Cover Stories

FRANCE. After seven years of intense lobbying the French travel-retail industry has finally won parliamentary approval for the Espace Voyageur concept, designed to ensure a legal basis for intra-EU travel-retail by differentiating it from the domestic market
INDIA. Tenders are said to be imminent at seven Indian airports where former state monopoly India Tourism Development Corp's (ITDC) long-term contracts with Airports Authority of India (AAI) expired last year

Insight

"That much-feared date in the duty-free calendar, 1999, has arrived," wrote DFNI in its January 15 issue seven years ago
Brand owners are recognising that targeting the travelling shopper isn't just about airport promotions and advertising. But are retailers ready to follow them beyond the airport arena and embrace the new marketing?
Seven years of hard lobbying by Alain Falque and French trade body Association Française du Commerce du Voyageur (AFCOV) finally paid dividends last month as the French National Assembly and Senate gave their approval to the Espace Voyageur concept, designed in response to the abolition of intra-EU duty-free in 1999
The recent closure of duty-free outlets run by retailers Global, Flamme and Vivarini at Kapikule on the border between Turkey and Bulgaria surely signals an urgent need for change at the site, believed to be one of the biggest border retailing areas in Europe with 29 shops
Inspired by the introduction of arrivals duty-free in Norway, another of Europe's few remaining pure duty-free markets is considering the establishment of the potentially lucrative sales channel.
An old story to start a new year: Airports Authority of India (AAI) makes its latest attempt to tender the duty-free business at several of its airports, including Chennai, Kolkata and Goa

People & Company

More people & company news
More people & company news
More People & Company news
Raven Fox Events news

Features

Almost 15 years since The Nuance Group introduced its specialist Chocolate Box concept at London Heathrow airport, the operator still keeps its offer in line with consumer expectations by regularly refurbishing its outlets and revising its product range. Michael Eaton reports on the impact made when the retail brand was given its latest new look last summer
As the confectionary category in travel-retail continues to flourish, Micheal Eaton examines the issues affecting operators around the world
DFNI pays tribute to the well-respected TFWA conference and research director, who died on December 31 after a short illness
After a difficult trading climate last year The Nuance Group was forced to make big changes to its business in Scandinavia, reworking its flagship store at Copenhagen Kastrup and pursuing new opportunities in Sweden. Lorna Strickland visits the retailer to examine the latest developments
Last year was a period of significant change in the Nordic travel-retail industry. Travel Retail Norway, a new partnership between Esthetique Norge and Gebr Heinemann, knocked SAS Trading off its perch at Oslo International airport and hastened the retailer's exit from the industry. SAS Trading subsequently sold its Swedish divisions, followed by its Danish operations at the end of 2005
With one of the biggest commercial areas of any airport and with plenty more space to spare, Stockholm Arlanda airport is in a strong position to develop its retail revenue. Lorna Strickland talks to Arlanda Schiphol Development Co about its latest renovation plans
A number of confectionery suppliers have taken a more prominent role in the retailing side of the business in recent months. Although this requires investment the rewards can be substantial, as Michael Eaton discovers
The Nuance Group's Scandinavian business, the subject of much industry speculation in recent years, was given a crucial boost in December when the retailer's contract at Swedish airports was extended to 2010
The passenger profile for The Nuance Group's flagship Chocolate Box store in London Heathrow terminal one comprises about 68% EU travellers and 32% non-EU, with the main destinations being Germany, Italy, Spain, South Africa and the US
How optimistic should we be about the prospects for confectionery? DFNI asks the "big three" for a supplier perspective:

