Cover Stories
FRANCE. DFNI understands that Aelia has won the tender to operate retail at Marseille Provence airport, beating competition from incumbent Dufry Group
NEW ZEALAND. Wellington International airport has postponed an announcement on the outcome of its duty-free tender while it awaits a decision on legal proceedings launched by incumbent operator Duty Free Stores New Zealand
HONG KONG/CHINA. The Kowloon-Canton Railway Corp (KCRC) is set to launch a tender for duty-free operations at Lok Ma Chau station on the border between Hong Kong and mainland China, DFNI can reveal. The five-year contract will start when the company opens the new Lok Ma Chau spur line, scheduled for completion in November 2006
Insight
"There will be consolidation in the industry during the next couple of years, and The Nuance Group and its shareholders intend to play an active role in this process"
Dufry Group's recent initial public offering is a landmark moment in the company's history and will free valuable capital to fund its expansion plans
Earlier this month news broke of Duty Free Stores New Zealand's legal action to stop Wellington International airport from appointing a second retailer
Stockholm Arlanda airport is rolling out the next phase of its retail development but finds itself in a unique position
The European Commission's announcement that it plans to modernise its Customs procedures (RavenFox.com December 2) will be welcomed by the region's travel retailers. The existing paper-heavy system is a big burden on resources, particularly when dealing with goods under bond, and a new electronic process would offer an easier solution to stock control
The initial public offering launched by Dufry Group recently is the final act of a year notable for the aggressive entry of private investors into travel-retail. It also points to an intense fight for retail contracts during the year ahead
Next time you travel by air, count the number of passengers who board your plane carrying a duty-free purchase. It's a simple and surprisingly effective guide to the economic well-being of an airport's shopping offer
People & Company
The India Duty Free Workshop, to be held on February 21-23 at Le Meridien hotel in Cochin, has attracted interest from an impressive number of suppliers, airlines and airports
More people and company news
Kraft Foods manager global sales world travel-retail Patrick Dorais has resigned from his post with immediate effect. General manager travel-retail and EU export Andreas Fehr named Dorais' replacement as EU export director Jaya Singh
Nestlé International Travel Retail (NITR) general manager Stewart Dryburgh will leave his post at the end of this year to take on the role of Nestlé India general manager
Features
As usual the industry has welcomed a number of innovative product launches and marketing initiatives throughout the year. As 2006 approaches, DFNI's product category specialists present their pick of the new products, stores and marketing campaigns in the past 12 months
In a final session debating developments that will shape the future of the Middle Eastern industry, delegates heard from Emirates Airlines vice-president passenger communications and visual services Patrick Branelly, Dufry Sharjah deputy COO Jan Baljet and BAA business relationships director Sarah Branquinho
In his keynote address on day two of the conference, Pernod Ricard director general Richard Burrows explained how the pivotal liquor market is likely to develop
An impressive line-up of speakers at the Baltic and East European conference in St Petersburg last month examined the issues facing the regional industry. Dermot Davitt and John Rimmer report
A market study of Jordan brought together the country's two main travel retailers, Aldeasa and border, seaport and diplomatic retail specialist Jordanian Duty Free Shops
The challenges inherent in managing a culturally diverse workforce were acknowledged and explained in a key session on day two of the conference, with Dubai Duty Free (DDF) recruitment and employee development manager Rachael Green reporting on how the retailer manages and encourages understanding of the cultural differences between its 1,550 staff, who represent 30 nationalities
As the fastest-growing travel retailer in the Middle East and perhaps the world, Qatar Duty Free's recent performance has been one of the most promising recent developments in the region
Day one of the event began with a strong morning session in which Tax Free World Association president Erik Juul-Mortensen explained how the changing nature of the industry's customers is posing new challenges for all its stakeholders
As the men's grooming market grows, travel retailers are demonstrating their confidence in the sector by allocating dedicated space or introducing promotions. Tina Milton reports
More than 300 delegates attended this year's Middle East Duty Free Conference and heard how the regional industry must remain customer-focused to sustain its impressive growth. John Rimmer reports
