, as set by local transit authorities. This is deemed a fair tax, given how security checks, compliance protocols, and high rent mean it's more expensive to run a business inside an airport. So why can items cost as much as 120% more than their street value? As noted in Grey Journal, airports don't always enforce these percentage caps strictly, giving vendors license to increase costs and quibble over the contractual fine-print for maximized profits.
How can airport vendors charge what they do, and how can you avoid it?
It's no newsflash that corporations interpret policies liberally for financial gain. But it's curious that airports often seem beyond reproach. One primary reason is that U.S. airports are dominated by an oligopoly of little-known concessionaires, or holding companies, like OTG, Avolta, and SSP. Operating in thousands of locations worldwide, these companies oversee brand-name shops and restaurants, like Starbucks, Burger King, Shake Shack, WHSmith, and InMotion, found in airport terminals. This, along with a (literally) captive audience, removes the competition necessary to bring pricing down.
Airports, it should be noted, are not the only offenders here. Sports stadiums, arenas, and movie theaters could be accused of similar acts of gouging. Airports are also regularly audited, sometimes with positive outcomes. The Port Authority of New York and New Jersey found that passengers in LaGuardia had been paying $27 for a beer, breaching pricing rules, which ushered in a 10 percent surcharge cap. Following recent revisions, surcharge caps at all New York airports are now up to 15 percent. There are exceptions to the rule, but history has generally shown that if vendors are given discretion, they will eek out every last cent.
Post 9/11 and the increased screening of the TSA, it's become difficult to avoid spending money in airports, especially if your flight has a long delay. But there are ways to circumvent the surcharges. Eat a large meal before arriving and bring a packed lunch, avoiding anything liquid as per the dos and don'ts for getting through airport security. Many airports have water fountains for refilling empty bottles, while others, like Portland International and Salt Lake City International, set prices aligned with actual street levels. Also bring sufficient entertainment, as boredom leads to perusing the aisles of shops.