Cover Stories

DENMARK. Copenhagen Airports (CPH) has launched a tender for the main duty-free concession at Copenhagen Kastrup airport
UK. Investors in UK airports group BAA have said they would consider a bid for the company only if any potential suitor valued it above £9bn ($15.8bn)
SINGAPORE. Singapore Airlines is likely to tender its inflight duty-free concession for the first time and has met selected retailers to discuss the future of its retail operation

Insight

Hungry investors have been circling the airport industry ever more aggressively in the past five years, reaching a peak as the aviation business recovered from the shock of September 11 2001
It was no surprise to the incumbent or to the industry at large, but the launch of a duty-free tender at Copenhagen Kastrup airport will have sent ripples through the European trade and beyond
This month the industry events calendar promises to provide fascinating insights into the Old and New Worlds of duty-free
How airports are run and who owns them is at the heart of the political, social and cultural debate in many countries today. But that's partly because their value is rising faster than most other types of asset
Despite spending considerable time and money in domestic stores, consumers often stop short of the point of purchase at travel-retail outlets. Richard Timmis argues that collaboration between retailers and suppliers is the industry's missing link
"Revolution" is not a word you would expect to see employed in the context of Japanese duty-free. Held back by space constraints and regulatory pressures, Japan's airport retail business has struggled to match the standards set by many of its Asia/Pacific neighbours. Similar shops offering comparable products have too often confronted shoppers.

People & Company

The Nuance Group has employed former India Tourism Development Corp (ITDC) vice-president Chris Ruthnaswamy as a consultant to advise the retailer as it bids to build a presence in the Indian duty-free market
More people and company news
Tax Free World Association (TFWA) has unveiled details of this year's TFWA Asia Pacific conference in Singapore
Lemantrade owner and veteran of the duty-free industry Fernand Lang has died after a long illness

Features

Following its purchase of Take Off Multitronics in January, Capi International is now the only electronics retailer in the world that operates exclusively in travel-retail. Lorna Strickland visits the company's base at Amsterdam Schiphol airport
As India's airports prepare for privatisation, they would do well to look to Cochin for inspiration. The country's first part-privatised airport has become India's fourth-biggest international hub in less than seven years of operations, with duty-free revenue central to its expansion. Cochin International Airport Ltd managing director VJ Kurian shares his vision with John Rimmer
Roy Griffins - Director general, ACI Europe. More than a year after assuming the role of ACI Europe director general, Roy Griffins has built a platform based on consultation, a process he views as essential if airports are to avoid the "capacity crunch". In The DFNI Interview he explains why all those with an interest in airport development will benefit from dialogue
The diplomatic and military supply industry thrives on high-margin tobacco sales, but a price war has left the diplomatic sector calling for a truce. Emily Pacey reports
The French parliament's approval of the Espace Voyageur concept is a landmark breakthrough for the idea's advocates. But can it lead to change elsewhere in the EU? And do enough landlords, retailers and suppliers understand the concept and its implications? John Rimmer reports
Retail expansion at home is Airports Company South Africa's priority as it makes advance preparations for the 2010 Football World Cup. But its latest deal to operate India's Mumbai airport with local partner GVK Group could provide a basis for international success. Tina Milton reports

