Features

The high-end chocolate market has felt the full force of the downturn in recent months, with consumers in travel-retail trading down. But as passengers return, calls from suppliers for more in-store shelf space are becoming louder.
From a small base, fine foods is emerging as a category with strong growth potential in travel-retail, and operators are increasingly interested. Michael Eaton reports.
As the group forges ahead with investment in infrastructure, BAA?s retail teams are also reviewing its entire product portfolio. And the results will shape the company?s retail future for years to come, BAA group retail director Brian Collie tells DFNI.
BAA has vowed to fight vigorously a court action brought against it by a group of bondholders in the US, following the sale of World Duty Free Americas in October.
World Duty Free director of buying Anne Macartney left the company last month and so far, a replacement has not been named. BAA group retail director Brian Collie tells DFNI that new WDF ceo Mark Riches will undertake a review of the buying business.
Confectionery can play a stronger role in attracting customers into airport stores, not only through better in-store displays and promotions, but also by creating connections with other sectors, notably children?s gifts. Michael Eaton assesses the health of the trade in travel-retail.
Confectionery sales over the past nine months have shown greater resilience than several other categories and many suppliers are positive. But how widespread is this optimism and what actions are being taken to hasten the recovery process? DFNI canvasses opinion.
Six years before the Olympic Games are to be staged in Beijing and already the bumper tourism figures are sending China?s travel retailers into a state of frenzy. No one doubts this nation?s potential, but at last month?s debut Travel Retail Summit in Beijing the mass enthusiasm was balanced by a note of caution. Adele Wolstenhulme reports.
The airport authority at Vienna International has ambitious plans for the future. A new terminal is due to open in 2010 when the airport expects to handle 21m passengers a year. In the meantime, Vienna is coping with a fast-changing passenger profile. Isabelle Caprano talks to retail manager Franz Svoboda, the man responsible for bringing retail to the fore.

Retail News Analysis

UK. BAA saw profits fall 42% last year as it digested the disposal of World Duty Free (WDF) Americas. But increases in sales and net retail income at WDF Europe, announced last week in full-year results to the end of March, were central to a robust performance by its core UK airport retail division.
HONG KONG. Tenders are being called for one of the world?s biggest border duty-free businesses on the Hong Kong-China border. The Kowloon?Canton Railway Corp (KCRC) is calling tenders at Hung Hom, Mongkok, Kowloon Tong and Lo Wu stations as well as onboard the Kowloon?Canton train that links Hong Kong with the rest of China.
UK. Alpha Airports Group ceo Kevin Abbott has said the company is eyeing potential acquisitions in niche markets around the world as shareholders press for fresh investments.
ARGENTINA. Despite the desperate economic situation facing the country, and the continuing devaluation of the Argentinian peso, duty-free operator InterBaires believes its business can improve in the second half of the year.
SOUTH AMERICA. Aldeasa president José Fernández Olano leads an impressive list of regional and international speakers for this year?s sixth annual ASUTIL South American duty-free conference, to be held in Montevideo?s Radisson Victoria Plaza Hotel, Uruguay, on September 4?6.
DENMARK. The Nuance Group has opened its new store concept, The Atrium by Nuance, at Copenhagen Kastrup airport. Measuring 2,700sq m (29,060sq ft), the store is named after the spectacular glass atrium that dominates the centre. Construction has been under way since December.
AUSTRIA. Operator Gebr Heinemann has unveiled its refurbished 400sq m (4,300sq ft) Travel Value shop at Salzburg airport. The revamped store has a larger entrance and has gained new fittings of glass, light-coloured wood and steel.
EUROPE. Swedish research group Generation has announced the extension of the pilot research programme TRAQ (Travel Retail Audit Quarterly) which it has begun for the confectionery category in the UK and Ireland.
ESTONIA/SWEDEN. Inflight Service has made its first move into onboard ferry retailing in partnership with regional ferry firm Tallink. The venture?s initial investment in ferry stores is a new-look outlet on the M/S Regina Baltica.

Liquor & Wines

The Famous Grouse has begun direct shipments to the Chinese mainland, which parent company Edrington said is potentially its largest market worldwide, with possibilities for both domestic and duty-free sales.
Allied Domecq is to distribute Brown-Forman?s brands in the Turkish market from this month.
Brown-Forman has completed the revamp of Southern Comfort with a redesign of the duty-free exclusive Southern Comfort Reserve.
Codorníu is to introduce a Spanish range of wines called Nuviana in January 2003 to domestic markets worldwide and selected duty-free outlets.

Tobacco Products

J Cortès export director Yves Goemaere has highlighted eastern Europe as a key region for the company?s travel-retail ambitions.
A renewed emphasis on its international brands is paying dividends for the world?s second-largest tobacco supplier British American Tobacco (BAT).

Fragrances

Tommy Hilfiger has introduced summer versions of its men?s and women?s fragrances.
Colorful Licenses, owner of the children?s fragrances and cosmetics company Oilily, has signed a new distribution agreement with Kraft International Marketing.

Cosmetics

Lancôme is to make a radical departure from its normal target consumer with a venture into the youth market. A new skincare range, the name of which has not yet been revealed, will be aimed at the 18 to 24 year-old market, and marks a new approach by Lancôme to price, design and product, a spokesperson said.
Coty?s Lancaster brand has added a luminising range of cosmetics to its selection.
Lancôme has introduced a training website for its beauty advisors, designed to reinforce their expertise with a ?fun? approach.

Confectionery & Fine Foods

Kraft Foods World Travel Retail has been granted responsibility for developing parent company?s Nabisco snacks as a second duty-free category alongside confectionery?initially on a regional basis.
A&E Petersen will focus on two areas this summer?implementing its new pricing policy for leading brands (DFNI 1) and introducing larger display units.

Gifts & Electronics

For Leaders Only, the company behind the innovative Leading Interiors shop which opened last month at Brussels Zaventem airport, believes the concept has potential elsewhere in duty-free.
Abu Dhabi Duty Free (ADDF) and Danish toy company Lego have joined forces to promote the Lego Racers line this summer.
Miami-based distributor WNV Sales has taken on a new binoculars brand called Konus.

Jewellery & Watches

Caribbean specialist retailer Little Switzerland opened two new Tiffany boutiques in March, and plans to roll out the concept across the islands.
The latest jewellery collections from Swarovski?Light and Matter?reflect the trend for contemporary lines.

Fashion & Leathergoods

This autumn UK retailers and travel companies will join forces to promote British luxury marques in the US in a programme called The Best of British Excellence. Some of the biggest UK fashion brands in travel-retail will take part.
Jamaica?s first stand-alone sunglasses store opens its doors this week when newly-formed company Shade Shack unveils its retail concept. More units are expected to roll out over the next 12 months.