In 2015, daa International was awarded a five-year management contract to oversee the operational and commercial transformation of Terminal 5 at King Khalid International Airport (KKIA) in Riyadh.  

 The client’s objective was to establish a self-sustaining, commercially viable airport business while retaining public ownership—an ambitious vision rarely replicated globally.  

daa International introduced a knowledge transfer model, embedding a multi-disciplinary team from Dublin and Cork Airports into Terminal 5. The team worked shoulder-to-shoulder with local staff to:  

  • Restructure operations  
  • Implement commercial strategies  
  • Instil a service-driven culture  

Transformation spanned operational readiness, opening, facilities management, and rapid commercialisation—underpinned by the philosophy: Relaxed, Refreshed & Respected, applied to passengers, staff, and airlines alike.  

Terminal 5 evolved from a building site to the second-highest rated airport terminal in the Arab world (ACI Customer Experience) within 18 months, providing a replicable blueprint for global airport service reform.  

  

Unlocking Commercial and Operational Potential at KKIA  

Client Background  


KKIA is one of Saudi Arabia’s key aviation hubs, connecting domestic and international passengers through multiple terminals. Terminal 5 was newly constructed for domestic traffic with potential international expansion. Despite high-spec design, the terminal needed an operating model to unlock commercial potential and support Vision 2030.  

 daa International was selected to lead the transformation, providing full operational and commercial support while retaining local ownership and accountability.  

  

Turning an Inactive Terminal into a Self-Sustaining Business  

The Challenge  

The primary objective was to transform a newly constructed, inactive terminal into a fully operational, commercially viable facility. Key priorities included:  

  • Establishing operational readiness and service delivery  
  • Building local capability for long-term sustainability  
  • Activating commercial potential in spaces not initially designed for retail and F&B  
  • Implementing comprehensive facility management systems  

Failure to address these would have led to lost revenue, poor passenger satisfaction, and continued reliance on public funding.  

  

Embedding Expertise and Driving Knowledge Together 

Our Approach  


daa International deployed a bespoke knowledge transfer model, embedding 15 experts from Dublin and Cork Airports with over 100 local personnel.  

Teams collaborated on operations, commercial development, and facilities management, delivering learning “on the job.”  

Operational Readiness: Transitioned the building from a construction site to a live terminal in 6–8 months using rigorous testing, simulations, and public flow experiments.  

Commercial Strategy:  

  • Adapted terminal spaces to accommodate retail and F&B  
  • Engaged over 200 potential concessionaires  
  • Activated pop-up stores (e.g., Starbucks) during long-term tendering  
  • Secured largest duty-free contract in Saudi Arabia by value  
  • Established 28 F&B outlets with global operator SSP  

Facilities Management: Took over from contractors, managed snag lists, warranties, spare parts, and SLAs for systems like HVAC, lighting, and safety equipment.  

Staff Development: Blended new talent from hospitality, communications, and service industries with existing airport staff, building local leadership capability for sustained operations.  

  

Results & Impact: Transforming Vision into Reality  

Terminal 5 became a thriving airport business. Key outcomes include:  

  • Non-aeronautical revenues quadrupled to SAR 1.4 billion, exceeding projections  
  • Passenger numbers surged to 38 million annually, with new airlines serving Riyadh  
  • Duty-free and F&B tenders brought world-class brands, exceeding market benchmarks  
  • Terminal 5 ranked second-best Arab airport for passenger experience (ACI)  
  • Local team fully capable of running the terminal independently, with most responsibilities transferred from embedded daa International staff  

  

Key Insights: Lessons Learned and Best Practices  

  • Knowledge transfer methodology enables airport reform while retaining public ownership  
  • Embedding operational culture is as important as implementing systems  
  • Retail activation can start quickly with interim solutions, still delivering passenger value  
  • Essential strategies:  
  • Start with passenger experience and work outward  
  • Deploy commercial pop-ups during long procurement periods  
  • Integrate cross-functional teams to break down silos  

Successful airport transformation depends on people, culture, and capability, turning passive infrastructure into a dynamic, sustainable business.  

“Transforming Terminal 5 showed that aligning culture, capability, and strategy turns infrastructure into a thriving, sustainable airport business.”  
— Michael Martin, SVP Marketing and Product Delivery, daa International  

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