Retail News Analysis

NORWAY/DENMARK. Start-up ferry line Master Ferries is preparing for launch on April 26.
NORWAY. Airport authority Oslo Lufthavn has launched a tender for shops and kiosks at Oslo International airport. More than 1,000sq m (10,760sq ft) of airside retail space is available in departures, while 240sq m (2,585sq ft) is to be tendered in arrivals. The deadline for expressions of interest in the five-year contracts, which will begin on January 1 2007, passed on February 9
ITALY. Airport authority Aeroporti di Roma (AdR) has revealed further details of its refurbishment plans at Rome Fiumicino and Ciampino airports, where it will redevelop four stores as part of a €3.5m ($4.3m) investment programme
CANADA. Canadian border trade body Frontier Duty Free Association (FDFA) has joined a US/Canada coalition lobbying for governments to balance security requirements at the border with the economic needs of retailers. The Borders for Economic Security, Trade and Tourism (BESTT) organisation, based in Washington DC, opposes proposed legislation that will require cross-border travellers to carry "burdensome forms of documentation", such as the recently-announced PASS card
GERMANY. Frankfurt International airport has reopened its terminal one landside shopping area, with a retail mix geared towards a younger client base and more mid-priced concepts
AUSTRALIA. Shortlisted bidders were awaiting the arrival of Sydney International airport's duty-free request for proposal documents as DFNI went to press
ALGERIA. As revealed on RavenFox.com (February 7), Dufry Group has won the concession to run duty-free at Algiers Houari Boumedienne airport. The retailer will take over two departures stores covering 650sq m (6,995sq ft) in total, to begin trading by April
INDIA. The departures duty-free area at India's Cochin International airport is to expand by about 20,000sq ft (1,860sq m) as the airport authority prepares for anticipated growth in traffic. Cochin International Airport Ltd (CIAL) managing director VJ Kurian said he hopes work on the new terminal building will be complete by September
JAPAN. Tokyo Narita International airport authority NAA has announced the line-up of brand boutiques to feature in the airport's new South Wing in terminal one, which is scheduled to open in June
URUGUAY. Montevideo Carrasco airport concessionaire Duty Free Uruguay posted a 50% year-on-year sales increase in 2005. CEO Martín Leal told DFNI the company's performance was boosted by the opening of a new walk-through arrivals store last March
The Global Travel Retail Summit 2006 is gathering momentum with a number of big-name speakers confirming their participation
LIBYA. Hamila Duty Free has delayed the launch of its new duty-free inflight concession on board Libyan airline Afriqiyah Airways owing to operational difficulties. Its five-year contract, which was signed in August and marked Hamila's first step into the Libyan duty-free market, was due to begin last month
MALAYSIA. Retailers at Kuala Lumpur International airport (KLIA) have signed five-year contract extensions with Malaysia Airports despite the airport authority's decision to implement dramatic rent increases. Charges have almost doubled in some categories
US. DFS Group has secured a five-year extension to its duty-free concessions at New York John F Kennedy International airport terminal four. The retailer's lease will expire in May 2011
SPAIN. Spanish retailer Aldeasa has created a new corporate image to coincide with the opening of Madrid Barajas terminal four, where the company has begun operating Spain's biggest airport retail space at 8,000sq m (86,080sq ft)
INDIA. The Indian government has approved bids to take over the management of Delhi and Mumbai airports despite bitter opposition from workers at the locations
URUGUAY. Following a strong summer season, Uruguayan duty-free operator Neutral is bringing forward plans to open new outlets on the Uruguay-Brazil border
US. Duty Free Air and Ship Supply (DFASS) has won the inflight concession on board Delta Air Lines amid protests from incumbent operator Diplomatic Supplies Canada
FINLAND. Airport authority and retailer Helsinki Airport Duty Free is to open an arrivals store in Helsinki Vantaa's Schengen terminal in May

Liquor & Wines

Barton Brands has appointed Chase International as its exclusive US duty-free distributor, effective from February 1
Liquor was Russian duty-free operator Lenrianta Joint Stock Co's strongest product category last year, generating 35% of its overall sales turnover
US importer Sidney Frank Importing Co has added an Irish whiskey to its spirits portfolio.
More liquor news
Rare malt whisky supplier The Dead Whisky Society is aiming to expand its duty-free distribution after a successful trial with Dubai Duty Free (DDF)

Tobacco Products

UK tobacco supplier Gallaher is planning to launch its Sovereign brand in sub-continental duty-free markets—excluding India, where Imperial Tobacco holds the trademark—through its exclusive regional duty-free distributor Midas International
Retailers to diplomatic corps and military personnel are considering forming a trade association to combat price erosion in the tobacco sector
Malaysian retailer Dimensi Eksklusif plans to modernise its cigars outlet at Kuala Lumpur International airport after securing a five-year extension to its cigars, beauty and fashion contracts. The company aims to begin the renovations within two months and hopes to open the new outlet by the end of September this year
Beijing Capital International airport (BCIA) has achieved dramatic growth in sales of premium cigars since installing a walk-in humidor at terminal two last July

