Nuance defiant in Denmark

John Rimmer

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The retailer emerges from a tough year at Copenhagen Kastrup airport but insists it can compete if Norway adopts arrivals duty-free

The Nuance Group has blamed EU enlargement, the increase of low spending low-cost passengers and regional reductions in domestic liquor tax for "a tough year" at Copenhagen Kastrup airport, but said that targeted promotions had boosted spend in the second half of the year. Duncan Lawley, managing director of the group's Scandinavian operations, told DFNI that Nuance had invested in marketing and staff training to improve performance, and insisted the retailer will remain competitive even if arrivals duty-free is approved in neighbouring Norway.

"We have developed a highly visible shop floor team at Copenhagen airport that is purely dedicated to customer service," said Lawley. "They cover all aspects of customer service from allowance information to the distribution of promotional vouchers and so on. It is our intention to continue and further strengthen this team throughout 2005 which confirms our commitment and belief that a combination of value for money, range and customer service are essential to success here in Copenhagen. We have also been working together with the airport authority to develop and improve the marketing of the operation which has contributed to the 2004 second half improvement."

Lawley admitted that the introduction of arrivals duty-free in Norway could have "a significant impact" on Nuance's business in Denmark and Sweden, but insists that the retailer's operation in Kastrup goes beyond what Norwegian arrivals could offer. "We have in Copenhagen one of the largest assortments in core tax-free categories in Europe, a significant part of which has been developed towards our Norwegian passengers," said Lawley. "I don't believe that this can be replicated at an arrival shop. I am also confident that strong, targeted promotions, together with a higher level of customer service that may not be available in a smaller arrival shop, will certainly limit the potential shortfall in this area."

For a report on Nuance's operations in Copenhagen, see the January 15 issue of DFNI. Subscribers can access their copy of the magazine via DFNI Digital from today.