Chunghwa cognac launches Camus' China drive

Anna Fenton

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Camus president Cyril Camus hails the cooperation with Shanghai Tobacco Group and retailer DFS Group as a key step in its bid to drive spend among Chinese travellers

Under an exclusive agreement between Shanghai Tobacco Group, DFS Group and Camus Cognac, a new premium cognac branded Chunghwa XO has been introduced at DFS outlets. Produced and distributed by Camus, it will be released to other retailers later this year.

Camus and DFS described the product, which is designed to appeal to Chinese travellers through both its packaging and taste, as "a premium national brand with a global outlook". The Chunghwa cigarette brand, owned by Shanghai Tobacco, enjoys great popularity in China and other Asian markets.

With more than 100m Chinese predicted to be travelling outbound annually by 2020, DFS and Camus are keen to emulate their past success in targeting Japanese travellers through providing mainland Chinese passengers with tailor-made products.

In a joint statement, Camus and DFS noted that the Chinese are among the biggest duty-free spenders in the world, with high levels of penetration. The two partners also pointed out that Chinese consumers prefer to buy Chinese rather than international brands when they have the choice.

"This is very exciting for us," Camus Cognac president Cyril Camus told DFNI. "Everyone is talking about Chinese travellers, and we're proud of having done something more than just talk. We are proud and privileged to begin our China initiative with such great partners as the Shanghai Tobacco Group and DFS."

Chunghwa XO is available in a 70cl bottle with a gift box featuring a flip-top similar to that of a cigarette packet. The new cognac was launched at a price above that of most XOs on February 1, and will be rolled out to key domestic markets in the summer. It will be released in other duty-free locations in the second half of the year.