Retail News Analysis

MEXICO. Mexican duty-free operator Latinoamericana de Duty Free (LDF) finished renovation work at its flagship store in Mexico City International airport last month
INDIA. Unique Zürich is to begin the selection process for the new Bangalore International airport within two months, the company has revealed
Some of the biggest names in travel-retail are in line for honours at the second annual Raven Fox Global Travel Retail Awards
JAMAICA. Legislation to allow arrivals duty-free shopping could be passed as early as March, Jamaica's prime minister PJ Patterson told guests at the opening of Sangster International airport's new concourse in December. The cabinet has already approved the first draft, said Patterson, and the bill is now being debated in parliament
BELGIUM. Belgian Sky Shops has completed the renovation of its main outlet at Brussels Zaventem airport's non-Schengen terminal B
ICELAND. Leifur Eiríksson Air Terminal (LEAT) has awarded four retail contracts in Keflavik airport's existing terminal and its new extension
SWITZERLAND. Zürich airport authority Unique has revealed plans to open a duty-paid arrivals outlet to gauge passengers' reaction to arrivals shopping.
FIJI. Motibhai Group and Nadi airport landowner Tokatoka Holdings have dismissed local reports of a dispute between the two companies, stating jointly that their retail partnership at Nadi airport will proceed as planned
URUGUAY. Passenger traffic at Montevideo Carrasco International airport exceeded 1m in 2005 for the first time since 2000
UK. As revealed on RavenFox.com (December 20), airports group Infratil Airports has appointed The Nuance Group to run retail at Glasgow Prestwick airport from February
DENMARK. Danish retailer Monarch has bought the contract for the 150sq m (1,615sq ft) tax- and duty-free shop at Aarhus airport from SAS Trading
MAURITIUS. Mauritius Duty Free Paradise (MDFP) is to renovate its arrivals stores at Sir Seewoosagur Ramgoolam International airport (SSR) following disappointing rates of passenger penetration in 2005
ROMANIA. Border store operators in Romania have dismissed reports that the government is to abolish land duty-free before the country joins the EU in 2007
SWITZERLAND/FRANCE. Basel-Mulhouse airport has confirmed plans to almost double the airside retail space allocated to incumbent operator Dufry Group
HONG KONG. Airport Authority Hong Kong has released details of further retail opportunities at Hong Kong International airport (HKIA) as it prepares to finalise its commercial line-up in the new SkyPlaza development.
SWEDEN. The Nuance Group has gained a three-year extension to its airport duty-free contract across Sweden until 2010
TURKEY. Turkish Customs authorities closed three duty-free operations at the Kapikule border crossing between Turkey and Bulgaria earlier this month.
EU. The European Travel Retail Council (ETRC) has secured an exemption for duty-free retailers from a proposal to set mandatory bottle sizes for liquor and wines sold in the European Union
CHILE. Spanish duty-free operator Aldeasa is finalising the renovation of its outlets at Santiago's Arturo Merino Benitez International airport
UAE. Dubai Duty Free posted annual sales of Dh2.1bn ($572m) in 2005, an increase of 19% against the previous year and a new sales record for the retailer
UAE. The third Middle East Exclusive duty-free exhibition, held in Dubai on December 6-8, attracted a record number of visitors according to organiser Channels Exhibitions
SCANDINAVIA. Norwegian investment firm Jotunfjell Partners has ended its duty-free supply contract with Inflight Service, appointing Gebr Heinemann as its new exclusive supplier and purchaser

Liquor & Wines

Jim Beam Brands Global Travel Retail has expanded its marketing and sales team following parent company Fortune Brands' £2.8bn ($5bn) acquisition of more than 20 liquor and wine brands from Allied Domecq last June
Liquor distributor Maxxium Worldwide has completed the restructure of its Global Travel Retail (GTR) division with the creation of Maxxium Germany Travel Retail
Liquor Shorts
Campari Group has entered the whisky category after buying single malt Glen Grant from Pernod Ricard for €115m ($136.4m)
Austrian liqueur manufacturer Mozart Distillerie is predicting a big rise in duty-free sales in 2006, the 250th anniversary of the birth of classical music composer Amadeus Mozart

