Airport Market Case Studies

New Market Opportunity Assessment-Global Airport Security Opportunity

A leading US commercial airframer was seeking to broaden its airport security business, and required a detailed assessment of how it should best leverage its off-airplane success across US and global markets. Client's strengths were principally focused on large-scale systems integration, and required guidance on competitive business models, changing role of airport management, security prevention, detection, and large-scale integration of multiple systems.

STS developed a detailed assessment of the changing airport security market. This included competitor profiles and key discriminators; airport business models in different world areas; new airport technologies such as baggage handling systems and screening systems, and the changing role of traditional airport management firms. STS also identified and evaluated different teaming partners and technology suppliers with a focus on advantages they might offer STS client to strengthen its global airport systems-integration business. STS assembled this information by subject heading, and provided a detailed roadmap for client strategic business expansion into a number of key opportunity areas.

STS accelerated client internal planning process by over six months, enabling it to meet corporate presentation timetables well in advance of expectation. This also allowed Client airport security group to secure corporate commitments for substantial internal resources, and pave the way at a critical early-stage period for a successful new business division.

Government Budget and Programs Analysis-Opportunity Mapping Research-Airport Security FAA-TSA Program Identification and Analysis Opportunity

STS client, a leading provider of information-based systems, and integrated solutions and services, was seeking to understand and identify FAA, TSA, and related airport and other program opportunities it might be missing in its business expansion.

STS developed a detailed listing of key programs in seven emerging business segments, including information on program name, program description, branch of service, acquisition agency, stage of opportunity, estimated budget, timeline, and contractors involved. Data was customized to address client specific offerings and capabilities.

Result: client identified 15 key programs it had previously missed, and was able to direct its in house personnel more effectively in new areas.

New Product-New Service Acceptance Research (Information Management) Integrated Airport Infrastructure System Research

Leading provider of integrated avionics solutions for commercial airlines was seeking to expand its business beyond the aircraft platform into airport and other aviation infrastructure applications. Seeing "off airplane" opportunities developing in many airport domains (such as air traffic control, airport communications, and the broader airport infrastructure space), STS client was anxious to understand where its greatest opportunities for diversified growth would lie.

STS assembled detailed data on the changing airport market, emerging technologies, changing requirements, both US and globally. STS also conducted 40 in-depth interviews with a cross-section of key management personnel at leading airlines, federal and regional FAA operations, and airport management to clearly understand changing needs and requirements, and quantify possible sectors of new client business opportunity.

Through STS detailed research, client identified three new business areas where it would have greatest leverage and business potential for its unique offerings and capabilities. STS strategic assessment allowed client to filter and quantify its possible options with greater confidence, thus building a foundation for a new business division.

New Market Opportunity Assessment Aviation Lighting Systems-Airports and Heliports

STS client, a global technology company, had recently acquired a European company whose offerings included airport and heliport lighting systems. Interested in possibly expanding this capability to other US and overseas applications, STS was hired to assess if unmet needs existed in the global aviation market which might suggest significant potential for this offering.

Working closely with both the US and newly acquired-European acquisition personnel, STS completed a quantitative assessment consisting of direct research contact to market experts, and analysis of published data.

With this detailed research and analysis, STS client was able to accelerate its strategic assessment of new business potential and clarify with greater confidence specific business directions of potential to the company. This led to a new $100 million business in specialized lighting offerings for the broader airport and heliport market.

Government Budget and Programs Analysis-Opportunity Mapping-Airport-Related Transportation Program Identification and Tracking Research

Leading IT systems' integrator engineering firm (IT integration, networking, training, and compliance support including noise and congestion control) was seeking to broaden its business in larger U.S. airports, as well as major-metro transportation agencies such as transit, rail, highways, and port facilities that intersect with airports. Budget authority and capital plans under a regional TIP (Transportation Improvement Program), as well as the AIP (Airport Improvement Plan) were the source of most funds for this company's target airport services.

STS developed a detailed strategic plan, identifying highest likely potential categories of demand with near-term business potential. STS support personnel also provided direct business development support for 15 months by identifying and qualifying specific contract opportunities including recommended capture and teaming plans.

As a result of STS research and analysis, in addition to STS on-going opportunity support at a critical early stage, STS client became firmly established in airport and related public transportation markets, building to a $300 million services business within five years.

Airport Security Operation Analysis-Top US Hubs

A leading provider of large-scale system integration and security technology solutions for top US transportation authorities (airports, transit, rail, ports and harbors) required a detailed market research assessment of the addressable market for its capabilities in the top 30 US airport hubs. Many leading airports were planning significant infrastructure expansion, and STS client had difficulty getting detailed insights on changing expectations, requirements, funding sources, and competitive perceptions on the part of airport staff and decision makers both airside and landside.

Management and decision making at airport authorities can be very complex. Particular areas of client interest were: consolidation of multiple operations into centralized facilities, digital backbone expansion, and other airport-wide infrastructure enhancements across Airport Operations Centers, Security Operations (cameras, access control, sensors, intelligent video), Passenger Terminals, and Cargo Facilities. Insight was needed on the role of FAA, TSA; general program descriptions, timing for implementation, expected price ranges, role of A&E firms, value of follow on maintenance and support, funding availability, potential competitors, and current technology suppliers. Client also sought copies of relevant sections of Master Plans, Capital Plans, and other documents as available.

Recognizing that little truly useful data is published in the public domain, and is rarely relevant to the “sweet spot” of client interest, STS Research Group conducted bottoms-up, in-depth primary research on an airport by airport basis with its key contacts among a cross section of over 100 operational, security, and planning airport personnel in a wide range of airport authorities. STS integrated this direct feedback with extensive, in-house secondary research compiled from a multitude of sources.

With the level of detail assembled in this customized report, along with reasoned recommendations, and full documentation of sources, STS client was able to score (shortlist) the broader airport market into addressable opportunities for a highly targeted business pursuits. STS research accelerated client’s internal timetable by over six months, significantly accelerating its normal business development cycle.