AFRICA: TOURVEST RETAIL SERVICES


“There are various large retail suppliers who have continued their partnerships with us and signed new agreements to have their brands in the Nigerian market.”


Clive Jones, Tourvest Retail Services


Offering the right price and


Various large retail suppliers have signed new agreements with Tourvest Retail Services to feature brands in the Nigeria market.


not helped, and the limited number of repatriation or emergency flights has decreased as a result.”


Ongoing partnerships On the potential of the Nigerian market, Jones pinpoints the success of key lines such as liquor, tobacco and fragrances. “There are various large retail


suppliers who have continued their partnerships with us and signed new agreements to have their brands in the Nigerian market.” “There is a consumer in Nigeria


that has a high-net-worth. If I look at some of our more premium products they sell well.” Pre-Covid-19, Tourvest was


targeting growth of 10%-12% across its Nigeria business. “Alcohol, tobacco and fragrances


still sell, but there is certainly a more premium demographic,” says Jones. While Tourvest clearly has a long-


standing and sound relationship with Heinemann in Nigeria it has developed strong brand partnerships across its various DF&TR businesses. These relationships have certainly been tested during the Covid-19 pandemic. Jones recalls: “When the pandemic


hit, we contacted all our key suppliers and requested various solutions. “The first solution was to send


back excess stock, as we believed the pandemic would last for a long time. For that, we got credits from our suppliers. “Our second request from our


NOVEMBER 2020


suppliers was extended payment terms which would commence once the airlines were back up and running. Due to the relationships we have built with them over many years, they have been very receptive. As a result, we are sitting in a good position from a creditors’ perspective and a good relationship position with our suppliers.” In terms of passenger


demographics, Tourvest has noticed a move towards on-trend fashionable products on the African continent. It also indicated that African consumers are well-travelled and more progressive. From an assortment perspective,


there was a huge difference between product ranges in the UK and Africa around 10 or 15 years ago. Now, the product selection is almost the same and there is no longer a delay in fulfilling customers’ requirements.


Local product demand Jones explains: “Suppliers are sending more of their tier-one kind of high-net-worth products through to the African continent. “If you then look at products


such as Ethiopian coffee, it is clear these items still do well as incoming passengers want to purchase local products. “There is currently a pricing issue


around staple products such as liquor, tobacco and fragrances, but these can still work if you are able to offer the right price, promotions and deals.”


Tourvest Retail Services operates one departures duty free store at Murtala Muhammed International Airport in Lagos, Nigeria in partnership with Gebr. Heinemann


TRBUSINESS 37


promotions is something Tourvest will strive to do at Addis Ababa Bole International Airport in Ethiopia. The company will run two stores in the departures transfer area, which will begin trading in Q1 2021. Construction of the outlets is complete, but the openings have been delayed due to the pandemic. “When you walk into these stores,


you will see they are comparable with any other duty free and travel retail outlets worldwide,” says Jones. As the African aviation, travel


and DF&TR markets continue their recovery from the pandemic, Jones believes it will be some time before they return to 2019 levels. “Africa is heavily reliant on the


world opening up and international business coming in. Pre- Covid-19, many companies were entering Africa to invest and set up organisations because they realised there was a fantastic opportunity. “The period by which Africa


returns to any form of normality is aligned with how Europe and the US progresses. We are certainly working towards 2023 until we see anything like 2019 levels.” «


Page 1  |  Page 2  |  Page 3  |  Page 4  |  Page 5  |  Page 6  |  Page 7  |  Page 8  |  Page 9  |  Page 10  |  Page 11  |  Page 12  |  Page 13  |  Page 14  |  Page 15  |  Page 16  |  Page 17  |  Page 18  |  Page 19  |  Page 20  |  Page 21  |  Page 22  |  Page 23  |  Page 24  |  Page 25  |  Page 26  |  Page 27  |  Page 28  |  Page 29  |  Page 30  |  Page 31  |  Page 32  |  Page 33  |  Page 34  |  Page 35  |  Page 36  |  Page 37  |  Page 38  |  Page 39  |  Page 40  |  Page 41  |  Page 42  |  Page 43  |  Page 44  |  Page 45  |  Page 46  |  Page 47  |  Page 48  |  Page 49  |  Page 50