MEDFA conference closes after strong final day

John Rimmer

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The Dubai event ended today (December 5), with much of the regional trade remaining in the city for the third Middle East Exclusive exhibition

Day two of the Middle East Duty Free Conference featured a number of intriguing presentations indicating the bright future of retailing in the region. The morning session opened with an address by Pernod Ricard director general Richard Burrows, who explained his company's approach to travel-retail. He also gave his analysis of the future of the liquor category, where the "premiumisation" of the market could lead to the decline of brands in the mid-market sector, he argued.

Burrows explained the effects of Pernod's acquisitions of key Seagram and Allied Domecq brands, leading to the supplier's rise to second place among global liquor companies, with 16% market share. He ended his presentation by paying tribute to the progress made by Middle Eastern travel retailers, making reference to duty-free's founding father Dr Brendan O'Regan. "If Brendan were here I know he'd be enormously proud to see how his concept has developed," said Burrows.

Burrows' address was followed by a session on managing cultural diversity, in which Dubai Duty Free (DDF) recruitment and employee development manager Rachael Green explained how the retailer manages and encourages understanding of the cultural differences between its 1,550 staff representing 30 nationalities. Delegates saw a fascinating film in which DDF floor staff explained how they adapt to customers and to their colleagues.

After the second part of the Best Practice in the Middle East film—today featuring DDF and Qatar Duty Free—delegates heard Retail Technology Systems director Barbara Anderson reveal how new technologies—in particular Radio Frequency Identification (RFID) tags—would help prevent theft, reduce out of stocks and slash operating costs for retailers. Representatives from DDF, Abu Dhabi Duty Free and Aer Rianta International-Middle East then discussed how new back-office technology could help their businesses.

Delegates then heard from Qatar Duty Free assistant manager Krishna Kumari, who explained how the Doha airport retailer had achieved 70% sales growth so far this year. Kumari also discussed Qatar Airways' inflight business in depth, explaining how she compiled what is among the biggest and most comprehensive onboard retail catalogues in the industry.

The conference ended with a panel discussion in which Emirates Airlines vice-president passenger communications and visual services Patrick Branelly, Dufry Sharjah deputy COO Jan Baljet and BAA business relationships director Sarah Branquinho discussed the future for air travel, the impact of low-cost carriers and regulatory threats to duty-free.

A full report on the MEDFA conference will appear in the next issue of DFNI, out on December 15.