Features
Just as Tokyo Narita?s new runway was beginning to pay off through increased flights and growing duty-free sales, the SARS virus appeared. Now, with recovery under way, airport privatisation looms. What does this latest development mean to retailers at Japan?s busiest airport? Anna Fenton reports.
Nagoya?s new Central Japan International airport, or Centrair, is due to open in February 2005, replacing the existing Komaki facility. As airport and duty-free operator Nagoya Airport Terminal Building Co prepares to move to the new site, Anna Fenton assesses the market in the wake of the recent SARS outbreak.
Setsuo Amami, director and general manager of airport authority Kansai International Airport Industry Co, calls it the ?trilogy?: the treble whammy of SARS, the Iraq war and the beleaguered economy which has dogged Japanese duty-free this year. But now there?s an air of optimism in Osaka, as Anna Fenton reports.
South Korea?s duty-free operators are breathing a collective sigh of relief as the country?s ?brave heart? passengers return to the skies following the SARS crisis. Seoul?s downtown retailers just wish the Japanese would hurry up and join them. As Anna Fenton discovers, this is happening?but slowly.
After a summer blighted by SARS, Taipei Chiang Kai-shek International airport has completed its delayed terminal one duty-free tender process. Now the two winners?EverRich Duty Free Shop Corp and Taiwan Tobacco and Liquor Corp?are hoping the SARS virus stays away. Anna Fenton reports.
It?s been a difficult year for Tax Free World Association (TFWA). Forced by the SARS virus to cancel one of its two key annual events, the Singapore show in May, the costs incurred have run to about E1m ($1.1m). Nevertheless DFNI editor-in-chief Dermot Davitt finds TFWA president Erik Juul-Mortensen and ceo Andrew Ford in upbeat mood as the association?s flagship event in Cannes approaches.
P&G Prestige Beauté has gone from strength to strength since its acquisition of Hugo Boss in 1985 and Lacoste in 2001. The latest prestige fragrance brand to join its portfolio, completing the triumvirate, is Valentino. Jane Labous talks to international travel-retail director Jürgen Jost about why he believes the acquisition is the next step towards achieving a $1bn business.
As fashion captures a bigger slice of the travel-retail market, DFNI looks at the world?s leading airports in terms of retail revenue to find out how the category is managed and developed to reap richer returns. By Kevin Rozario.
This year fashion and accessories brands account for 15.2% of the TFWA World Exhibition in Cannes?a bigger percentage than their share of industry sales. And when it comes to newcomers, the proportion jumps to 18% with only the beauty sector bringing more debutants to the show. Is a trend emerging? Kevin Rozario talks to TFWA to find out and speaks to new exhibitors about the event.
Mulberry has everything to play for now that billionaire Christina Ong has won the battle for a controlling stake in the company. More money will almost certainly mean international expansion, but what?s in store for travel-retail? Kevin Rozario speaks to new sales and marketing director Martin Mason to find out.
Opinion among many delegates to the seventh ASUTIL conference held in Cancún last month suggested that this year?s event was among the very best yet. Strong contributions from key operators gave an insight into the challenges facing the industry in central and Latin America, while the social programme, as always, brought business and pleasure together. John Gallagher reports.
Retail News Analysis
FIJI. The Tappoo Group is opening new stores at Nadi International airport and renovating existing ones in a programme that will extend through to the middle of next year.
CHINA. The new $500m Baiyun International Airport Complex in China?s Guangzhou province will be one of the largest in Asia, and is expected to challenge nearby Hong Kong International airport when it opens next June.
SINGAPORE. Tenants at Singapore Changi airport will save almost S$6m ($3.4m) as a result of savings passed on by the Civil Aviation Authority of Singapore.
UK. Charter airline MyTravel has begun examining the tenders for the carrier?s inflight retail contract, currently held by British Airways.
INTERNATIONAL. Tax Free World Association (TFWA) and the International Travel Retail Confederation (ITRC) are to develop proposals for a new trade body to represent the duty-free and travel-retail industry in Europe.
UAE. Dubai Duty Free (DDF) is adding a prominent new retail sector to its central departures shopping lounge with a new Gifts from Dubai concept, aimed at enhancing the local flavour of retail at Dubai International airport.
CANADA. Canada?s airports have reported first-half duty-free sales of over C$71m ($51.8m), down less than 2% on the same period in 2002.