Fragrances

Airport authority and retailer Aeroporti di Roma (AdR) will start work on the refurbishment of shop 13 in satellite terminal C at Rome Fiumicino airport this month, giving greater visibility to the beauty category
Beauté Prestige International (BPI) is to introduce an edp to the Narciso Rodriguez for Her range this month to complement the brand's established edt
DR Group subsidiary Colours & Fragrances has secured a three-year contract extension at Kuala Lumpur International airport—with a two-year option to extend—which will more than double its retail space

Cosmetics

Dubai Duty Free (DDF) has introduced four new brands in its enlarged beauty store at Dubai International airport.
Parfums Christian Dior is continuing its bid to increase market share for its skincare franchise this year with the introduction of its first global anti-ageing range designed for mature skin, Capture Totale, this spring
Clinique unveiled its new whitening range Derma White, designed to appeal to Asian consumers, at a launch in London department store Selfridges on February 1

Confectionery & Fine Foods

DR Group subsidiary Chocolate Sales & Supplies (CS&S) will move its Choc Stop International operation to a new location at Kuala Lumpur International airport (KLIA) this spring, after being granted a five-year contract extension by Malaysia Airports (RavenFox.com February 2)
Chase International is to launch Belgian speciality chocolatier Starbrook Airlines in the US at the Duty Free Show of the Americas in Fort Lauderdale next month
Swiss premium biscuit manufacturer Tante Agathe aims to counter price resistance among airport operators by demonstrating the brand's potential in upmarket domestic outlets, where it has strengthened its presence via an expanding network of agents and distributors

Gifts & Electronics

Netherlands-based electronics retailer Capi International is preparing to launch its first domestic retail venture
Take Off Multitronics' outlet at Gatwick airport closed its doors at the end of 2005. The store, which was situated in Gatwick North terminal, was in direct competition with Dixons Tax Free
Alpha Retail's heritage gift concept Glorious Britain has completed the launch of its first online venture

Jewellery & Watches

Danish jewellery supplier and retailer Pilgrim has developed a new range of dedicated merchandising units for travel retailers
UK-based watchmaker Rotary has re-introduced its luxury brand Dreyfuss & Co. The brand was one of the original lines launched when the family-owned company was established in 1925, but has since been overshadowed by the Rotary name
Baselworld, the industry's flagship watch and jewellery trade show, will this year feature the new First Avenue two-level stand concept, which will offer more space to both jewellery and watch brands. The move is a bid to give jewellery companies more exposure
Bvlgari Group has reported a rise in global sales for 2005, boosted by an increase in the watch and jewellery categories
The Nuance Group plans to renovate its main tax- and duty-free shops at Stockholm Arlanda airport this year in a bid to rejuvenate the jewellery, watches and sunglasses category at the location

Fashion & Leathergoods

More fashion news
US accessories manufacturer Targus has launched Urban, a new series of laptop cases designed to appeal to young professionals
Following last month's signing of a long-term contract between Porsche Design and Italian fabrics producer Mantero, a new range of branded men's ties and scarves from Porsche will enter the travel-retail channel for the autumn/winter season
Tallink is to trial a fresh retail format with a strong fashion focus when its newest and biggest ship joins the Baltic operator's fleet in mid-April
Bags and accessories maker Kipling has predicted a threefold expansion in its travel-retail business within four years after creating the new post of duty-free manager

Special Reports

Launch Pad

For this issue's electronics report, DFNI asked travel-retail buyers from P&O Ferries, Dixons Tax Free and Virgin Atlantic Airways to test four of the latest electronics products from well-known suppliers and distributors to assess their retail sales potential. Each buyer tested recently-launched items from travel-retail specialists Premier Portfolio, Zero Group, Kensington and Scorpio Distributors. The results offer an intriguing snapshot of what today's buyers are looking for from the electronics category. Test coordinated by Lorna Strickland