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Cover Stories
Autogrill buys World Duty Free and remaining Aldeasa stake * Group presence in eight of the
11 biggest European airports * Plans to coordinate offers and promotions across network
Insight
The poor start at T5 could give Autogrill cause for concern about future airport expansion plans
Hellenic stands to lose a substantial part of a business that generated sales of €69.3m ($109.3m) last year
Exploring the DFNI archives
Letter from the editor of DFNI
People & Company
Movers and shakers in the travel-retail industry
Features
Miami International airport has been in a state of perpetual development since before Duty Free Americas took over the duty-free concession in 2006. And although the completion of the South terminal project is in sight, commercial operations director Patricia Ryan tells Gavin Lipsith that commercial development will continue
Non-aeronautical revenues once represented half of Toronto Lester B Pearson airport’s total earnings, but its recently-completed redevelopment plan restricted the space for retail and caused that share to fall to 25%. Nicole Mezzasalma explores the airport authority’s strategy to restore non-
aeronautical revenues to their former glory
Multinational and regional duty-free operators in South America are continuing to grow their businesses with high double-digit sales increases. DFNI talks to some of the leading operators about their recent performance and prospects for the future
The weak US dollar is a double-edged sword for the travel-retail market. While overseas travellers are enjoying more purchasing power in the Americas, US tourists have less money to spend. Nicole Mezzasalma asks retailers and suppliers how the recent fluctuations in currency exchange rates have affected their businesses
Last year the EU and the US came close to reaching agreement on mutual recognition of liquid security measures. But the process has since stalled and Singapore is the only country to have achieved recognition from Europe.
Andrew Pentol reports on the campaign to harmonise liquid security rules and the effect of continuing restrictions
As South American trade association ASUTIL prepares to move north to Panama to celebrate its twelfth annual conference, DFNI editor for Spain and Latin America John Gallagher talks to the association’s secretary general José Luis Donagaray
After opening its seventh store along the US border with Mexico, Baja Duty Free plans to open more shops this year while continuing to offer a variety of incentives in its existing outlets. Andrew Pentol speaks to Baja Duty Free marketing manager Irene Rojas to find out more
The Paradies Shops is introducing MasterCard PayPass technology to speed up transactions in airport stores. Andrew Pentol assesses the benefits of the system and examines other concepts that help maintain good customer service
DFNI presents a snapshot of Americas travel-retail sales in the Americas, courtesy of Generation DataBank, and examines other key industry indicators in the region
This year’s DFNI Global Awards for Travel-Retail Excellence were held in London last month and recognised the achievements of some of the most progressive companies in travel-retail
The money will benefit the Children’s Medical & Research Foundation of Our Lady’s Children’s Hospital in Crumlin in Ireland
DFNI is proud to reveal the winners of this year’s DFNI Awards for Travel Retail Excellence in the Americas—as decided by a vote open to all companies operating in regional travel-retail
The women’s fragrances category remains the cornerstone of the Americas duty-free beauty business. But whereas Latin markets are booming, travel retailers in North America face uncertainty. Kevin Rozario reports
Retail News Analysis
Abu Dhabi Airports Company (ADAC) has signed a letter of intent with DFS Group to operate duty-free at Abu Dhabi International airport
The beauty category will take the most prominent share of the retail space
The retailers' outlets in Puerto Iguazu and Tierra del Fuego have had an especially strong year
Customers shopping in departures can store products in the locker and collect them on their return
The stores, plus seven bars and restaurants, occupy 4,600sq m (44,496sq ft) and recreate the Place Vendôme in Paris
The Dufry Group subsidiary is exploring new categories and opening new cruiseship accounts
In addition to the new corporate identity, the company is to introduce new travel-retail concepts at airports and in border stores
Lower numbers of international flights could jeopardize retail plans at the airport
Broward Duty Free has secured the concessions at the airport until December 31 2013
