On The Cover

The pulsing heart of Asia?s travel-retail business is slowing to a dull beat, clogged by the effects of Severe Acute Respiratory Syndrome (SARS). As both business and leisure travellers heed the World Health Organization (WHO) warnings to avoid mainland China and Hong Kong, the travel and tourism industry across the whole of Asia is feeling the strain. TRI?s Asia correspondent Anna Fenton reports from Hong Kong on the spiralling effects on travel-retail.

Regional Focus

With the third edition of the Airport Retail Study soon to roll off the press, TRI approached its author, Ivo Favotto, to get a sneak preview of its contents.
One of most interesting additions to the Airport Retail Study performance indicators in the third edition is retail precinct analysis.
Airport participation in the Airport Retail Study is constantly being managed to ensure representation from each major geographical region and to ensure that airports of all passenger throughputs are represented.
In this special airport design forum, some of the industry?s most influential consultants were approached by TRI to cast their eyes over terminal buildings worldwide. Neena Dhillon found that, by embracing certain principles of good design, airports can ensure the success of their retail offer far more effectively than by chasing square feet alone.
Anna Fenton interviews Weitnauer deputy chief operating officer for Eurasia and Asia Jan Baljet?an Amsterdammer with a hectic schedule, a mean golf swing and a keen sense of what it takes to do business in Asia.
With civil unrest, the Iraq war and now the SARS virus, Alpha Retail has had a tough time in Sri Lanka. But as Asia and Middle East managing director Paul Topping tells Anna Fenton, he has every reason to be upbeat as the company delivers a robust performance.
For eight years Macau airport has been reaping the rewards of Taiwan?s ban on direct flights to the People?s Republic of China. But with the ruling set to be lifted next year, Anna Fenton finds out what the island is doing to develop its reputation as the Las Vegas of Asia to retain as many mainland Chinese tourists as possible.
Caught between tourism superstar Thailand and international curiosity Vietnam, Cambodia is often overlooked as a destination in its own right. Jane Labous looks at the travel-retail potential of this lesser-known destination.

Product Focus

After years of ignoring travel-retail, wine suppliers are at last beginning to realise the potential of the channel. Here some of them offer retailers some tips on how to get the most out of the category.
TRI asked six leading suppliers to pick a single brand or product from their portfolios that they thought was perfectly suited to travel-retail. Here they present and justify their recommendations.
Despite the SARS fiasco Baselworld was alive with new launches. As many US and Asian duty-free watch buyers were forced to stay at home, TRI brings you a round-up of the latest news and the best new products from the show. By Kevin Rozario.
The controversial Swiss decision to ban selected Asian nationals from working on stands at Baselworld because of the SARS outbreak caused an understandable furore. The industry was also in a state of self-examination as it came to terms with global conditions, the like of which no one can remember seeing before. Kevin Rozario reports.
With western nations and the Middle East focused on what is going on in Iraq, it is easy to forget that some markets are relatively isolated from this conflict. Tissot president François Thiébaud is convinced that, in a world economy that has softened much since mid-2001, the right way to look is east.
After half a century of decline, Irish whiskey sales are rising once again. But recovering the ground lost to Scotch whisky will be more difficult, as Joe Bates finds out.
St Patrick?s Day would seem to be a marketing opportunity sent from heaven for any supplier of Irish branded goods.
As the growth of the world?s best-selling liqueur, Baileys Irish Cream, shows no sign of slowing, Joe Bates sizes up the chances of the recent crop of copycats gaining a foothold.

Regular Features

Swiss speciality liquor supplier Underberg has acquired the worldwide distribution rights to Goldwasser liqueur, owned by German company Hardenburg.
Toy and gift supplier Russ Berrie increased its travel-retail sales by 30% in 2002, according to the company.
Estée Lauder?s Aramis and Designer Fragrances division has signed a multi-year deal with tennis star André Agassi involving the establishment of a new fragrance slated for global launch in September.
Italian fragrance house Pupa has revealed its strategy for Asia/Pacific in advance of the TFWA Asia Pacific show in Singapore.
Belgian confectioner Godiva Chocolatier claims it has seen rapid growth in Asia/Pacific with an increase of 20% in shipment sales for fiscal year 2002 over the previous year.
P&G Prestige Beauté is building awareness for its Lacoste fragrances with a Style on Skin airport promotion.
The Asian market is characterised by an enthusiastic demand for skincare, and by consumers hungry for the latest fashionable brand launches. Jane Labous asks leading Asian retailers what trends they are seeing in the markets, and which brands they would choose as this year?s ?winners and losers?
French travel retailer Aelia has risen to the challenge of maintaining sales in the traditional duty-free categories with a fresh approach. Despite predictions of the end of liquor and tobacco in the channel, the operator has introduced several new retail concepts that it hopes will breathe new life into those sectors. Dermot Davitt reports.
Fun? Don?t mention the word. South Koreans may be some of the highest spenders in travel-retail, but it?s certainly not just for the pleasure of it. As Raven Fox?Horizon Consumer Research?s in-depth analysis shows, South Koreans are uniquely focused consumers with a shopping list of gifts for the family.
Henri Meimoun has been appointed marketing and sales director for worldwide duty-free at tobacco company JT International (JTI).
Changes at Pernod Ricard, Niclas, La Prairie, Marlies Möller and Juvena of Switzerland group and L?Oréal Luxury Products Division.
Since the outbreak of Severe Acute Respiratory Syndrome (SARS), subsequently leading to the World Health Organization (WHO) advisory warning against travel to certain Asian destinations, can the media be accused of whipping up the frenzy that currently exists?
For years terminals have been designed as long, straggling affairs to the benefit of aircraft loading ? and the detriment of retail outlets. Ivo Favotto* argues that an innovation in calculating the dollar value of each aspect of a terminal building proves the financial advantage of short and fat terminals.