By Anna FentonRUSSIA/CHINA. A big border duty-free shopping centre is to be developed alongside a casino at the tourist city of Suifenhe on the Russia?China border.
CHINA. Beijing Capital International Airport (BCIA) has gained approval for the Rmb16.7bn ($2.02bn) plan to boost capacity in time for the 2008 Olympic Games in Beijing.
ISRAEL. Israel Airports Authority (IAA) has dismissed reports in the local media that only two retailers have submitted proposals to operate the liquor, tobacco, fragrances, cosmetics and drugstore tender at Tel Aviv Ben Gurion airport?s new international terminal.
OMAN. Aer Rianta International?Middle East and Oman Aviation Services, the partnership that operates Muscat Duty Free, are planning the next stage of development at Muscat International airport, where a new terminal is due to open in 2006.
CANADA. The deadline for bids in the Toronto Lester B Pearson airport duty-free tender is October 24.
By John RimmerAUSTRALIA. The Australian government has announced proposals to double the amount of liquor travellers are permitted to bring into Australia, and more than double the total value of goods visitors may bring.
By Gavin LipsithBELGIUM. Brussels International Airport Co has introduced arrivals shopping, and is to review its retail strategy as it copes with the continuing fallout from the collapse of national airline Sabena and the crisis in the aviation industry.
MIDDLE EAST. Aer Rianta International?Middle East (ARI-ME) will aggressively target opportunities in the emerging markets of the Indian sub-continent, Saudi Arabia and other developing locations as it builds on the $250m in annual sales the company has achieved in its first 10 years.
UK. Alpha Airports Group has announced a 1% increase in sales to £213.7m ($338m) in the first half of 2003, a performance boosted by growth of over 8% across its retail operations.
US. DFS Group?s sales at Los Angeles airport have begun to pick up just as the airport has announced it is to open a new duty-free shop in terminal four.
By Dermot DavittQATAR. Qatar Duty Free, part of the Qatar Airways group of companies, plans to open a store on the Saudi border and a new outlet with the US military in Doha as part of its ambitious plans for expansion.
US. News, books and gifts retailer WH Smith is to sell its US airport travel-retail business to The Hudson Group, ending two years of falling profits.
The celebrations that accompanied Aer Rianta International?Middle East?s (ARI-ME) tenth anniversary last month were not just a celebration of all that the Irish airports group and its partners have achieved over the past 10 years in creating a $250m business from nothing.
UK. Manchester airport unveiled its £5.5m ($8.69m) retail and catering upgrade to terminal one on September 18.
Liquor & Wines
The Drambuie Liqueur Company is re-launching Black Ribbon, the premium expression of its famous whisky-based liqueur, exclusively for the travel-retail channel.
The Famous Grouse whisky sales have risen by as much as 50% at key travel-retail locations since the installation of new merchandising units this year.
Bacardi Global Brands is to embark on a historic first for the travel-retail channel by launching a limited-edition fragrance based on the 10 fragrant botanicals used to produce its premium gin brand Bombay Sapphire.
Mexican rum and tequila supplier Destileria Porfidio will present a new premium rum at this month?s TFWA World Exhibition.
French ferry line SeaFrance employed the services of a TV wine expert last month to host a one-day wine festival onboard Rodin, its largest and fastest cross-Channel ferry.
Inniskillin Icewine has broken into the top 50 best-distributed liquor brands in duty-free for the first time, according to the 2002 figures released by analyst Generation.
Finland?s announcement of big tax cuts on alcohol has caused widespread consternation among Baltic ferry operators desperate to maintain savings over the Finnish domestic market.
Martell cognac has improved and updated its instore presence at international airports through a new visual merchandising system created by European brand design agency DJPA Partnership.
By Joe BatesDiageo has announced the re-launch of Smirnoff, duty-free?s biggest-selling premium vodka.
Jazz and the centuries-old tradition of Venetian glass making provide the twin inspirations for Distilleria Bottega?s new grappa collection, Alexander Jazz.
Brown-Forman is set to unveil stylish new packaging for its Finlandia vodka brand at this month?s Cannes TFWA World Exhibition.
Tobacco Products
By Jonathan BrownImperial Tobacco is boosting one of its key brands with an overhaul of merchandising installations in leading destinations for British tourists.
Henri Wintermans has launched a new 400s pack of its Café Crème and recently rebranded Café Crème Blue lines.
The TFWA World Exhibition in Cannes will see the worldwide introduction of a new range of cigarettes from US luxury tobacco supplier Nat Sherman.
