SOUTH KOREA REPORT: HANWHA GALLERIA DF “We plan to increase the South
Korean and overseas FIT share to 30% and 70% for other foreigners,” she said. “To bring in more South Korean
and FIT customers we are supporting cultural festivals and have plans to make Daehan 63 Building a destination in itself for customers. “There are a lot of duty free shops
in central Seoul. We chose Yeouido as the location for our store as we found that Chinese visitors are tired of shopping tours, so we want to provide a different experience to that in central Seoul.”
High SPH from Mid-East Galleria Duty Free is also looking to attract customers of other nationalities, as South Korea’s K-wave cultural exports generate interest in visiting the country across Asia and further afield. Those being targeted include
visitors from Southeast Asia, Hong Kong, Taiwan and the Middle East. “Middle East customers’ per
capita sales are higher than for Chinese visitors,” Ahn pointed out. “We also cooperate with South
Korean hospitals doing medical check-up tourism visits and they introduce us to their clients.” The Daehan 63 Building offers
various attractions in addition to duty free shopping including the renovated Aqua Planet aquarium, a picture gallery, restaurants and a panoramic view of the surrounding area from the top floor of the skyscraper. Parking is easy for tour coaches and Yeouido Island’s streets and
highways are congestion free, most of the time. “We target Chinese visitors as they
are interested in international and South Korean cosmetics and fashion brands,” Ahn said. “But more experienced tourists
visiting South Korea are not only interested in shopping, so we offer them other experiences. “Brand diversity is important to
our shop’s customers, but they also want more experiences as well. It’s different to being at an airport where they just shop.” Galleria Duty Free is also targeting
Heinemann hits $4bn in group turnover in 2016
South Korean outbound travellers; something it can more easily achieve through the Galleria VIP loyalty programme. “For South Korean customers our
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China committed to domestic tourism drive
main target is women between 20 and 40,” Ahn said. “We have had an online shopping since April
service 2016 after
trial of S nse 28 December, Korean
Also inside and
online services. “Online
recently for both Korean and Chinese services as people have started to get to know our shop more.”
LAGARDÈRE IN ROME | ACI CONFERENCES’ REVIEW | LOTTE DUTY FREE | DFS GROUP SHILLA | SUNRISE | EVER RICH | CHANGI AIRPORT | SINGAPORE CRUISE CENTRE | CHINA DUTY FREE | INCHEON AIRPORT | HDC SHILLA | HANWHA GALLERIA | SM DUTY FREE WILLIAM GRANT & SONS | PERNOD RICARD | BROWN-FORMAN | BEAM SUNTORY | BACARDI BEAUTY IN ASIA REPORT | COTY’S PHILIPPE MARGUERITTE | PEOPLE NEWS | NOW & THEN
Chinese sales have language doubled
“Online sales have doubled recently for both Korean and Chinese services as people have started to get to know our shop more.”
Hyunah Ahn, Galleria Duty Free
top-selling categories there. Chinese tourists are the main
May 2017 20
YEARS 1997-2017
foreign nationality that visit Jeju Island and families from the mainland as well as group tours are the largest customer groups using Galleria’s Jeju Airport shop, which faces competition from the two large downtown duty free stores on Jeju that serve overseas visitors to the resort island. Galleria Duty Free operates
TRBusiness Annual South Korea Report
Top Asia Pacific operators drive global growth
Hong Seok Ho a
thie sgearvice took place on have
the sole international departure duty free shop at Jeju Airport under a concession that started in March 2014. The 410sq m mixed category
Exclusive: Coty details $12.5bn P&G acquisition
e shoots for $1bn sal s target in 2017... p115 2015. We
duty free shop is rectangular in area with a long open-fronted entrance that runs alongside the main departure concourse. South Korean cosmetics outsell
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Jeju Airport business Outside of the the Daehan 63 Building, Galleria Duty Free operates a very healthy business at Jeju International Airport where international and South Korean brands combined accounted for almost half of total duty free sales last year. Perfume and cosmetics remain the
largest category at Jeju Airport, and interestingly cigarette brands, mostly Chinese brands, are believed to outsell liquor products. As previously mentioned,
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the rising number of younger Chinese tourists visiting South Korea has also prompted Galleria to review and update its Jeju Airport shop merchandise in line with current mainland duty free shopping preferences. “We have changed the
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merchandise and shop layout after considering the atmosphere of the store, the purpose of customers visiting airport duty free and their time for shopping,” Ahn explained. “As the number of Chinese
tourists has increased we have brought in specialised items for Chinese customers. “We have extended the range of
Cigarette brands, mostly Chinese brands, are believed to outsell liquor products at Galleria’s Jeju Airport store.
MAY 2017
items on sale. The portion of local products is over 40% based on South Korean cosmetics and South Korean leather fashion goods on display.” «
TRBUSINESS 129
international brands at present and represent the largest category in terms of revenue generated in Galleria’s Jeju Airport shop. Liquor and tobacco is the second
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