Tobacco Products

The Turkish duty-free industry has been caught off guard by new tobacco labelling regulations introduced late last year, DFNI has learned
Kretek International has appointed Alfa Brands as exclusive agent for its portfolio of clove cigarettes, which includes brands Djarum and Dreams, on North American duty-free markets. The move aims to build on the supplier's strong presence on the US domestic market and its recent entry into Canada
US tobacco firm RJ Reynolds has bought back the North American duty-free distribution rights to several brands from Japan Tobacco International (JTI), which inherited them when it bought Reynolds' international business in 1999
The Navy, Army and Air Force Institute (NAAFI) has said that it has not been notified of UK government plans to ban duty-free tobacco sales to military personnel, first reported in a UK newspaper late last year

Fragrances

L'Oréal Luxury Products Division is to introduce Amor Homme, a new fragrance for men under the Cacharel franchise, by April 2006
Procter & Gamble's (P&G) fine fragrances business P&G Prestige Products has signed a licensing agreement with fashion house Dolce & Gabbana
It has long been predicted that Dolce & Gabbana would find a new suitor for its beauty products once the licence with Euroitalia was about to expire

Cosmetics

Clinique posted an increase in sales of 20% in Asia/Pacific duty-free in 2005 compared with the previous year, driven by its performance in China
Retailer Mauritius Duty Free Paradise (MDFP) has adopted a more aggressive approach to marketing beauty products at Sir Seewoosagur Ramgoolam International airport (SSR) in an attempt to compete with domestic operators
Italian cosmetics brand Madina Milano plans to make its entry into duty-free this year
Beauty spot

Confectionery & Fine Foods

Godiva Chocolatier is to open a chocolate boutique in Okinawa and a shop-in-shop in Guam this month in partnership with DFS Group
Chocolate Sales & Supplies, which operates two of the world's biggest specialist confectionery stores at Kuala Lumpur International airport, is preparing to adopt a hard-line approach on its slow-selling products, delisting them and building closer relationships with more supportive companies.
Belgian Sky Shops (BSS) will step up its Lowest Price Worldwide campaign this year in a new push to promote pralines at Brussels Zaventem and Charleroi airports
Caviar House & Prunier, which operates several retail and restaurant airport outlets, mostly in Switzerland and the UK, has played down recent media reports of a worldwide ban on wild caviar

Gifts & Electronics

Copenhagen Kastrup airport hosted a Christmas market-style promotion in December in a bid to boost retail sales
Dutch electronics travel retailer Royal Capi-Lux has acquired rival operator Take-Off Multitronics for an undisclosed sum
Duty-free sales for Swiss travel products supplier World Connect now account for 10% of its turnover after a crucial year for the brand in the channel
French jewellery supplier Cécile et Jeanne has developed a line of giftware aimed at travellers following the success of its jewellery products in the channel. The company plans to introduce the range in duty-free and domestic markets.

Jewellery & Watches

Austrian enamel jewellery supplier Frey Wille is to focus on expansion in Asian duty-free markets this year
Jewellery supplier Ella Morissa plans to enter European airport duty-free for the first time in 2006
Swiss watch manufacturer Raymond Weil is developing a new brand image. The supplier aims to reposition itself as a classic brand with a modern product portfolio

Fashion & Leathergoods

Following lengthy negotiations with Aldeasa, Peruvian apparel brand Alpaca 111 is to make its European travel-retail debut in 2006 with a view to global distribution in the channel
French leathergoods house Lamarthe has signed a contract with San Francisco-based Skytech for exclusive North American distribution of its handbags and small accessories.
Italy's Gianfranco Ferré is targeting travel-retail with a range of bags and luggage developed exclusively for the channel. And DFNI understands that buyer interest means that the company is likely to confirm its first shop-in-shops or corners by April
A former fashion buyer for Malaysian Airports retail subsidiary Eraman has set up an apparel label with three partners that he hopes will enter the travel-retail channel after it is established in local markets