In keeping with tradition, DFNI looks back on the year that was with our unofficial awards ceremony, in which there are strictly no prizes and no acceptance speeches
After several years hovering at annual global sales of about $20bn, in 2004 the industry achieved worldwide sales of $25bn, according to travel-retail analyst Generation. And this year the trade looks set to record further growth following a period of sustained development and relative political calm in most regions
Retail News Analysis
AUSTRALIA. The deadline for expressions of interest in the Sydney International airport duty-free tender passed on December 7, with several of the world's leading retailers confirming their desire to participate
TURKEY. Antalya airport is set to implement a 50:50 split in passenger traffic between its two terminals by next January, following negotiations between airport administrator DHMI and the consortium that operates terminal one
CURAÇAO. Hato airport authority Curaçao Airport Partners (CAP) is in the final stages of planning its commercial offer at the airport's new terminal, to open in July 2006. Spanish travel retailer Aldeasa won the duty-free concession last year and will run a 220sq m (2,400sq ft) outlet in the new facility
SPAIN. Spanish airport authority AENA has completed the line-up of airside retailers at Madrid AENA airport's new terminal four, scheduled to open at the end of January 2006
RUSSIA. Aer Rianta International has opened its tenth store at Moscow Domodedovo airport, trading under the Runway Duty Free fascia that it devised last year. The new store is in the airport's VIP lounge and will offer premium whiskies and cognacs, cigars, beauty items, leathergoods, ties and scarves
MIDDLE EAST. The Middle East Duty Free Association (MEDFA) has confirmed details of its first training scheme, designed to offer its members new opportunities to develop their employees' skills (DFNI November 15)
HONG KONG. Airport Authority Hong Kong has revealed further details of the retail line-up at Hong Kong International airport's new SkyPlaza mall, scheduled to open in July 2006
US. Ted Stevens Anchorage International airport is considering whether to tender its duty-free operation or extend the contract of incumbent David Green Group once a temporary holding agreement ends
UK. As DFNI went to press Glasgow Prestwick airport was expected to announce the winner of its duty-free tender
DENMARK. H-H Ferries has redeveloped its onboard retail offer to bring the product assortment up to date with consumer spending behaviour
JAMAICA. Sangster International airport manager MBJ Airports is preparing for the second round of retail tenders at the newly- renovated facility
INDIA. Dubai-based duty-free operator Flemingo International is set to open its fifth and sixth Indian port stores, in Mumbai and Mundra
SWEDEN. Stockholm Arlanda International airport has begun the first phase of a retail redevelopment of all four terminals
INTERNATIONAL. Tax Free World Association's annual TFWA Asia Pacific show will be held in Singapore until at least 2008 after the association renewed its contract with the city state. The existing contract expires next year but will now run until 2008, with an option to extend until 2009
SCANDINAVIA. The Nordic Travel Retail Group (NTRG) has announced that the 2006 Nordic Travel Retail Seminar will take place on May 3–5 2006. The event will focus on changes in consumer attitude and behaviour uncovered in recent research and will examine new business opportunities the Nordic region.
Liquor & Wines
The Edrington Group has launched The Macallan 40yo as a limited-edition reference exclusive to the duty-free sector
Absolut vodka is a running a festive travel-retail promotion during the Christmas and New Year period
UK-based fine wine retailer Berry Bros & Rudd has won the exclusive contract to supply wine and champagne to Virgin Atlantic Airways
C&C International has appointed new global domestic and duty-free distributors for its spirits portfolio, which includes Tullamore Dew Irish whiskey, Carolans Irish cream and Frangelico and Irish Mist liqueurs
Tobacco Products
Imperial Tobacco (Canada) has promised Canadian duty-free retailers they will not be affected by the company's decision to switch production to Mexico. The company announced in October that it would close its factories in Guelph and Aylmer and move to parent company British-American Tobacco's plant in Monterrey
Belgian retailer Chacalli-De Decker has voiced concerns that price cuts for distributors serving the diplomatic market could affect the service provided to diplomatic personnel. Following a plea voiced in DFNI June 1, executive director Michael Sheriff said that the situation has deteriorated and further cuts could result in a decrease in the attention to customer service the channel has offered in the past
The European Travel Retail Council's (ETRC) campaign to protect sales of duty-free tobacco products has been endorsed by all five regional trade associations.
