Up to five retailers to share Incheon duty-free

Gavin Lipsith

Print Article E-Mail Article E-Mail Author

The airport has released its duty-free tender, which could see a minimum of three retailer operating the 12,220sq m (131,456sq ft) of retail space

Incheon International Airport Corp (IIAC) has released its tender for duty-free. The tender offers five separate contracts, running for five years from March 1 2008 with a two-year extension option, and is structured so that a minimum of three retailers will share the 12,220sq m (131,456sq ft) of duty-free space.

IIAC general manager retail marketing Bum-Ho Kim told RavenFox.com that the tender was a typical open tender, with low qualifications intended to attract a broad field of bidders. “The only qualification is that the companies must have operated duty-free or tax-free shops at an airport or downtown for five years or more,” said Kim.

The contracts are divided into two groups, and Kim told RavenFox.com that while retailers can bid on all contracts, they can only win one from each group.

In group A there are three contracts: seven fragrances and cosmetics outlets totalling 2,297.9sq m (24,725sq ft) in passenger terminal west and central, and the airport’s new concourse A, due to open in early 2008; three fragrances and cosmetics outlets totalling 1,076sq m (11,578sq ft) in passenger terminal east; and 12 liquor and tobacco outlets (including some grocery goods) totalling 1,923.8sq m (20,700sq ft) in the passenger terminal and concourse.

In group B the two lots cover all categories apart from fragrances, cosmetics, liquor and tobacco. The first covers 12 outlets totalling 2,281.4sq m (24,548sq ft) in passenger terminal east, the second covers 20 outlets totalling 4,638sq m (49,905sq ft) in passenger terminal central and concourse.

Kim said that the contracts would be structure with a typical minimum annual guarantee, varying for each of the lots. The MAGs will be announced at a presentation to prospective bidders on April 27. Bidders will be required to register their participation by June 13 and submit their proposals by June 14.

For further information, contact IAAC contract service team on tel: +82 32 741 2366/7 or fax: +82 32 741 2360; or the retail planning team on tel: +82 32 741 2448/9 or fax: +82 32 741 2890.

Enquiries in writing to IIAC, 2850 Unseo-dong Jung-Gu, Incheon City 400-700, Republic of Korea.

IIAC has also made available electronic versions of the tender documents at: http//ebid.airport.or.kr.