The retailer has won a five-year extension to its contract at Tampa International airport
The company is to benefit from the $577m expansion of one of the busiest border crossings in the Americas at San Ysidro
The company has secured a contract to operate shops on board both of Norwegian ferry company Fjord Line’s vessels
Argentinian retailer InterBaires won the most awards but Dufry Group took the top prize
Selected news from DFNIonline.com
Liquor & Wines
The new financial secretary has abolished duty on wine and beer in his first budget speech
Fondberg & Co has set up a new travel-retail division
Retailers should be more open in sharing sales with their leading supply partners
A troubled economy and increased security restrictions were not enough to curb growth
Tobacco Products
ST’s controlling shareholder Skandinavisk Holdings (SH) will retain the cigar and pipe tobacco businesses
The extension of the company’s alliance with WDF follows the success its products with the retailer
The station displays product details on a flat screen once passengers have scanned the item’s bar code
The purchase of rival supplier Gallaher has helped to boost sales
Fragrances
The category's share of the overall market at the frontier rose from 14.9% to 15.3%
The cruise business is seen as a better bet for fragrance growth than other channels such as the borders
The supplier has expanded its portfolio with new launches in the Parfums Salvador Dali, Morgan and Charriol collections
The children's fragrances suppliers have increased their presence in Mexico and Argentina
The company is to launch the first women’s fragrance from the recently-signed luxury accessories brand Braccialini
The retailer is adding new department store-style Beauty Centers across its network
Two giants in travel-retail beauty launch their third fragrances exclusive to the channel
The company has secured distribution agreements with L’Oréal Luxury Products International, Elizabeth Arden and L’Occitane
The distributor has enjoyed double-digit growth last year and the trend is set to continue in 2008
Cosmetics
The La Prairie spa at Buenos Aires Ezeiza airport is the brand’s first full airport spa
The company also plans to increase cross-category involvement in future promotions
The marketing and distribution agency has won the contract to market the new skincare and bodycare range
The French firm has confirmed it will open its first UK spa at Manchester airport’s new T1 in March 2009
Confectionery & Fine Foods
The company started as an internet and catalogue concept 10 years ago
Butlers Chocolates has appointed Chase International as its distributor in the US
Strong store activity in Rio de Janeiro and São Paulo help to boost Nestlé sales
The events are part of lagship brand Toblerone’s 100th anniversary celebrations
Gifts & Electronics
WH Smith and SSP are to open five convenience stores at the airport in October
The company plans to expand in Latin America through its US branch
Travel-retail agent Lunato Trading has welcomed positive sales for the plush toys
The supplier says it is keen to expand to Venezuela
Jewellery & Watches
Premium watches sales on longer routes are growing, says the ferry operator
The company says Asia is a very important part of their business
The watch manufacturer is in talks to enter Europe with the Dufry Group
The company has recently moved to the US following a partnership with manufacturer NNJ Development
Fashion & Leathergoods
The fashion retail operator is confident its operations are safe in the medium term
The French fashion house registered a sales increase of over 60% in the Americas in 2007
The brand opened its first self-owned and operated concept store at Copenhagen Kastrup airport
The US luggage brand now has about 50 travel-retail locations
Special Reports
The cruise business is gaining a reputation for offering slicker, more substantial retailing. Bigger ships and varied itineraries are also attracting more passengers. Kevin Rozario talks to the big three concessionaires about how they are taking advantage of this buoyant environment
Launch Pad
The latest product releases in travel-retail
Californian herbalist Ted Ray has been helping his overworked, jet-setting clients to fight the symptoms of jet lag for the past six years. Now, writes Gavin Lipsith, he is aiming at the travel-retail market with the help of some of the most experienced consultants in the business
Market Watch
Travel-retail acquisitions have already helped to drive up Autogrill’s sales and profits and travel-retail will have an even bigger impact on the Italian group’s portfolio in 2008
Hellenic Duty Free Shops (HDFS) has reported solid results for 2007
The difficult global trading conditions have affected most luxury goods companies' share prices