Nuance to expand Sydney international duty-free offer

Kevin Rozario

Print Article E-Mail Article E-Mail Author

The retail operator has revealed its plans for the duty-free concessions at the redeveloped terminal one

Sydney International airport is extending its relationship with its main concessionaire The Nuance Group by allowing the retailer to expand its international arrivals stores by the end of 2008 and then build a 3,500sq m (37,674sq ft) departures store, targeted to open at the end of 2009.

According to The Nuance Group, which operates as SYD Airport Tax and Duty Free at the airport, the closer cooperation is designed to maximise the opportunity offered by Sydney airport’s A$500m ($480m) upgrade and redevelopment of the international terminal, which involves adding 7,300sq m (78,576sq ft) to the departures level. The airport’s CEO Russell Balding said: “Sydney airport operates in a very dynamic marketplace. A compelling and cutting-edge retail offer is central to that.”

The Nuance Group Australia and New Zealand CEO Jann Fisch added: “The scale of the redevelopment offers unprecedented opportunities to create retail offers that appeal to the diverse range of customers at the airport. Stores will combine traditional duty-free categories such as liquor and perfume with technology and fashion accessories where the essence of leading brands can be properly expressed.”

The development signals a deepening relationship between the two companies. Fisch said: “On a wide range of issues and opportunities we are exploring ways to improve the customer experience and our retail offer that go far beyond the traditional landlord-tenant relationship.”

Sydney airport’s international terminal development will add extensive new space for retail and food and beverage outlets as well as centralising security and border control and installing a new baggage handling system. The changes are designed to cope with an expected doubling in capacity to more than 20m international passengers per annum over the next 15 years. In the past five years the number of international passengers through Sydney airport has risen by about 25% and it now handles about 46% of Australia’s international arrivals.