The impact of airline alliance terminal co-location on airport operations and terminal development

The notion of co-locating alliance carriers to their designated terminals in airports has gained significant interest in recent years. While benefits on the part of airlines are made clear by existing literature on alliance-hubbing, the tangible benefits to airport operators are less clear due to a lack of studies in the literature. This paper considers existing cases of London Heathrow, Paris Charles de Gaulle and Tokyo Narita Airport, and applies their operational practices to a medium-sized airport in Asia Pacific to evaluate the universal applicability of alliance member co-location. Although some operational and financial improvements are observed, the paper concludes that implementation of this concept should not be done through a one-size-fits-all approach.