Fragrances
French beauty and fashion house Lanvin has reinvented classic men?s fragrance Lanvin Vetyver in an effort to update the brand?s image in the men?s marketplace.
By Jane LabousP&G Prestige Beauté is set to strengthen its position in the women?s fragrances market with the acquisition of the licence for Valentino fragrances.
Salvatore Ferragamo Parfums has developed a new women?s fragrance.
Ralph Lauren Fragrances has introduced Ralph Lauren Blue, described as a ?cool, fresh, floral? fragrance for women.
Issey Miyake has redesigned the L?Eau d?Issey Pour Homme travel spray for men and introduced new features.
Cosmetics
Clinique?s new autumn/winter make-up collection is inspired by the 1930s and 1940s.
New from Estée Lauder is Pure Color Lip Vinyl, a ?high impact? lip gloss.
Yves Saint Laurent claims to have created the first ?adjustable? lipstick with Rouge Personnel.
Benefit has repackaged some of its bestselling Fake-Its products to bring them into line with its newly-launched colour cosmetics collection, Marvelous Make-Up.
Guerlain?s seasonal make-up collection focuses on Divinora Mascara, said to widen eyes and intensify the lashes.
Confectionery & Fine Foods
By Michael EatonBelgian Sky Shops (BSS) subsidiary Vanparys, manufacturer of Corné Port-Royal premium Belgian chocolates, is stepping up its travel-retail activities and will make its debut appearance at the TFWA World Exhibition in Cannes this month.
Nestlé International Travel Retail (NITR) has unveiled its new Cailler line-up in the battle for supremacy among premium chocolate manufacturers.
Chocolaterie Guylian will venture into the liquor category for the first time at Cannes this month.
Lindt & Sprüngli?s seasonal exclusives in Cannes last year were an autumn and winter range. This year the focus will be on spring and summer.
Gifts & Electronics
By Lorna StricklandUK luxury gifts supplier Smythson of Bond Street is to open a second duty-free store at London Heathrow airport at the end of October.
Apple has launched a range of new products for domestic and travel-retail markets.
The Buddha Bar in Paris is to launch its music compilation CDs at TFWA World Exhibition later this month.
Electronics distributor Dufri International has announced it will be showcasing a new selection of Sony cameras at the TFWA World Exhibition this month.
Jewellery & Watches
By Jonathan BrownSanford writing instruments brands Parker, Waterman and rotring will be much in evidence at this year?s TFWA World Exhibition.
Swedish watch supplier Axcent of Scandinavia will make its first appearance at the TFWA World Exhibition this month.
Frédérique Constant of Geneva has launched the Heartbeat Retrograde, joining a growing trend for visible movements in watches.
Austrian jeweller M Frey Wille has introduced two new collections to augment its Greco-Roman series.
Australian jewellery supplier Jakk Opals will display its latest collection of freshwater pearl jewellery at this month?s Cannes show
To celebrate the 10th anniversary of its Townsend line, writing instruments supplier AT Cross has launched a special-edition platinum-plated version of the pen.
Swatch-owned children?s brand Flik Flak has introduced several new models in time for the TFWA World Exhibition.
Following the relaunch of its Monet brand in travel-retail, Liz Claiborne has confirmed that its new jewellery collections will be on show at the TFWA World Exhibition in Cannes later this month.
Omega Watches has celebrated its continuing sponsorship of the Omega European Masters golf tournament with the launch of the men?s Constellation Double Eagle.
Sheaffer has appointed Lucid Initiatives to act as its travel-retail agent, focusing on European, Middle East and African markets, with immediate effect.
Fashion & Leathergoods
Italian fashion house Krizia will be represented at the TFWA World Exhibition this month thanks to a new duty-free distribution deal with Meiser Consult for its sunglasses.
The negative effect of SARS on travel and spending patterns in crucial Asian markets has taken its toll on LVMH Moët Hennessy-Louis Vuitton?s leathergoods brands in the first half of 2003.
By Kevin RozarioGerman leathergoods house Goldpfeil will launch a new Mercedes-Benz travel and leather collection at TFWA World Exhibition later this month.
L Capital, an investment fund owned by French luxury goods conglomerate LVMH Moët Hennessy-Louis Vuitton, has bought a 30% stake in Antichi Pellettieri, a leathergoods holding that controls Italian fashion house Braccialini

Magazine
Magazine