By Gavin Lipsith Tobacco products editor
Fragrances
Parfums Lolita Lempicka has explained the strategy behind the launch of its first women's fragrance in almost a decade, L, which was previewed at the TFWA World Exhibition in Cannes last month
Kenzo Parfums is to adapt its next travel-retail exclusive initiative using the lessons learned from its debut travel spray concept Ryoko, which was introduced in October
Perfumes Loewe is to introduce the fragrance I Loewe You to appeal to the teenage market. The fragrance, which has already been launched in Japan, will begin its international roll out from February
Aelia has revealed further details of its first dedicated men's shop, the Men's Lounge, which will open in January at Paris Charles de Gaulle airport terminal 2B in hall D
Cosmetics
Argentinian retailer InterBaires plans to allocate more space for value sets and coffrets when it renovates its main store at Buenos Aires Ezeiza International airport. The operator is also considering the introduction of a hairdressing salon and a nailcare and manicure corner next year
Clinique is to add two products to its Turnaround skincare portfolio—Turnaround Concentrate Visible Skin Renewer and Turnaround 15-minute Facial. The move is an attempt to address the growing trend for skin renewal and at-home facials
Elizabeth Arden has joined forces with Allergan, the makers of Botox, to launch prestige anti-ageing treatment Prevage, targeted at men and women
Confectionery & Fine Foods
Nestlé International Travel Retail (NITR) aims to increase its involvement in cross-category promotions in 2006, encouraged by its experience of the past year. NITR was particularly pleased with the success of its partnership with World Duty Free (WDF), explained NITR marketing manager Iain Harrison
Neuhaus is to depart from its traditional offer of premium Belgian pralines to unveil the Cuisine de Jean range early next year. The concept features fruit spreads and honey, cocoa powder, chocolate spread and kitchen accessories
Italian chocolate wafer manufacturer Loacker has secured deals in some of the world's most challenging markets this year and is now selling to duty-free stores in about half the 75 countries it supplies
Gifts & Electronics
Electronics retailer Dabs.com has closed its store at Liverpool John Lennon airport
Austrian crystal gifts supplier Swarovski opened stores at London Heathrow airport terminals one and two last month. The two 30sq m (320sq ft) outlets stock gifts, accessories, fashion and jewellery
Swiss writing instruments supplier Caran d'Ache is continuing its strategy of partnering designers to create exclusive writing instruments
UK-based enamel gifts supplier Halcyon Days is expecting its UK travel-retail sales to flourish over the Christmas season after producing a range of licensed trinket boxes designed to be given as Christmas presents
Jewellery & Watches
US jewellery supplier Angelique de Paris has revealed further details of its distribution agreement with Beauty2Market
Swatch group brand Omega has set its sights on the US duty-free business in 2006 and is looking for opportunities to open self-run airport boutiques
Ammolite specialist Korite has reported strong sales onboard Cunard Line's flagship vessel Queen Mary 2 since concessionaire Harding Brothers listed the jeweller's products earlier this year
US distributor World Tour Enterprises, the exclusive duty-free licence holder for Kenneth Cole timepieces, has unveiled a new service enabling clients to assess more quickly the performance of products in their stores and to pick out key consumer trends
Fashion & Leathergoods
One of the world's most prestigious motorbike manufacturers, Italy's Ducati, has signed a three-year licensing agreement with US high-end luggage and bag manufacturer Tumi
Danish fashion house Sand has confirmed it will soon open its first two travel-retail outlets in the Middle East, and is in negotiations to open a third. A further store in southeast Asia is also planned
UK shoe retailer Clarks has brought its new multi-branded concept to London Heathrow airport terminal one, shortly after it was rolled out in the domestic market

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