Gebr Heinemann's beautiful month at Frankfurt

Tina Milton

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Gebr Heinemann partnered international brands Shiseido, Clarins and La Prairie in November to operate the Beauty Lounge at Frankfurt International airport. RavenFox.com analyses the promotion's initial results and reveals plans for its development

Gebr Heinemann has a reputation as a discreet retailer, happier conducting business with quiet professionalism than boasting of its achievements. So when it decides to talk about something it is likely to be impressive. In the past year examples include its new outlet at Oslo International airport, where it teamed up with local retailer Esthétique Norge in the Travel Retail Norway venture, and an impressive opening at Antalya airport's new second terminal as part of the ATÜ consortium. And its latest beauty initiative is definitely a concept the retailer is keen to shout about.

The first innovation of its kind at Frankfurt International airport, Gebr Heinemann's fresh approach to beauty promotion was to present premium skincare and cosmetics items from international brands Shiseido, Clarins and La Prairie under one themed heading—Beauty Lounge.

The promotion was developed to create a lounge environment in line with the trend for spa treatments, and is a step beyond the single brand promotions usually found in Travel Value and duty-free stores at Frankfurt airport. The pilot project ran in Heinemann's store at terminal 1B east throughout November. The 50sq m (540sq ft) space focused on skincare, but also featured podiums for fragrances and cosmetics best-sellers, maximising cross-selling opportunities. In the cosmetics area passengers could test products and receive beauty advice at a make-up service point, and there was a separate counter for men's products.

Passengers were offered free hand massages, skincare analysis and water at three beauty stations in what the retailer called the "promotion temple", designed to relax consumers in a calm environment that combined background music with lounge-style décor. The treatment area was separated from the main 700sq m (7,532sq ft) store by a translucent curtain to create a private atmosphere.

Its central location in the shop aimed to attract consumers' attention and floor markings were added to guide passengers to the area. Passengers were invited to the Beauty Lounge by one of 10 promoters dressed in white uniforms bearing the brand's logo and signature. The invitation included a skincare and cosmetics beauty pass listing the products tried by passengers for their future reference. Passengers were also given a refreshing towel pack as they left the lounge.

Heinemann chose to work with the three brand partners because they are renowned for their strong cosmetics competence, they offer price consistency and a wide selection of products that cover the whole cosmetics spectrum. The aim of the Beauty Lounge was to develop sales across all beauty categories, increase customer service thereby growing customer loyalty, increase spend per category and help to create an exciting shopping environment.

Early indications show that the concept has produced some interesting results and prompted a enthusiastic response from the retailer and the three suppliers. During the first two weeks of November average passenger spend on fragrances and cosmetics grew by 4.4% compared with the same period in 2004 and passenger spend across all categories was up by 1.8% at the store, which has the highest spend per customer of any outlet at Frankfurt.

Heinemann board member and long-standing head fragrance and cosmetics buyer Kay Spanger says: "The success of the Beauty Lounge has been breathtaking. The participating brands reported growth of up to 83%, particularly in the skincare sector where good advice is essential. Great results were also recorded for the cosmetics category, with sales rising by 14.2%. This increase has been partly achieved by the shop-and-win promotion offering customers the chance to win a car, which has attracted consumers into the store."

The brands involved in the Beauty Lounge regarded the initiative as a way of offering consumers a service above and beyond the usual product offer. Clarins area director travel-retail division Christopher Cordey said: "We invited them in to experience something special so it was more of a soft sell and I'm sure it will prove very successful. I think it made them feel like they were not just in the shop to buy something but were given a service. It is respectful of the consumer."

La Prairie area manager travel-retail Europe Clotilde Delpech agreed that Beauty Lounge had proved an attractive pull for passengers: "I think that the promotion has been very successful and attracted more passengers into the shop."

Spanger's enthusiasm is reinforced by his confirmation that the initiative will run again next year with the same three brands. The retailer will also develop a Men's Club promotion that will focus on presenting men's fragrances and skincare products together with high-quality accessories.

He explains: "We will continue to run the promotion next year and we will develop more concepts. It proves that the excitement leads to sales increases for the whole category rather than for just a single brand. We will continue individual promotions with big launches but it will be a healthy mix. You need a space equivalent to that at Frankfurt to provide a nice atmosphere."

Spanger said that the concept could be introduced beyond Frankfurt at Istanbul Atatürk and Oslo International airports.

Gebr Heinemann operates 30 brand promotions a month in six shops at Frankfurt in the fragrances, skincare and cosmetics categories. "Our objective is to develop user-orientated promotions that present the brands in the best possible setting," says Spanger. "It is the constructive business relationships and trust that we have built in the industry that have made it possible for us to present different brands under one single theme and to display the depth of our ranges. All these activities serve to improve the airport experience and its shopping potential. It is very much in the interests of the airport operators to make sure that the airport's retail activities are made as attractive as possible. We provide the airport's operators with active support in increasing non-aviation revenues as a vital source of income."

The Beauty Lounge is one of many marketing activities that have been developed and implemented by Gebr Heinemann in the beauty category. "We take our brand responsibilities very seriously," says Spanger. "About 1,500 sales promotion activities are planned every year by the promotion and training department, but demand from brand owners is far higher."

With innovative promotions such as the Beauty Lounge this is likely to be boosted to even greater levels during 2006. Spanger concludes: "We are still open to ideas and looking forward to the final results."